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Demand Media Introduces Innovative Social Feed Ads

Today, Demand Media® (NYSE: DMD) announced the introduction of a suite of rich media advertising units that incorporate its new Social Feed ad management tools. These tools allow advertisers to deliver customized social media content directly into their live rich media ads – including ads that feature video, audio, Flash and HTML5. In the coming months, brands like Klondike, American Egg Board and Purex, in addition to other leading marketers, plan to launch campaigns using the new products on Demand Media’s properties, which include eHow, LIVESTRONG.COM, Cracked and typeF.

“Our new social advertising products are designed to amplify and broadcast our advertisers’ campaigns across a variety of social platforms,” said Joanne Bradford, chief revenue and marketing officer at Demand Media. “We believe our new Social Feed ad units are the first to allow advertisers to enhance their video-enabled ads using customized content from their social media footprint.“

Demand Media’s new socially-enabled ad units expand when a site visitor rolls over the ad. The Social Feed ads give advertisers the option of integrating customized, real-time social feeds directly into their rich media ad unit.

“Klondike is excited to extend our social media programs through Demand Media’s unique ad unit, which will dynamically enable our Facebook and Twitter updates in real time,” said Mike Hurley, senior brand manager for Klondike.

The Social Feed ads allow advertisers to update their live ad units in real time, or post updates directly to their live ad and their brand’s Facebook page simultaneously. Advertisers can also choose to feed curated, live content from Twitter directly to their ad unit. The ad units also provide consumers with easy access to a brand’s Facebook, Twitter, Google+ or YouTube presence.

“Advertisers are investing millions of dollars to build healthy brand communities on a variety of social media platforms,” said Peter Luttrell, senior vice president of ad solutions at Demand Media. “Our new Social Feed ad products help marketers extend their existing social media investments across their entire online media buy and deliver customized social media content directly into their live ads in real-time.”

Demand Media’s social advertising products are currently available in both IAB standard and custom rich media units like billboards, site skins and overlays that support advanced functionality like video, audio, Flash and HTML5. The products are supported on Demand Media’s owned and operated properties including eHow, LIVESTRONG.COM, Cracked and typeF, and the network of independent websites represented by IndieClick, which includes Collider, Screenrant and HipsterRunoff.

To see Demand Media’s new Social Feed ad units in action, visit: http://demandmedia.com/socialads. For more information about Demand Media’s social advertising products, please visit http://advertising.demandmedia.com/contact/

About Demand Media

Demand Media, Inc. (NYSE: DMD) is a leading content and social media company that informs and entertains one of the Internet’s largest audiences, helps advertisers find innovative ways to engage with their customers and enables publishers to expand their online presence. Headquartered in Santa Monica, CA, Demand Media has offices in North America, South America and Europe. For more information about Demand Media, please visit www.demandmedia.com

Cautionary Information Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, as amended. These forward-looking statements involve risks and uncertainties regarding the Company’s future financial and operating performance, and are based on current expectations, estimates and projections about our industry, market acceptance, financial condition, operating performance and results of operations, including certain assumptions related thereto. Statements containing words such as “guidance,” “may,” “believe,” “anticipate,” “expect,” “intend,” “plan,” “project,” “projections,” “business outlook,” and “estimate” or similar words of expression constitute forward-looking statements. Actual results may differ from expected results set forth in any such forward-looking statements, which differences may be significant and material, and reported historical results should not be considered an indication of future performance. Potential risks and uncertainties include, among others: the successful adoption of Demand Media’s new rich media advertising units by customers; and the company’s ability to adapt its rich media ad units as needed to comply with any changes implemented by social media sites and meet rapidly changing advertiser demand. More information about potential risk factors that could affect our operating and financial results are contained in our annual report on Form 10-K for the fiscal year ending December 31, 2011 filed with the Securities and Exchange Commission (http://www.sec.gov) on February 24, 2012, and as such risk factors may be updated from time to time in our quarterly reports on Form 10-Q filed with the Securities and Exchange Commission, including, without limitation, information under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations.”

Furthermore, as discussed above, the Company does not intend to revise or update the information set forth in this press release, except as required by law, and may not provide this type of information in the future.

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