6. Everyone Should Be Protected
Everyone should be able to communicate, share and
socialize with peace of mind, knowing they are
protected as part of the largest security centric
community in the world.
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7. A Very Simple Strategy
Retain
Acquire Monetize
Acquire Free Retain Increase CLV
users across through
multiple understanding, exp
platforms, pr Create products erimentation, cross
oducts and that are sticky and selling and indirect
markets increase lifetime monetization
methods
AVG Proprietary & Confidential 7
8. AVG’s Business Model
100+m users base $80bn market
Secure search opportunity1,2
Partnerships 4bn devices1
8+ products to
monetize today Large
Platform Large Market
Opportunity
Freemium Award-
Model Winning
Technology
High brand awareness and Products High quality, innovative
Web-centric distribution products
Low cost base No.1 most downloaded
Monetizing user base software on CNET’s
download.com
1By 2014. IDC May 2011,2 Gartner May 2011 8
9. Peace Of Mind Products & Services Beyond Security
AntiSpam/
Firewall
Spyware
AV Safe
Search
PC Social
TuneUp Media
Optimizati Identify
on Theft
Wireless
Advisor
Devices
Online
Back-up
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10. An Internet Platform With An Engaged User
Community
Creating Internet Platform Value
Disruptive
Freemium Model
100+M Active High
Number
Users of Users
User Behavior
Insights
Strong Brand / Goodwill
Product Excellence
Web Distribution and
Support
Low Cost Base
High Level of
Consumer
Understanding
Proven Ability to Monetize
11. Geographic, Model & Platform Expansion
Driving revenues through geographic expansion
Mexico China
2011-13 Growth Rates
2011-13 Growth Rates
Security SW Revenues: 13.1%
Security SW Revenues: 16.8%
PC Installed Base: 18.9%
PC Installed Base: 14.5%
Brazil India
2011-13 Growth Rates 2011-13 Growth Rates
Security SW Revenues: 18.6% Security SW Revenues: 15.0%
PC Installed Base: 21.9% PC Installed Base: 13.3%
Argentina
2011-13 Growth Rates
Security SW Revenues: 17.1%
PC Installed Base: 14.6%
Focus & Drive Revenues Maintain & Self-Serve Seed & Drive Penetration
USA Other Western Middle East and North Africa, South Africa China
UK European Countries Other Central European Countries India
Czech Republic Brazil
Canada Australia Benelux, Nordic, Spain Mexico and Other LatAm
Ireland Japan Indonesia
Source: Gartner June 2011
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12. Success Factors & Challenges
• Selecting the right geographies
• Selecting the right people
• Managing a dispersed work force (organic &
Acquisitions)
• Penetration beyond Free
• Getting the model right
• Direct, indirect, partner, BOT (build, operate, transfer), M&A
• Selecting the right technology, platforms and products
• Free, Localization, PR, Social Media, Marketing,
Distribution, etc.
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13. Success Factors & Challenges
• Local establishment (takes time)
• Corporate, product certification, domains, licensing, tax
• Integration
• Unified market entry strategy
• Defining and communicating strategy
• Ensuring cultural fit
AVG Proprietary & Confidential 13
