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News Stories Wednesday, November 22, 2006   
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Giving the gift of Napster


Napster Inc. has revived gifting functionality on its e-commerce site for the holidays and will continue it beyond the peak shopping period. The program, offered during last year’s holiday season, enables shoppers to purchase three months of the e-retailer’s Napster To Go music service that comes with a free 512mb digital music player and have the bundle sent to a family member or friend as a gift.

A banner on the site advertises “Get one or give one.” Choosing “give one” sends shoppers to a landing page where they enter a special message for the recipient that is turned into a paper card—which contains a special code for the three months of service—for delivery with the bundle. After the three months expire, recipients have the option to continue the service on their own.

The normal entry point for Napster service is about $180; the three-month offering brings that down to about $50. “Under $50 is a great price-point for a holiday gift, a good entry for a turnkey solution for someone who is not necessarily tech-savvy,” says Noel Kehoe, Napster’s vice president of marketing.

Last year the merchant, No. 100 in the Internet Retailer Top 500 Guide to Retail Web Sites, offered a higher priced gift option requiring a year of the service that came with a lower memory, 256mb player. To date this season, Kehoe reports, sales are 250% higher than last year.

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