To grab a share of the hot ringtones market, retail chain Sam Goody will launch a G-Tones service next month to let shoppers order cell phone ringtones tied to music CDs displayed in its 465 stores, the retailer says.
“This allows us to sell the actual album and the ringtones at the same time,” David Brinker, senior director of corporate development for Sam Goody parent Musicland Group Inc., tells InternetRetailer.com. “We’re going to leverage our space in the music market to get involved in mobile content.”
Sam Goody is looking to capitalize on the willingness of consumers to spend $2 to $3 for a single ringtone—a section of favorite song that they can record on a cell phone–even though they pay only 99 cents to download a single full song to their computers and digital medial players, Brinker says. “Consumers are more inclined to spend more money when it’s for something expressive about themselves,” he adds.
To make the G-Tones program work, Musicland has signed agreements with Motricity, which provides ringtones content, and Mobile 365, which delivers the ringtones to cell phones. To order a ringtone, Sam Goody customers send a cell phone text message to GOODY including the ringtone code from the associated CD, then pay the charge on their next wireless services bill.
“With G-Tones, Sam Goody is the first retailer to effectively market and merchandise ringtones together with physical products,” said Musicland CEO Eric S. Weisman. “We are creating a new call to action for customers to purchase mobile content, furthering our mission to establish the brand as an entertainment lifestyle destination."
Musicland also operates more than 400 music stores under the SunCoast and Media Play brands, but is planning to roll out the ringtones service only in Sam Goody stores, Brinker says.
23% of U.S. cell phone owners have downloaded ringtones to their phones, up from 5% a year ago, according to an April survey by Ipsos Insight.
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