Advertising Opportunity
for
WiFi Providers
Legal Note: the contents of this presentation are confidential and
relate to technologies for which patents have been applied.
February 2007
NebuAd Confidential
NebuAD Mission
NebuAD enables WiFi access providers to
dramatically increase revenues per user . . .
. . . by leveraging its access technology and
advertising networks to capture a significant
share of the online advertising revenue . . .
. . . without requiring any investment from the
WiFi access provider.
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NebuAd Architecture
NebuAd Ultra-Transparent Appliance
Mesh
WiFi APs
Aggregation (UTA) : Tracks User Behavior. Low
Router/BRAS Latency. Inserts Ads in real time.
Operator The
Internet
NebuAd Central Server:
Anonymous Behavioral
Analysis, Advertising
Optimization
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Ad Revenue Potential on All Web-Pages
- Not limited to just login/start pages
WiFi Network
Advertisers
$ Login/Start Page
$ www.cnet.com
$ www.cars.com
$ www.nytimes.com
$ www.autobytel.com
$ www.ft.com
WiFi provider receives ad revenue when ads are placed on
webpages viewed by the WiFi provider’s users.
Ads are transparent to the users – not banners at edge of page
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Evolution of Behavioral Targeting
Limitations
• Can not identify
90% of consumer’s
commercial activity
happening at sites
(Ford, AMEX, BofA,
BestBuy) outside of
ad networks
0th Generation 1st Generation 2nd Generation 3rd Generation
Contextual Single Site Behavior Ad Network Behavior Web-Wide Behavior the
• Can not identify
Based on a single page Based on all pages viewed Based on all pages viewed on Based on all pages
being viewed within a single website
40% of consumers
websites within a single network viewed on the Web
who delete cookies
on at least a
monthly basis
Partial, Site-Centric Complete, User-Centric
• Can not fully
leverage recency
0% User Behavior Observed 100%
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Unique Global Visibility Via
Web-Wide Behavioral Targeting
Portals account for only 12% of
users’ total web-wide page views
Activity Across the Web
42
Portal Activity
34
27
22
1 1 1 1
Auto Education Finance Travel
• For every user who views an auto section within a portal, there are 22 users that view auto pages outside the portal.
• 90% of the average user’s commercial activity on the web takes place at millions of Web sites that do not display advertising (i.e.:
Amazon.com, Expedia, Autos, etc.)
• <10% of page views at the major portals is commercial
• <3% of page views at traditional publisher sites (NY Times, CNN, LA Times, etc.) is commercial
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NebuAD’s “user-centric” Behavioral Marketing
(Search Method)
User Actions NebuAD’s Actions
1. User performs a search for home loans
• Maps that key word search or web
2. Or Goes to a home-loan web site site to a Behavioral Category.
3. Or Clicks on a home-loan Ad
• Optimizer selects best Ad
4. User checks email • NebuAD serves in-line ad
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NebuAd Derives Higher Revenue through Behaviorally Targeted
Ads
Ad Unit: 120x600 Skyscraper
Targeting Category: None
Typical Ad Consumer Data: None
Network
Ad Placement CTR: 0.1%
Conversion: 0.1%
eCPA: $330
eCPM: $0.33
Ad Unit: 120x600 Skyscraper
Targeting Category: Las Vegas Travel
Consumer Data: 3 navigations to Las
NebuAd www.lasvegas.com Vegas Travel sites in
Behaviorally www.vegas.com
www.reservations.com/lvegas
the last 7 days
Targeted Ad
CTR: 2.5%
Placement
Conversion: 10.0%
eCPA: $4.50
eCPM: $11.25
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Behavioral Targeting: Impact on Response Rates
• Users who receive a behaviorally targeted ad within 1 hour of exhibiting a
commercial behavior, are up to 30 times more likely to respond than those who
exhibit no behavior in the preceding 14 days
Source: Behavioral Targeting Response Study, 2005
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Ad Revenue Optimization
Advertising Categories Behavioral Triggers Revenue Optimization
New Cars – Mercedes Other Ads Clicked
- Ford Advertising Price Bids
- etc Pages Viewed
Probability of Pay-Off
Financing – Home Loans Search Text Strings Activity (Clicks etc)
- Car Financiing
No Personally
- etc
Identifiable
Information!
Travel – Airlines
- Hotels
- etc
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Broad Access to Ad Inventory and Publisher Sites
NebuAd Ad Server &
Optimization Engine
Ad Inventory Web Ad-Spaces
Combination of ad-networks and direct relationships for max revenue
No tagging of web publisher sites required
Leverage standard pre-emptive ad-spaces to insert highest value ads
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Summary
• No Investment Required from WiFi Provider
• Plug & Play deployment without changes to
existing IP network
• Meets Legal and Privacy Requirements
• No Personally Identifiable Information held
• User tracking does not require any changes to user
computers.
• Advertising revenues not limited to WiFi’s login
page, portal site or start page
• Average revenue per user: $3-$5/month (net to
WiFi Partner) depending on ad insertion policies
NebuAd Confidential
Thank you
For more information, please contact
Lance Lee
Service Provider Solutions
1.702.496.1298
llee@nebuad.com
Legal Note: the contents of this presentation relate to
technologies for which patents have been applied.
NebuAd Confidential