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News Stories Tuesday, January 29, 2002   
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Sale of services will drive income for Circle K’s web kiosks


Although many web-based kiosks in the market today provide informational services, Circle K’s Zap Link web kiosk program will seek to generate income from services and ad sales, Scott Templeton, innovation group manager of parent company Phillips 66, tells Internetretailer.com. "Kiosks today are more like helping hands, providing directions in hotel lobbies or electronic tickers for users. The monetization of those activities into income for the company is very weak," he says. "What we¹re doing is very different. Our program is about providing a convenient customer service."

Templeton says 40% of the income from the Zap Link program will come from advertising while 60% will come from sales of kiosk services. Advertisers that have tested the kiosk’s coupon advertising have seen 70% redemption rates, he says. And the company expects that developing such services as telephone calling, conference calling and access to e-mail and the web will bring in the service-side income. Its two kiosk providers will charge $1 for services on one kiosk and 19 cents per usage minute on the other kiosk. The two kiosk types are in Philadelphia and Phoenix.

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