Company Presentation

August 2013

For

per

sona

l use

onl

y

The Mobile Revolution

By 2017, the total consumer m-payments user-base will climb past 500 million. That will be more than a five-fold increase from the less than 75 million consumers who

used mobile payments at year-end 2012 (Business Insider, Australia 2013)

Smartphone penetration risen to 76% and owners increasingly reliant on their devices. 81% access the Internet daily - most never leave home without it

(Telstra News & Magna Global research 2013)

By 2017, the total value of global offline transactions facilitated by mobile devices will reach about $1.5 trillion, up from $120 billion in 2012

(Business Insider, Australia 2013)

PayPal Australia growth: 1.5 million of PayPal Australia’s 4.5 million users have already transacted on mobile. Mobile payment volumes grew 5 times in Australia in

2012 (Digital Nation July 2013)

Mobile internet access will overtake PC within 12 months Morgan Stanley

For

per

sona

l use

onl

y

The Opportunity and Challenge

Businesses of all types must Reach and Transact with the large and growing volume

of consumer traffic moving to mobile devices

and Monetise the transactions

To do so you must:

Give consumers relevant products with contextual marketing and easy payment options F

or p

erso

nal u

se o

nly

Infrastructure:

Two business units 4th Screen Advertising Australia and mobile payments

37 fulltime mobile focused staff across Sydney, Melbourne, NZ and Vietnam plus Board of Directors

M-marketing (mostly advertising), and m-payments technology and platforms

10 years of m-marketing and m-payments expertise

What We Are – The Enabler Mobile Embrace – an m-marketing and m-payments enabler:

A company that enables reach and transactions with consumers on their mobile devices that result in direct (m-payments) or indirect (m-marketing) monetisation

Revenue comes from:

Consumers paying (m-payments) for products and services on their mobile devices

Advertisers paying to reach and transact (m-marketing / advertising) with consumers on their mobile devices

Currently revenue ratio approximately 75% m-payments, 25% mobile advertising

For

per

sona

l use

onl

y

Leads with Mobile Advertising

Customers: Agencies and Brands

Partners: Agencies, Publishers, Publishing Networks, Technology Providers

M-Marketing Business Structure

Premium Publisher Network Production M-Marketing Platforms M-Marketing Toolkit

For

per

sona

l use

onl

y

Some Of Our Premium Publishers F

or p

erso

nal u

se o

nly

Some Of Our Clients – Premium Brands F

or p

erso

nal u

se o

nly

Mobile - SEO

Mobile Advertising

TV

Messaging

Text ‘MI4' to 0447 770 077

Print

Outdoor

Converged Mobile Solution Example F

or p

erso

nal u

se o

nly

Our Competitive Advantage

Scale and Reach – local and global premium publishers

Mobile Embrace has trading agreements with most major agencies

Ad Marvel/Opera (OPERA:NO) relationship gives access to Tier 1 global publishers, best of breed technology and valuable market insight

Consecutive years of winning mobile advertising awards showcasing our market leading creative and production capabilities

For

per

sona

l use

onl

y

Customers: Consumers Partners: Telcos, Aggregators and Content Providers

Media Trading Desk Production M-Payment Platforms Customer Management Platform

M-Payments Business Structure F

or p

erso

nal u

se o

nly

M-Payments

Development, growth and risk mitigation of the business is focused around key levers:

• Marketing channels

• M-payment platforms

• Product diversity

• Addressable markets

•

•

For

per

sona

l use

onl

y

Risks

Competitive technologies

New competitive market entrants

Fluctuation in mobile advertising spend, business spend on mobile or consumer sentiment

DSP’s (Demand Side Platforms) – self serve model for purchase or pricing of advertising inventory best suited for lower tier advertisers

Regulation

Carrier support of billing platforms

Marketing channels, New Product and Billing channel performance

Restrictions in handset platform access – e.g. Apple’s current eco system

For

per

sona

l use

onl

y

Upgraded Trading Result

5th August 2013

ASX RELEASE

Company Update: Mobile Embrace Upgrades FY13 Result

Key Points

Mobile Embrace FY13 audit close to conclusion. Unaudited FY13 financial results upgraded

Revenue upgraded from $12million to $12.23million FY13 up 7.5% from $11.37million FY12

EBITDA upgraded from $0.85million to $1.045million FY13 up 227% from

$0.32million FY12

NPAT $0.23million FY13 up 192% from -$0.25million FY12

For

per

sona

l use

onl

y

Outlook

Advertisers are committing more and more money to mobile – forecasted for triple digit growth

Consumer adoption of Mobile Payments forecast for strong sustained triple digit growth

More premium global and local publishers connecting with our technology and integrating with our SDKs

Our platforms and technology solve the “go mobile” problem for business

Global brands such as Facebook publicly embracing a "mobile first" strategy are helping accelerate market growth

For

per

sona

l use

onl

y

Shareholder Information

Shareholder Number of Ordinary Fully

Paid Shares Held

% Held of Issued

Ordinary Capital

1. WAUGHDOC PTY LTD 26,676,639 8.66

2. COMMUNITEE PTY LIMITED 12,033,000 3.91

3. MR NEIL WILES 12,000,000 3.90

4. CONNAUGHT CONSULTANTS (FINANCE) PTY LTD <SUPER FUND A/C>

10,747,037 3.49

5. MRS KRISTEN LOUISE LONG 10,000,000 3.25

6. MR CAMERON DAVID NELSON 10,000,000 3.25

7. SPINITE PTY LTD 10,000,000 3.25

8. AUSTER CAPITAL PARTNERS LLC

9,938,890 3.23

9. EQUITAS NOMINEES PTY LIMITED <3020270 A/C>

7,838,889 2.55

10. CUSTOM AV PTY LTD 7,740,044 2.51

Current Share Price $0.058

Market Capitalisation $17,856,912

Top Ten Shareholders

MBE Historic Share Price

For

per

sona

l use

onl

y

Executive Team

Chris Thorpe – CEO - 19 years experience founding and managing some of Australia’s largest Premium Rate Telecommunication businesses, consistently innovating at the leading edge of technology whilst leveraging an extensive local and International network. (Holds approx 26.7M shares = 8.66%)

Neil Wiles – MD - ADMA Mobile Marketer of the year, listed by B&T Digital as one of the 40 Biggest Players of Australia's Digital Age. Expertise built over 22 years in the Entertainment, Internet, Digital and Telecommunications industries. He is one of six members that constituted the Communications Alliance working group responsible for the development of the Mobile Premium Services Code. (Holds approx. 24M shares = 7.81%)

Simon Allison - CFO - 15 years experience in the IT&T industries and the last 10 years in the Telecommunications and Financial Services sector. Simon's last role was with Leading Edge Group Limited a medium sized multi-national company providing a suite of services across Telecommunication and Technology Channels in Australia, New Zealand and the UK. A track record of growing organisations through strategic acquisition coupled with prudential Financial and Risk Management.

For

per

sona

l use

onl

y

Executive Team

Peter Birch – MD 4th Screen Advertising Australia - 15 years working for ITV in the UK as Head of Interactive. Launched ITV’s cross platform interactive TV and enhanced TV services. Last 4 years in Australia spent at MCN heading integration for mobile and online into the broadcast sales teams and Head of Digital at Network Ten. Scott Johnson – GM M-Payments - Distinguished marketer specialising in high technology direct to consumer brands. For the last 12 years Scott has held senior and executive roles at Singtel Optus, News Limited, m.Net Corporation and more recently at Fox Mobile. Scott is a Certified Practising Marketer and Associate Fellow of the Australian Institute Of Marketing, MBA (International Business), B.App.Sci (Computing Science).

For

per

sona

l use

onl

y

Board Of Directors

David Haines – Non-Executive Chairman – A director of the company since May 2001. Mr Haines holds a Bachelor of Education degree and was Secretary to the Standing Committee of Commonwealth, State and Territory Ministers with Censorship Responsibilities (1988 to 1994), Deputy Chief Censor, Australian Film Censorship Board (1986 to 1994) and Member of the Australian Film Censorship Board (1981-1994).

Chris Thorpe – Executive Director - CEO – 19 years experience founding and managing some of Australia’s largest Premium Rate Telecommunication businesses, consistently innovating at the leading edge of technology whilst leveraging an extensive local and International network.

Drew Kelton – Non-exec director – Mr Kelton joined the Board on 1 July 2010. He is Vice-President of Enterprise services at T-Mobile USA. Prior to joining T-Mobile, Drew was President of Enterprise services, Bharti Airtel. Mr Kelton previously spent eight years as Managing Director of Telstra Corporation’s International business unit where he was responsible for driving business growth in Telstra’s offshore operations and establishing a multinational customer division to oversee Telstra’s biggest global customers.

Gavin Whyte – Mr Whyte brings a wealth of global experience in the mobile media industry to the company. Mr Whyte is currently CEO / Co-Founder of Rework London Limited. Rework is a mobile performance marketing and loyalty business based in central London. Prior to Rework, Mr Whyte was the CEO and a Co-Founder of Touch Mobile Limited. Touch Mobile was a mobile gaming start-up, specialising in skill gaming and lotteries which was sold in May 2011. Mr Whyte has over 14 years experience in mobile value added services, ranging from content such as games and music, mobile TV, competitions, gaming, dating, social media and loyalty platforms.

For

per

sona

l use

onl

y

Company Presentation

August 2013

For

per

sona

l use

onl

y

Glossary Of Terms

CPM – Cost per thousand impressions

CPC – Cost per click

CPL – Cost per lead

CPA – Cost per acquisition

CLV – Customer lifetime value

Impression – A single instance of an advertisement being displayed

M-coupon – Coupon sent/received, and/or usable via a mobile device

M-site – Website designed for optimum features, functionality and viewing on a mobile device

DSP - Demand Side Platforms – self serve model for purchase or pricing of advertising inventory

M-payment - generally refer to payment services performed from or via a mobile device. A consumer can use a mobile phone to pay for a wide range of services and digital or hard goods.

For

per

sona

l use

onl

y

Mobile Embrace Solutions F

or p

erso

nal u

se o

nly

Mobile Ad Campaign – Retail Example

Branded mobile coupon solution for Hugo Boss to allow customers to take voucher in store (Myer) to redeem

Customer clicks on banner for free fragrance sample coupon directly from campaign landing site

Mobile site also featured ‘Redeem Voucher’ for customer to tap and hold to save image to phone or they can click on “Your Boss Consultant” to find store with fragrance consultant or customer clicks “Find Myer” to find my nearest store to redeem free fragrance sample

For

per

sona

l use

onl

y

Mobile Coupon Solutions

Engage with Rich HTML5 ad units

Download coupons to their phone

Direct them to nearest store F

or p

erso

nal u

se o

nly

HTML5 / Rich Media:

All our HTML5 and rich

media is

created in-house

Built, managed and hosted

locally

Call to actions include:

Touch to Video

Touch to Social Network

Touch to Call

Touch to Location

Touch to AR

Touch to App Download

Add Event to Calendar

Touch to SMS

Major brands trust us to deliver rich media at scale

Creative Capabilities F

or p

erso

nal u

se o

nly