Advertising & Monetization: Turning Apps into $

1. Advertising & Monetization: Turning Apps into $ • Jim Scheinman, EIR at CRV • jscheinman@crv.com • Seth Goldstein, CEO, Social Media • Troy Young, CMO, VideoEgg • Scott Rafer, CEO, Lookery • Murtaza Hussain, CEO, Peanut Labs

2. Happy days are here again…

3. But not for long…

4. Healthy Online Ad Market… • $21.1 billion for U.S. Internet ads in 2007 • 25% increase over 2006 (IAB) • $45 billion for Global Internet ads • 7.4% of the $600 billion global advertising market (Kelsey)

5. Current Monetization Market • Advertising • CPM • text/banners/videos • CPC • CPI • incentives (get 100 points) • CPA • Surveys / CPE • Transactions • Gifts • Subscriptions (superpokes)

6. 1. Melinda engages with an ad by selecting where she’s at. Clicks on “Lets Party SocialMedia Ads 2. Melinda’s friends see what she’s interested in doing through the ad. Viral communication continues 4. Interactions are measured & reported to advertiser as well as applications developers 3. Viral interaction with ad continues 6 6

8. Lookery X + = 39

9. Peanut Labs

10. Advertising & Monetization: Turning Apps into $ • Jim Scheinman, EIR at CRV • jscheinman@crv.com • Seth Goldstein, CEO, Social Media • Troy Young, CMO, VideoEgg • Scott Rafer, CEO, Lookery • Murtaza Hussain, CEO, Peanut Labs