December 5th, 2000

NeoPets.com Launches Dramatic New Form of Internet Advertising, Results Far

By M. Baybak & Co. Inc.
Business Wire

NeoPets.com Inc. reports that results for major corporate sponsors over the past six months using a new, interactive form of advertising are broadly exceeding expectations.

Coining the term “immersive advertising” to describe this new advertising technique, the company has integrated sponsor products or messages into the popular activities and adventures of their site, NeoPets.com. Users at NeoPets.com interact directly with the sponsor’s products, characters and messages for extended periods—ensuring lasting impressions that can be easily measured.

By customizing campaigns to meet each advertiser’s needs, NeoPets.com has demonstrated strong numbers of impressions and time statistics for their sponsors, exceeding expectations by as much as fourfold. This method of advertising is unique to the NeoPets site, and it dramatically expands the potentials for what advertising can achieve on the Internet.

Companies currently engaged in immersive advertising on NeoPets include Universal Studios’ “The Grinch,” Turner Broadcasting’s Cartoon Network and Cartoon Orbit, Warner Bros.’ “Pokemon: The Movie 2000,” Watermark Press, Britannica and others.

The strength of these results is based on the success of the NeoPets site.  With more than 4 million registered members, who according to PC Data Online spend an average of nearly 6 hours a month interacting with the site, NeoPets.com is by far the stickiest Gen Y community on the Web.

COO Lee Borth said, “We have developed immersive advertising to leverage our remarkable stickiness. Immersive advertising creates a lasting impression with our users, particularly so when compared to traditional magazine or TV ads (which may never be seen), or distractive banner ads that are frequently not even within the focus of the user.

“Because of the size of the site and the number of unique users aged 9-19, the opportunities with immersive advertising are unlimited.”

NeoPets.com is not a novelty or game site, but rather a diversified, interactive Web community where new members create their NeoPet, and then select its name, color and traits such as personality, intelligence and special abilities.

With their NeoPets, Gen Y members enter Neopia, the virtual world of NeoPets.com, which contains forests, mountains, rivers, and villages—each offering unique multi-layered activities. Members are constantly involved with the site, creating their own virtual activities, including commerce, entertainment, and interaction with other members.

Members can earn Neopoints, the free currency of the site, which enables them to buy virtual items in various shops, feed and care for their pet, participate in virtual auctions, and perhaps even play the stock market. The NeoPets’ immersive advertising model guarantees what traditional ad programs cannot—delivery of a client’s message to its target audience.

NeoPets.com Inc., a privately-held company, is based in Glendale, Calif.

NeoPets.com Web site link http://www.neopets.com NeoPets.com press kit link http://demo.neopets.com/presskit/

CONTACT: M. Baybak & Co. Inc.
George Duggan, 818/542-6880

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