Inuvo, Inc. · AMEX:INUV
Inuvo — Investor Presentation (April 2012)
28 slides from Inuvo's investor presentation, April 2012
Slide 1: Inuvo (NYSE Amex: INUV) April 2012
INUVO (NYSE Amex: INUV) April 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 Amex: 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 Publis
Slide 4: Lines of Operations: Software Search
Lines of Operations Software Search (Approximately 45% of Annual Revenue) Consists of websites that assist users in the search, navigation, or management of everyday information ALOT Appbar and Home Page search business, which currently has over 7 million worldwide users, is expected to generate
Slide 5: Lines of Operations: Publisher Network
Lines of Operations Publisher Network (Approximately 40% of Annual Revenue) Liaison between advertisers and publishers, facilitating performance- based advertising Anchored by a long-term partnership with Yahoo! and Bing, Inuvo distributes sponsored search advertisements across the worldwide web
Slide 6: Lines of Operations: Partner Programs
Lines of Operations Partner Programs (Approximately 15% of Annual Revenue) Consists of display revenues, affiliate programs, data sales, Kowabunga® and BargainMatch® Inuvo expects to launch its Kowabunga® initiative, which will aggregate local daily deals from rural and suburban businesses and p
Slide 7: Competitive Advantage
Competitive Advantage Strong strategic relationships with market leaders Google and Yahoo! Recent integration of the ALOT Appbars and home pages provides scale and distribution for Inuvo‟s properties and applications By owning various web properties, Inuvo has more flexibility to control traff
Slide 8: 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 9: Acquiring Users: PPC Ads
Acquiring Users: PPC Ads Step one: long tail keyword buys across the major PPC engines User clicks on Ad 9
Slide 10: Acquiring Users: PPC Ads
Acquiring Users: PPC Ads Step two: users are taken to keyword related landing pages 10
Slide 11: Acquiring Users: PPC Ads
Acquiring Users: PPC Ads The ALOT Appbar Installation Step three: the product download and installation process Fully transparent installation process: Ensures compliance with TRUSTe, McAfee and anti-spyware groups Pre-qualifies ALOT users Enables cross-sell / bundling of other ALOT products
Slide 12: The ALOT Appbar
The ALOT Appbar Installation User can then add more apps from the ALOT App Store 12
Slide 13: Search Market: Monetizing ALOT Users
Search Market Monetizing ALOT Users Pay-Per-Click Ads 16.1M global ad clicks 128.8M search queries in March „12 13
Slide 14: Affiliate Market
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Slide 15: Local Deal Market
Local Deal Market Kowabunga 15
Slide 16: Mobile Apps Market
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Slide 17: Display Advertising
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Slide 18: Inuvo's Worldwide Presence
Inuvo’s Worldwide Presence Marketed in 24 Countries in 7 Different Languages
Slide 19: Growth Strategy
Growth Strategy Diversification The new Inuvo has a broader product portfolio allowing us to expand the business and enabling us to exploit established strategic partnerships across multiple products New Market Development Many of our existing applications can be modified for delivery into the r
Slide 20: Select Financials
Select Financials Symbol: (INUV) Fiscal Year End: December 31st 52-Week Trading Range: $0.67 - $4.49 Stock Price: $0.75 Shares Outstanding: 23.1 Million Market Cap: $17.6 Million Pro Forma 2011 Revenue $64.1 Million Pro Forma 2011 Gross Margin 41.8% Analyst Coverage Craig-Hallum 20
Slide 21: Financial Highlights
Financial Highlights In March 2012 the combined operations generated approximately $4.3 million in revenue The combined post merger enterprise is expected to have operational savings of $2.9 million annually Anticipates cash flow positive by the close of fiscal year 2012, after the one-time co
Slide 22: Combined Companies
Combined Companies Metric (averages) * March 2012 February 2012 January 2012 ALOT Downloads 2.5 1.7 1.5 ALOT Live Users 7.0 6.8 6.7 Page Views (3) 205.5 160.1 166.7 Global Ad Clicks 16.1 12.7 13.4 Global Mkt Spend (1) $1.9 $1.6 1.9 Headcount (2) 47 53 57 (1) Preliminary for current month (2) Exclude
Slide 23: Peer Valuation
Peer Valuation Revenue (TTM) Market Cap Market Cap/ Company Name Symbol 12/31/2011 (4/13/2012) Revenue Inuvo, Inc. (Post Merger Pro Forma) INUV $64.1M $ 17.6 M 0.27 LookSmart, Ltd. LOOK $27.6 M $ 16.25 M 0.59 Perion Network, LTD PERI $35.5 M $ 47.8 M 1.34 Local.com Corp. LOCM $ 78.8 M $ 54.9 M 0.64
Slide 24: Management Team
Management Team Peter Corrao, Chief Executive Officer Former President and CEO of Vertro, Inc. before its merger with Inuvo in 2012 More than 25 years of executive level management experience Served as CEO of Bluestreak.com, a digital marketing products and services for both business-to busine
Slide 25: Management Team
Management Team Wally Ruiz, Chief Financial Officer Former CFO of SRI Surgical Express, a nationwide provider of healthcare services Served as CFO of several companies both public and privately owned companies Currently serves as a director on the board of the Florida Institute of CFOs MBA f
Slide 26: Investment Highlights
Investment Highlights The Software Search and Partner Programs Lines of Operations are expected to have high organic growth Inuvo is expected to access over 132 million unique Internet users per month Inuvo‟s has established strong business relationships with Yahoo!, Google and Bing By ownin
Slide 27: Thank You
INUVO THANK YOU
Slide 28: Contact Us
Contact Us Investor Relations Inuvo, Inc. Alliance Advisors, LLC 143 Varick Street 420 Lexington Ave New York, NY 10013 Suite 855 http://www.inuvo.com New York, NY 10010 www.allianceadvisors.net Peter Corrao, CEO & President (212) 231-2000 Alan Sheinwald, President peter.corrao@inuvo.com (914) 669-0