This summer’s blockbuster from Warner Bros. Studios and Warner Music Group didn’t feature any explosions or gunfire, but it did result in a lot of hits.
Cross promotion was the double feature of choice for the two divisions of New York’s Time Warner Inc., which utilized their corporate harmony to promote musical acts and enhance the company’s database as well.
To publicize six established and developing artists, the music group recently released a two-minute, 15-second promotion called “Inside Trax,” the lead piece on six of its sister division’s home video titles. A Web site address (www.ear1.com) on the spot steers consumers online, where they can purchase the artists’ CDs.
“The goal of the music group is to increase awareness and sell music,” says Jim Noonan, senior vice president, communications for the Burbank, CA-based music group. “The partnership looks to find ways that we can use music resources to create added value for the studio.”
“Inside Trax” appears on 1.2 million videos-among them “U.S. Marshals,” “Sphere” and “Fallen.” The piece features snippets of music videos from albums like Madonna’s “Ray of Light” and Alana Davis’ debut, “Blame It on Me.”
Movie lovers who rent the videos can redeem a coupon to receive a free CD, “Now Hear This,” featuring samples of music from nine different acts.
Point-of-purchase displays in video stores encourage customers to rent any two of the selected Warner titles, plus any other movie in the store, to receive the CD-which when played on a PC creates a link directly to Warner Music Group’s Web site.
Approximately 25,000 CDs were produced for the promotion. Customer data captured from the redeemed coupons is added to Warner Music Group’s database. Noonan says that the database will be mined for future offers and cross-promotional efforts, which may extend to Time Warner’s cable network and publishing divisions. “We’re always looking for those opportunities,” he adds.
The video campaign, which runs from 90 to 120 days, is expected to reach 72 million potential viewers with a calculated media value of $1.25 million, according to Noonan.
Cross promotions between the two divisions have been encouraged by Bob Daly and Terry Semel-the chairmen/co-CEOs of Warner Bros. Studios and Warner Music Group, respectively-since the two assumed their roles several years ago.
A series of cross-divisional meetings was held to determine “how we can work to each other’s benefit,” Noonan says. Noonan is part of a team appointed by the CEOs to create synergies between the two units.
One bit of synergy involved the television division. After the WB network picked Paula Cole’s single “I Don’t Want to Wait” to promote the midseason premiere of “Dawson’s Creek,” Cole’s album sales soared by 60% in the week of the show’s debut. And because of its instant popularity, the song was chosen as the “Dawson’s Creek” theme.
Tapping into that success, in April marketers placed point-of-purchase displays in 1,500 music stores advertising music from the TV show, including Cole’s recording.
Warner Music Group waives record label licensing fees for music played on “Dawson’s Creek” in exchange for a five-second spot at the end of the show (by the end of the season a 30-second spot can cost $200,000). The spot features an image of the album cover while a voice-over mentions the artist.
Noonan says the studio division is a perfect fit for cross promotions. “The studio offers us a great opportunity to have a wider audience listen to our music, and hopefully our music adds value for them as well.”
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