August 31, 2006 Realize Case

Where We Started  High-speed internet growth has been explosive  However, African Americans lag the general market, even when socio-economic factors have been removed  Many broadband providers, spending hundreds of millions to say the same thing  Category has become commoditized with little differentiation in messaging  Superior speed claims, lower price, features not benefits

Our Task  Bring a unique approach and distinct message that speaks and connects with them  Predispose AA consumers to Verizon Online DSL

A New Approach  Transition Verizon from traditional acquisition approach – national DRTV, DM, FSIs – to an integrated, local campaign utilizing awareness and acquisition elements based on consumer insight VERIZON NATIONAL ACQUISITION MODEL 360º INTEGRATED LOCAL MODEL DRTV, DM, FSIs, DOOR HANGERS TV, OUTDOOR, RADIO, ONLINE, PR EVENTS, PR, ONLINE, MOBILE VEHICLE

The Insights  Several key insights that impacted every part of communications  African Americans are highly entrepreneurial  High-speed internet enables African Americans to reach their potential by leveling the playing field and increasing options  Unique technology adoption curve from mass market – African Americans will leapfrog stages, provided they see the benefit  Word-of-mouth drives adoption and sales  Experience and demonstration is key

The Campaign Realized  Utilized 19 local entrepreneurs from key Verizon markets  Powerful creative envelope  Media with meaning – creative ran places usually occupied by tobacco, lottery, liquor advertising (e.g., convenience stores), which generated positive buzz  Increased efficiency and effectiveness by focusing on select neighborhoods within key competitive markets  Interactions beyond advertising

 Drive the message home with a unique, big idea  Placed a local entrepreneur in an empty neighborhood storefront for 21 days  Her Goal: Launch her business, with only Verizon technology, an Oracle and Taskmaster  Truly integrated, involving everyone  Our creative team came up with the idea, our planning and account team helped sell and manage it, and our engagement and production teams executed it Dream 254: The Verizon Incubator

 Realize was the platform for engagement activities throughout Q and 2006, for example,  NCNW Family Reunion  Congressional Black Caucus  Howard University Homecoming  Utilized the Realize Mobile Tour vehicle at key events  Consumers could interact with products, Verizon employees and our Realizers Engagement and Events

 Brought annual Black History Month advertising and events under the Realize banner, focusing on entrepreneurism among high school students  Shot Caller Showdown was a business case building competition in predominantly African American high schools in our core markets Black History Month

Success Realized  91,454 unit sales in 2006 (210% of objective)  1.5 billion media/PR impressions  Realize Ambition site generated:  Over 15,000 unique visitors a week during Incubator period  395 sales  Online banner creative generated over 10 Million Impressions

Success Realized  Impacted the brand  Brand Health Index increased by over 11 points from pre- Realize period (Q3’05)  Lifted top-of-mind and unaided awareness of Verizon as a broadband company

Success Realized  Awards garnered by Realize campaign  Verizon won the American Advertising Foundation Award for Advertiser of the Year, based on strength of Realize campaign  Burrell won the American Advertising Foundation Award for Advertising Agency of the Year, based on strength of Realize campaign  ANA Multicultural Campaign with Most Significant Results  Verizon’s Supplier of the Year Award

APPENDIX: CREATIVE

Outdoor: Earnest Jordan Teaser

Outdoor: Earnest Jordan

Outdoor: Solomon Jones Teaser

Outdoor: Solomon Jones

Outdoor: Nikki O’Dell Teaser

Outdoor: Nikki O’Dell

Outdoor: Kareem Black

FSI: Kareem Black

Radio

Newspaper: Earnest Jordan

Online: Realize Portals

Advertorial: Nikki O’Dell

Verizon Realize Mobile Unit