NAVTEQ's LocationPoint advertising allows advertisers to connect with consumers based on their precise location via affiliates. It provides a one-stop location-aware ad network for global advertisers to deliver targeted promotions to consumers as they navigate locations on mobile devices. Affiliates benefit by gaining an easy to integrate turnkey platform to monetize location-aware content and applications, providing relevant high-value ad placements and new revenue streams. Research shows that when ads are relevant and local, consumers find them valuable and are more likely to engage with brands.
2. Agenda Why Location Relevance is Advertising’s Next Big Thing Why Location Based Advertising is a Win-Win-Win for Advertisers, Consumers & Affiliates How NAVTEQ’s LocationPoint Advertising Helps Affiliates Fully Exploit the Location Based Advertising Opportunity 2
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4. Building a global location-enabled network Premium Mobile Network Location Enabled Network
5. The Opportunity LBS is projected to be a $13B business worldwide by 2013, up from $515M in 2008 Driving directions/navigation and weather lead LBS applications Consumers want local alerts and special offers or promotions from nearby stores or other retailers Source: Business Week 6
6. The Opportunity 96% of consumer purchases are still made at brick and mortar locations Which means advertisers care deeply about influencing consumer behavior and purchasing decisions near potential point of purchase LBS provides the platform Source: istockanalst.com 7
7. NAVTEQ’s LocationPoint™ Advertising NAVTEQ’s LocationPoint Advertising lets advertisers directly and more personally connect with consumers via affiliates 8
8. Why LocationPoint™ Advertising Location Relevant: Reach the consumer when they’re near a purchase decision. Integrated: Incorporate the offer into the content so that the message seamlessly adds to the user experience. Compelling: Entice consumers with special calls to action such as click to route, click to coupon, click to call. 9
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10. Provides a global one-stop shopping location-aware ad network inside navigation and location relevant applications and wireless devices
11. Enables advertisers to deliver GPS-targeted promotions to consumers as they navigate their lives
13. An Advertiser’s Nirvana Research underscores that LPA ads work Seventy-two percent of consumer find ads acceptable on navigation devices Forty percent said they used their GPS device seven days a week At least 50% of respondents that were exposed to a brand recalled seeing that brand (aided and unaided) On average, 7% of people who reported seeing an ad on their navigation device for a certain brand, clicked on that ad for information on nearby locations On average, 19% of people who recall seeing a specific ad reported clicking through for information on nearby locations Up to 6% of navigation device users visit a business location because of seeing a advertisement on their navigation device Source: Proprietary Research with MSRI on One-Way Advertising Usage and Effectiveness 11
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15. Value ads that are in context and integral to the experience
16. Like having special access to coupons and sales informationSource: Proprietary with IPSOS; “Place-Based Dynamic Content Products & Advertising” 12
32. The Experience on One-Way Devices Ads rotate throughout a consumer’s interaction with the device: When the device is turned on Point of Interest Search Checking for traffic information When an ad is served to a device, the user has the option to interact with the ad by simply clicking on it. When stopped or at the final destination Coupon
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34. NAVTEQ LocationPoint™ uLocate Example Call to Action Users view the ad and, from there, can view coupons, visit advertiser’s web site, call, view maps and get directions. Coupon Page Users view and interact with the intent to redeem at the nearest retail location. Banner Ad Ad banner appears along the bottom bar. Users click on ad to enlarge. 17
35. NAVTEQ LocationPoint™ Loopt Example Map Banner Ad The advertiser’s banner appears along top bar. Consumer clicks to enlarge. Coupon Page Users view and interact with the intent to redeem at the nearest retail location. Landing Page Consumer views the ad and, from there, can click to view coupon, visit advertiser’s web site, call, or view maps and directions.
44. Ad Inventory for Content Ad Affiliation 1 Provides Content in exchange for Ad Space Customer/Affiliate Ad Sales Content 3 NAVTEQ Sells Ad Space Content Customer provides Ad Space in device/application 2 LPA Platform ADVERTISER 4 [Optional] Shares Ad Revenue with Customer 5 Pays NVT
48. Affiliate Engagement Process Contract Negotiation Term Sheet And Agreement Final Agreement, Verification and Launch Workshop: Ad Placements Financial Model Business Terms (Ranges 4-8 hrs) LocationPoint Product and Technical Presentation* (Optional) LocationPoint Overview Ad Placement Spec** Ad Integration Development*** NAVTEQ Driver AE Leads LocationPoint Team Leads(BD/PM) * NAVTEQ provides API Specification and Integration Guidelines documents ** Customer responsible for Spec, with LP PM and/or TCS/CPM review/support *** NAVTEQ provides access to LocationPoint Staging Servers during Development 22
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51. One Standard Advertiser NetworkTechnology Fully developed LPA platform deployed, putting us well ahead of the competition Content Best-in-class maps, infrastructure and dynamic 24
52. Conclusions – Next Steps Location Relevance is Advertising’s Next Big Thing Why LBA is a Win-Win-Win for Advertisers, Consumers & Affiliates NAVTEQ’s LPA Helps Affiliates Fully Exploit the LBA Opportunity 25