Creative Online

CREATIVE Electronics & Entertainment Merchandising

December/January 2001


Best Buy Display Demonstrates Internet Options

Consumers can now quickly and easily choose the best broadband option for them based on where they live by comparing leading broadband alternatives at Best Buy retail locations. Through new in-store interactive displays, customers will be able to evaluate availability, cost and comparative speed for a variety of high-speed Internet access services. The new displays are a response to growing consumer demand to compare different broadband alternatives in a single retail location.

“This is all about making it easy for customers to choose which broadband technology is right for them based on their needs and where they live,” said Phil Schoonover, Senior Vice President of Digital Technology Solutions for Best Buy. “As we expand our offerings to include connectivity and content services like high-speed Internet access, we want to make these services easy to understand, compare and purchase, so that consumers can make informed decisions about which service is best for them.

At Best Buy’s interactive displays, customers can learn more about broadband in general, interact with demonstrations that simulate the on-line experience of different broadband services, and determine if they qualify for these types of services based on where they live. Customers can also initiate an order for the service from the displays.

Initially, more than 65% of Best Buy locations will offer consumers two or more of the following services, based on coverage availability: DSL from MSN HighSpeed as well as Flashcom; cable television and high-speed cable Internet access from AT&T Broadband; satellite from DirecPC; and fixed wireless from Sprint. More than half of Best Buy locations will offer three or more broadband service alternatives.


3Q Launches 3-D ‘Q Clone Generators’ At Babbage’s

3Q inc., a pioneer in 3-D human form capture technology for the electronic gaming industry, has launched its “Q Clone Generator” in leading Babbage’s stores.

Through its “Q Clone Generators,” similar in form to a passport photo-booth, PC gamers, for the first time ever, will be able to capture their 3-D image (a.k.a. virtual clone), customize their clone and easily upload it into popular games such as Quake III Arena(TM) and Half-Life Opposing Force.

“For years, Babbage’s Etc. stores have been committed to bringing members of the electronic gaming community together in real world events which enable them to interact and compete,” said Roxanne Koepsell, VP of Marketing, Babbage’s Etc. “Now, with 3Q’s ‘Q Clone Generators,’ we are able to promote a virtual community by bringing our customers together in a multiplayer online gaming environment. Babbage’s is always looking for technologies that bring our customers together and 3Q definitely fits the bill.”


Microsoft-Branded Kiosks Debut At RadioShack

RadioShack has unveiled the Microsoft Internet Center chainwide as part of its strategy to become “America’s Home Connectivity Store.” The Microsoft Internet Centers serve as a one-stop source for consumers, allowing them to both test various broadband services as well as subscribe to Microsoft’s high-speed Digital Subscriber Line (DSL) service. The Microsoft Internet Centers were designed and produced by HMG Worldwide, a multi-disciplinary marketing, promotion and point-of-purchase display agency, headquartered in New York City.


General Mills & GetMusic Run Music Promotion

General Mills is joining forces with GetMusic, the online music site, on a music promotion that offers eight exclusive CD compilations ranging from *NSYNC to Sting to Boyz II Men. This free on-pack offer, involves more than 20 General Mills cereal brands, including Chex, Cheerios, Honey Nut Cheerios, Lucky Charms, Cinnamon Toast Crunch and Total.

Consumers only need the unique code printed inside over 80 million participating cereal boxes in order to redeem the “Gotta Get It Hits” CD of their choice for free, paying only for shipping and handling. “We’ve worked hard to make this a valuable offer for families,” said Cheryl Moser, General Mills Promotion Manager.”

An interactive in-store display brings this promotion to life. More than 25,000 grocery stores across the country will receive a “Gotta Get It Hits” Listening Station, which allows shoppers to hear clips from each of the eight CDs.


Borders Debuts Title Sleuth Kiosk

Borders has introduced the Title Sleuth Kiosk to enable consumers to search for a book, CD or video and receive a map of its location in the store.

“Sleuth Kiosk offers consumers an easy interactive way to locate a particular product and find their way around the store,” said Mary Jean Raab, Exec. V.P., Retail Direct and Convergence, Borders. “In addition to search capabilities, Title Sleuth also offers recommendations and lists for best sellers, new releases, and Borders Essentials in over four hundred categories chosen by our expert buyers.”

The Title Sleuth Kiosk was created by Kiosk Information Systems (KIS), of Broomfield, CO.


Warner Bros. Runs Retail Promotion For Looney Tunes

Warner Bros. Consumer Products has run a Looney Tunes promotion, featuring a send-away offer for a limited edition Looney Tunes interactive CD-ROM. To get the CD-ROM, consumers purchase two Looney Tunes products and mail in an order form along with $1.99 for shipping and handling.

“This promotion is great for consumers, licensees and retailers alike,” said Gwilym McGrew, Sr. V.P., Retail Business Development for Warner Bros. Consumer Products. “We have put together a tremendous consumer value that is sure to drive retail traffic.”

P.o.p. materials include end cap signs, blade signs, shelf talkers and tearpads.

DreamWorks Runs `Road To Gold’ Instant Win Campaign

DreamWorks Home Entertainment is offering the chance to win a grand prize of one million dollars as well as millions of prizes, in the “Road to Gold” instant winner campaign, marking the release of the animated comedy adventure, “The Road To El Dorado” on VHS and DVD.

DreamWorks is offering consumers a $3.00 rebate on the purchase of both The Road To El Dorado PC Game and The Road To El Dorado VHS or DVD via an in-pack coupon inside both products.


I-Jam Uses Pre-Pak To Introduce The LP

I-Jam Multimedia LLC, a pioneer in the digital audio arena, is using the PocketZip disk from Iomega Corp. as the basis for the new secure way to distribute pre-recorded music, best-selling books, and digital magazines.

The new product, called the License Plate or LP, is a new and improved form of content storage that is about the size and shape of a silver dollar.

Doug Marrison, CEO of I-Jam Multimedia, said, “The decision by multiple music leaders to embrace technology by supporting this new format is truly significant. Just as cassette tapes and compact discs were improvements on the storage formats before them, I-Jam’s LP which uses Iomega’s PocketZip technology is going to impact the worlds of music and spoken word.”

I-Jam will distribute to retailers a p.o.p. Pre-Pak to showcase the new product. The Pre-Paks include Iomega HipZip players bundled with a free sampler LP.


Earful Opens Audiobooks ‘Superstore’

Earful of Books, Inc, has opened it first superstore in Redmond, WA. Customers can rent or purchase from 7,000 titles on cassettes or CDs and order from another 65,000 titles. The bookstore is only the third in the nation to be co-located at a Blockbuster Video site. The agreement with Blockbuster allows up to 150 Earful corporate and franchise units to be co-located at premier U.S. Blockbuster sites by mid-2003.

Paul Rush, founder and President of the Austin, TX-based operation, said “This store will be among the first to provide a ‘sound dome’ for customers to preview listening choices. There are no unwieldly headphones and no disturbance to other customers.”


WHV’s Displays Scooby-Doo Line-Up

Warner Home Video has launched “Scooby-Doo and the Ghoul School,” leading the all-Scooby-Doo line-up of the first family event of WHV’s massive new catalog initiative for 2001.

In support of the year-long promotion, Warner Spotlight posters featuring five Scooby-Doo videos will be available, as well as custom mixed merchandisers in 24, 36, 48 and 60-unit configurations, to help create consumer awareness.

The “What’s In Your Spotlight?” Sweepstakes provides consumers with a chance to instantly win a trip for two to a Warner Bros. movie premiere in either Hollywood or New York City, a DVD player, free videos and free boxes of Act II Microwave Popcorn.

The Warner Spotlight VHS program will include more prominent promotional partners than ever before, featuring offers that bring the consumer savings potential to an unprecedented $1,400 via The WB Spotlight Studio Pass, a coupon book inserted in every Spotlight Wave video.


Universal Merchandising Program At Toys “R” Us Celebrating “E.T.”

Universal Studios Consumer Products Group (USCPG) and Amblin Entertainment have announced an exclusive three-year worldwide merchandising program with Toys “R” Us tieing into the 20th anniversary theatrical re-release of Steven Spielberg’s E.T. The Extra-Terrestrial in 2002.

Toys “R” Us will develop a full range of exclusive E.T. product, across all of its standard categories including toys, games, puzzles, sporting goods, apparel, accessories, gifts, collectibles, party goods, school supplies and electronics. The merchandise will launch worldwide in Toys “R” Us, Kids “R” Us, Babies “R” Us and Imaginarium stores as well as on the Company’s web site in fall 2001.

In-store, E.T. will have dedicated boutiques and exclusive signage.

“We are excited to be working with Universal and Amblin to bring the world of E.T. to life in our 1,553 stores worldwide, as well as our flagship store which opens in Times Square next fall,” said John Eyler, CEO of Toys “R” Us.


Sam Goody And Mall Of America Form Unique Entertainment Alliance

Through a first-of-its-kind alliance, Sam Goody and Mall of America will brand the Mall’s main rotunda “Sam Goody Central,” a showcase for live events and concerts at the Mall. Sam Goody Central will be the live event focal point at the Mall, featuring celebrity appearances, music, movie screenings and other attractions throughout the year.

“Mall of America is recognized around the world as a premier attraction, so being able to team with the Mall on this project is an exciting step for Sam Goody,” said Jack Eugster, Chairman and CEO of Musicland. “Sam Goody Central will be a high-visibility location where we can provide world-class entertainment, unique events and concerts featuring both established stars and the up-and-coming talents that Sam Goody has a long history of supporting.”


Hollywood Video Debuts Nation’s Largest Video Store

Hollywood Video has unveiled its Washington D.C. Tenley Town location containing more than 50,000 rentals under one roof, more movie titles than any other store in the nation.

“It would literally take more than a movie per day for the next 150 years to see everything in our D.C. superstore,” said Jeff Yapp, President and COO of Hollywood Entertainment. “Movie buffs can spend hours of fun in this store exploring the largest collection of videos and DVDs. We want to bring the fun and excitement of Hollywood to the heart of the nation’s capital and deliver on our customer’s demand for an eclectic mix of home entertainment.” The chain’s plan for similar superstores encompasses a nationwide rollout.


Electronic Interiors Opens One-Of-A-Kind Electronic Design Center

Sound Advice has introduced Electronic Interiors, a new concept in the design, integration and installation of audio, video and home theater technology. Unique features include: a reproduction of a movie theater reminiscent of the old cinemas and custom decorated rooms with home entertainment systems.

Located at the Palm Beach Gardens Mall in Florida, the new design center incorporates a Bang & Olufsen “store-within-a-store,” as well as other fully automated “custom showrooms.” Different rooms reflect various decorating styles, such as a conservative mahogany setting, or a complete movie theater.

Peter Beshouri, CEO of Sound Advice, said, “A visit to Electronic Interiors is an experience to be savored. In fact, most customers will be making an appointment to guarantee the time to preview the equipment.”


BMG & Pioneer Promotions Suport DVD

BMG and Pioneer Electronics have partnered for a national promotion being conducted in Wherehouse and Trans World stores. Wherehouse is offering consumers 30 Pioneer DVD 5-disc players and five BMG DVD videos and is supporting the promotion with special in-store displays. TransWorld is offering consumers the chance to win a free Pioneer DVD 5-disc player and music DVD videos from BMG’s hottest recording artists. BMG is providing ballot boxes, “enter to win” signage and ballots support of the promotion.

“DVD has rejuvenated music video sales,” said Mindy Pickard, V.P., Music Programming, BMG Entertainment. “This is the first time that music DVD will receive prime real estate in major music retail outlets during peak buying season.”


Barnes & Noble Plans Integration Of Stores And Web Site

Barnes & Noble has announced plans to link its 551 retail stores with its popular Web site. The initiatives include Internet Service Counters powered by Barnes & Noble.com installed in all Barnes & Noble superstores. The new counters will enable customers to order any book or other product through the Barnes & Noble.com Web site, www.bn.com. Customers may also choose to pick up their orders at the stores, or have orders delivered to their homes, offices or address of choice. A membership loyalty program, Readers’ Advantage, will offer additional discounts and benefits in Barnes & Noble stores and at Barnes & Noble.com. Barnes & Noble.com customers will be able to return books and CDs purchased at Barnes & Noble.com to any Barnes & Noble store.

“We see our Internet Service Counters as keys to increasing sales in both the retail and online channels,” said Steve Riggio, Vice Chairman of Barnes & Noble, Inc.


Strong Growth Reported For Input Devices

As high ticket wireless devices such as cell phones and personal digital assistants experience explosive growth, cordless input devices are also on the move. Retail sales of cordless keyboards and mice in August 2000 were up 133% and 125% respectively in unit terms over the same time last year, according to NPD INTELECT Market Tracking, Port Washington, NY.

As sales volumes for cordless keyboards and mice increase, prices for these items continue to decrease. According to NPD INTELECT, the average price of cordless keyboards slipped from $87 in August 1999 to $80 this past August. An even steeper decline was seen in the average price of cordless mice, which fell from $52 in August 1999 to $38 in August 2000.

“This cordless movement is very exciting for manufacturers because in ‘100% replacement’ categories (such as keyboards and mice), meaning that everyone already has one, it takes something different to make a consumer get up, go out, and purchase a new one, while throwing away a perfectly good functional one,” said Sima Vasa, NPD INTELECT V.P. of Technology Products. “This is now happening with cordless mice and keyboards.”


Teens Serious In Quest For Fun And Tech

Teens describe their generation as motivated primarily by entertainment and social activity, according to a new study by Teenage Research Unlimited (TRU), a Northbrook, IL market research firm.

“Today’s teens enjoy an enormous amount of freedom, both personally and financially,” said Michael Wood, TRU V.P. “However, they also know that their world is changing quickly and that greater responsibility is just around the corner. Consequently, many young people admit they feel pressure to squeeze as much fun into their teen years as possible.”

Teens’ second place choice for characterizing their peer group was the statement “high-tech is such a huge part of our lives.” This description got a nod from 41% of teens. “More and more teens are using technology - especially wireless communications devices like cell phones and pagers to help them arrange and organize their social commitments,” said Wood.


Consumers Spend $10 Billion On Hi-Tech Gadgets This Holiday Season

Forty million people purchased personal technology items for their loved ones this holiday season, according to a nationwide poll conducted for Texas Instruments (TI) Inc. From cellular phones to digital still cameras, Internet audio players and personal digital assistants (PDAs), consumers will spend approximately $250 each, resulting in $10 billion spent this year on electronic devices.

“The combination of convenience and increased functionality has transformed these gadgets from ‘luxury’ or ‘techie’ items to must-haves for today’s busy consumer,” said Doug Rasor, V.P., Strategic Marketing for Texas Instruments.


MCDs And Musical Posters Are Launched

Yaboom, a subsidiary of Toymax International, has introduced MCDs and Musical Posters. MCDs or mini compact discs, are lightweight, collectible key chains that play CD quality full-length songs. MCDs can be put into pants pockets, purses or left dangling from a backpack.

Musical Posters have a high quality CD sound and come in two sizes, locker and full-size wall posters. Major stars such as Britney Spears, Backstreet Boys, and ‘N Sync have signed on.

Little Tikes Debuts Outdoor Electronics

Responding to consumer demand for toys that will withstand the elements if they are caught outside in the rain, The Little Tikes Co. has developed a line of outdoor toys with Weather Resistant Electronics. John MacWherter, V.P., Marketing, said, “Weather Resistant Electronics further enhances our reputation for durable products.”


Code-Alarm Introduces PowerCode Technology

Code-Alarm has unveiled PowerCode, an all-in-one remote control that can run most vehicle security and convenience options including keyless entry, remote control car start and anti-theft.

“In the past, adding new features meant ripping out the black box and installing an entirely new unit,” said Peter Stouffer, COO of Code-Alarm. “With PowerCode, car owners will be able to buy a basic controller module with keyless entry and add features.”


Logitech Introduces Cordless TrackMan

Logitech, Fremont, CA, has introduced the trackball Cordless TrackMan(R) FX.

Wolfgang Hausen, Sr .V.P. and General Manager of Logitech’s Control Devices Division, said, “We believe that Cordless TrackMan FX will be received with the same enthusiasm among consumers as our first cordless optical trackball product, the Cordless TrackMan Wheel.”


3Com Unveils Audrey

3Com Corp. has introduced Audrey, an Internet appliance providing one-touch access to e-mail, Internet channels, a household calendar, address book and Palm HotSync technology. It is the first in 3Com’s Ergo line of lifestyle-centered connected appliances.

Don Fotsch, V.P. of 3Com’s Internet Appliance Division said, “Our focus is to remove the complexity associated with accessing information on the Internet. Just like turning on the radio, simply turn Audrey’s dial and the information is there.”


Disney Introduces Toy Story 2 CD Read-Along

Walt Disney Records has released the “Toy Story 2 CD Read-Along,” a new multi-entertainment format. The 32-page storybook and audio CD has multi-media capabilities so kids can read-along using their computer or stereo. With the CD put into a PC, children can watch the storybook as it appears on their computer screen.



Compaq & Eddie Bauer Team Up For New Products Compaq Computer and Eddie Bauer have formed a merchandising partnership whereby Compaq will and market consumer PCs and accessories co-branded with the Eddie Bauer name.

This is Compaq’s first co-branding partnership. The companies are heralding it with the Compaq Presario 1400 Eddie Bauer Special Edition, a notebook PC designed to reflect the Eddie Bauer lifestyle. The PC is accented in Eddie Bauer’s signature metallic olive green color.


Cross Launches Morph Pen

A.T. Cross Co. has introduced the Cross Morph DigitalWriter Duo as a stylish solution to writing on PDAs. The new two-in-one expands or contracts to provide a highly individualized feel. It provides a smooth pen-on-paper feel when writing on any PDA or HPC screen.

“The Morph DigitalWriter Duo is an ideal combination of our popular Morph line with our patented PDA stylus technology,” said Bruce Willox, Director, Global Marketing at Cross. “It’s a stylish alternative to the cumbersome standard-issue PDA stylus.”


Mott’s Introduces Margaritaville Mix

Mott’s Inc., has introduced its newest cocktail mix, Margaritaville Margarita Mix, licensed under the authority of Jimmy Buffet’s Margaritaville Holdings.

Mott’s newest cocktail product is partnering with Seagram’s Margaritaville Tequila. Co-merchandising and co-packaging events are slated.


WebTV Runs Integrated Marketing Program

WebTV Networks announced that UPSHOT, the brand marketing division of HALO Industries, has launched an integrated marketing program for WebTV from Microsoft. The campaign will introduce WebTV capabilities to adults 55 and older and their children and will offer six months of free service to new customers.

Through the familiar medium of television, WebTV allows users to access the Internet and e-mail capabilities in their own livingrooms. Without the necessity of a computer, WebTV allows older adults to exchange e-mail with grandchildren, play along with the game shows, manage finances, or chat with other viewers during interactive programming.

Some of the elements of the program include: Experiential “Living Rooms” will be created in major airports and shopping malls across the country. The living rooms will include individuals in both target categories to conduct real time demonstrations. Strategic advertising will be targeted to older adults and their children in offline and online environments.

According to IDC, a leading researh firm that provides technology intelligence, seniors now represent the fastest-growing group of Internet users in the United States.


Simon And Cingular Form Mktg. Alliance

Simon Property Group recently joined forces with Cingular Wireless to drive brand awareness among the more than 50 million shoppers who made 250 million visits to Simon malls during the holiday season.

Shoppers who signed up to receive wireless phone service from Cingular’s brands at retail stores or kiosks at more than 100 Simon malls nationwide, received a free Santa photo package valued at $25. Shoppers also had the chance to make a free 2-minute cellular phone call while in line to have their photo taken with Santa.

Cathi Weiner, V.P., Partnership and Marketing Development for Simon Brand Ventures, said, “Companies like Cingular are choosing this live media environment to communicate their brand messages with consumers across multiple marketing channels at a time when they are at the point-of-purchase.”


General Mills Plans ‘Cereal Adventure’

General Mills has unveiled plans for a family attraction called “Cereal Adventure” to be built at Mall of America.

Cereal-themed games, shows and playground equipment will be featured, including the Cheerios Play Park, Lucky Charms’ Magical Forest, Trix Fruity Carnival and Cocoa Puffs Chocolate Canyon. Sports entertainment and history will be featured in the Wheaties Hall of Champions. These areas will offer a full menu of activities, from posing for a Wheaties souvenir box to playing virtual reality chocolate games. There will also be educational opportunities, including a Total Nutrition health site and the General Mills Farm Factory, which teaches visitors the process of making cereal. Visitors can create personalized cereal take-home packages.

Marc Belton, General Mills’ Big G cereal division, said, “It’s a great opportunity to take our cereals beyond the breakfast table and reach consumers in an innovative, interactive way.”


Dr Pepper Promo Offers Chance To Win Video Game Room

Eager consumers can obtain the latest game in the best-selling Legend of Zelda series, “The Legend of Zelda: Majora’s Mask,” thanks to a holiday promotion by Dr Pepper and Nintendo of America Inc. Dr Pepper drinkers can instantly win Nintendo’s The Legend of Zelda: Majora’s Mask video game and a Nintedo 64 game system by looking behind the label of specially marked 20-ounce bottles. Twelve-packs and two-liter bottles will carry a mail-in sweepstakes form to enter the grand prize drawing for the “Ultimate Video Game Room” featuring state-of-the-art audio and visual components, such as a Nintendo 64 system, Nintendo 64 game library, The Game Seat game chair and a one-year supply of Dr Pepper. Point-of-sale support for the promotion includes cold vault static cling, vender clings, display spectaculars, shelf talkers and pole signs.


Future Shop Launches Interactive Kiosks

Future Shop stores have rolled-out e-Commerce enabled kiosks to all Future Shop stores across Canada.

“These internet kiosks form a major component of our ongoing strategy to provide Canadian consumers with the most convenient way to purchase technology products,” said Kevin Layden, President and Chief Operating Officer of Future Shop. “Each of our Future Shop stores will have a minimum of 2 kiosks located in key departments and customers can use them to obtain additional product information or make a purchase on-line.”

The kiosks were created by Info Touch Technologies, Burnaby, BC, Canada, (Tel) 604-298-4636; (Fax) 604-298-4216.


Power Kiosks Signs Agreement With WWF

Power Kiosks Inc., a developer of interactive kiosks, has formed an agreement with the World Wrestling Federation, which allows it to use a large selection of that Company’s entertainment properties in Power Kiosk’s network of stand-alone digital photo-imaging kiosks.

“This is a major boost for our digital photo imaging kiosks,” said Terry Cooke, Power Kiosks’ CEO.


Computer Eyewear Display

Insight Eyeworks needed a display to communicate the benefits of the AOL Computer Eyewear program.

Concept Displays, Ontario, CA, created this fixture, with oversized header graphics and the AOL logo. Additional vertical graphics space is used to help the consumer with product selection. Heavy-duty hooks showcase the blister packs containing the glasses and eyewear case. The 4-sided rotating black pegboard barrel is mounted on a speckled gray storage base.


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