this .pdf file - Domain Name Journal

domainnamewire.com

this .pdf file - Domain Name Journal

Spin-Off Transaction& Archeo SummaryNovember 2012


Rationale for Company SeparationAllow both Marchex and Archeo toincrease strategic focus, build onunique assets and accelerate growthMarchexPure play mobile advertisingcompany focused on pay forcall advertising and analyticsArcheoPremium domain and advertisingmarketplace that enables for thebuying, selling and development ofdigital properties and ad inventorywww.marchex.com3


Archeo Business Opportunity1ProductsDomainMarketplace(200,000+domains)Growth CatalystsResource the Domain Marketplace• Opportunistically buy domain names to support ourmarketplace• Sell more domains by accessing new sales channels• Selectively develop digital properties to add to ouradvertising marketplace2PremiumAdvertisingMarketplace$$Expand Advertising Marketplace• Innovative new products and technology• Expand on the existing premium publisher partnerships• Leverage proprietary digital properties to increaseadvertising saleswww.marchex.com5


1The Domain Aftermarket is a Big BusinessTotal value for Top-500 traditionalDomain Names sold is ~$300 MM, anaverage of more than $600k per domainSource: http://www.domaining.com/topsales/www.marchex.com6


1 Archeo Domain Marketplace (as Marchex)has Successfully Monetized Domains withLimited ResourcesWith one dedicated sales resource, Marchex has generated more than $30 million indomain sales, representing less than 5% of the total domain portfolioMarchex Historical Annual Domain SalesSelected Sales$9.1 MM$6.6 MM$4.3 MM$4.6 MM2008 2009 20010 20112012 Marchex Historical Domain sales for the 9 months ended 9/30/12 are $5.4 MM.See list of Marchex Historical Top 500 sales and current owned domains for more detail.www.marchex.com7


Archeo will Accelerate Domain Sales byAccessing New Sales Channels1• To date, all Marchex historical domainsales have been through theNegotiated sales channel15%Auctions5%Broker7%ExternalTransfer• With additional resources, Archeo willaccelerate Negotiated sales31%Negotiated• Additional opportunities include:– Accessing the Buy-Now Market forincremental revenue opportunity– Entering the Auctions, External Transferand Broker sales channels42%Buy Now*SEDO Q2 2012 Domain Reportwww.marchex.com8


1 Archeo Domain Marketplace will SelectivelyDevelop Digital Properties to Increase Value• Leverage selected premium domains for development internally and throughpartnership• Innovate with design and content to create valuable consumer experiences• Use proprietary data and analytics to inform priorities for growthPotential Candidates for DevelopmentHome & Remodeling• Remodeling.com• Locksmiths.com• Theft.comBusiness & Finance• Corporations.com• AnnualReport.com• CurrencyExchange.comSpanish• Mujer.com• Deportes.com• Salud.comDebts/Insurance• Debts.com• Refinancing.com• InsuranceDeals.comReal Estate• HomeInspections.com• HomeMovers.com• HomeLenders.comMiscellaneous• Cuisine.com• Toddler.com• Beijing.comLarge sample of current owned Archeo domains is available at www.marchex.com/archeowww.marchex.com9


2 Archeo will Expand its Current AdvertisingMarketplace Capabilities• Optimize existing business: Continue to place national and local pay-per-clickadvertisers on premium publishersCurrent Premium Publisher Partner VerticalsProprietary Publishing OpportunitiesEducation• BestColleges.com• 50States.comFinance• Refinancing.com• Debts.comBusiness &FinanceHumanResourcesTechnologyLocal• Yellow.com• AreaConnect.comwww.marchex.com10


2Archeo will Grow its Advertising MarketplaceNew Distribution: Strategicallyadd new publishers, verticals andmobile distributionLocal AdvertisersNational AdvertisersProprietary Traffic: Extendadvertising sales to Archeo digitalpropertiesNew Ad Types: Accelerateproduct offerings, including mobileinitiativeswww.marchex.com11


What’s to Come for ArcheoPeople• Initial team already onboard for the transition from Marchex• Will invest in experienced management• Will continue to build out sales and engineering teamsTechnology• Develop additional tools necessary to deliver on the domainmarketplace strategy• Accelerate advertising product innovation to develop new offeringsfor our customers• Continue to derive proprietary data and analytics to inform prioritiesfor growthwww.marchex.com12


Reference Material


Additional InformationResources available at www.marchex.com/archeo• Marchex Summary• Industry Top 500 Domain Sales• Marchex Historical Top 500 Domain Sales• Archeo Sample Current Domainswww.marchex.com14

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