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Premium Rate Entertainment Telephone Services

This is a major segment of the premium rate industry. Just like print or
television, the phone is simply another delivery medium that allows you to offer
a wide variety of entertainment services to the public.

In terms of popularity and profitability, Entertainment Services enjoy the largest
shares of the premium rate market. And of the entertainment services, the Adult
Services are amongst the most popular.

The more popular services include:
* Romantic Stories
* Real life drama,
* Rock and pop music
* T.V. vote lines
* Dating services
* Children's programmes
* Interactive games
* Competitions,
* Tarot, Horoscopes & Psychic services
* Fantasy Football
* Celebrity Lines
* Competitions & Sweepstakes
* Trivia Challenge
* Joke & Windup Lines
* Faxed Comics
* Soap opera updates
* Concert Pre-views
* Crossword puzzle clues
* Movie reviews & sound clips
* Music samplers
* Adult services

Adult Services
Adult services were among the first to be promoted and have historically been
one of the most profitable. In the beginning, virtually all adult services were
recorded, with few live operators. In those early days, it was not unusual for
I.P.s to make a 20 to 1 return on their advertising investment. You could invest
£1,000 and within days you would have earned £20,000. This was probably a
result of the novelty of such services and a pent-up demand for this type of
entertainment.

However, the gravy train was relatively short-lived. After 1990, profits dropped
to more realistic levels as the novelty wore off. Also the media increased their
charges for advertising, competition increased and people began blocking
access to the premium rate services. "By 1992, returns were down to 3 to 1.
Then in 1984 the adult services were effectively killed off by British Telecom
when they blocked all calls to such services unless the caller had previously
written in and requested access.

As new telephone companies entered the market the British Telecom
stranglehold was broken and Adult services were re-established. However, the
big earnings of the early years were over. This is largely due to the internet,
where many people can visit thousands of sex sites without having to pay a
penny.

Today, a return of 20% to 30% on your adult advertising spend is the most you
can expect. Nevertheless, such a return would be looked on enviously by most
businesses. Currently, the most profitable segment of the adult market are the
Live One-to-One services. This personal, one-to-one contact, cannot be found
on the internet.

Product Promotion & Marketing
The major purpose of these services is to promote a product, service, event,
company or organization. Many of these service will include an element of
entertainment to entice people to make a call. Contests and sweepstakes are
other ways to grab the attention of consumers in promoting a product or service,
and they have been used extensively.

Fund raising & Charity
A growing trend in the pay-per-call industry has been the use of 090 numbers
for fund raising purposes. These services are often flat rate calls, and usually
include a recorded message regarding the topic, often by a recognised celebrity
who champions the particular cause. Some organizations that have already
experimented with 090 fund raising include World Vision, Leukemia Society,
March of Dimes, Amnesty International, and Mothers Against Drunk Driving.

What makes premium rate fund raising so attractive is the convenience, to both
donor and fund raiser. It's much easier for people to call a recorded message on
a premium rate number, rather than have to write a cheque and post it. The fund
raisers' collection costs are also cut dramatically, thereby providing more cash
for the cause.

The advantage of many Entertainment Services is their simplicity. They are easy
to advertise, require simple scripts or recordings, and do not need any specialist
information.

GOOD ENTERTAINMENT ....
Merely providing an entertainment service, such as a joke line or trivia game,
will not automatically create a rush of callers to your service. Having called on
impulse and satisfied their curiosity, they are unlikely to call again -unless they
feel they have received value for their money.
As with other forms of entertainment, they will call back only if they enjoyed the
experience. And, they will tell their friends all about it.

HAS THEM CALLING BACK......
Aim to give your service the quality which will get the caller to dial it again,
and recommend it.
Joke lines create repeat business only if the jokes are funny and are frequently
changed. If your service is good, you will develop an enthusiastic following. A
regular stream of repeat calls is crucial to the success of your service.

TO YOUR SERVICES . . . AGAIN AND AGAIN
It is essential to change the content of your entertainment service regularly.
If callers hear the same message week after week, they won't call your line
again.

It's a good policy to leave a message at the end of your recording and tell the
caller how frequently you change the content. That way your clients know when
to call again.

GET YOUR MESSAGE ACROSS
Whatever service you offer, it requires an advertising budget. When you start
your service, you have to make the public aware of it. Many Entertainment
services do not automatically generate repeat calls, so you will need to
advertise regularly in order to attract new callers.

If you wish to maximise calls and minimise advertising expenditure you must
create a service which not only entertains your callers, but also stimulates them
to dial your service, time and time again!

OUR INTERACTIVE COMPUTERS KEEP YOUR SERVICE FRESH
The service bureaus interactive computers can be programmed to keep your entertainment fresh. The computers can store not just one, but dozens of stories or groups of messages on your service.

We can programme your service so that every time your number is dialled, the
callers hear a different message. Alternatively the computer can automatically
change the message on your service at a pre-determined date or time.
You can offer the caller a choice of messages. On a music line you can offer
pop, rock, dance or classical. A Joke line may offer a choice of ethnic or adult
jokes.

HUNDREDS OF ENTERTAINMENT SERVICES
The scope for "entertainment" is limited only by your imagination. Past and present
entertainment services include:
Telephone Juke Box - Scrabble line - Joke Lines - Trivial Pursuit - Elvis Lives - 
Battleship - Madonna - the Truth - Bingo True Horror -
Crosswords - Heavy Metal Hotline - Chess - Phone Zombies Ninja Turtles
Sound Off - Marlborough Challenge - World Cup Hotline 
Prizeline - Hollywood Gossip - Country & Western Hotline - TV Soap
Updates - Demented Hot Line - Three Stooges Joke Line - RoboCop - Trivia
Challenge - Arnold Schwarzenegger $1,000,000 Challenge.

DEMENTED HOT LINE
Fans of the popular radio series, Dr. Demento, now have a direct line to the
Doctor himself, in addition to their weekly dose of radio dementia.
Dementoids across America can connect with the Land of Dementia 24 hours a
day. Callers to the Demented Hot Line are first greeted by the good Doctor then
sent along an easy-to-use interactive menu of options. These include:
* Weekly Trivia contest - new questions about the current week's show.
* Request Line - on which callers can request their favourite demented tune.
* Ask the Doc. - callers can ask the Doc about artists, songs, records, etc.
* Talk to Dr. Demento - each week the Doctor announces his special office
hours on the hot line, a secret day and time when callers can talk to
Dr. Demento live.

DAVID BOWIE VOTE LINE
During Bowie's recent tour, fans could dial in and vote for the numbers they wanted
him to play at his various venues on the tour. This service is believed to have
broken all records for income over a short period.

INTERACTIVE TV JUKE BOX
W.H. Smith launched the first interactive satellite music TV channel on their
Lifestyle channel which was broadcast throughout Europe.
This unique night service was targeted at young adults, who are invited to vote
for music videos from a menu of about 75 video discs. They place their votes
via a 24 hour voice service provided on interactive Premium Rate equipment with
voice detection.

The Premium Rate computer logs all the selected videos and the jukebox flashes an
on screen message stating when each track will be shown. It then queues the
videos to be played at the specified times. The more votes a video generates,
the more often it is played.

INTERACTIVE GAMES
Today, for the price of a call, the public can test their skill, by playing a whole
range of "interactive games" - and they can also win BIG PRIZES.
The public's enthusiasm for this type of entertainment is clearly illustrated by
their love of T.V. Games and Quiz shows, which they view in their millions.
Now, the telephone games, advertised correctly are attracting callers in their
thousands and earning vast sums for Information Providers. Here are a few
examples of current favourites:

TELEPHONE SCRABBLE
This was the first inter-active game played in conjunction with a national T.V.
game show in the US. And it received over one million calls in the first two
weeks.

T.V. CHESS CHALLENGE
On BBC2, members of the general public were encouraged to compete in an
interactive chess game with Grand Master, Jon Speelman. This was the first T.V.
game in the U.K. to be played with active participation of viewers in their own
living rooms. Viewers are asked to indicate their moves by dialling a premium
number or pressing the digits on their touch tone telephones.
There's a prize at the end of the contest. The first person to suggest the night's
most innovative move will also have the opportunity of talking to Jon Speelman
live on the programme.

POP, SOAPS, JOKES AND CELEBRITIES
When premium services first crashed upon the U.K. scene, its potential as a
new entertainment media was instantly recognised. The first result was a rush
of Joke, Horoscope and Celebrity lines. Some were excellent. Many were very
poor indeed. As a novelty, these services were eagerly dialled by millions. Now
the novelty has gone and only the worthwhile entertainment services have
survived.

There is still a tremendous demand for good entertainment. Particularly for
services offering Pop, Rock and the Celebrity scene. There are plenty of fans
out there hungry for details about their idols to make any well produced service
very successful indeed.

Anyone able to tie up a deal with a popular band or record company can expect
to make a steady income.

FANTASY FOOTBALL
Fantasy football leagues are now a regular feature in the sports pages of many
leading national newspapers.

These interactive competitions attract enormous interest, with the original
fantasy league, now in its fifth season and featured left in the Daily Telegraph,
pulling in more than 250,000 entrants every season. High response rates are
also enjoyed by similar competitions in other leading newspapers.
Would-be football managers enter the Daily Telegraph league every August at
the start of the football season with the aim of capturing the first prize of a pair
of tickets to a football match anywhere in the world as part of a 14-day holiday.
For those who are not so confident of their management abilities lasting the full
season, smaller weekly and monthly cash prizes are also on offer. Team
selections and team names may be entered by calling a premium rate number,
entering details using the telephone keypad, or by post.

Once the season is under way, team transfers can be made by once again
dialling a premium rate number and using the telephone keypad. Team score
sheets and league positions can also be ordered this way. If managers prefer
to see their scores and league positions on screen, a separate premium rate
number, for use with Teletext, is available. This service also enables managers
to check up on their transfer activity and gives a week-by-week update on
player's performances.

Once the football season is over, people need not wait until the next one.
The fantasy cricket leagues have already started...

continued ................ Premium Rate Adult Entertainment Services ..............