Earthlink 2007 Annual Report Download - page 8

our properties; commissions received from partners for the sale of partners' services to our subscribers; and sales of advertising on our various
online properties, such as the Personal Start Page.
We also offer services which are incremental to our Internet access services. Our value-added services portfolio includes products for
protection, communication, performance and entertainment, such as security, web acceleration, Internet call waiting, mail storage, gaming,
digital music and photo center, among others. We offer free and fee-based value-added services to both subscribers and non-subscribers, that are
focused on making the Internet a more meaningful, secure experience.
Business Services
Narrowband Access
We provide dial-up Internet access for business customers. Revenues primarily consist of monthly fees charged to customers for dial-up
Internet access.
Broadband Access
We provide high-speed access, hosted VPN networks and e-commerce solutions for business customers. In addition, through our wholly-
owned subsidiary, New Edge Networks, we provide secure multi-site managed data networks and dedicated Internet access for businesses and
communications carriers. Broadband access revenues consist of retail and wholesale fees charged for high-speed, high-capacity access services;
fees charged for high-speed data networks for small and medium-sized businesses; installation fees; termination fees; fees for equipment; and
regulatory surcharges billed to customers.
Web Hosting
We lease server space and provide web hosting services to companies and individuals wishing to have an Internet or electronic commerce
presence. Features include domain names, storage, mailboxes, software tools to build websites, e-commerce applications and 24/7 customer
support. Revenues primarily consist of monthly fees charged to customers for web hosting packages.
Customer Service and Retention
We believe that quality customer service and technical support increases customer satisfaction, which reduces churn. We provide high-
quality customer service, invest in loyalty and retention efforts and continually monitor customer satisfaction for our services. We were
recognized during the year by J.D. Power and Associates in its 2007 Internet Service Provider Residential Customer Satisfaction Study with the
highest ranking for customer satisfaction for dial-up nationwide and for high-speed Internet in the East and South regions. Our customer support
is available by chat, email and phone. We also offer printed reference material and help sites and Internet guide files on our web sites.
In addition to our customer support, our free tools offer protection against email viruses, spyware, spam, pop-ups and online scams, as well
as dial-up Web acceleration. We were the first major ISP to provide many of these tools to our members free of charge. We believe that
providing these tools also increases customer satisfaction, which reduces churn.
Sales and Marketing
In response to changes in our business and industry, we have significantly reduced the amount of sales and marketing spending. Our
marketing efforts are currently focused on retaining tenured customers, adding customers that generate an acceptable rate of return and acquiring
customers through partnerships and acquisitions from other ISPs. We offer our products and services primarily through direct customer contact
through our call centers and through affinity marketing partners such as AARP and Dell.
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