1. Aligning BPO Opportunities in the Domestic Market : Taking the Next Step Jun 10, 2009 Kumar Talluri Vice President AOL Online India Pvt Ltd Bangalore

2. AOL Confidential Rural BPO is a natural evolution to the Indian BPO Industry  This segment will grow much faster due to: Low attrition rates in smaller towns (less than 5% in 3 rd & 4 th tier towns) Availability of good untapped talent in smaller towns Highly motivated and stable workforce High infrastructure costs in metro areas High attrition rates in metro areas Taking the Next Step - Rural BPO

3. AOL Confidential Why did AOL even look at the Rural BPO Option ?  Cost pressures  Lower our own (internal) attrition rates in certain groups Working with DesiCrew for the past 6 months DesiCrew is a Rural BPO startup with head quarters in Chennai and most other offices in 3 rd and 4 th tier towns across TN and Karnataka. We are working with the team in Palladam near Coimbatore. AOL’s experiment with Rural BPO

4. AOL Confidential Downtime for AOL Projects  Live since December 08 748 staff days  Have lost 11 staff days Election – 5 staff days Tamil Nadu State Bandh – 5 staff days Thunderstorm – 1 staff days

5. AOL Confidential Rural Delivery Model - Infrastructure  Redundant internet connectivity – through BSNL and Microwave (MPLS)  Redundant power supply – UPS and Generators  Tie up with a nation wide service providers for hardware support.  Each center standardized  Single point of contact with good English skills  Good training programs

6. AOL Confidential Quotes “We have been working on the AOL portals, for the last six months. The actual process of doing QC on the various channels across languages is challenging and is fun to find errors. The Bangalore team has been very patient in explaining processes and changes. Overall, it has been a good learning experience and we hope we continue to be of support to the Bangalore team.” - AOL support team at DesiCrew, Palladam, Coimbatore