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Press release

27th May, 2005

Advertising.com announces UK Launch of Behavioural Targeting Solutions

Advertising.com held an exclusive agency event yesterday afternoon to address online behavioural targeting and to announce the launch of their latest UK product offering - LeadBack technology.

Behavioural advertising spend in the US has more than tripled since 2003 – currently nearing $1billion - and the UK market is set to follow suit.

Guy Phillipson, CEO of the Internet Advertising Bureau opened the event with an outline of the current market state. John Ferber, co-founder and chief product officer of Advertising.com, followed with a lively discussion about the behavioural tools currently available, the effects behavioural targeting can have on ROI and the advanced capabilities of Advertising.com's LeadBack technology.

Throughout the event, automotive, retail, finance and technology case studies were discussed – as those sectors have been remarkably revolusioned by behavioural marketing. An automotive campaign with the objective of driving online information requests easily illustrated the benefits: traditional targeting generated a 4% conversion rate; the inclusion of behavioural targeting increased the rate to 32%.

Behavioural targeting can have an enormous impact on the efficiency of online marketing campaigns, allowing advertisers to target users who have already expressed an interest in their offering. A recent survey from Ponemon Institute, Revenue Science, Chapell & Associates revealed that 40% of surveyed participants would respond to a relevant ad Advertisers in the US have reported increased conversion rates of up to 3,000% as a result of targeting a user based on their previous behaviour across the internet.

Mike Peralta, newly appointed MD of Advertising.com UK says, "Agencies and advertisers are increasingly seeking more efficient and cost-effective ways to meet their objectives and hit their targets. Behavioural targeting does just that. We are able to show ads to users who are interested in that product or service, and as such – they are more likely to respond. We've seen the phenomenal effects of behavioural targeting in the US and anticipate it becoming one of the biggest online developments in the UK for 2005."

Scott Ferber, CEO of Advertising.com said, "We've been using behavioural-based marketing techniques since we opened for business and we've long recognised its power to optimise conversion rates." "Although a demographic profile can be a good targeting tool, reaching consumers with an expressed interest in your brand or product is clearly going to give you a better return on investment."

Advertising.com will be launching the LeadBack technology in the UK next week, offering advertisers the benefits of behavioural targeting across a mass reach network. Advertising.com UK 's current reach, according to comScore, is 79.8% of the UK online population.

About Advertising.com

Advertising.com, Inc. is a leading provider of results-based interactive marketing services to advertisers and publishers. We operate a large network consisting of advertising inventory purchased from web, search engine and email publishers. Through this network, and our proprietary technologies, we help advertisers develop and execute marketing programs that generate measurable results. Advertising.com is a wholly-owned subsidiary of America Online, Inc. For more information, contact us online or call 020 7563 0500.

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