Profile: United Online Inc (UNTD.OQ)

UNTD.OQ on NASDAQ Stock Exchange Global Select Market

27 Nov 2015
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United Online, Inc., incorporated on June 5, 2001, through its operating subsidiaries, provides consumer services and products over the Internet under a number of brands, including NetZero, Juno, Classmates, StayFriends, Trombi and MyPoints. The Company operates in two segments: Communications, and Content & Media. The Communications segment provides Internet access services and devices, including dial-up, mobile broadband, digital subscriber line (DSL), e-mail, Internet security, Web hosting, and voice services. The Content & Media segment offers social networking services and products, and a loyalty marketing service.

Communications Segment

The Company's principal Communications pay service is Internet access, offered under the NetZero and Juno brands. Its Internet access offerings includes dial-up service, mobile broadband and DSL. The Company also offers e-mail, Internet security, Web hosting services and other services. As of December 31, 2014, the Company had 490,000 Communications pay accounts, of which 301,000 were Internet access pay accounts and 189,000 were pay accounts subscribed to the other Communications services, including e-mail, Internet security and Web hosting services. In addition, the Company's Communications services include search placements, display advertisements and online market research associated with its Internet access and e-mail services. The Company offers test phase offering voice services as part of its wholesale agreement with Sprint. The Company offers consumers the option to access its services by purchasing a mobile phone from NetZero or by bringing their own mobile device to use on its service. It offers a range of plans, which include talk, text and data.

The Company competes with AT&T, Verizon, Sprint, T-Mobile, Cricket, Boost Mobile, TracFone, Freedom Pop, AOL, MSN and EarthLink.

Content & Media Segment

The Company's Content & Media segment provides social networking services and products under the Classmates, StayFriends and Trombi brands. The Company operates the social networking services as a platform to enable users to locate and interact with acquaintances from their past, with high school affiliations as the primary focus. Its domestic and international social networking services consisted of a population of users, with approximately 100 million registered accounts as of December 31, 2014. The Company also provides advertising opportunities to marketers with both brand and direct response objectives through a suite of display, search, e-mail and text-link opportunities across its various properties. The Company's social networking products primarily consist of yearbooks and yearbook reprints.

The Company's domestic Classmates service is designed to assist members in finding friends and acquaintances primarily from high school. Its domestic Classmates Website ( primarily serves the United States and Canada. A content feature focused at its base of registered consumers age 35 and over, who joined Classmates to reconnect with important memories from their past, are the digitized versions of high school yearbooks. As of December 31, 2014, the Company had approximately 280,000 digitized high school yearbooks available on the Website. Visitors to the Website can interact with yearbooks, which can facilitate new forms of social connections, such as sharing memorable content with friends and acquaintances or posting comments on the Classmates Website or on Facebook. In addition, members can tag photos directly in the digitized yearbook collection, search for individuals, and view an index of members appearing in the yearbooks. Members and visitors may also purchase a copy of many of the yearbooks available on the Classmates Website.

Members with free accounts can use the search feature to locate individuals in the database or in the Company's collection of yearbooks; post information and view information posted by other members; tag yearbook photos, and organize reunions and engage in other reunion-related activities. Paid subscription holders have access to a range of features, including access to the Classmates Guestbook, which alerts members when another member visits the Classmates profile, unless the visiting member makes the profile selection not to leave the name; ability to send e-mails through the Classmates Website to other members and respond to e-mail messages from any other member, regardless of whether the sender is a free member or a paying member, and access to the Classmates Who Remembers You feature that alerts members when another member has remembered them and how they were remembered.

In addition to the Classmates Website, the Company operates five international Websites that offer social networking services, primarily as a social networking platform to reconnect with friends and acquaintances from high school. The Company operates StayFriends in Germany, Sweden, Austria and Switzerland (,,;, respectively), and Trombi in France (

The Company's Content & Media segment also offers a loyalty marketing service under the MyPoints brand. MyPoints connects advertisers with its members by allowing members to earn rewards points for engaging in online and offline activities. MyPoints is a free service for consumers who register and provide certain identifying information to receive direct e-mail marketing and other loyalty promotions. Members earn points for responding to e-mail offers, shopping online at the MyPoints Website (, taking market research companies' surveys, playing online games with MyPoints partners, searching the Internet on a dedicated MyPoints' landing page and using the MyPoints-branded browser extension as a reminder service for members to shop and earn. In addition to these point earning opportunities, MyPoints also offers a credit card with the ability to earn points through both online and offline shopping. Reward points can be earned from over 1,500 affiliated retailers, which are redeemable for third-party gift cards and electronic gift cards from over 75 merchants or for PayPal credit, as well as the option to redeem in the form of a charitable donation. Gift cards are also available for purchase on the MyPoints Website.

MyPoints provides advertisers with a means to reach an online audience. MyPoints uses a range of criteria, including personal interests, purchasing behavior and demographic profiles, to create focused promotions for advertisers. These marketing campaigns are tailored to meet the goals of the specific advertiser, such as generating sales leads or increased traffic to an advertiser's Website. MyPoints sends personalized e-mail marketing messages, called BonusMail that are directed specifically to individual MyPoints members to showcase a single advertiser or offer. MyPoints members benefit not only from discounts and other benefits featured in BonusMail offers but also can receive points for purchases and, in some cases, for clicking through the media links in BonusMail to the advertiser's Website, as well as for other actions taken within a limited time period.

The Company competes with Facebook, Google, Ebates, Mr. Rebates, Groupon and LivingSocial.

Company Address

United Online Inc

21255 Burbank Blvd Ste 400
WOODLAND HILLS   CA   91367-6610
P: +1818.2873000
F: +1302.6745266

Company Web Links

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