March 10, 2000 08:29am
New Frontier Media's Internet Division Teams With EchoStar to Expand Subscriber Base
by: Company Press Release
(BOULDER, CO) -- New Frontier Media, Inc. (Nasdaq: NOOF - news), a leader in the electronic distribution of adult entertainment, announced a joint marketing effort with EchoStar Communications Corporation (Nasdaq: DISH - news, DISHP - news) to promote DISH Network(TM) satellite TV systems. The program is designed to simultaneously increase the installed subscriber base of DISH Network systems, broaden the subscription base of New Frontier Media content line-up, and provide added value for members of Interactive Gallery, Inc.'s (``IGallery'') proprietary Web sites. IGallery, a wholly owned subsidiary of the New Frontier Media, currently hosts approximately one million unique visitors to its proprietary Web sites each day.
Under the promotion, IGallery will place banner advertisements on its Web sites offering qualified visitors a free DISH Network system and a free basic professional installation (a $400 value) when they commit to 12 months of programming including America's Top 100 CD and Ten, The Erotic Network(TM). The banner will be hyperlinked to a promotional page (www.dishpromo.com) where visitors will be able to sign up for their free DISH Network system online.
Taking advantage of a relatively untapped consumer market, the two companies expect the promotion to deliver more monthly subscribers and an increase in pay-per-view revenue. ``This is a defining strategy that we expect will extend our relationship with DISH Network in the pay television business and, at the same time, add a key retail component to our broadening Internet business,'' stated Scott Schalin, Chief Operating Officer of IGallery. He went on to say, ``In addition, this is a tremendous opportunity for DISH Network to capitalize on our massive Internet market presence giving a million unique visitors everyday the opportunity to acquire a free DISH Network satellite system. And, we get a new subscriber to TeN.''
``We're taking advantage of our inherent ability to execute cross platform promotional programs. So, in addition to expanding the viewership of our television networks, we expect to see benefits on the Internet side in subscriber counts and retention rates as we implement our own cross-promotional marketing efforts encouraging visitors to take advantage of the free DISH Network offer,'' Schalin said.
DISH Network(TM) is EchoStar's state-of-the-art direct broadcast satellite system that is capable of offering over 500 channels of digital video and CD-quality audio programming, including Dolby Digital surround sound, high-speed interactive television and data services, all on a single dish, as well as offering fully MPEG-2/DVB compliant hardware and installation. DISH Network was ranked number one in customer satisfaction among satellite/cable TV subscribers by the J.D. Power and Associates 1999 Cable/Satellite TV Customer Satisfaction Study.
DISH Network, which currently serves over 3.4 million customers, is a trademark of EchoStar Communications Corporation. DISH Network is located on the Internet at www.dishnetwork.com.
ABOUT NEW FRONTIER MEDIA, INC.
New Frontier Media, Inc. is a leader in the electronic distribution of adult entertainment with an unparalleled library of content. Through its television subsidiary, the Company distributes adult entertainment via pay-per-view and subscription cable/satellite video networks. Cable/DBS networks include Pleasure(TM), the most-edited standard available in the category; TeN, The Erotic Network(TM), which incorporates a partial-editing standard and Extasy(TM), the least-edited standard.
Through its Internet subsidiaries, New Frontier Media designs, creates and implements Company-owned subscription/membership-based web sites for the adult Internet consumer markets. It also operates Internet traffic sales and acquisition programs for the adult webmaster community. In addition, the Company serves as a single source for a comprehensive range of high-performance Internet products and services, including transaction processing, dedicated access, web hosting, co-location, e-commerce application development, streaming media, and bandwidth management. New Frontier Media's network infrastructure enables the delivery of live and on-demand video events to millions of Internet users.
For more information contact Keely Hawk, VP Corporate Communications at (303) 444-0900, extension 145.
This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of Securities & Exchange Act. The Company intends forward-looking statements to be covered by the safe harbor provisions for forward-looking statements. All statements regarding the Company's expected financial position and operating results, its business strategy its financing plans and the outcome of any contingencies are forward-looking statements. The forward-looking statements are subject to risks, and uncertainties that could cause actual results to differ materially from those set forth or implied by any forward-looking statements.