Enom 2011 Annual Report Download - page 27

• our ability to expand our existing distribution network to include emerging and alternative channels, including complementary social media
platforms such as Facebook, Google+ and Twitter, dedicated applications for mobile platforms such as the iPhone, Blackberry and Android
operating systems, and new types of devices used to access the Internet such as tablet computers ;
• our ability to identify acquisition targets and successfully integrate acquired businesses into our operations;
• our ability to attract and retain sufficient qualified and experienced freelance creative professionals to generate content formats on a scale sufficient
to grow our business, as we continue to evolve the formats of content that we produce;
• our ability to effectively manage our freelance creative professionals, direct advertising sales force, in-house personnel and operations;
• a reduction in the number of domain names under management or in the rate at which this number grows, due to slow growth or contraction in our
markets, lower renewal rates or other factors;
• reductions in the percentage of our domain name registration customers who purchase additional services from us;
• timing of and revenue recognition for large sales transactions such as significant new contracts for branded advertising;
• the mix of services sold in a particular period between our Registrar and our Content & Media service offerings;
• changes in our pricing policies or those of our competitors, changes in domain name fees charged to us by Internet registries or the Internet
Corporation for Assigned Names and Numbers, or ICANN, or other competitive pressures on our prices;
• our ability to identify, develop and successfully launch new products and services;
• the timing and success of new services and technology enhancements introduced by our competitors, which could impact both new customer
growth and renewal rates;
• the entry of new competitors in our markets;
• our ability to keep our platform, domain name registration services and our owned and operated websites operational at a reasonable cost and
without service interruptions;
• increased product development expenses relating to the development of new services;
• the amount and timing of operating costs and capital expenditures related to the maintenance and expansion of our services, operations and
infrastructure;
• changes in generally accepted accounting principles;
• our focus on long-term goals over short-term results;
• federal, state or foreign regulation affecting our business; and
• weakness or uncertainty in general economic or industry conditions.
It is possible that in one or more future quarters, due to any of the factors listed above, a combination of those factors or other reasons, our
operating results may be below our expectations and the expectations of public market analysts and investors. In that event, the price of our shares of common
stock could decline substantially.
Changes in our business model or external developments in our industry could negatively impact our operating margins.
Our operating margins may experience downward pressure as a result of increasing competition and increased expenditures for many aspects of our
business, including expenses related to content creation. For example, historically, we have focused on the creation of shorter-form text articles or standard
videos for our owned and operated websites, including
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