AVID Commerce Overview

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• AVID Commerce Overview
• - History and Context
• - Technology and Process
• - Case Study and Macro Trends

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AVID Commerce Development and Proof of Concept

• Using FurnitureFind.com as an eCommerce
  laboratory the principals developed an Advanced
  Vertically Integrated Dialectic (AVID) process
  with supporting technologies for optimizing site
  visibility, usability, functionality, technical
  performance and (ultimately) sales conversion
• AVID Commerce was the engine driving long-term
  sales growth and a source of defensible,
  sustainable competitive advantage

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Industry Leading External Link Infrastructure
Benchmarks

• AVID Commerce processes created over 100,000 high
  relevancy external links on major search
  platforms
• The online equivalent to location, location,
  location

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Top Search Engine Visibility
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Industry Leading Unique Visitor Benchmarks

• AVID Commerce processes delivered nearly a
  million targeted visitors monthly - topping
  multinational competitors

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Customer Confidence Metric and Long-Term Sales
Growth
This chart shows the total

• Building a great brand takes more than top line
  sales growth its about keeping your promises
  and serving customers well

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National Media Coverage Builds Brand Recognition
and Equity
Company wins Inc.500 Award in 2003 among fastest
growing private companies in America with 1,003
growth rate between 1998 and 2002
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AVID Commerce Proprietary Technology and Process

• AVID Commerce context
• Principals launched and grew FurnitureFind.com to
  leadership position in its industry group
• Sold company to VC investors in 2003
• Principals launch e-business consultancy
• Continue development of AVID Commerce
  technologies for development and marketing of
  high performance web properties

AVID Commerce facilities in Buchanan, Michigan
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AVID Commerce Overview

• AVID Commerce is a technology and process for web
  site creation and marketing that integrates
  keyword discovery and analysis, organic search
  visibility elements, customer targeting and
  behavior, coupled with merchandising
  intelligence, site navigation, functionality, and
  usability factors, in the strategic business
  context

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Advanced Vertically Integrated Dialectic
An Alternative View of the Internet

• High search visibility is achieved based on an
  alternative (advanced) view of the Internets
  topography and the way in which search engines
  function as the primary operating system of the
  Internet
• This alternative (more complex 3D) view of the
  Internet (see artists conception above)
  contrasts with the standard 2D Internet
  topography map assumptions (below)
• AVID Commerce leverages a ten year knowledge base
  with site architecture designed to insure high
  visibility SERPs in current and future search
  algorithm configurations

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Advanced Vertically Integrated Dialectic
Website Traffic is Only the Beginning

• The AVIDcommerce process is vertically
  integrated, encompassing the total customer
  acquisition, sales conversion and customer
  retention process as an opportunity engine that
  fuels growth
• Brutal reality Buying website traffic does not
  insure sales or success
• Vertical integration maximizes the value of every
  site visitor by tuning the engine for optimum
  performance
• Better technical performance (load time fewer
  site errors etc .)
• Improved functionality and usability
• More intuitive navigability
• Better customer experience
• Clearer communication of USP

Company Resources (Capital-Human-IP) are the
Inputs
Improved Market Share, Profitable Sales Growth
and Increased Brand Equity are the Ultimate
Outputs
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Advanced Vertically Integrated Dialectic
Commerce Its Not Plug and Play

• Dialectic (in our use of the term) refers to the
  development of a thesis, anti-thesis and
  synthesis for implementing AVID Commerce
  technologies to an existing business model with
  increasing efficiency over time
• Its not a matter of just plug and play in the
  rapidly changing online world
• The AVID Commerce dialectic process incorporates
  ongoing analysis of all keyword, site and
  customer interaction data to improve the business
  model
• Both technical aspects and underlying business
  objectives are monitored and adjusted working
  with key stakeholders
• The AVID Commerce Dialectic process supports
  business objectives through
• Improved Site Visibility
• Improved Sales Conversion
• Lower Cost of Customer Acquisition
• Increased Brand Equity

The AVID Commerce process includes vital feedback
loops to allow ongoing tuning of multiple site
elements to improve sales conversion while
lowering costs over time
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Brand Positioning

• Site development by AVID Commerce

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Targeting Niche Markets

• Site development by AVID Commerce

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Ease of Navigation
Site development by AVID Commerce
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Superior Functionality and Site Tooling
Site development by AVID Commerce
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Industry Leadership
Site development by AVID Commerce
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AVID Commerce Case Study WorkingPerson.com

• Working Persons Store a well established,
  regional multi-channel, work apparel and footwear
  niche retailer
• WorkingPerson.com added in 2002 grows to
  deliver 23 of total revenue by 2004
• WPS management recognizes potential to grow
  online channel
• NMV engaged in 2005 to build eCommerce site
  comprehensive analysis undertaken of market
  space, primary competitors, customers, available
  resources, USP and business strategy
• NMV applies AVID Commerce technologies and
  infrastructure to deliver significant
  improvements in
• Visibility across search platforms
• Technical performance
• Internal navigation
• Functionality and usability
• Merchandising
• Sales conversion

WorkingPerson.com as it appeared in early 2005
a better than average eCommerce site delivering
23 of the companys total revenue
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Building External Link Infrastructure
March 06
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Building External Link Infrastructure
Sept 06
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Building External Link Infrastructure
January 07 external links just are one of over
100 elements that determine a sites Google
search relevancy and page results
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External Link Graphic Representation (Google eye
view)
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Top Search Results on Major Search Engine
Platforms
Page one, top of page results for targeted
search terms on major search engines
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Customer Centric Voice
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Effective Presentation
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Community and POV
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Intuitive Design for Ease of Use
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Trustworthy Context
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Adoption of Appropriate Technologies
Pushing the Online Marketing Envelope With Video,
Chat, Click to Call, Rapid Response e-Mail, Blogs
and Forums
AVID Commerce created this user generated video
promotion with online voting (think American
Idol) and viral marketing elements
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Measurable Results

• Multiple site performance improvements
• Site Usability upgrades
• Load times cut 1.1 second
• Top 20 percentile web wide
• Navigation upgrades
• Dynamic Imaging upgrades
• Product Reviews added
• Instant Messaging upgrades
• Page Views avg. 20/visit
• Sales conversion ratios exceed Internet 100
  average metrics
• 3 to 5 point increase in Page Rank site wide
• Exponential traffic growth
• Significant sales growth
• 6X increase in first six months over same period
  in prior year

AVID Commerce WorkingPerson.com 2.0
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WorkingPerson.com Growth and Industry Leadership
Recognized

• WorkingPerson.com named 2006 50 Companies to
  Watch in Michigan
• Webby Award Honoree 2006
• Fastest growing Carhartt retailer in America in
  2006
• 2006 Indiana Excellence Gold Award winner in
  Technology category
• WPS picked as finalist for 2007 Inc 500
• WPS exec to speak at Internet Retailer
  Conference, July 2007 San Jose
• WPS finalist 2007 Internet Retailer 500

A look at current macro trends online
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The Future is Now
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Macro Trends Top Search Engine Positioning
Increasingly Important
March 13, 2007 Wall Street Journal
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Macro Trends Traditional Media is Fading
As other media channels fade, the importance of
the Internet as the most effective (in some
demographics the only) way to reach and
communicate with targeted consumers continues to
grow
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Macro Trends Internet Ad Spending is Accelerating
Based upon the nearly immediate ROI created by
Search Engine Marketing, pricing for Internet
advertising is undergoing expansion based upon
the forces of supply and demand Advertising
dollars continue to flow away from less targeted,
less trackable traditional media As paid search
rates increase, AVID provides a critical
competitive advantage based upon the ability to
consistently reach customers with pure organic
search at the apex of the itch cycle
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Macro Trends The Internet as the Dominant
Information Source
The majority of wired adults use the Internet as
their primary source for product information The
ability to target highly desirable demographic
segments with above average household income
exists through the Internet channel
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Macro Trends Retail eCommerceContinues to Grow
at Rapid Pace

• Annual growth in retail eCommerce projected to
  exceed 18 through 2009

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Managing the Online Marketing Process is
Challenging
Some 40 of online marketers are already
outsourcing all or part of their online marketing
function Effective online marketing requires an
understanding of a unique set of disciplines
distinct from traditional media expertise
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Summary

• AVID Commerce is a technology and process that
  integrates keyword discovery and analysis,
  natural search visibility elements, customer
  targeting and behavior, coupled with
  merchandising intelligence, site navigation,
  functionality, and usability factors, all in the
  larger business context
• AVID Commerce is a proven enabling technology
  capable of delivering significant eCommerce
  performance gains when applied to an appropriate
  business model or a business serving a niche
  market necessary conditions include
• Market opportunity
• Competitive advantage
• Available resources
• Strategic intent
• AVID Commerce marketing services provide the
  technology and experience to help a business to
  reach its target customers present its offering
  in a clear, compelling way, and smooth the path
  to improved sales conversion, while lowering the
  cost of customer acquisition over time

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AVID Commerce Strategy First

• An AVID Commerce engagement starts with an
  analysis of the clients e-business in the
  context of the intended market, its customers,
  its primary direct competitors, available
  resources and its strategic intent
• Based on the outcome of this analysis, a plan is
  developed to optimize the companys e-business
  strategy using the AVID Commerce platform
• Key metrics are baselined
• Implementation schedule agreed upon
• Key-word and marketing discovery phase launched
• Site development begins
• It is important to acknowledge that the
  competitive realities of a given marketplace
  and/or a companys resource limitations may
  preclude an AVID Commerce engagement

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AVID Commerce Services Support Long-Term Growth

AVID Commerce Web Site Development (the
foundation) Ongoing marketing support (the
superstructure) AVID Web Directory Services
AVID Data Feed Marketing AVID SEO
Marketing AVID SEM Marketing AVID
Database Marketing AVID Comparison Shopping
Engine Services AVID Flash/Video Development
and Marketing
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Multiple Content Management Tools
The AVID Commerce platform includes easy-to-use
tools to allow clients to manage their content
from drop box and checklist driven screens no
expensive programmers required
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Multiple Content Management Tools
The AVID Commerce platform includes easy-to-use
tools to allow clients to manage their content
from drop box and checklist driven screens no
expensive programmers required
44
Multiple Content Management Tools
The AVID Commerce platform includes easy-to-use
tools to allow clients to manage their content
from drop box and checklist driven screens no
expensive programmers required
45
Multiple Content Management Tools
The AVID Commerce platform includes easy-to-use
tools to allow clients to manage their content
from drop box and checklist driven screens no
expensive programmers required
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Stephen Antisdel eBusiness
Analyst

• Mr. Stephen Antisdel is the companys lead AVID
  Commerce eBusiness Strategy analyst and Managing
  Director
• Mr. Stephen Antisdel earned an MBA from Leicester
  University, (England www.le.ac.uk), and has
  completed the Center for Strategic Planning
  program in conjunction with Michigan State
  University he serves as an Adjunct Professor at
  Indiana Institute of Technologys College of
  Professional Studies
• Stephen Antisdel was a co-founder and the former
  CEO of FurnitureFind Corporation following the
  sale of the company to a venture capital group,
  he was a co-founder and is the Managing Partner
  of North Main Ventures, LLC,
• His business innovations have been covered by
  Business Week, The Wall Street Journal, Investors
  Business Daily, Business 2.0, Newsweek, Furniture
  World, Furniture/Today, InFurniture, and National
  Public Radio
• Picked as an "Inc. 500" CEO in 2003, he is a
  noted speaker, sharing his perspectives with
  Hewlett-Packard (Palo Alto), the International
  Conference of Better Business Bureaus
  (Nashville), the Consumer Electronics
  Manufacturers Association (Dallas), IQC
  Conferences (London and Atlanta), and is
  scheduled to speak at the Internet Retailer 2007
  Conference in San Jose on June 6

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Jeffrey Antisdel AVID Commerce Technologist

• Mr. Jeffrey Antisdel currently leads the
  companys research, development and application
  of AVID Commerce technologies and processes
• Mr. Jeffrey Antisdel attended Grand Valley State
  College in Allendale, Michigan, and was the
  founding General Partner and lead research
  analyst of D.R. Partners, Limited Partnership, a
  biotechnology hedge fund focused upon the
  development of Interleukin II. Through Mr.
  Antisdel's research activities and investment
  stewardship, D.R. Partners achieved a 20 fold
  return on behalf of the Fund
• Mr. Jeffrey Antisdel served as Chairman and Chief
  Executive Officer of the Nevada Energy Company, a
  NASDAQ listed independent utility engaged in the
  development, financing, construction and
  operation of geothermal and wind power facilities
  in Nevada and California, jointly securing over
  80 million in debt, equity, construction and
  project financing through 1995
• As a co-founder of FurnitureFind.com, Mr. Jeffrey
  Antisdels aptitude for technology was leveraged
  in his role as primary architect of the
  AVIDcommerce technologies and processes that
  helped drive the companys long-term growth and
  success

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Proximity and Contact Info

• 5 minutes to US 31
• 10 minutes to I-80/90 (toll-road)
• 12 minutes to Niles and Amtrak
• 15 minutes to South Bend Regional Airport
• 25 minutes to Benton Harbor/ St. Joseph
• 60 minutes to Kalamazoo
• 90 minutes to the Chicago Loop

Chicago
South Bend
AVID Commerce 15198 N. Main Street Buchanan,
Michigan 49107 Ph 269-362-1957
email stephen_at_avidcommerce.com