Digital River 2008 Annual Report Download - page 9

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» A new marketForce program, Mass Dynamic Personalization, which has
already produced a lift of 25 percent in revenue per visitor on certain
tests for some clients;
» The launch of one of the e-commerce industry’s first comprehensive
automated regulatory fee management tools to help clients manage
complicated environmental recycling and copyright regulations when
selling online; and
» A new office in Brazil, a market where online purchases of electronic
devices and software continue to gain popularity.
LOOKING AHEAD
Now as we look out in 2009, we plan to push forward on our technology
initiatives while bearing down on our global sales efforts and intensifying
our focus on driving client revenue. Current clients and prospects are
ramping up their e-commerce intensity in this economic environment. As
in the last economic downturn, we believe more clients will outsource their
e-commerce business to a trusted partner because there is little room for
mistakes or added risks. In fact, we have seen tremendous growth in our
sales prospect pipeline – it has more than tripled since the beginning of
2008 with high-caliber organizations from each of our key markets. We
believe our value is unmatched and are excited about our sales opportunities
in 2009.
At the same time, we intend to be very thoughtful in managing our
business during one of the most unpredictable economies in the history
of our company. I am confident we’re taking the right steps to ensure that
Digital River will emerge from this economy, as we have in the past, an
even stronger and more dominant force in the e-commerce industry.
As we consider the past year’s wins and anticipate future successes, I want
to express my sincerest gratitude to our clients and associates. Finally,
I must thank you, our shareholders, for your confidence in Digital River
as the world’s leading provider of global e-commerce solutions.
Joel Ronning
Chairman of the Board and Chief Executive Officer
2004 2005 2006 2007 2008
INCOME FROM OPERATIONS
(in millions of dollars)
$34
$66 $68
$74 $72
2004 2005 2006 2007 2008
EARNINGS
(per diluted share)
$0.94
$1.41 $1.40
$1.58 $1.55