User-Generated Content InquiryTopline Results

From: Jim Underwood Mark Orne Daniel Christman

Prepared for: XXXXXXXXX

2

User-Generated Content InquiryMethodology

2 separate studies. One conducted to determine incidence rates (n=10,316). One conducted to gauge attitudes and usage of competing video-sharing websites (n=748). Both were conducted 7/28-7/31.

The incidence check tells us that men are 1.6 times more likely than women to be aware of video-sharing websites (61% vs. 39%). The demographics of the main study are weighted to match.

Initial Takeaways

•Despite recent press regarding women and social-networking online, men continue to make up a significantly larger portion of the video-sharing consumer base.

•Consumers in the category are visiting these sites between 5 and 8 times per month.

•YouTube has a strong hold on the top spot, but ifilm holds a sizeable market share. Awareness and usage rates are fairly similar among the rest of the competition.

•grouper-users appreciate its features, especially the visual quality and video hosting. It is rated higher than the competition, but will need serious publicity to attract potential converts.

•grouper’s features are comparably appealing to users and non-users, which is a positive sign that these features are in fact a selling point.

3

User-Generated Content Inquiry

    Incidence

YouTube 85%

ifilm 16%

AddictingClips 7%

MetaCafe 7%

TagWorld 6%

VideoEgg 5%

Grouper 4%

GUBA 3%

REVVER 3%

veoh 3%

Incidence of respondents who visited in the last 3 months (n=5,000)

N.B. The data in this table are NOT weighted and as such, this table should not be directly compared to the other tables in this report. It is based to those aware of video-sharing sites.

Of the 10,000 adults interviewed between 7/28 – 7/31, slightly more than 5,000 were aware of online video sharing.

4

User-Generated Content Inquiry

    Total

Male 61%

Female 39%

13-24 43%

25-34 44%

35-54 13%

Grouper (Quota)

29%

You Tube (Quota)

66%

Uploaders (Ever posted to “Share” site)

28%

Heavy Downloaders (25+ site visits monthly)

12%

Early Adopters(Started sharing >6mo)

27%

Late Adopters(Started sharing <6mo)

73%

Viral(Recommended site to >9 friends)

23%

This table defines the 748 respondents who were allowed to continue the survey after the initial short question battery that screened for age, gender, awareness, and usage of video-sharing websites. By capturing screener data, we are able to weight our data to match “true” demographics and thus adjust for the bias (primarily gender) associated with online sampling.

This table as well as all remaining tables are based to the 748 “UGC” respondents.

Main Survey Sample Demographics

5

User-Generated Content Inquiry

    Total Male Female 13-24 25-34 35-54

YouTube 93% 91% 97% 97% 89% 93%

ifilm 50% 61% 34% 45% 55% 51%

TagWorld 33% 39% 24% 32% 37% 28%

MetaCafe 33% 43% 16% 30% 39% 19%

grouper 33% 43% 16% 27% 41% 24%

VideoEgg 31% 41% 14% 24% 36% 36%

AddictingClips 28% 36% 15% 27% 30% 25%

GUBA 25% 35% 8% 19% 30% 25%

REVVER 21% 30% 7% 20% 24% 13%

Veoh 19% 27% 7% 17% 23% 16%

Which sites have you heard of?

Among consumers familiar with video-sharing (all 748 respondents), awareness of grouper is solid, sitting in the middle of pack below YouTube and ifilm.

6

User-Generated Content Inquiry

    Total Grouper YouTube Uploaders

Easy to use 44% 45% 44% 45%

Videos download quickly 38% 39% 36% 38%

Easy to find videos looking for 37% 38% 36% 41%

Like types of posted videos 35% 35% 35% 38%

Like variety of posted videos 35% 35% 35% 35%

Good visual quality 32% 40% 28% 39%

Few rules/restrictions 29% 35% 26% 38%

Easy to post to MySpace etc. 28% 43% 22% 41%

Site my friends use 24% 38% 18% 37%

Site used by most people overall 23% 35% 19% 39%

Ads aren’t annoying 23% 31% 20% 32%

On-site editing software is useful 19% 32% 13% 33%

How important are the features? Summary of “Extremely Important”

Many of the scores are quite similar for grouper and YouTube. Still, we can see that grouper-users do respond well to the features that dis- tinguish it from some of the other competing sites. Their similarity to “Uploaders” is also worth noting.

7

User-Generated Content Inquiry

    Total Grouper

Video creation/editing tools 52% 55%

Private video sharing 52% 55%

P2P file exchange 50% 48%

Easy downloading to iPod 49% 55%

1-click publishing to MySpace etc. 48% 43%

Web-cam realtime recording 44% 47%

Music video/lip-sync 41% 50%

Webcam video comments 35% 44%

Smart address book 30% 43%

Are Grouper-style features considered valuable?

The fact that grouper’s features are comparably appealing to users and non-users is a positive sign that these features could be used to entice users of competing sites to migrate.

8

User-Generated Content Inquiry

    Total Grouper YouTube Uploaders

It’s great 41% 49% 38% 52%

Good but needs some improvement 41% 42% 41% 42%

Okay but has issues 4% 4% 5% 4%

Don’t really like it 1% 1% 2% *

Extremely dislike it * - * -

Haven’t really used it enough 12% 4% 15% 2%

Which of the following best describes your opinion of your favorite video-sharing site?

    Total Grouper YouTube Uploaders

It’s easy 75% 77% 72% 78%

Does what I need it to 58% 51% 61% 57%

My friends use it 33% 45% 28% 42%

Best for sharing with a lot of people 23% 23% 24% 32%

It’s where I have my videos stored 14% 30% 7% 28%

If yours isn’t “great” or “good”, why not try another site?

grouper receives higher marks than the competition. Unfortunately, potential con- verts are lazy and would have to be galvanized with some sort of event video or film.

9

User-Generated Content Inquiry

On average, how often do you go onto each site each month?

    Total Male Female 13-24 25-34 35-54

Yes 28% 39% 12% 24% 36% 19%

No 72% 61% 88% 76% 64% 81%

Have you ever posted video?

    Mean Median

MetaCafe 11.2 5

YouTube 10.7 5

VideoEgg 10.0 5

TagWorld 9.8 5

veoh 9.3 5

REVVER 9.2 5

AddictingClips 8.6 5

ifilm 7.9 5

grouper 7.8 5

GUBA 7.5 5

Total 8.2 5

10

User-Generated Content Inquiry

    Total Male Female 13-24 25-34 35-54

Yes 22% 29% 11% 22% 23% 17%

No 78% 71% 89% 78% 77% 83%

Have you ever downloaded video from a UGC site to a portable device?

    Total Male Female 13-24 25-34 35-54

Yes 63% 65% 61% 58% 68% 66%

No 37% 35% 39% 42% 32% 34%

Have you ever sent a friend a link to a video in an email?

The portable revolution has not arrived yet for video. At this point, consumers are primarily using email to share video with their friends.

11

User-Generated Content Inquiry

    Total

I do not like this type of ad 35%

I would wait for it to finish 30%

I would still use the website, but less 25%

I would close the window 20%

I might watch the ad if I could pick the subject 19%

I would not return to a site with this kind of ad 14%

I like this type of ad 11%

Reaction to a :10 commercial played before video?

    Total

I would still be unlikely to use the site 46%

I would be somewhat more likely to use the site 39%

I would be much more likely to use the site 27%

What if it played only once out of every four videos?

As could be expected, there is little enthusiasm for pre-roll ads among consumers. Only a third said they would wait for the ad to finish. However, the majority said that a guarantee of limited advertisement would help to make amends.