There’s nothing like the sound of the word "free" to make people sit up and take notice.
And that’s just what marketers like HMV Canada and Corby Distilleries are counting on, as they dangle complimentary branded Internet access in front of Canadian consumers.
In separate initiatives, both companies are offering Web-head wannabes free Internet access and e-mail in return for the right to have their custom-branded home page appear as the user’s default home page.
HMV.com, in partnership with Calgary-based free Internet service provider Cybersurf Corp., plans to begin distributing HMV/3Web-branded Internet installation CDs this week at its retail outlets in Toronto and Vancouver, says Sara Ross, the music retailer’s Internet marketing manager. While the CD will sport a price tag of $9.95 plus tax, customers who pay up will receive a $10-off coupon for HMV.com, she says.
Cybersurf’s 3Web service allows HMV to highlight its new releases and special promotions on the user’s main access page. It also provides users a permanent branded link to HMV.com – ensuring the opportunity to make a purchase remains just a click away.
Ross says she expects the co-branded HMV/3Web site will attract consumers who may have been reluctant to get onto the Web, those who are unhappy with their current ISP, and those who simply want free Web access.
While Ross says HMV.com won’t be privy to consumer information gathered by 3Web, users will be asked whether they want to sign up for HMV’s newsletter – thereby opening an avenue for one-to-one communication.
Meanwhile, Toronto-based Corby Distilleries, in partnership with Funcow.com, rolled out its own private-label Internet access offering last week. Just as with HMV, Corby’s banner will be present at all times and will act as a hot link to the company’s Web site. The service will be promoted on Canadian college and university campuses via free co-branded installation CDs, says John McDonald, Funcow’s manager of marketing and communications.
Free advertising-supported ISPs are widespread in the U.S. – the largest, NetZero, is second only to America OnLine in terms of the number of subscribers – and they are now gaining ground in Canada.
While Canadian consumers have not had access to co-branded services before now, private label offerings in the U.S. have amassed a lot of attention. Recently, Kmart partnered with Yahoo! and a backbone provider to offer Kmart shoppers the opportunity to connect for free – a development that Michael Szego, a consultant with J.C. Williams Group labels "important."
