Turning the Desktop or Browser Into an Online Traffic and Revenue

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advertising. Background Search advertising prices continue to soar. Online marketers face stiff competition when it comes to their search marketing campaigns. A study by William Blair and Company and AdGooroo demonstrates Google 9s monopoly on search marketing, showing 90% of search advertisers working with Google. Efficient Frontier shows Google with 76% of total spend. This growing concentration is causing keyword prices to sky rocket to unprofitable levels. cConsumers are increasingly adopting content-based activities&users have a high propensity to stay within a site once they have arrived, d states Goldman Sachs. This Internet usage trend decreases search query as the user goes directly to their destination site. Previous options. Marketers looking to break out of these search engine wars have tried turning to other forms of online advertising without much success. Display advertisements have notoriously low click through rates. Page 3 of 9 W3i White Paper If email campaigns aren 9t getting filtered, they are ignored as the average user is inundated with messages. Portal deals are largely dead because portals have lost their strength to the pure search model. Emerging channels like video, social networking, and mobile show promise based on audience growth rates, but are yet to be proven as effective. Proposed Solution A proven alternative. Desktop applications and browser extensions can get your message in front of users before they ever get to a search engine. A total of 615 million people, representing 65% of worldwide internet users, viewed or engaged in an application in June, 2008 according to comScore. Users spend 60% of their computer time outside the browser (Kertson, 2008). History proves that ads follow eyeballs, and based on the case studies that follow, you 9ll see that several effective desktop applications were created and distributed to drive measurable performance for marketers. Browser extensions can be a win-win for users and marketers. For the 40% of the time users are in their browser, marketers get a competitive edge by creating and distributing browser extensions that provide added utility for the user, as well as a way to break through the clutter for the marketer. Benefit 1: Measurable new and repeat traffic at low to no cost creating on-going value for the brand and the end user generating additional profit. Benefit 2: Increase brand loyalty and top-of-mind awareness. Benefit 3: Increase engagement. Good applications are interactive; ensuring that users are engaged by pushing fresh information to retain interest. Benefit 4: Measurable increase in brand impressions. Benefit 5: You control the experience; you create a direct, on-going relationship with your brand that can be refreshed continuously and integrated into a user 9s life. Benefit 6: Facilitates viral marketing, turning engaged customers into evangelists. Page 4 of 9 W3i White Paper Case Studies Desktop application case studies by category: Media " WeatherBug 3 In 2000, AWS Convergence launched the WeatherBug desktop application offering users live local weather conditions, forecasts, and life saving, severe weather alerts. Within eight months of the launch, 1.5 million users downloaded the application. To date, WeatherBug has registered 65 million users and is now the largest news and information site on the Internet. " The Weather Channel desktop application followed shortly thereafter due to increased competitive pressure. Travel " Southwest Airlines introduced DING in 2005. Whenever exclusive discount fares are offered, the program emits the familiar ringing sound of the in-flight seatbelt bell. The discounts can only be accessed through the Ding application. In the first two years, about 2 million consumers downloaded DING, and it generated more than $150 million in ticket sales. Industry sources estimate that 45% of Ding users come back to book again compared to the industry rate of 27% repeat ticket sales. Page 5 of 9 W3i White Paper Browser extension case studies by category: Toolbars " Toolbars represent 12% of all search queries, according to comScore. Distribution of the Yahoo! Toolbar has captured 18% of all search queries for 19.2% of search engine spend (which equates to approximately $2.3 billion of the North American SEM spending of $12.2 billion in 2007). Shopping " eBay Browser Highlighter was launched in September, 2008. It is currently in Beta and allows easy comparison shopping. The jury is out on this one. Loyalty " Upromise TurboSaver With browser layering technology, Upromise has quickly grown to over 8.5 million members, incentivizing them to buy from over 600 online retailers. Telecommunications " Skype needed a way to extend the functionality of its primary offering to make Web-based dialing faster and easier for users. With the Skype toolbar, the Skype service is readily accessible each time a user sees a phone number on the Web. To date, they have distributed more than 50 million installations, which generates over 10% of their revenue. Page 6 of 9 W3i White Paper Marketing Basics Here are some basics: 1. Know your user. What can you provide that would be of value to your user 4 entertainment, utility, etc.? 2. Keep your content fresh. 3. Brand your application. 4. Give your user a way to get more information, keep the conversation going. 5. Provide a system that simplifies the viral aspect of applications. Planning & Implementation There are many options available for building desktop applications; however, before you start, there are three things that you must consider. First decide whether to build a cross-platform application or target a specific operating system. Next choose the development tools to build your application. Lastly select an installation technology to deliver your application. Each of these decisions depends on a number of factors, including your target audience, the type of application that you are building, and the distribution method that you plan to use. In choosing a development tool, first consider the platforms (operating systems) on which your application must run. The top three operating systems are: Windows, Mac and Linux. If you want your application to run on more than one of these, you should consider using tools that provide cross-platform capabilities, such as Eclipse , Flash and Adobe AIR . These types of tools can speed development and give you a larger audience. However, they can also add significant overhead in terms of distribution size, and may affect performance. Carefully examine the run- time requirements of the development tools you choose to determine the impact on the performance of your application and the ability to distribute it. Consider your distribution method 4if users are downloading your application then size and dependence on additional components is a concern, whereas if you are going distribute your application on a CD or similar media, then size is generally of little concern. Also review the run-time requirements of your development tool. You will most likely need to distribute extra software or require your users to download and install additional components. Some tools allow you to bundle these components with your application, but others may require a separate download from their site, which can complicate your installation process. A more traditional approach to application development is to use a programming language such as C++, Pascal or Java. This method requires a higher level of technical skill, and your application will not be as readily platform independent, although platform independence is still achievable. There are many development tools available, such as Visual Studio , C++Builder and CodeWarrior . The advantage with traditional development is that you can make smaller applications that are less dependent on other software or components. If you are targeting a Page 7 of 9 W3i White Paper single platform and have the technical resources, this is a very good option for building desktop applications. With traditional development there are many frameworks and code libraries available to help speed your development time. Frameworks provide a structure to build on while hiding much of the complexities of the operating system. Libraries add additional functionality and simplify common tasks such as parsing XML files or manipulating images. Frameworks and libraries are great for reducing your work, but take care in choosing them because they typically add significant size and may require additional run-time components. Also pay careful attention to code quality, especially when using open-source or third party offerings. Some popular frameworks include MFC and .NET (Visual Studio) and VCL (C++Builder). SourceForge is an excellent source for obtaining open-source frameworks and code libraries. Your installer is a very important part of your application. It is the first thing your users see, so it is important that it looks professional and works properly. There are many good tools available, such as InstallShield , Advanced Installer and NSIS . Most tools produce a self-running executable and some can also produce MSI files which use the Windows Installer technology. A typical installation program has a wizard to walk the user through the installation steps. The wizard starts with a Welcome screen which typically displays a description of the application and a EULA (end user license agreement). Next optional items are presented, and finally the installation begins and a progress bar is shown. Your application should also include an uninstall option, typically located under Control Panel - Add/Remove Programs. All of the major installation tools provide these functions automatically. Building a desktop application can be a daunting task, but there are many tools and resources available to help with this effort. You must plan carefully and assess your needs to ensure that you choose the right tools and platforms. Distribution Tips Distribute your desktop application on your site, as well as Clearspring , Gigya , Windows Live Gadget Gallery , NetVibes Application Library , Google Gadget Gallery , Yahoo! Desktop Application Gallery , and Applicationbox Gallery . Search, display advertising, viral techniques, retail, aggregator sites (like Download.com), and PR are all strategies for distribution. (See the W3i Distribution White Paper) For additional traffic (and revenue) for your desktop application, W3i offers its Application Network. W3i has established a network of partners with applications, as well as a proprietary Windows installation manager, Install IQ . There are two ways to work with the W3i Application Network: 1. Plug into our proprietary Instal IQ Windows installation manager; you do the marketing, we pay you. 2. Become an offer in Instal IQ Windows installation manager; we 9ll cross-sell your product to our users, you get free traffic and pay for installs only, you pay W3i. Page 8 of 9 W3i White Paper Page 9 of 9 W3i has ten years invested in Instal IQ ; and the solution was optimized on over 350 million installations, installing over 100 million apps in 2009. Partners include Yahoo!, the Weather Channel, and WeatherBug. For more information, email W3i at info@W3i.com or call 1-877-257-7025. Summary The benefits of creating a branded desktop application far out-weigh the cost. Desktop applications allow you to build a deep and engaging brand experience, turning your customer into a brand evangelist. The more entertainment and/or utility you build into your application, the more likely you are to create a strong relationship and keep your application on the desktop, increasing value for both you and your user. Your application can generate additional revenue and traffic using the W3i Application Network. Toolbars have increased traffic substantially for Internet portals and companies like Skype, making their solutions readily accessible to the user. The use of clayering technology d is gathering momentum as it helps brands break through the clutter. Contact W3i if you are interested in discussing how you can use applications, toolbars, or layering technology in your marketing efforts. Sources " Applications to Wiggle into Budgets, EMarketer, Read More " Brad Kertson, speaker Ad:Tech NY Read More " Weatherbug, AWS, Read More " Search Spend Seems Healthy Despite Slowing Economy, Kevin Newcomb, 3/17/08, Read More " Google 9s Chrome Kills the Lucrative Toolbar Business, Saul Hansell, 9/3/08, Read More " Southwest Keeps Fans From Straying, AdWeek, Joan Voight, 8/20/07, Read More " Upromise 3 Upromise Deploys Mall Networks 3.0 to Power Next-Generation Comparison Shopping for Its 8.5 Million Members, Amy Paladino, 6/17/08, Read More " Skype, Bestoolbars Case Study, Read More For more information, contact W3i at: 1.877.257.7025 info@W3i.com

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