Distribution Drives Revenue

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Distribution Drives Revenue

• Its almost noon. Do you know where your content
  is?
• Susan Yee
• CEO
• Active Data Exchange
• Internet World Spring
• Los Angeles
• April 23, 2002

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About Active Data Exchange

• We help companies
• manage content distribution
• using the Internet.

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About Our Products

• Software for Digital Distribution Management of
• News
• Entertainment
• Business Intelligence
• Financial
• Healthcare

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One Dimensional Online Business Models

• Current Models
• Advertising
• Subscription

• One-Dimension
• Single Web Site Destination
• Makes Visitors Work for it
• Requires Active Involvement

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2001 Distribution Outlets
Source MPAA.org
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Internet Distribution Deals

• Over 26 million domain names registered
• Compared to 1600 TV Stations and 281 cable
  channels
• Online deals per company
• 14 today to anticipated 69 - 500 deals by 2003

Source cyberatlas.com, Forrester Research
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2001 Market Size

• Cable Industry Revenue
• 48 billion
• 9,947 cable systems
• 281 cable channels
• Television Ad Revenue
• 36 billion
• 1500 stations
• Box Office Revenue
• 8.4 billion
• 7,000 theaters
• IDC - US Spending on Content
• 1.8 billion by consumers
• 12 billion by business
• Limited distribution

Sources Paul Kagan and Associates, MPAA, IDC
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So, what are we going to do about it?
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Unique Characteristics of Web Distribution

• Infinite channels
• Low barrier to entry
• Infrastructure is open and inconsistent
• Disparate customer technologies
• Low cost of distribution
• Ability to distribute instantaneously

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B2B Distribution Channels on the Web

• Direct to Consumer
• Wall Street Journal
• Web Aggregators
• YellowBrix (iSyndicate), ScreamingMedia, Reuters,
  AP Digital, PR Newswire
• Direct
• AccuWeather, CMP Media, CBS

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Manage Your Own Distribution Network

• YOU CAN DO IT
• Mix of aggregators and direct channels
• Leverage existing direct sales
• Repurpose content
• Package and target your content
• Content is perishable
• Introduce new products
• Use scalable distribution management technologies

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Use Technology to Increase Online Distribution

• Achieve dominant web site real estate
• Shelf space, channel capacity, retail
  distribution
• Create virtual web channels in your market
  segment
• Increase distribution
• Multiply traffic through web broadcasting
• Multiply revenue streams

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Pricing Models
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Know It Can Be Done

• CBS Marketwatch.com
• 30 of total revenue comes from online content
  licensing
• Congressional Quarterly
• 40 of total revenue comes from online content
  licensing
• New York Times Digital
• 7,000 new print subscriptions per month
• 33 from syndication and pay products

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Distribution is the R in ROI.

• Get more distribution on the web.
• Get more revenue from your content.

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For More Information
Active Data Exchange www.activedataX.com Susan
Yee CEO Email Syee_at_activedataX.com Phone
610.997.8100 Click button to the right to
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