Jeremy Mason Director, Client Services Europe 4 October, 2007 Behavioural Targeting Overview and Functionality

Display – A Massive Engine for Growth Source: eMarketer , February 2007 Key eMarketer numbers – U.S. online advertising spending U.S. online advertising spending in 2011, up from $16.4 billion in 2006 $36.5 billion Growth in U.S. online advertising spending in 2011, down from 30.8% in 2006 13.0% U.S. paid search advertising spending in 2011, up from $7 billion in 2006 $16.2 billion Online video advertising in 2011, up from $775 million in 2006 $4.1 billion Total U.S. advertising spending in 2011, up from $285 billion in 2006 $323 billion 11.3% U.S. online advertising as a percentage of all U.S. advertising spending in 2011, up from 5.8% in 2006 Coming From Offline

Behavioural Targeting Becoming the Standard Most Effective Online Advertising Targeting Methodologies 52.4% 32.9% 30.5% 14.6% Other 4.9% (Including Daypart) Source: American Advertising Federation (AAF), November 2006 Behavioural Demographic Contextual Geographic

Behavioural Ads More Likely To Receive Attention Represents Top 2 Box Scores: Strongly Agree, Agree Q: Please indicate to what extent each statement describes your attitudes: I pay more attention to online ads directly related to my online activity (Contextual); I pay more attention to online ads that fit my specific interests (Behavioral) Source: AOL/Revenue Science Sponsored Jupiter Research April 2007 49% 63% 0% 20% 40% 60% 80% 100% Contextual Ads Behavioural Ads

All Types Of Online Shoppers Are More Receptive To Behavioural Targeted Ads Q: Which statement best describes how frequently you have shopped online (i.e., conducted research online and/or purchased online) in the past 12 months? Q: Please indicate to what extent each statement describes your attitudes: I pay more attention to online ads directly related to my online activity (Contextual); I pay more attention to online ads that fit my specific interests (Behavioral) Represents Top 2 Box Scores: Strongly Agree, Agree 20% 50% 72% 36% 65% 78% 0% 20% 40% 60% 80% 100% Non-Shoppers Infrequent Shoppers Frequent Shoppers Source: AOL/Revenue Science Sponsored Jupiter Research April 2007

Marketers’ opportunities to reach shoppers are limited Car shoppers spend most of their time online performing tasks other than researching and shopping for a car This is how agencies justify the value of behavioural targeting to their clients (from an agency panel we hosted in June): Reaching people here is very valuable!

Car shoppers spend most of their time online performing tasks other than researching and shopping for a car

This is how agencies justify the value of behavioural targeting to their clients (from an agency panel we hosted in June):

How Revenue Science Behavioural Targeting Works All segments are created in real time and loaded into real time JavaScript servers which pass the segment IDs into an array 3 During the user’s visit to the Publishers pages, their cookie is stamped with the appropriate segment IDs, and the IDs are placed into the ad tag or ad cookie 4 All ad calls now consider the user’s segment IDs – the ad server will always make the final decision on which ad runs (based on priority, CPM, etc) but now it knows the segment membership 5 1 A Publisher builds a set of standard and custom segments… … meanwhile, users navigate through site displaying behaviours What they do Web site Sections Pages Words on a page Searches performed How they do it Frequency Recency What they provide Registration Who they are SIC, IP 2 Users are assigned to one or more segments based on:

What they do

Web site

Sections

Pages

Words on a page

Searches performed

How they do it

Frequency

Recency

What they provide

Registration

Who they are

SIC, IP

When you target users based on visits to a particular category/section of a site to expand premium inventory (especially when a section is sold out) Duration of segment tied to target: Last minute holidays – an action within the last few days Insurance – a or 2 page views in the last 1 week Travel – 2-4 page views in the last 4 weeks Car – 4-6 page views in the last 6 to 8 weeks Business Travel or Technology – several page views in 8+ weeks Event Expansion : expand a sponsorship or a limited-time event (like a Tour de France section, an auto show guide, or an advertorial) Benefits : When a campaign needs specific targeting and a section is sold out Expanding the duration of a special event or sponsorship “ Page Views to a Category” behavioural targeting

When you target users based on visits to a particular category/section of a site to expand premium inventory (especially when a section is sold out)

Duration of segment tied to target:

Last minute holidays – an action within the last few days

Insurance – a or 2 page views in the last 1 week

Travel – 2-4 page views in the last 4 weeks

Car – 4-6 page views in the last 6 to 8 weeks

Business Travel or Technology – several page views in 8+ weeks

Event Expansion : expand a sponsorship or a limited-time event (like a Tour de France section, an auto show guide, or an advertorial)

Benefits :

When a campaign needs specific targeting and a section is sold out

Expanding the duration of a special event or sponsorship

Uses words in the articles to find users interested in focused topics (regardless of what area the page is on your site) : Benefits : New “Virtual” categories provide infinite possibilities for highly targeted audiences A client’s Search Keyword list provides a good set of starter words Article-based behavioural targeting

Uses words in the articles to find users interested in focused topics (regardless of what area the page is on your site) :

Benefits :

New “Virtual” categories provide infinite possibilities for highly targeted audiences

A client’s Search Keyword list provides a good set of starter words

Combining Page Views to a Category with Article Based behavioural targeting to produce either a narrow ultra-targeted audience, or to broaden the reach if you need a larger audience that is still targeted: Users that visited a specific section AND that read articles with specific words Will narrow the audience, because it is very hard to find these users, but they are the most targeted Users that visited a specific section OR that read articles with specific words Will increase the reach, but is still a targeted audience if both conditions are targeted Benefits : When you need to expand the reach while keeping the segment targeted Covers all bases by using words and sections Shows your client that you go the extra distance to find all possible options to keep an audience relevant “ Combo Definition” behavioural targeting

Combining Page Views to a Category with Article Based behavioural targeting to produce either a narrow ultra-targeted audience, or to broaden the reach if you need a larger audience that is still targeted:

Users that visited a specific section AND that read articles with specific words

Will narrow the audience, because it is very hard to find these users, but they are the most targeted

Users that visited a specific section OR that read articles with specific words

Will increase the reach, but is still a targeted audience if both conditions are targeted

Benefits :

When you need to expand the reach while keeping the segment targeted

Covers all bases by using words and sections

Shows your client that you go the extra distance to find all possible options to keep an audience relevant

Using Digital Envoy (the most trusted and accurate data source in the world for IP resolution) we resolve users’ IP Address to allow targeting on the following values: SIC code (Industry) - http://www.osha.gov/pls/imis/sic_manual.html Domain FTSE 350, DAX 250, or Fortune 500 Geography Connection Speed Primarily used for workplace and B2B targeting Workplace/IP behavioural targeting

Using Digital Envoy (the most trusted and accurate data source in the world for IP resolution) we resolve users’ IP Address to allow targeting on the following values:

SIC code (Industry) - http://www.osha.gov/pls/imis/sic_manual.html

Domain

FTSE 350, DAX 250, or Fortune 500

Geography

Connection Speed

Primarily used for workplace and B2B targeting

Creating audience segments based on the words and phrases that users type into your on-site search engine We also provide a suggested list of additional keywords to include to help expand the targeted reach Benefits : Allows you to target users after the search with display ads An excellent compliment to a client’s Search campaign An additional condition for other segments to get extra targeted reach Searched Keywords behavioural targeting

Creating audience segments based on the words and phrases that users type into your on-site search engine

We also provide a suggested list of additional keywords to include to help expand the targeted reach

Benefits :

Allows you to target users after the search with display ads

An excellent compliment to a client’s Search campaign

An additional condition for other segments to get extra targeted reach

Thank You! [email_address]