SOURCE: [x+1]

October 16, 2008 10:30 ET

Enhanced Version of [x+1]'s Patented Predictive Optimization Engine® (POE) Helps Online Marketers Achieve Better Results With More Precise Targeting

NEW YORK, NY--(Marketwire - October 16, 2008) - [x+1], www.xplusone.com, the leader in predictive marketing, today announced a more powerful version of its patented Predictive Optimization Engine® (POE) which will be compatible with a wide range of statistical modeling techniques such as neural networks, linear programming and multi-tree decision support to maximize the return on investment (ROI) of online marketing and advertising campaigns.

The new version of POE will be available Nov. 1 as part of Site+1, a full-service solution that automatically captures and models data about web site visitors, while maintaining anonymity, and tailors offers and content on a web site accordingly. In the first quarter of 2009, the enhanced POE will be available with Media+1, which creates dynamic custom ad networks by aggregating web pages and micro-targeting a marketer's desired audience.

The new POE features an open statistical modeling architecture, which is compatible with any and all statistical modeling techniques. This allows users to create more powerful, refined and targeted online ad placements, ensuring advertisers are in front of just the right audience at the exact right time.

Another new feature of POE is that it automatically selects the best statistical approach by continuously comparing past results with predicted behavior for the most accurate forecasting possible. It also is able to finely define people's buying behavior by creating thousands of segments based on anonymous behavioral and demographic data. That translates to more targeted advertising and higher response rates.

"With the enhanced features and functions of POE, companies can provide a still greater degree of specificity in terms of online advertising and marketing delivery," said Paul Davis, Vice President of Analytics for [x+1]. "With the new POE, it's like moving from analog to HDTV."

"This will result in a better ROI by improving response rates as the online behavior of end-users is anonymously profiled and targeted ads based on those profiles are delivered in real time," said Davis. "This advanced predictive engine also provides greater customer insights, richer, more granular reporting and enhanced user segmentation." POE is the first product produced under the leadership of Davis, who joined [x+1] in April 2008.

In addition, the new version of POE actually improves and gets smarter on the fly. As in direct mail where a primary offer and a control are used, POE always has an incumbent model and a new model, which acts as the "challenger." Thus, it keeps challenging the incumbent model until the results improve -- then it becomes the incumbent, and the process is continually repeated and refined. At the same time, POE updates user profiles in real time, depending on a user's actions.

For example, an exclusive offer targeting high net worth individuals may have a relatively small audience, so it would very rarely be served up and recommended by a predictive engine. But the new version of POE, with its ever-finer audience segmentation, will be able to recommend such products and services that might otherwise lack exposure to their target audience.

POE's new features include:

--  The ability to select the best statistical model: Neural network,
    logarithmic regression or multi-decision tree.
--  Ongoing improvement: POE continually tests its current statistical
    model against a "challenger model" to determine which algorithm is the most
    accurate.  The most accurate model is implemented instantaneously to ensure
    that the most effective equation is used.
--  Intelligent website design: The location of a product/offer on a web
    page is positioned based on performance.
--  Real time scoring. Each user is given a model score in real time to
    determine the most relevant product or offer for the individual.
--  Finer segmentation. More finely sliced segmentation allows POE to more
    accurately provide a prospect with the best product/offer.
    

About [x+1]

[x+1], the leader in predictive marketing, maximizes the return on marketing investment (ROI) of websites and digital media using its patented targeting technology. Providing the first end-to-end digital solution for advertisers and agencies, it optimizes engagement rates and lift conversion in both media and on websites. Its predictive marketing solutions enable automated, real-time decision making and personalization so the right advertisement and content is delivered to the right person at the right time. Top companies in financial services, telecommunications, online services and travel have significantly increased the performance of their digital marketing using the services of [x+1]. The company is headquartered in New York City. For more information, please visit www.xplusone.com.