Slide 1: Inuvo, Inc.
INUVO, INC. (NYSE MKT: INUV) June 2012
Slide 2: Forward-Looking Statement
FORWARD-LOOKING STATEMENT Certain statements in this presentation relating to Inuvo®, Inc. ("Inuvo") contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934. All forward-looking statements included in
Slide 3: About Us
ABOUT US Inuvo®, Inc. (NYSE MKT: INUV), an Internet marketing and technology company specializing in browser-based consumer applications, managing networks of website publishers and operating specialty websites. The Company operates amongst three distinctive business lines: • Software Search • Partn
Slide 4: Software Search approximately 50% of annual revenue and 35% gross margins
SOFTWARE SEARCH APPROXIMATELY 50% OF ANNUAL REVENUE AND 35% GROSS MARGINS • Websites - assist users in search, navigation, and information management • alOt Appbar and Home Page search • Over 7.6 million worldwide users • Growing at 9% over 2 months • Expected to reach 10 million users by end of 201
Slide 5: Search Market
SEARCH MARKET Monetizing alOt Users Economics • $77,000 on daily Ad Spend • Projected break even on LTV in 5 months • Target 35% Annual Return
Slide 6: Partner Programs approximately 25% of annual revenue and 75% gross margins
PARTNER PROGRAMS APPROXIMATELY 25% OF ANNUAL REVENUE AND 75% GROSS MARGINS Consists of: • BargainMatch® • Display revenues • Affiliate programs • Data sales • BargainMatch® • Nearly 2,500 participating website , e-commerce , and retail partners • Cash-back incentives, comparison shopping, and coupon
Slide 7: Affiliate Market
AFFILIATE MARKET Economics • Receives a commission on all sales • Includes sales through in-app search • Approximately 2,500 Affiliate Partners • Affiliate partners featured on Appbar
Slide 8: Rural Market - Local Deals
RURAL MARKET - LOCAL DEALS Kowabunga® Economics • Receive a percentage of coupon sales
Slide 9: Display Advertising
DISPLAY ADVERTISING Economics • Paid on an Effective CPM • $400,000+ per month • 90% margin business based on no incremental costs
Slide 10: Publisher Network approximately 25% of annual revenue
PUBLISHER NETWORK APPROXIMATELY 25% OF ANNUAL REVENUE AND 20% GROSS MARGINS • Liaison between advertisers and Third Party Publishers • Facilitate performance-based advertising • Thousands of websites in the Publisher Network, from well known portals to independent blogs • Inuvo receives pay-per-clic
Slide 11: Publisher Network
PUBLISHER NETWORK
Slide 12: Competitive Advantage
COMPETITIVE ADVANTAGE • Strong strategic relationships with market leaders Google and Yahoo! • 7.6 million alOt Appbar users and growing • Inuvo buy-side technology for customer acquisition is designed for increased return-on- investment • Currently spending $77,000 daily on customer acquisition tar
Slide 13: Inuvo's Worldwide Presence
INUVO’S WORLDWIDE PRESENCE Marketed in 26 Countries in 7 Different Languages
Slide 14: Industry Overview
INDUSTRY OVERVIEW Market Size in Excess of $70 Billion • Global Search Market is over $40 Billion • Affiliate, Local Deals and Consumer Applications Market of $2.4 Billion, Forecasted @ 20% CAGR • Mobile internet usages accounts for 8% of the market, however it is rapidly expanding due to improved s
Slide 15: Growth Strategy
GROWTH STRATEGY Diversification Broad product portfolio allowing us to expand and capitalize on strategic partnerships across multiple products New Product Development Ability to establish new products and services without heavy investment, and continually increase the number and diversity of app of
Slide 16: Select Market and Financial Highlights
SELECT MARKET AND FINANCIAL HIGHLIGHTS Symbol: (INUV) Fiscal Year End December 31 st 52-Week Trading Range (1) $0.48 - $4.49 Stock Price (1) $0.71 Shares Outstanding 23.4 Million Market Cap (1) $16.6 Million Analyst Coverage Craig-Hallum • Anticipates cash flow positive by the close of fiscal year 2
Slide 17: Peer Valuation
PEER VALUATION Company Name Symbol Revenue (TTM) 3/31/2012 * Market Cap (6/8/2012) * Market Cap/ Revenue Inuvo, Inc. (Post Merger Pro Forma) INUV $56.5 $16.6 0.29 ValueClick, Inc. VCLK 596.5 1360 2.28 Perion Network, LTD PERI 37.4 39.1 1.05 Local.com Corp. LOCM 87.2 49.7 0.57 Marchex, Inc. MCHX 153.
Slide 18: Management Team
MANAGEMENT TEAM Peter Corrao, Chief Executive Officer • More than 25 years of executive level management experience • Served as CEO of Bluestreak.com, a digital marketing products and services company • Served as President and CEO for Cogit Corporation, an online target marketing company • 17 years
Slide 19: Investment Highlights
INVESTMENT HIGHLIGHTS • Reached Adjusted EBITDA positive in Q1 2012 • Expecting double digit quarter on quarter revenue growth throughout • Trading at a valuation significantly lower than peers • Software Search expected to grow to approximately 10 million users by the end of 2012, up from 7.0 milli
Slide 20: Thank You
THANK YOU Inuvo, Inc. 143 Varick Street New York, NY 10013 www.inuvo.com Peter Corrao, CEO & President (212) 231-2000 p eter.corrao@inuvo.com Wally Ruiz, CFO (646) 253-0617 wallace.ruiz@inuvo.com Investor Relations Alliance Advisors, LLC 420 Lexington Ave Suite 855 New York, NY 10010 www.allianceadv