Archive for September, 1999

Stars Come Out For Online Movie Alliance

Friday, September 17th, 1999

BlackStar.co.uk, Europe’s leading online video and DVD retailer, today announced a strategic customer fulfilment alliance with BigStar Entertainment Inc (Nasdaq: BGST), which operates www.BigStar.com, the US’s leading online movie superstore.

Under the terms of the agreement, BigStar will use BlackStar to complete orders for its customers based outside the US who require PAL format videos and DVDs. Likewise, BlackStar will refer its North American customers who require goods in the NTSC format to BigStar. Income on referred sales will be shared between the two companies.

Darryl Collins, co-founder of BlackStar, said: “BigStar.com has the American market’s most comprehensive offering and generates higher traffic and sales per visitor than any other online movie superstore in North America. So it is the ideal partner to fulfill the requirements of our US customers. At BlackStar we are committed to providing the highest level of customer service – a passion which I know is shared by the team at BigStar.”

David Friedensohn, CEO of BigStar Entertainment, said: “International partnerships such as this will ensure that we can fulfill the needs of all our overseas customers who visit www.BigStar.com to take advantage of our low prices and access our extensive proprietary content on the movie industry. BlackStar offers more film titles in its store than any other online retailer in Europe. Our overseas customers will now be able to purchase every video and DVD title available in the UK.”

BlackStar recently secured second round funding of $6 million from Atlas Venture Ltd and the partners of Texas Pacific Group, including David Bonderman. The new investment will be used to fund infrastructure and marketing initiatives to propel itself onto the world e-commerce stage and prepare for future competition from established High Street and online retailers. 75 new jobs are being created over the next six months in Belfast and London.

BigStar.com recently signed a strategic content and commerce agreement with FortuneCity.com, one of the world’s fastest growing global online community networks and the 25th largest Web property in the U.S., and a marketing alliance with America Online (NYSE: AOL), the world’s leading interactive services company.