1. WHY the world stopped clicking… The rise of interaction metrics and the importance of pre-click activity Dean Donaldson 2 nd November 2006

2. www.eyeblaster.com [index] TIMELINE OF RICH MEDIA ADVERTSING Rise of the ‘Smart Ads’ Behavioural & Sequential ads Broadband Penetration % of ads using video In-game video ads Mobile & IPTV Eyeblaster launches the ‘Floating Ad’ Video now standard across all formats ‘Pre-Roll’ ads before online video content First 2MB Video Ad Cross Channel Advertising Floating ads achieve over 5% CTR

3. www.eyeblaster.com [index] OVERALL: FORMAT COMPOSITION Intrusive Advertising User Initiated

4. www.eyeblaster.com [index] CTR: OVERALL vs VIDEO ADS Dropped from 5% to less than 1% in 5 years

5. www.eyeblaster.com [index] REASONS FOR CHANGE  Change of user habits – More habitualised in the way they consume and engage with content – More resilient to be enticed to leave their comfort zones by clicking away – The threat of spyware and viruses and the trend towards pop-up blockers  Novelty value – Over use of intrusive advertising created saturation – Slow down on new formats as publishers standardise all inventory – Increased regulation of frequency capping and close buttons  Personalised experience – Users now more likely to choose how to receive relevant content – More inclined to be entertained in their chosen environment The online audience has matured

6. www.eyeblaster.com [index] MEDIA FIRSTS standard industry question “What new format or latest trick can you recommend that will get me the best click-thru rates?”

7. www.eyeblaster.com [index] FROM PULL – “Traffic Drivers” WEBSITE YAHOO! MSN AOL ORANGE Trying to pull the users to your website – Average CTR is below 0.3% – Clicks are not pre-qualified

8. www.eyeblaster.com [index] TO PUSH – “Smart Ads” YAHOO! MSN AOL ORANGE WEBSITE Pushing content to the user, exactly where they are – Average dwell time is about one minute

9. www.eyeblaster.com [index] BRAND RESPONSE ADVERTISING  Negates need for user to leave the publisher site  Provides greater real-estate and file size for interactivity  Publishers benefit from co-branding opportunities  Provides a fully measurable, immersive brand experience  More interactions means better ROI analysis  Can be fully integrated with client’s site back-end  Delivers content direct to the user where they are  Offers choice to the 90%+ users who don’t click-thru  Results prove interaction overrides typical ad timeout … Enhanced Experience For Users For Clients For Publishers … Meaningful Metrics … Permanent Presence

10. www.eyeblaster.com [index]  Engagement – Post Impression Activity (Sub-Conscious Acknowledgement)  Impression – No Awareness (No Conscious Acknowledgment)  Click-Thru – Post-Click Activity (Conscious Acknowledgement)  Interaction – Pre-Click Activity / Post-Interaction (Active Involvement) RESPONSE: SHADES OF GREY  Call to Action – Required Response (Conscious Decision) – Information Request / Data Capture / Physical Purchase

11. www.eyeblaster.com [index] PRE-CLICK INTERACTIVITY TRACKING  BEST PRACTICE: Track all elements in an ad Get a full view of your campaign success Test Drive Brochure Request More Information Main Click Rotate

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13. www.eyeblaster.com [index] JUSTIFY YOUR CAMPAIGN SUCCESS

14. www.eyeblaster.com [index] MUD SLINGING A.Don’t own a Honda but have seen the TV ads C.Recently downloaded a Honda brochure B.Already own a Honda and actively looking to replace D.Has just had a test drive…

15. www.eyeblaster.com [index] PLAN YOUR NEXT MOVE

16. www.eyeblaster.com [index]  KEY FACT: Data Capture regularly achieves higher uptake on Mail Portals  11% of initial respondents went on to give further details in subsequent screens  1% started process – same as clicked thru  Higher rates could have been achieved if the data request fields were higher

17. www.eyeblaster.com [index] CHALLENGING PERCEPTIONS  Deliver content to the user without the need to leave the publisher’s site  Work with publisher’s in-page units to draw user’s eye from content to ad  Adopt more interactive functionality e.g. behavioural to complement video  Push the brand experience and expect shortened conversion cycles  Don’t trust click-thru as a way of justifying campaign success  Find metrics to measure campaign success from Branding to Response  Be prepared to justify a 0% CTR! The changing face of online advertising

18. THANK YOU your time is appreciated