Digital advertising in food retailing: Deutsche Telekom and REWE supermarkets try out the multimedia network

* Approx. 2,600 LCD screens in around 480 REWE stores
* Central management of the content
* Advertising slots can be booked by third parties

Deutsche Telekom AG and REWE Markt GmbH have signed a contract on the setup and operation of an advertising network. Together with T-Systems, the Out-of-Home Media unit will equip around 480 REWE supermarkets with large LCD screens from April 2010. On this, REWE will show content such as product and price advertising, messages conveyed through images, service tips, weather forecasts and news.

With the NetContact product line, Deutsche Telekom offers powerful digital signage advertising networks that can be used to achieve a particularly high advertising impact through the use of strong moving images. The solution for REWE is the first national and coherent in-store TV network of this scale in the German food retail industry. One strength of in-store TV is the high degree of flexibility of this advertising medium. Thanks to digital technology and central connection of the screens, the content can be updated and changed at short notice. Advertisers can set up commercials and messages at specific times of day and can adapt their advertising messages to the relevant target group.

The marketing of the advertising slots begins with the signing of the contract. In a start-up phase, advertisers can try out the new medium at particularly favorable rates. Starting in the greater Frankfurt area, REWE will provide the digital advertising medium in stores in Hesse, in parts of Bavaria and parts of Rhineland-Palatinate. The start of the whole network is planned for October 2010. Deutsche Telekom has commissioned echion Corporate Communication AG based in Augsburg with the marketing and content management of the in-store TV network in the REWE stores.

Under the umbrella of Deutsche Telekom, the Out of Home Media unit and T-Systems’ corporate customer segment implement solutions for digital signage. These include animated, interactive and digital advertising spaces on public telephones or large LED boards, as well as the service related to planning, setup or integration in existing IT landscapes, and operation. Crucially for customers, they benefit from the comprehensive know-how of the Deutsche Telekom Group in the area of information and communication technology.

About REWE
REWE supermarkets are part of the REWE Group, which is based in Cologne. The company is one of the leading trading and tourism groups in Europe. The REWE Group is number three in the European food industry. In 2008, the group generated total revenues of over EUR 50 billion. The REWE Group employs nearly 330,000 people and currently has just under 15,000 stores in Germany and 15 other European countries. In Germany, the independent retail business and the group company employ more than 220,000 people.

About Deutsche Telekom AG
Deutsche Telekom is one of the world’s leading integrated telecommunications companies with over 151 million mobile customers, over 38 million fixed-network lines and more than 15 million broadband lines. The Group provides products and services for the fixed network, mobile communications, the Internet and IPTV for consumers, and ICT solutions for business customers and corporate customers. Deutsche Telekom is present in over 50 countries and has around 260,000 employees worldwide. The Group generated revenues of EUR 64.6 billion in the 2009 financial year – almost half of it outside Germany. (As of December 31, 2009)