Nectar launches online music store
Tracks in exchange for loyalty points.
Nectar has launched an online music store enabling its members to download tracks in MP3 format using their loyalty points.
The move is the latest move by Nectar to widen the range of items that can be redeemed for its loyalty points. More than one million songs can be downloaded from the Nectar Digital Music Store.
The Nectar coalition loyalty programme is operated by Loyalty Management Group (which is owned by Canada-based Groupe Aeroplan), and around 50% of UK households have one of its cards. Redeemable reward points can be collected at a number retail outlets including Sainsbury’s supermarket chain and BP petrol stations.
The new music website (www.nectarmusicstore.com). will offer a catalogue of tracks from three major labels (Warner Music Group (WMG), EMI, Sony BMG) and the Orchard, a digital distributor of music for independent labels.
Until October 31 customers can take advantage of a special offer to download 20 songs for 3,000 points (equivalent of £0.75 per song according to Nectar). Otherwise, bundles of 30, 40, and 50 songs will be available for 5,500, 7,200, and 8,900 Nectar points respectively (equivalent to about £0.90 per track).
The new service was developed by Hip Digital Media, a Canadian digital music solutions company which specializes in promotional campaigns.
Nectar’s owner Groupe Aeroplan Inc trialled a similar online music service in Canada with Hip Digital Media that started in September 2007. This allowed customers of Air Canada airlines and a number of other participating companies to redeem their ‘miles’ loyalty points by downloading music.
The launch of the Music Store will be supported with a marketing campaign including a custom branded website accessible through the Nectar homepage, e-marketing, direct mail, POS across partner locations and a public relations campaign.