Pricing model of the Minitel adapted to the Internet: the key for French Online success

摘要

Following 1996, when everybody raged against French backwardness on the Internet, a new project called 'France Explorer' was launched and became the first Internet Access Provider for some time. France Explorer solved two major problems: 1. the French fear regarding the subscription model, 2. the lack of a transition solution for an Information Provider going from the Minitel industry to the Internet world. The France Explorer project involved one of the largest French Online Service Providers (JET Multimedia) which took advantage of its dominant position and its Minitel-based content to launch new activity related to the Internet. JET Multimedia built a new kind of online model where the Information Providers have free choices in technical platforms, on an open system, and where users pay at the point of consumption. The project brings: 1. to the users the possibility of browsing the Internet, obtaining an email address without any subscription, just by setting up free software and connecting, 2. to the Information Provider the possibility of getting revenues from their Web services on a time consumption basis. One year later, France Explorer figures were 270,000 users and will represent a business of ￡8 million in 1998. The instant success of the project suggests several lessons: 1. on a mass market, the average French user consumption is 1.5 hours per month which brings the monthly Internet Access Provider fees to very low rates, 2. the real need for an 'at ease technology' bringing instant connection in a 'plug and connect' way, 3. the need for the Information Provider to use customised client software as a new advertising media. This led JET Multimedia to launch the project abroad: Swiss Explorer in April 1998, Spain and Belgium in September 1998 and the UK for early 1999. The paper describes the project process with facts and figures after a 1-year period, the means used by the JET Multimedia Group to succeed in this new way and plans for the future, especially abroad.