The Role of the Agency Managing Expectations and Delivering Realistic Campaigns

1. The Role of the AgencyManaging Expectations and Delivering Realistic Campaigns Madhouse Inc. China's Largest and Most Intelligent Mobile Ad Network November 2008

2. The Role of the Agency Mobile Video Bluetooth Mobile IM Ad Agency Ad Campaign Creative and Production Creative Impact Media Agency Ad Campaign Media Planning and Buying Measurable Result Interactive SMS Mobile Web Media 2D Barcode Mobile SNS Mobile Coupon Mobile Search GPS Photo Recognition Mobile Marketing: Necessity VS. Novelty ??? How does one identify realistic/appropriate solutions? How can creative be effectively executed on different media?

3. Ad Agency Assess/access mobile solutions earlier in creative process Media Agency Integrated Cross Media Leverage Measurable Results Maximize ROI Ad Agency Ad Campaign Creative and Production Creative Impact Media Agency Ad Campaign Media Planning and Buying Measurable Result Mobile Marketing Advisor Mobile Marketing Trend and Implementation Training Integrated Mobile Marketing Solutions Mobile Advertising Network Delivering Realistic Mobile Marketing Solutions to Meet KPIs The Mobile Advertising/Marketing Enabler We work closely with ad and media agencies to enable the best mobile marketing solutions for their clients.

4. A traditional media plan aims to achieve (hopefully) the best possible targeting of the desired audience through different media Traditional media planning Vs. Mobile media planning Mobile media allows directly targeting desired audiences with the optimal frequency Advancing the Media Planning Effort Traditional Media Planning Step 2:Select Media Evaluate media based on relevancy and reach and create a media list Step 3: Define desired exposure level and create a media spot plan ROI: Estimated post-campaign TV, Radio, Print, Outdoor, Internet, DM… Step 1: Choose a Target Audience Mobile Media Planning Step 1: Choose Target Audience User profile targeting Geography targeting Contextual targeting Step 2: Set frequency caps ROI: Measureable and manageable results throughout the campaign

5. Founding Member and Board Directorof MMA Asia Pacific (APAC) Chairman of Mobile Advertising Committee APAC, developed and released Mobile Advertising Guideline APAC 1.0 at 17 Dec 2007 About Madhouse Inc. • Founded in January 2006, Madhouse has170+employees inShanghai, Beijing and Guangzhou • Madhouse is China’s Largest and Most Intelligent Mobile Ad Network, providing cutting-edge mobile marketing solutions to join advertisers with mobile publishers to unleash the power of mobile media and advertising.

6. The Madhouse Approach We work closely with ad and media agencies to provide comprehensive mobile marketing solutions for their clients. • Multi-trait Targeting • Performance • Optimization • Visual Optimization • Frequency Caps • Tracking and • Reporting Reseller Agents • Display Ad Network • Contextual AdNetwork • Video AdNetwork • Client MediaNetwork • Message AdNetwork • Mobile Media Publishers • Mobile Internet Media • Client App Media • Carrier Media SME Advertisers Media Agencies • Cross Media Resources • Traditional Media (Outdoor, Print, Internet, Packaging, Stores…) • Existing Customer Databases • SMS Interaction • Bluetooth interaction • 2D Barcode • Cross Media Leverage • Mobile CRM Brand Advertisers Creative Agencies * 25 patents pending for MadServing’s proprietary technology in serving and optimizing ads

7. www.focus.com www.godfeel.com.cn www.sohu.com.cnwww.focus.com www.godfeel.com.cn www.sohu.com.cn www.17173.com.cn www.chinaren.com.cnwww.17173.com.cn www.chinaren.com.cn Our Clients and Media Partners more… more… more…

8. + Mobile Internet Advertising

9. Always-on, Always Present Medium + Madhouse Enables Mobile Marketing Message Ad Network Massive User Base • 600+ million mobile users • 155 million mobile Internet users • 65,000 mobile internet sites in China • 1,100 major mobile websites in MadNetwork • Covering 75%+ mobile internet traffic Intelligent Mobile Serving Platform • Multi-trait User targeting • Campaign/Ad performance optimization • Visual optimization • Frequency caps • Ad tracking and reporting Flexible Pricing Model Client Media Ad Network Mobile Video Ad Network Mobile Internet Display Ad Network Contextual Ad Network

10. The Advantage of the Mobile Internet 传统互联网 无线媒体 Traditional Internet Mobile Internet

11. + + Madhouse’s Role in Mobile Ad Serving Optimal Ad Targeting & Delivery Wide Reach When a user visits mobile websites on MadNetwork Identify if the user already meets the frequency caps Select the campaign that matches the targeting criteria MadServing analyzes the user profile /page content NO YES Select another campaign Select the optimal ad banner size Select the best performing banner He/She will see a visually optimized ad banner which is targeted to meet his/her interests

12. Sample Case: Nokia - User profile Targeting • Nokia achieved multiple marketing goals through one campaign • 4 user segments were shown different banners and communication programs to achieve different objectives: Customer Loyalty Program Free S60 Software Download Nokia Nseries Users Up sell Program Product Feature Highlights with Discount Nokia Non-Nseries Users Brand Switch Program Handset function comparison *users were asked different questions, varying by handset model, that highlighted their handset’s lack of features relative to Nokia phones. Non-Nokia High End Users Market Education Program Brand/Product Quiz Non-Nokia Mid-low End Users

13. Sample Cases: High-end Consumer Targeting User Device Profile Targeting: Retail Price: 3000RMB + Smart Phone Music Phone Female-oriented Phone …… Geography Targeting: Beijing, Shanghai, Zhejiang, Guangdong, Chengdu, Fujian, Tianjin

14. Integrated Mobile Marketing Solutions

15. + China Ad Spending Breakdown 2008 Mobile Internet Ad Serving Cross Media Leverage Source: GroupM

16. Cross Media Interaction Combination instantly adds always-on, always present element to any existing media; instant fulfillment for viewers + real-time feedback Mobile Phone as a Digital Hub The mobile phone is the critical link between different forms of media i.e. traditional and digital, and should be utilized as such CRM Integration/Creation Mobile marketing can help improve understanding of customer behavior and play an important role in existing processes e.g. sampling, cross product selling And More…… 2D Barcode Always-on, Always Present Tool Bluetooth Interaction SMS Interaction Integrating Mobile Marketing Into Existing Channels Mobile CRM

17. Sample Case：Nike ZOOM Mobile + Cross Media Integration Campaign of the Year @ Venice Festival Shanghai – Beijing - Guangzhou Integrated Bluetooth/SMS Interaction/Mobile Internet with traditional channels to drive consumer engagement

18. Key Takeaways

19. Key Takeaways • Formulate the right mobile strategy and solutions is challenging due to the variety of emerging mobile technologies and media and relative youth of mobile marketing in China • Mobile Marketing Enablers can help advise AD/Media agencies on entering the mobile arena, and has both the technological platform and other necessary resources needed to help agencies quickly get up to speed in the mobile arena. • Working with good Mobile Marketing Enablers will help generate both creative and operational synergies that will help provide integratedand differentiated mobile marketing and media solutions • The ability to provide mobile marketing solutions will become increasingly important in the future and working with Madhouse is the best means of entry in China

20. In MadWe Trust!