Survey Shows That In-Text Advertising Is More Effective Than Other Pay-Per-Click Advertising

Bryan Everett joins Kontera from LookSmart as SVP Sales to manage strong growth among online publishers and advertisers as the In-Text Advertising leader announces initial survey results

San Francisco, CA, November 2, 2006 – In a short survey of publishers serving In-Text Advertising on their forums, blogs and other forms of user-generated content, Kontera reports that a great majority of websites are experiencing a higher click-through rate with In-Text Advertising than with other forms of pay-per-click advertising.

Kontera’s several thousand online publishers include a few hundred forums, blogs, product review sites and other forms of user-generated content. "We run other forms of advertising on our website and blog, but Kontera´s ContentLink(TM) In -Text Advertising consistently generates the highest click-through rates," said David Risley, CEO of PC Media, Inc., which runs the PC Mechanic website. (http://www.pcmech.com). ”The relevancy of the ads to the content is what gives us high click-through rates and what enables advertisers to better target their message to our readers’ specific interests.”

“In-Text is a good ad-delivery vehicle for user-generated content,” said Gary Stein, a leading online advertising analyst (http://garysteinblog.blogspot.com/ ). “Contextually-based systems are best suited to find the best ads for user-generated content. Comments in a forum, for example, can be wide ranging. Contextual systems are able to pull appropriate, targeted ads for a wide variety of content.” As the only In-Text Advertising technology which analyzes web content and serves contextually relevant keyword links in real-time, Kontera’s solution is uniquely positioned to generate revenue for publishers vis-à-vis the growing user-generated content market.

Leading In-Text Advertising provider Kontera recently completed the pilot of the above-mentioned survey about In-Text Advertising on user-generated content. Kontera is now planning to expand the survey and roll it out to several hundred forums, blogs and other websites which currently serve ContentLink In-Text ad units on their user-generated content.

Kontera is also announcing that Bryan Everett has joined the company from LookSmart, a leading provider of search solutions, where he served as VP of Sales. In the newly created position of Senior Vice President of Sales, Bryan will manage business development, sales and account management for Kontera’s online publishers and advertisers.

“Kontera is strategically positioned to capitalize on the tremendous growth potential of the In-Text Advertising market” said Bryan Everett. “Its technology provides a unique solution for advertisers, publishers and users alike – with the ability to target audiences in real time with relevant messaging, to offer publishers additional ways to monetize their content, all the while ensuring a total user-initiated experience.”

“We’re pleased to have someone of Bryan’s caliber join our management team to lead sales,” said Yoav Shaham, CEO, Kontera. “With the aggressive growth we are experiencing, we decided that Bryan’s sales and management experience, honed at industry innovators like LookSmart and 24/7 Real Media, would ensure effective management of our growing client base of online publishers and advertisers.”

About Kontera

Kontera is a leading provider of In-Text Advertising Solutions, based on patent-pending contextual analysis technology that increases revenue and ROI for both web publishers and advertisers. The company´s flagship product, an In-Text ad unit called ContentLink, is a contextually relevant keyword that is discovered in real time on a web page from within Kontera´s vast network of publishers and is automatically turned into a link to the most relevant ad from among Kontera´s thousands of advertisers. Kontera´s real time contextual analysis technology, which enables the ContentLink solution, is able to place ContentLinks on any type of online content including user-generated such as blogs and forums. With today’s shortages of preferred real estate and inventory and the pricing limitations of many current online ad opportunities, ContentLink offers a successful solution by creating a new and previously untapped source of advertising revenue, while providing marketers with a better ROI than with other advertising vehicles. Kontera is backed by Sequoia Capital and Lehman Brothers, with offices in San Francisco and Israel. For more about Kontera, visit www.kontera.com.