Hsn Channels Itv Shopping
By Chris Marlowe
Monday, March 21 2005
Monday, March 21 2005
Published on AllBusiness.com
HSN and GoldPocket Interactive announced an agreement that will make it possible for millions of American viewers to interactively shop from home using their TV's remote control instead of a computer.
The application developed by GoldPocket creates an easily understood shopping screen on the viewer's television, which then can be navigated by the remote's keys.
"This is the real thing. It's 24/7 live interactive television," said John McDevitt, HSN's vp finance. "This is an obvious, intuitive extension of our businesses."
He said HSN has been evaluating iTV applications for more than five years, but it wasn't until now that the infrastructure was in place. McDevitt added that GoldPocket was the only vendor in the space that met HSN's technological and customer service needs.
HSN iTV will be demonstrated at NCTA's 2005 National Show next month. There is no set deadline for the initiative to go live because both parties are working to coordinate the launch with distributors. McDevitt said he expects trials to begin in the second half of this year with a broad rollout early next year.
Once the interactivity is operational, viewers will be prompted to press the "select" button on their remotes, which will call up a screen showcasing items for sale: The current item along with the previous two items and the "Today's Special" item that is one of HSN's hallmarks. The live audio feed will be heard throughout to reinforce the brand experience while reassuring shoppers that the interactivity is synchronized with the broadcast.
All navigation except the final purchase confirmation is done using just the left and right arrow buttons, including choosing such options as size and color. Customers are shown the final price, shipping, handling and any applicable taxes before completing the transaction and are given a confirmation code afterwards.
The interactive commerce initially will target cable subscribers because of the high number of digital set-top boxes that support the required two-way communication. Satellite subscribers whose boxes are connected full time also can use the interactive functions.
"This new application will create a completely interactive shopping experience," said Scott Newnam, CEO of GoldPocket Interactive. "This product really highlights the potential impact of interactive television on the future of retail."
Getting the interactivity synchronized with HSN's existing systems was the hard part, Newnam said. Not only does GoldPocket's technology have to work nonstop and flawlessly, but it also has to cope with the immediate fluctuations in HSN's available stock and the variations among cable systems.
HSN, an operating business of Barry Diller's IAC/InterActiveCorp, is the fourth largest cable television network in the United States. Last year, HSN operations generated worldwide consolidated sales of $2.4 billion.
The application developed by GoldPocket creates an easily understood shopping screen on the viewer's television, which then can be navigated by the remote's keys.
"This is the real thing. It's 24/7 live interactive television," said John McDevitt, HSN's vp finance. "This is an obvious, intuitive extension of our businesses."
He said HSN has been evaluating iTV applications for more than five years, but it wasn't until now that the infrastructure was in place. McDevitt added that GoldPocket was the only vendor in the space that met HSN's technological and customer service needs.
HSN iTV will be demonstrated at NCTA's 2005 National Show next month. There is no set deadline for the initiative to go live because both parties are working to coordinate the launch with distributors. McDevitt said he expects trials to begin in the second half of this year with a broad rollout early next year.
Once the interactivity is operational, viewers will be prompted to press the "select" button on their remotes, which will call up a screen showcasing items for sale: The current item along with the previous two items and the "Today's Special" item that is one of HSN's hallmarks. The live audio feed will be heard throughout to reinforce the brand experience while reassuring shoppers that the interactivity is synchronized with the broadcast.
All navigation except the final purchase confirmation is done using just the left and right arrow buttons, including choosing such options as size and color. Customers are shown the final price, shipping, handling and any applicable taxes before completing the transaction and are given a confirmation code afterwards.
The interactive commerce initially will target cable subscribers because of the high number of digital set-top boxes that support the required two-way communication. Satellite subscribers whose boxes are connected full time also can use the interactive functions.
"This new application will create a completely interactive shopping experience," said Scott Newnam, CEO of GoldPocket Interactive. "This product really highlights the potential impact of interactive television on the future of retail."
Getting the interactivity synchronized with HSN's existing systems was the hard part, Newnam said. Not only does GoldPocket's technology have to work nonstop and flawlessly, but it also has to cope with the immediate fluctuations in HSN's available stock and the variations among cable systems.
HSN, an operating business of Barry Diller's IAC/InterActiveCorp, is the fourth largest cable television network in the United States. Last year, HSN operations generated worldwide consolidated sales of $2.4 billion.
