NetZero 2011 Annual Report Download - page 12

Table of Contents
posting comments on the Classmates website or the Memory Lane page on Facebook. Members and visitors may also purchase a copy of any
yearbook available on the Classmates website.
Our intent is to leverage our large base of registered consumers age 35 and over, who joined Classmates to reconnect with important
memories from their past, by offering these and other consumers a broader value proposition. In addition to the historical features of the
Classmates service, members currently receive free access to all yearbooks available on the website.
As of December 31, 2011, we had approximately 108,000 digitized high school yearbooks available on the website, representing what we
believe is the largest collection available anywhere on the Internet. In 2011, we added functionality to allow members to tag photos directly in
the digitized yearbook collection and an index of all members shown in the yearbooks. During 2012, we intend to both increase the number of
yearbooks on the website as well as enhance the functionality of our digital yearbooks, including adding search and other features to facilitate
engagement and sharing of yearbook content.
Domestic. Visitors to the Classmates website can experience a substantial amount of nostalgic content free of charge. Members with free
accounts can use our search feature to locate individuals in our database or in our collection of yearbooks; post information and view information
posted by other members; tag yearbook photos; and organize reunions and engage in other reunion-
related activities. To learn who has visited his
or her profile or yearbook or engage in the other premium features described below, a member is required to purchase an All-
Access Pass, which
is generally available for terms ranging from three months to two years. Revenues from our Classmates website are derived primarily from the
sale of these subscriptions and, to a lesser extent, from advertising fees and other transactions on our website, including the sale of yearbook
copies.
All-Access Pass holders have access to a variety of premium features. We expect the features available to free users and All-Access Pass
holders to continue to change from time to time. Premium features currently include, among others:
• Access to our Classmates Guestbook, which alerts members when another member visits his or her Classmates profile, unless the
visiting member makes the profile selection not to leave his or her name. Only All-Access Pass holders are able to see the names
of the members who visited their Classmates profile.
• Access to our new Yearbook Visitor feature which, similar to our Classmates Guestbook feature, alerts members when another
member visits his or her yearbook picture, unless the visiting member makes the profile selection not to leave his or her name.
•
Access to our Classmates maps feature which can generate a map showing the geographic locations, based on zip codes, of the
members in the All-Access Pass holder's high school or other community affiliation.
International. In addition to our Classmates website, we operate five international websites that offer nostalgia services, primarily as a
social networking platform to reconnect friends and acquaintances from high school. We operate StayFriends in Germany, Sweden, Austria, and
Switzerland ( www.stayfriends.de, www.stayfriends.se, www.stayfriends.at , and www.stayfriends.ch , respectively), and Trombi in France
( www.trombi.com ). Similar to the Classmates website, each international website includes free and pay memberships, although the features of
our international pay services differ from those of the Classmates pay services.
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