DVD rental and movie download company Lovefilm claims that its deal with Volkswagen is the world’s first movie download service sponsored with advertising.

In return for watching the ads whilst the film is downloading, members of the UK club can view one of a select number of £2.99 titles for free. The deal restricts the total number of downloads to 100,000 copies over a four month period.

Chris Bird, Head of Marketing Services for Lovefilm, tells us:

“The model allows brands to deliver campaigns that combine the impact of cinema and TV advertising, but through the accountability of the web.”