Support.com 2011 Annual Report Download - page 6

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
Within the premium technology services market, online (or “remote”) support has become increasingly prevalent. Online support involves a
technician using specialized software to take control of a user’s computer over the Internet, avoiding the delay and cost associated with traditional
onsite support. Online support has been possible for some time, but the widespread availability of high speed Internet connections and remote control
software has caused growth in this segment of the market to accelerate. In addition, demand for cloud services such as online backup and hosted
email, where data and computing power are located online rather than on the user’s premises, is growing rapidly.
In addition to technology services, there is an established and growing market for software tools used to manage personal computers and home
networks. According to Parks Associates, “roughly one-half of consumers are self-defined ‘do-it-yourselfers’ with technical support, such as
preventative maintenance activities and computer troubleshooting.”

Our objective is to become the leading independent provider of online care for the digital home and small business markets. From a financial
perspective, our goals are to continue to grow and diversify revenue, increase gross margin, and achieve profitability. Our strategies for achieving our
goals include expanding existing services programs, increasing software revenues, growing our customer base, enhancing service delivery efficiency,
optimizing contact center sales operations, and extending our cloud-based technology platform to support each of the foregoing strategies.
To expand existing service programs, we expect to introduce new offerings in areas such as small business and mobility while optimizing
program operations;
To increase software revenues, we plan to implement a series of new initiatives including enhancing key products, broadening third-party
distribution and deploying new customer acquisition strategies;
To grow our customer base, we intend to pursue small business as well as consumer opportunities and to win new accounts in target
markets such as cable and retail and in promising new markets;
To increase service delivery efficiency, we expect to enhance our forecasting, capacity planning and utilization of management while
continuing to evolve our labor model;
To optimize contact center sales operations, we plan to pursue a number of approaches to increasing conversion and reducing cost; and
To extend our cloud-based technology platform, we intend to continue our investment in research and development activities in support of
the foregoing initiatives.
We intend to execute our growth strategy organically and through acquisitions of complementary businesses where appropriate.

Our Support.com® online care services include one-time services (“incidents”) and subscriptions. These services are available on demand and
through the purchase of service cards and gift cards. We offer a money-back guarantee in the event we are unable to resolve the customer’s problem,
subject to the terms of our end user agreements.
Our principal online care services include:
We offer a variety of installation and setup services. Our New Computer Setup and Configuration services complete the
basic setup and configuration steps for new computers in a highly automated fashion. We help consumers create new user accounts, configure
automatic system updates and remove unnecessary trial software that clutters many new computers. An advanced version of this service also
optimizes operating system and web browser settings. Our Protection and Performance services install, update and configure anti-malware software
and operating system settings to enhance digital security. An advanced version of this service also installs and configures parental controls and creates
a user profile that restricts Internet and application access, as specified by the consumers. Other installation and setup services help customers install,
set up and use certain digital devices connected to their computer. For example, we help customers install their printers, share them across networks
and keep them updated with the latest drivers.
Our Connect and Secure services help customers to set up a secure wireless network. In this service, we configure,
connect and establish secure connections between the computer, the wireless network and supported devices. In addition, we diagnose and repair
problems customers have with existing wireless home networks.
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