TFSM 24/7 Real Media (MM)

Highlights of Key Findings: -- Conversion rates for well-designed retargeting campaigns delivered unmatched ROI to advertisers -- Through retargeting, a popular seasonal retailer increased its click to sale conversion rate increase by 270 percent, while lowering its cost per acquisition by 50 percent -- Publisher participation in 24/7 OnTarget(TM) during Q2 2005 increased by 289 percent over Q4 2004, while advertiser adoption was 129 percent higher Retargeting has emerged as a highly effective form of behavioral targeting, enabling advertisers to vastly improve conversion rates from existing leads to sales, according to the latest quarterly behavioral targeting report from interactive marketing and technology pioneer 24/7 Real Media, Inc. (Nasdaq: TFSM). In fact, one of the case studies included in the report reveals that a popular seasonal retailer utilized retargeting to effectively increase its click to sale conversion rate by 270 percent, while lowering its cost per acquisition (CPA) by 50 percent. Released on the opening day of the Ad:Tech New York 2005 conference, the Company's third quarterly Behavorial Targeting Report examines the results of numerous behavioral targeting campaigns conducted in the second quarter of 2005, and offers a detailed update on the performance of 24/7 OnTarget(TM), the first major online network behavioral targeting solution. Well-designed Retargeting Campaigns Deliver Unmatched Results to Advertisers According to the report, the second quarter of 2005 saw a considerable rise in the number of interactive advertising campaigns utilizing a method of behavioral targeting known as retargeting. At its simplest, this consists of identifying a Web site's visitors and then targeting specific messages to them when they visit other sites on a network. "Retargeting enables advertisers to take existing leads and convert them into sales by delivering creative based on what they are most likely to want to buy," said Jack Smith, vice president, product strategy at 24/7 Real Media. "For example, when someone buys a PC, they're flagged as a 'PC Buyer.' Using retargeting, banners can then try to up-sell or cross-sell them on either peripherals or a maintenance contract for that PC. When retargeting campaigns are done well, the results in terms of sales are unparalleled. In fact, any e-commerce site that meets the criteria should seriously consider making it a part of their overall online marketing mix." 24/7 OnTarget Sees Continued Growth in Adoption 24/7 Real Media also found that overall adoption of 24/7 OnTarget rose in the second quarter of 2005. Participation by publishers in 24/7 OnTarget campaigns conducted during the second quarter of 2005 increased by 289 percent over the fourth quarter of 2004. Meanwhile, advertiser adoption in the second quarter remained 129 percent higher than the fourth quarter of 2004. "Now that we've moved beyond the experimental stage, we're seeing 24/7 OnTarget impressions settle into a more consistent flow of approximately 90% of impression to contextually low value Tier 3, or Run of Network inventory, with most of the rest going to Tier 2," added Smith. "It's this distribution that makes behavioral targeting so desirable to both advertisers and publishers. By increasing information on users in low value non-contextual inventory, we are able to increase CPMs for publishers and performance for advertisers." How to Obtain the Free Behavioral Targeting Report in Full To obtain a free copy of the complete Second Quarter 2005 Behavioral Targeting Report, or view past reports, please visit http://www.247realmedia.com/infoform/resQ2. The next report, revealing the analysis and findings of campaigns conducted in Q3 2005, will be released in early 2006. About 24/7 OnTarget 24/7 OnTarget is 24/7 Real Media's state-of-the-art behavioral targeting solution that enables marketers to reach large-scale target audiences more efficiently. By leveraging non-personally identifiable data and delivering ads only to those Internet users most likely to respond, 24/7 OnTarget increases campaign performance and eliminates waste for advertisers, while increasing the value of inventory for publishers. 24/7 OnTarget operates within the context of the 24/7 Web Alliance(TM), its global network of more than 850 Web sites that deliver more than six billion impressions each month. About 24/7 Real Media, Inc. 24/7 Real Media, a pioneer in interactive marketing and technology, targets and delivers audiences for publishers and marketers. Our customers generate increased revenue and profits through media and search services, coupled with one seamless platform of serving, targeting, tracking and analytics technologies. The company is headquartered in New York, with offices in other major U.S. cities, Canada, Europe and Asia. For more information, please visit www.247realmedia.com. 24/7 Real Media: Delivering Today. Defining Tomorrow. Caution concerning forward-looking statements: This news release includes certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and are naturally subject to uncertainty and changes in circumstances. Actual results may vary materially from the expectations contained herein due to changes in economic, business, competitive and/or regulatory factors. More detailed information about those factors is set forth in our filings with the Securities and Exchange Commission. In addition, the following factors, among others, could cause actual results to differ materially from those described herein: the potential for impairment of relationships with employees or major customers, loss of faith in Internet advertising, international risks, regulatory risks, and other economic, business, competitive and/or regulatory factors affecting the businesses of 24/7 Real Media. All information in this release is as of November 7, 2005. The Company is not under any obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise. 24/7 Real Media is a member of the NAI and adheres to the NAI privacy principles that have been applauded by the FTC. These principles are designed to help ensure Internet user privacy. For more information about online data collection associated with ad serving, including online preference marketing and an opportunity to opt-out of 24/7 Real Media cookies, go to: www.networkadvertising.org.