Prepress

myPhotopipe.com Expands Online Offering of Photo Greeting Cards

Thursday 10. April 2008 - Company targets $7.5 billion greeting card space with more than 300 new products

myPhotopipe.com, Inc. (Pink Sheets: MPPC.PK), a web-based online provider of digital photo processing and related services, today unveiled a new initiative to significantly expand its product offerings and presence in the photo greeting card segment of the $7.5 billion greeting card market. The Company expects to more than double the number of products offered via its online web portal.

During 2006, according to data from industry association PMA, over 9 million households used digital cameras to make photo greeting cards, spending more than $550 million. As in years past, owners of high-end digital cameras (8 megapixels or more) were almost twice as likely to make photo greeting cards as owners of lower resolution cameras. What prompted myPhotopipe.com’s newly announced initiative was the sharp increase in sales of high-end cameras.

According to PMA data, demand for 8 or greater megapixel cameras grew at a rate of 977% in the fourth quarter of 2007, versus the same period in 2006. This translates into approximately 25 million new high-end cameras entering the US market in 2007. According to the PMA, better cameras correlate to better images. This, in turn, encourages the purchase of more photo cards, which have also benefited from an increasing demand among consumers for self-expression and the personalization of social sentiments.

myPhotopipe.com offered consumers 629 photo greeting card styles at the end of 2007. The Company is adding 256 cards under its newly created Designer Collection category and 60 cards under a new General Purpose category, and it will also expand all of its existing categories with a new line of primary colors.

“This is the single most important initiative we have undertaken since the launch of FolioPrints,” noted Eric Casolo, Director of Digital Photo Tools for the Company. “In large measure it came about because of the convergence in data and trends. First there was the jump in sales of high-resolution cameras. Second, the whole social expressions segment of the greeting card market has doubled during the past two years. And of course, owners of high-end cameras are almost twice as likely to make photo cards as the ordinary digital camera owner. When we saw the sharp increase in demand for cameras with resolutions of 8 megapixels and higher, we felt compelled to act, so we accelerated our timetables and will continue on an accelerated pace for the next two months.”

According to the PMA, photo greeting cards grew from 270 million units in 2005 to 550 million in 2006. Year-end data for 2007 is not yet available.