BATNET1 and McKinley Marketing Announce Alliance; Leading Affinity Marketers Join Forces to Offer Complete E-commerce Solution to Associations

Business Wire, Oct 11, 1999

TINTON FALLS, N.J. and CHEVY CHASE, Md.--(BUSINESS WIRE)--Oct. 11, 1999--

Leading Internet affinity marketer, BATNET1 (Business and Trade Network), and leading affinity marketing consulting firm, McKinley Marketing, Inc., today announced a co-marketing alliance to offer customized online shopping marketplaces to associations around the country.

As a result of the agreement, the companies will work together to introduce associations to the many benefits of adding e-commerce to their membership Web sites, and outsourcing the development and operations to BATNET1.

BATNET1 has partnered with more than 85 leading retailers to create and operate custom online marketplaces for leading affinity group Web sites serving more than 80 million members. These groups include AARP, the American Automobile Association (AAA), the American Dental Association, the American Nurses Association, the American Federation of Teachers, and the National Association for Female Executives. McKinley Marketing specializes in helping associations offer value-added programs to their membership, and has relationships with hundreds of associations nationwide, including the American Society of Association Executives (ASAE), National Association of REALTORS (NAR), and National Association of Home Builders (NAHB). The company's other clients include Royal Caribbean Cruise Lines, Penny Wise Office Products and Telebank.

"McKinley Marketing's close relationships with associations and other affinity groups makes them the ideal partner for us," said Christopher Swenson, CEO of BATNET1. "They have the proven track record necessary to facilitate key relationships and speed our expansion considerably."

BATNET1 provides a turnkey solution to affinity groups that want to incorporate online shopping into their member Web sites and earn incremental revenue on merchandise sales without devoting the time, money and resources necessary to run it themselves. To date, the company has partnered with more than 85 merchants to create customized marketplaces on 36 affinity group Web sites and provide members with merchandise offers tailored to their needs and interests. BATNET1 and the affinity groups split commissions on sales generated, while merchants benefit from the opportunity to reach potential new customers.

"Having worked closely with associations for many years, we are keenly aware of the important role the Internet will play in determining their continued prosperity," said Jodie Slaughter, president of McKinley Marketing, Inc. "We look forward to raising the awareness of BATNET1's value proposition among the groups we work with, and to facilitating mutually beneficial relationships for all parties."

In addition to providing affinity groups with a "win-win" e-commerce solution, BATNET1 enables online merchants to establish cost-effective customer acquisition programs and reach members of well-known, name-brand groups that have established a long-standing trust relationship with their membership base. Conversion rates on BATNET1-created marketplaces average between 8 and 9 percent and are a compelling, performance-based alternative to expensive, ineffective portal deals.

Participating retailers include 800.com, Auto-by-Tel, Beyond.com, BigStar.com, CDnow, Digital Chef, eToys, FragranceNet, HardwareStreet.com, OfficeMax and Rockport Direct.

About McKinley Marketing, Inc.

Founded in 1994 and based in Chevy Chase, Maryland, McKinley Marketing, Inc. helps its clients establish and realize the benefits of affinity marketing programs. The company works with associations and companies to develop and promote strategic business partnerships. Among other services, the company provides market research, program enhancement, and the development of creative promotional materials. More information about McKinley Marketing can be found on its Web site located at http://www.mckinleymarketing.com.

About BATNET1

Founded in 1995, BATNET1 (Business & Trade Network) is the leading Internet affinity marketing company. BATNET1 partners with well-known membership groups and leading Internet merchants to create customized, private-label online marketplaces featuring special offers that are tailored specifically for group members. Based in Tinton Falls, New Jersey, and privately held, the company has exclusive agreements to provide 36 marketplaces to groups serving more than 80 million members. Investors in the company include Draper-Richards, Keystone Venture Capital and several private individuals. More information on the company can be found on its Web site located at http://www.batnet1.com.