J.D. Power Clubs and emap usa Form Powerhouse Strategic Alliance
17 July 2000
Consumers Gain Access to Information, Savings and Services to Improve Car Ownership Experience
SAN FRANCISCO - Two top names in the automotive marketplace -- J.D. Power Clubs and emap usa, publisher of leading car magazines Motor Trend and Hot Rod -- have joined in a landmark strategic alliance. Carclub.com, the online club business of J.D. Power Clubs, gains immediate access to the nearly 35 million readers of emap usa's automotive magazines, while emap usa takes a minority stake in J.D. Power Clubs.Carclub.com, the first J.D. Power Club, supports car owners over the lifetime of their vehicles -- from selecting and purchasing, to financing, insuring, maintaining and ultimately selling. The venture will transfer the current membership of the Motor Trend Driver's Association and Hot Rod Power Club to the operations of carclub.com, resulting in two new co-branded clubs: Motor Trend carclub and Hot Rod carclub. The alliance will provide significant strategic benefits to both J.D. Power Clubs and emap usa, while also providing club members with a wealth of new services.
Members of the two new co-branded clubs will gain significantly expanded benefits already enjoyed by existing carclub.com members, including: 10% savings on gasoline purchases; insurance deductible reimbursement of up to $500 in the event of an accident; the Mechanic Hotline, which offers a second opinion or advice on repair estimates; and "Help, I'm Lost," a 24-hour telephone driving direction service.
The two companies will team up to promote the clubs with advertising through emap usa's 23 automotive magazines and high profile trade shows and consumer events. In addition, emap usa is committed to providing original and published content from its current magazines and extensive library to carclub.com and the new Motor Trend carclub and Hot Rod carclub Web sites being created.
According to Michael London, chairman and CEO of J.D. Power Clubs, "The alliance with emap usa strengthens our position as we continue to select investors and partners based on their ability to contribute strategically to our mission. emap usa joins a prestigious group of J.D. Power Clubs investors that include: Chase Manhattan Bank, First Union Corporation, Ford Motor Company, GE Financial Assurance, Hicks, Muse, Tate & Furst, J.D. Power and Associates and Sun Microsystems."
John Cobb, president of Automotive and Motorcycle, Emap Digital USA said, "We are thrilled about this relationship which will benefit J.D. Power Clubs, emap usa and the consumer. Carclub.com will offer Motor Trend and Hot Rod club members new savings and benefit opportunities that will improve their car-owning experiences. We wanted carclub.com as our partner because of its capacity to deliver outstanding values and services to our consumers."
About J.D. Power Clubs, Inc. and carclub.com, a J.D. Power Club
J.D. Power Clubs, Inc. educates consumers to help them make better decisions and facilitates transactions through a network of participating retailers committed to delivering quality service and savings. Carclub.com, the first J.D. Power Club, helps vehicle owners shop for new and used vehicles, facilitates the selection of financing and insurance options and provides sources and savings for vehicle maintenance. Carclub's services are accessible online and by telephone. Selected highlights from J.D. Power and Associates' customer satisfaction syndicated research will be available later this summer from J.D. Power Clubs, through its soon-to-be launched J.D. Power Information Center.
About emap usa
A leading multimedia marketing solutions and brand development company, emap usa (www.emapUSA.com) is a division of Emap plc (www.emap.com), one of the largest consumer and trade magazine publishers in the world. The combined company is one of the world's foremost media companies with more than 600 magazine titles and multimedia products including television, radio, trade shows, internet, databases, licensing, consumer events and custom publishing.
About Emap Digital
Emap Digital, established in November 1999, has responsibility for Emap plc's online assets globally, and seeks to create extensive new e-commerce revenue streams. Emap has an asset base of extremely strong brands, loyal high value customers and differentiated content in both B2C and B2B. In March, Emap Digital was formed into a separate division drawing together Emap's established Internet presence in one focused organization.