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Findwhat.Com operates a pay-per-performance advertising service on the Internet. The firm's business model is based on partnering with search engines and portals that place the websites of advertiser clients at a higher level in the search results when an Internet user enters a relevant key word. The client advertiser pays for the service based on the number of clicks that result in the Internet user visiting their site. In addition, client advertisers bid on their positioning through and auction process, with a higher search result position given to advertisers that agree to pay a higher amount per Internet user visit to their site that originates through the services of Because this business model and strategy has produced tangible and measurable returns for client advertisers, the firm has experienced steadily increasing profitability over the past five years in accordance with the general growth of Internet usage.

Environment of

The operational environment of the firm is largely driven by technology, with technical developments providing the means for the firm to deliver its services. The operational environment is also characterized by a general consolidation in the Internet service industry, with only a few Internet major portals dominating the portal segment of the industry, while Google and Overture control 80% of the search engine activity on the Internet.

20% Market Share

As a result, focuses on a niche market, partnering with smaller search engines and portals that currently have only a 20% market share. The firm is not concerned with increasing market share at the current time due to lack of sufficient resources to compete with the larger competitors. Nonetheless, the firm anticipates that revenues will continue to grow in the foreseeable future due to the general increase in Internet usage.

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