EX-99.4 5 d429381dex994.htm SPIN-OFF TRANSACTION AND ARCHEO OPPORTUNITY

Spin-Off Transaction & Archeo Summary Exhibit 99.4 November 2012

www.marchex.com 2 SAFE HARBOR STATEMENT This presentation contains forward-looking statements that involve substantial risks and uncertainties. All statements, other than statements of historical facts, included in this presentation regarding our strategy, future operations, future financial position, future revenues, other financial guidance, acquisitions, projected costs, prospects, plans and objectives of management are forward-looking statements. In addition, there are certain risks and uncertainties relating to our announced spin-off transaction which contemplates a separation of our mobile and call advertising business and our domain and advertising marketplace business, including, but not limited to, the impact and possible disruption to our operations, the timing and certainty of completing the transaction, the high costs in connection with the spin-off which we would not be able to recoup if the spin-off is not consummated, the expectation that the spin- off will be tax-free, revenue and growth expectations for the two independent companies following the spin-off, unanticipated developments that may delay or negatively impact the spin-off, and the ability of each business to operate as an independent entity upon completion of the spin-off. We may not actually achieve the plans, intentions or expectations disclosed in our forward-looking statements and you should not place undue reliance on our forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in the forward-looking statements we make. There are a number of important factors that could cause Marchex's actual results to differ materially from those indicated by such forward-looking statements which are described in the "Risk Factors" section of our most recent periodic report and registration statement filed with the Securities and Exchange Commission. All of the information provided in this presentation is as of today’s date and we undertake no duty to update the information provided herein.

www.marchex.com 3 Transaction Overview Marchex intends to pursue the separation of its business into two distinct, publicly-traded entities: Marchex and Archeo Archeo shares will be distributed to existing Marchex shareholders in a tax-free spin-off transaction on a pro rata basis Archeo will operate independently with a new management team Subject to Board approval over the coming months

Rationale for Company Separation Marchex Pure play mobile advertising company focused on pay for call advertising and analytics Archeo Premium domain and advertising marketplace that enables for the buying, selling and development of digital properties and ad inventory Allow both Marchex and Archeo to increase strategic focus, build on unique assets and accelerate growth www.marchex.com 4

www.marchex.com 5 Archeo’s Assets – An Opportunity to Unlock Value 200,000+ best-in-class domains with very meaningful value Significant domain inventory provides a long-term sales window Unique, premium advertising marketplace with multiple growth catalysts Potential to build out more proprietary sites Rich Assets + Ability to Monetize = Strategic Flexibility

www.marchex.com 6 Archeo Business Opportunity Resource the Domain Marketplace Opportunistically buy domain names to support our marketplace Sell more domains by accessing new sales channels Selectively develop digital properties to add to our advertising marketplace Products Growth Catalysts Expand Advertising Marketplace Innovative new products and technology Expand on the existing premium publisher partnerships Leverage proprietary digital properties to increase advertising sales Domain Marketplace (200,000+ domains) Premium Advertising Marketplace $$ 2 1

www.marchex.com 7 The Domain Aftermarket is a Big Business Source: http://www.domaining.com/topsales/ Total value for Top-500 traditional Domain Names sold is ~$300 MM, an average of more than $600k per domain` 1

www.marchex.com 8 With one dedicated sales resource, Marchex has generated more than $30 million in domain sales, representing less than 5% of the total domain portfolio Archeo Domain Marketplace (as Marchex) has Successfully Monetized Domains with Limited Resources 2012 Marchex Historical Domain sales for the 9 months ended 9/30/12 are $5.4 MM. See list of Marchex Historical Top 500 sales and current owned domains for more detail. Selected Sales Marchex Historical Annual Domain Sales $4.4 MM $4.9 MM $6.8 MM $9.5 MM 2008 2009 2010 2011

www.marchex.com 9 To date, all Marchex historical domain sales have been through the Negotiated sales channel With additional resources, Archeo will accelerate Negotiated sales Additional opportunities include: – Accessing the Buy-Now Market for incremental revenue opportunity – Entering the Auctions, External Transfer and Broker sales channels Archeo will Accelerate Domain Sales by Accessing New Sales Channels *SEDO Q2 2012 Domain Report 7% External Transfer 42% Buy Now 31% Negotiated 15% Auctions 5% Broker 1

www.marchex.com 10 Leverage selected premium domains for development internally and through partnership Innovate with design and content to create valuable consumer experiences Use proprietary data and analytics to inform priorities for growth Potential Candidates for Development Archeo Domain Marketplace will Selectively Develop Digital Properties to Increase Value Large sample of current owned Archeo domains is available at www.marchex.com/archeo 1 Business & Finance Corporations.com AnnualReport.com CurrencyExchange.com Debts/Insurance Debts.com Refinancing.com InsuranceDeals.com Miscellaneous Cuisine.com Toddler.com Beijing.com Real Estate HomeInspections.com HomeMovers.com HomeLenders.com Spanish Mujer.com Deportes.com Salud.com Home & Remodeling Remodeling.com Locksmiths.com Theft.com

www.marchex.com 11 Archeo will Expand its Current Advertising Marketplace Capabilities Optimize existing business: Continue to place national and local pay-per-click advertisers on premium publishers Proprietary Publishing Opportunities Education BestColleges.com 50States.com Local Yellow.com AreaConnect.com Technology Finance Refinancing.com Debts.com Current Premium Publisher Partner Verticals Human Resources Business & Finance 2

www.marchex.com 12 Archeo will Grow its Advertising Marketplace 2 National Advertisers Local Advertisers New Distribution: Strategically add new publishers, verticals and mobile distribution Proprietary Traffic: Extend advertising sales to Archeo digital properties New Ad Types: Accelerate product offerings, including mobile initiatives

www.marchex.com 13 People Initial team already onboard for the transition from Marchex Will invest in experienced management Will continue to build out sales and engineering teams Technology Develop additional tools necessary to deliver on the domain marketplace strategy Accelerate advertising product innovation to develop new offerings for our customers Continue to derive proprietary data and analytics to inform priorities for growth What’s to Come for Archeo

Reference Material

www.marchex.com 15 Resources available at www.marchex.com/archeo Marchex Summary Industry Top 500 Domain Sales Marchex Historical Top 500 Domain Sales Archeo Sample Current Domains Additional Information