The allure of the web widget is simple and seductive – the power of technology connecting millions of users with a marketer’s brand.  Unfortunately, beneath the luster of massive scale widget marketing lies a costly truth some marketers aren’t prepared to face: depleted budgets with no intelligent ROI because of costly distribution fees.  

BrandWeek reports that installation or engagement fees can range from $1 to $5 per widget install. According to comScore, nearly 148 million U.S. Internet users viewed widgets in November 2007, representing 81 percent of the total Internet audience. MySpace.com widgets had the widest audience, reaching more than 57 million Internet users. Slide.com ranked second with 39.2 million viewers. Google.com had the sixth widest widget-viewing audience with more than 19 million viewers. Translation for interactive marketers: These numbers can add up to real cash quickly and drain most marketing budgets.

Internet marketing agency W3i, who has earned a reputation as a Silicon Valley-like company in the Land of 10,000 Lakes, is raising the IQ of widget marketing. Founded in 2000, the Minnesota company built its profitable legacy by giving away high-demand downloads for free through an ad-supported business model. Through Freeze.com and other websites, W3i distributes over 4 million downloads each month. With just 60 employees, 2007 gross sales were $27 million.

Recognizing the opportunity and fear in the marketplace among widget marketers, W3i created a clever way to offset user acquisition and maintenance costs by layering on an additional, ad-supported revenue stream during the download process through a proprietary installation system they developed, aptly called, “Install IQ.” 

The way the system works is simple and user-friendly. In short, Install IQ bundles the primary widget download with other high-demand software — like the Yahoo! Toolbar and the Weatherbug Desktop widget. If a user accepts one of these optional offers during the install, the widget marketer makes money – up to a $1 in most cases. To prevent inadvertent installs, Install IQ deploys a unique download manager that allows the user to pause or cancel at any time.

The intelligence inside W3i’s unique installation system continues to impress by allowing for customization, optimization, and suppression. Marketers can leverage their brand equity throughout the entire installation process with images and text. The bundled software offered during installation can be optimized for target marketing. And if the software is already installed on the user’s desktop, Install IQ suppresses the offer and suggests an alternative download. Finally, in an age when best practices in privacy on the Web are carefully monitored, Install IQ holds up under scrutiny by being the first installation system to receive certification in the TRUSTe Trusted Download program.

A number of desktop widget marketers are currently using Install IQ and taking advantage of the high-volume rates W3i has negotiated with top industry partners who are part of W3i’s Download Network.

Case Study #1

An audio and multimedia player deploying Install IQ generated $86,280 in revenue during the first month of use. After achieving such phenomenal success, the online marketing firm representing the software added a dozen more applications to W3i’s installation process.

Case Study #2

A social networking profile editor using Install IQ’s optimization feature increased EPC rates by 33%, install rates by 44%, and CTR rates by 16%, resulting in a 34% increase in revenue. 

Case Study #3

A utility software application that speeds up PC performance earned $263,089 over the course of ten months using Install IQ.

Conclusion

With Install IQ, clients of W3i are monetizing their desktop widget channel in an unprecedented fashion, generating meaningful revenue with minimal drain on their internal resources because nearly all of the set up and on-going maintenance is performed by W3i staff. Install IQ also works with any type of downloadable digital content like music, video, and games. With such a unique opportunity now available in so many flavors, you can take the fear out of widget marketing and embrace the future of software downloads.

For more information about increasing your revenue using Install IQ, click here.     

About W3i:
W3i, owner of Freeze.com, delivers proven, integrated desktop marketing and mobile marketing solutions. With offers and services tested and optimized on over 15 million unique users each month and over 4 million downloads, W3i can increase your revenue from digital content or provide a receptive consumer base for customized, targeted marketing programs. Solutions include: software marketing for shareware and freeware, software bundling and ad-supported installations. The three Weber brothers, owners of W3i, are recent winners of the Ernst & Young Entrepreneur Of The Year® 2006 Award in the Minnesota and Dakotas region. To learn more about W3i, visit www.w3i.com.

St. Cloud, Minnesota, July 3, 2008 – W3i, provider of integrated desktop and mobile marketing solutions, announced Tuesday  the sale of Ringtone.com and its assets to New Motion, Inc., doing business as Atrinsic, a premier Internet media and mobile entertainment company.

“In line with our strategic intent to be the market share leader in the Integrated Interactive Media Industry, the sale of Ringtone.com will allow us to focus on our core business,” comments Andy Johnson, CEO of W3i. 

W3i’s continued focus is to create digital market places by providing compelling content for users supported by valued offers from clients.  Recently it launched its proprietary, Install IQ installation system, to enable ad revenue during the installation process.  “Our strategic focus is to continue to develop additional services that enable low cost distribution of quality content and information,” adds Andy. 

About W3i:
W3i, owner of Freeze.com, delivers proven, integrated desktop marketing and mobile marketing solutions. With offers and services tested and optimized on over 15 million unique users each month and over 4 million downloads, W3i can increase your revenue from digital content or provide a receptive consumer base for customized, targeted marketing programs. Solutions include: software marketing for shareware and freeware, software bundling and ad-supported installations. The three Weber brothers, owners of W3i, are recent winners of the Ernst & Young Entrepreneur Of The Year® 2006 Award in the Minnesota and Dakotas region. To learn more about W3i, visit www.W3i.com.

St. Cloud, Minnesota, June 17, 2008 –W3i, provider of integrated desktop and mobile marketing solutions, announced today that it has joined the Right Media Exchange. W3i will leverage the Exchange to optimize its ad impressions and user- acquisition budget.

W3i buys and sells over 5 billion ad impressions each month to promote its content and the content of its partners. “Utilizing the Right Media Exchange’s advanced targeting opportunities and scale is essential for us to grow our current business,” comments Robert Weber, VP of Business Development and Co-Founder.

“It was crucial for us to find a platform that was more efficient to give us optimal return on our ad dollars and inventory,” said Andy Johnson, CEO. “We need to continue to grow our business in a fragmented online advertising market. Right Media provides a solid platform and a community of buyers and sellers that are essential to our advertising efforts.”

W3i has built its business on providing free, compelling content to its users since 2000. Display advertising is an essential part of connecting interested users with valued offers. W3i’s network has grown to over 3,000 publishers that can utilize the Right Media Exchange through W3i to optimize their marketing efforts. To become a W3i publisher, click here.

About W3i:
W3i, owner of Freeze.com and Ringtone.com, delivers proven, integrated desktop marketing and mobile marketing solutions. With offers and services tested and optimized on over 15 million unique users each month and over 4 million downloads, W3i can increase your revenue from digital content or provide a receptive consumer base for customized, targeted marketing programs. Solutions include: software marketing for shareware and freeware, software bundling and ad-supported installations. The three Weber brothers, owners of W3i, are recent winners of the Ernst & Young Entrepreneur Of The Year® 2006 Award in the Minnesota and Dakotas region. To learn more about W3i, visit www.W3i.com.

St. Cloud, MN – June 10, 2008 — It was only a matter of time before the ad-supported business model found a new niche. First there were ad-supported web apps like Google Docs, which offers users a free web-based word processor and spreadsheet. Then came ad-supported software. Spiceworks grew to over 200,000 users in 12 months with revenue climbing 900% with their ad-supported IT Desktop software. In the UK, Blyk grew to over 100,000 members in six months with 29% response rates to ads with their free, ad-supported mobile network. The latest evolution in this quid pro quo business model is ad-supported installs.

With respect to trialware, on average only 2% of all downloads convert to software sales. This means a 98% loss of users for various reasons, and the opportunity to cash in through conversion is usually lost. But times are changing. Now there is a new ad-supported model that targets monetizing the last mile of the download process. Its flip side – the install.

Case in point: A company marketing utility software, which is used to boost the performance of your PC, increased their monthly revenue approximately $27,500 on 33,000 downloads during its first month and is now averaging $0.97 per valid install over seven months. These results weren’t necessarily due to higher trialware conversions, but because this utility software used an ad-supported install system called Install IQ™ developed by W3i, who markets free software to its network of over 15 million unique users each month, driving over 4 million downloads.

Here’s how it works. Install IQ is a Windows-installation authoring tool similar to Wise and Install Shield, but uses proprietary installation technology. It is designed for software publishers to drive revenue from the download of any desktop application. Install IQ improves the monetization of installs by offering ads for high-demand, targeted software during the install process, such as games, browser toolbars, and desktop weather alerts. Revenue for the software publisher of the trialware is generated when a user agrees to accept bundled third-party software offered during the install process, like a browser toolbar or desktop weather alert. Install IQ also improves conversions of the publisher’s trialware by offering more flexibility—graphics and text, which can be optimized, branding throughout the process, and improved navigation. Software from various business verticals, including games, music, video, social networking, desktop, and utility have experienced increases in revenue.

“What we’re seeing here is a very real window of growth opportunity for software publishers and marketers of software who want to drive additional revenue through monetizing software installs,” said Robert Weber, Vice President of Business Development and Co-Founder of W3i, a provider of integrated desktop and mobile marketing solutions. “Ad-supported models work because consumers have found common ground with these makers of software. Consumers don’t mind the ads as long as they get something of value in exchange. And as long as best practices in privacy are maintained, everybody is happy.”

Maintaining best practices in privacy while offering consumers free software is part of W3i’s eight-year heritage. Today, the Minnesota-based Internet company received an industry seal of approval from TRUSTe by successfully completing all the requirements for certification in their Trusted Download Program, an industry first.

“We’d like to congratulate W3i on being the first company in its space to receive certification in our download program,” said Fran Maier, executive director and president of TRUSTe. “As part of the TRUSTe community, W3i is committed to working with us to build trust in the networked world. We look forward to helping them remain ahead-of-the-curve in privacy and security developments.”

“We are pleased to be the forerunner in our industry by receiving TRUSTe approval for our installation system,” said Hayden Creque, Vice President & General Counsel of W3i. “Being certified ensures continual Internet compliance and demonstrates our commitment to a positive user experience through facilitating best practices in privacy.”

Since using Install IQ for the installation of W3i’s original content, valid install rates have increased by as much as 50% as well as increases in earnings per click rates in the 25% range, according to W3i. “Our success is proving that our proprietary install system creates meaningful revenue opportunities for software publishers that have yet to be realized when marketing to consumers,” said Weber.

To learn more about Install IQ and W3i’s Download Network, click here.

About W3i:
W3i, owner of Freeze.com and Ringtone.com, delivers proven, integrated desktop marketing and mobile marketing solutions. With offers and services tested and optimized on over 15 million unique users each month and over 4 million downloads, W3i can increase your revenue from digital content or provide a receptive consumer base for customized, targeted marketing programs. Solutions include: software marketing for shareware and freeware, software bundling and ad-supported installations. To learn more about W3i, visit www.W3i.com.

About TRUSTe:
TRUSTe helps consumers and businesses identify trustworthy online organizations through its Web Privacy Seal, Email Privacy Seal and Trusted Download Programs. TRUSTe resolves thousands of individual privacy disputes each year. Founded in 1997, TRUSTe certifies more than 2,000 Web sites, including the major internet portals and leading brands such as AOL, Microsoft, IBM, Oracle, Intuit and eBay. To learn more, visit http://www.truste.org.

Sources:
http://springwise.com/weekly/2008-04-30.htm#blyk
http://arstechnica.com/news.ars/post/20070802-microsoft-preps-first-ad-supported-client-software-pilot.html

Tags: W3i, Desktop Marketing, Internet, Mobile, Software Publishers, Wise, Install Shield, ad-supported Install

St. Cloud, MN, May 19, 2008 — W3i’s proprietary software installation authoring tool, InstallIQ™ receives TRUSTe Download certification for meeting the requirements of the Trusted Download Program. InstallIQ™ is the first installer system to receive TRUSTe approval. InstallIQ™ allows consumers to choose additional high-demand software during the installation process in a secure, transparent environment.

“We have worked diligently to earn the TRUSTe Trusted Download Certification for our proprietary install system,” stated Andy Johnson, CEO of W3i Holdings, LLC. “With TRUSTe certification we demonstrate to consumers and business partners our continual commitment to online privacy and conducting business in a trust-worthy environment.”

“InstallIQ™ differs from the Wise or Install Shield installer systems as it offers publishers and users more options during the installation process,” comments Hayden Creque, VP and General Counsel. Hayden spearheaded W3i’s team in applying and receiving TRUSTe certification. “We recognize TRUSTe as the online privacy leader, and the importance that our unique installation tool met their stringent requirements so it could carry the TRUSTe Trusted Download seal.”

“The companies whose applications have passed the challenging certification process for the Trusted Download whitelist are all demonstrating a commitment to protecting consumer privacy,” said Fran Maier, executive director and president of TRUSTe. “By completely informing users about the particulars of the downloads they offer up front, the participating companies are increasing transparency and giving control to users.”

TRUSTe offers a Whitelist of Certified Applications so businesses can direct advertising dollars and distribution opportunities to downloadable desktop software that provide clear and conspicuous notice about functionality of importance to the user and obtain informed consent prior to download. Certified applications provide an easy-to-use uninstall and allow users to maintain control over their computing environment.

About W3i
W3i, owner of Freeze.com and Ringtone.com, delivers proven, integrated desktop marketing and mobile marketing solutions. With offers and services tested and optimized on over 15 million unique users each month, W3i can increase your revenue from digital content or provide a receptive consumer base for customized, targeted marketing programs. The three Weber brothers, owners of W3i, are recent winners of the Ernst & Young Entrepreneur Of The Year® 2006 Award in the Minnesota and Dakotas region. To learn more about earning additional revenue from your installs, contact W3i about the W3i Download Network.

About TRUSTe
TRUSTe helps consumers and businesses identify trustworthy online organizations through its Web Privacy Seal, Email Privacy Seal and Trusted Download Programs. TRUSTe resolves thousands of individual privacy disputes each year. Founded in 1997, TRUSTe certifies more than 2,000 Web sites, including the major internet portals and leading brands such as AOL, Microsoft, IBM, Oracle, Intuit and eBay. To learn more, visit http://www.truste.org.

Tags: W3i, TRUSTe, downloads, InstallIQ, Install System, Trusted Download Program, Screensavers, Wallpapers, Ringtones, TRUSTe certification, Online Privacy, Wise, Install Shield, TRUSTe Trusted Download Seal, Trusted Download Whitelist, Consumer Privacy, Downloadable Desktop Software, Freeze.com, Ringtone.com, Web Privacy Seal, Andy Johnson, Hayden Creque

Partnership will extend Jenkat’s casual games from a try-and-buy model to a more consumer desired, free ad-supported distribution model.

Colorado Springs, CO, May 7, 2008 — Jenkat Media, Inc., a leading casual game developer and distributor, founded by veterans of Fox Interactive Media and MySpace Games, today announced they have entered into a distribution agreement with W3i, provider of integrated desktop and mobile marketing solutions. Jenkat and W3i will work to distribute Jenkat’s original game titles to W3i’s 15 million monthly unique users.

As a provider of integrated desktop and mobile marketing solutions, W3i provides its users with useful, safe, free software and utilities to improve their Internet experience. W3i’s goal is to connect users with downloads that make their time on the Internet more enjoyable including screensavers, wallpapers and now games from Jenkat Media.

“W3i is a leader in the distribution of free downloadable content on the Internet, having the ability to monetize users in an effective and user-friendly manner,” said Malcolm Michaels, President of Jenkat Media. “Lowering our reliance from the more traditional try-and-buy model of casual games will help lead the way to a better consumer experience and more effective monetization, all while helping Jenkat further its growth.”

“Our partnership with Jenkat further expands W3i’s access to top quality content. Studies show 90% of users will watch ads if it means they can play games for free. Knowing that casual games are one of the hottest and most desirable products for download on the internet, we know partnering with a leading developer of casual games, like Jenkat, will expand our offering of quality products for consumers,” comments Robert Weber, VP of Business Development and Co-Founder of W3i.

About Jenkat Media, Inc.:
Jenkat Media has over ten years of collective experience in creating successful socially-based casual games on multiple platforms, including PC and mobile devices. The management team at Jenkat Media has previously created and produced over 100 casual game titles, which have been played online over one billion times worldwide. Coming this summer is Jenkat’s new game, ”Mr. Biscuits,” an endearing hidden-object game full of mystery and fun for all ages. Please visit http://www.jenkatgames.com and http://www.jenkatmedia.com for more information.

About W3i
W3i, owner of Freeze.com and Ringtone.com, delivers proven, integrated desktop marketing and mobile marketing solutions. With offers and services tested and optimized on over 15 million unique users each month, W3i can increase your revenue from digital content or provide a receptive consumer base for customized, targeted marketing programs. The three Weber brothers, owners of W3i, are recent winners of the Ernst & Young Entrepreneur Of The Year® 2006 Award in the Minnesota and Dakotas region. To learn more about W3i, visit www.W3i.com.

Tags: w3i, jenkat, robert weber, malcolm michaels, games, screensavers, wallpapers, desktop, fox interactive media, myspace games

St. Cloud, MN March 27, 2008 – Hayden Creque will be featured at an invitation only, educational seminar sponsored by mBlox on April 2, 2008, in Las Vegas, NV. He will present “The State of the Off-Deck Market—Repercussions of the Florida General’s Cyber Fraud Task Force.”

He will specifically address these key topics:

1) The Florida AG Settlements with Azoogle Ads and AT&T

2) Applicable advertising and privacy standards including:

• FTC Section V – Misleading and Deceptive Practices
• COPPA
• Liability for Acts and Practices of Business Partners

3) The Outlook including:

• Strategies for ensuring partner compliance
• Strategies for risk minimization
• What’s next

“The Mobile Industry as well as the Internet is in an evolving state,” comments Hayden Creque. “At W3i we have been working diligently to understand and implement the advertising and privacy standards as they come to pass.”

About W3i
W3i, owner of Freeze.com and Ringtone.com, delivers proven, integrated desktop marketing and mobile marketing solutions. With offers and services tested and optimized on over 15 million unique users each month, W3i can increase your revenue from digital content or provide a receptive consumer base for customized, targeted marketing programs. The three Weber brothers, owners of W3i, are recent winners of the Ernst & Young Entrepreneur Of The Year® 2006 Award in the Minnesota and Dakotas region. To learn more about W3i, visit www.W3i.com.

About Hayden Creque
Hayden Creque is the Vice President and General Counsel of W3i. Hayden leads W3i’s privacy, risk minimization and best practice initiatives. He also counsels the company on contract, human resource, intellectual property and privacy law. In addition, he has a key role in determining W3i’s evolving strategy. He held several management positions with TDS TELECOM before attending law school. After law school he entered private practice with Lindquist & Vennum PLLP as a litigator.

Hayden holds a J.D. cum laude from the University of Wisconsin and a Certificate of Concentration in International Business Law. He also earned a B.S. in Business magna cum laude from Edgewood College.

About mBlox
mBlox is the world’s largest mobile transaction network. The company specializes in simplifying the complexities, commercial and technical, of mobile billing and message transmission for our clients. Via a carrier-grade network, mBlox enables companies to communicate with mobile subscribers on more than 500 carriers in 180 countries, millions of times each day. The company has U.S. headquarters in Silicon Valley, with EMEA headquarters in London, Asia headquarters in Singapore and offices around the world. For further information, visit http://www.mblox.com/.

Tags: w3i, ctia, mblox, hayden creque, mobile, off-deck market, privacy standards

SARTELL — Andy Johnson briefly met the Weber brothers in summer 2006, when the Webers’ company, W3i, won the Ernst & Young Entrepreneur of the Year 2006 Award in the Minnesota and Dakotas region.

Johnson, then president of Minneapolis-based CMS Direct, also was in the running for the award. When he congratulated the Webers, he learned more about the sibling-owned company in Sartell that started in a college dorm room at St. Cloud State University.

“I was impressed,” Johnson said. “These guys built a fantastic company.”

And the Webers were equally impressed with Johnson. So impressed that W3i’s board of directors in December 2007 named him chief executive of the company.

(Excerpt of article from http://www.sctimes.com By Amy Trang, News Writer, February 20, 2008)
To view the full article on the Saint Cloud Times website, click here.)

Seasoned strategist and e-commerce executive joins W3i to grow its e-services that enable integrated, multi-channel digital content.

St. Cloud, MN December 13, 2007 – W3i Holdings, LLC, an e-service provider based in Sartell, MN, today announced its Board of Governors has appointed Andy Johnson as CEO for the company, effective immediately. Johnson brings over 30 years of senior-level experience and operational excellence in network database management and online marketing for companies, such as CMS Direct, Prefer Network and Fingerhut Companies, Inc.

As president of CMS Direct, a leading network database company serving the direct marketing industry, Johnson grew market share, creating and installing a business planning process, establishing a clear vision statement, mission statement, set of core values and defining a culture of accountability. Under Andy’s leadership, CMS Direct was named to the Minneapolis/St. Paul Business Journal Growth 50 in 2005 as one of the areas fastest growing privately held companies.

“With the appointment of Andy as CEO, W3i has secured a successful, experienced and highly capable executive who will build on W3i’s growth of 106% in gross sales in the last three years to expand its position in desktop and mobile e-services,” comments Robert Weber, Vice President of Business Development and Co-Founder. “Internet marketing has become mainstream and mobile marketing is posed for extreme growth. W3i is in a good position to capitalize on both emerging interactive channels.”

“Desktop and mobile marketing are essential in today’s multi-channel marketing arena.” comments Andy Johnson. “I am very excited to become part of the W3i team as we accelerate our growth in this digital explosion.”

About Us
W3i delivers proven desktop and mobile e-services, which enable increased revenue from integrated, multi-channel digital content. With e-services tested and optimized on over 15 million unique users each month, W3i can increase your revenue from digital content or provide a receptive consumer base for customized, targeted marketing programs. The three Weber brothers, owners of W3i, are recent winners of the Ernst & Young Entrepreneur Of The Year® 2006 Award in the Minnesota and Dakotas region. To learn more about W3i, visit www.W3i.com.

Tags: w3i, andy johnson, ecommerce, desktop, mobile, marketing, e-services, ceo

St. Cloud, MN, October 5, 2007 – Founder and CMO of W3i Holdings, LLC, Ryan Weber will be awarded the 2007 SCSU Alumni Award for the Graduate of the Last Decade (Gold Award) on October 12, 2007, at the 2007 SCSU Alumni Awards Dinner and Ceremony.

Commenting on the award, Ryan Weber, CMO, said, “It is an honor to have been selected as the winner of this year’s SCSU Alumni Awards. I was fortunate to attend SCSU who has a first class science and engineering program. We have built our winning team with many SCSU graduates allowing us to have 106% growth in gross sales over the past four years. My sincere thanks and appreciation goes out to the staff at SCSU and the entire W3i team. We have worked together to build a thriving Internet business in central Minnesota.”

The SCSU Alumni Awards spotlight those alumni, friends and employees of the university who demonstrate the highest standards of integrity and character, individuals whose career and life accomplishments reflect positively on our university community.

About W3i
W3i delivers proven unconventional marketing solutions. With over 15 million unique users each month, W3i provides a receptive consumer base for customized, targeted marketing programs including software marketing, lead generation, display advertising and product placement. The three Weber brothers, owners of W3i, are recent winners of the Ernst & Young Entrepreneur Of The Year® 2006 Award in the Minnesota and Dakotas region.

W3i Holdings, LLC, was established in 2007 to unite all its business services that were formerly known as Freeze.com, LLC, founded in 2000. Freeze.com continues to be a flagship consumer brand for W3i, along with Ringtone.com, ScreenSaver.com and Wallpapers.com. Today W3i employs more than 60 Internet professionals. To learn more about W3i, visit www.W3i.com.

About St. Cloud State University
Located in St. Cloud, Minnesota, St. Could State University (SCSU) is the largest member of the Minnesota State Colleges and Universities System, the second largest university in Minnesota. SCSU is one of the most highly accredited universities in the upper Midwest offering more that 175 academic programs.

Tags: w3i, ryan weber, scsu, alumni, mobile, st. cloud, st. cloud university, ringtones, screensavers, wallpapers