Virtual Goods Summit UniversityOctober 29, 2009

An Avatar-Based Social Network and 3D Virtual WorldLee Clancy

VP Product Management andGeneral Manager of Direct Revenue

Company Overview

• Founded in April, 2004

• Based in Palo Alto, CA

• 59 employees

• 3 institutional rounds

• $30M raised

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10

20

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45M

Dec-0

5

Jun-0

6

Dec-06

Jun-0

7

Dec-0

7

Jun-08

Dec-0

8

Jun-0

9

Snapshot

• 40M+ registered users

• 6M uniques/month

• $25M+ revenue run rate

• Profitable

Cumulative Registrations

Revenue Directly from Consumers

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20

40

60

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100%Advertising

ConsumerDirect

IMVU Revenue Mix

Strong Demographics

69% Female

58% 18+ years old

62% USA

High Engagement

• 60+ minutes per day in 3D chat per user

• 80k+ peak simultaneous online users per day

• 770k chat sessions per day

• 175k virtual items sold daily

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0.5

1.0

1.5

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2.5

3.0M

06/0

412

/04

06/05

12/05

06/06

12/0

606

/07

12/07

06/08

12/0

806

/09

User Generated Content

3 Million Virtual Items

Customer

Money

IMVU’s Virtual Economy

Credits

IMVUDevelope

r Credit Sink

It’s all about community

Key Learnings

Virtual goods are consumer products

Payment options must be flexible

UGC is hard

Patience is a virtue

Celebrating with Mohawks

Q & A