FSN FAMILIES LIKE MOVIES, BUT ARE NOT EAGER TO SHOP

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So far, the families hooked to Time Warner's Full Service Network say they have hardly turned their TVs off, but that all may change when the cable company starts charging in about a month.

"Mark watched a movie twice the other day," said Lynn Blackmon, 42, of her 20-year-old son. "He never would have done that."

The Blackmons-Fred, 43, Lynn, Mark, Alice, 18, and Tim, 15-are one of the three families testing the interactive TV system in suburban Orlando. About 50 Time Warner employees also have home access to the network.

"We've used the TV at least 50% more," said Tom Gerry, 51, who is trying FSN out along with his wife, Diane, 49, and their children David, 19, Adam, 17, and Amber, 15.

But Mr. Gerry said he won't pay more than $5 or $10 extra each month for the service.

"They're not going to be able to charge that much," he said, adding that he will use FSN's budgeting service to track spending on movies and games.

Time Warner's goal is to reach 4,000 homes with the Full Service Network by the end of 1995. "We need time to add services and customers and see what they like," a FSN spokeswoman said.

Both the Blackmon and Gerry children used FSN extensively during the Christmas holidays. Now that they are back in school, the children say they only watch FSN for about an hour a day.

Not surprisingly, both families are most taken with movies on demand, citing the convenience and the ability to pause films to talk on the telephone. But with only 42 movies available, they are eager for more variety.

Although the families are interested in FSN's shopping channel, cost is a factor.

Mr. Gerry, a banking technology consultant, said prices should be "at least as cheap as a catalog."

The Gerrys often browse in the shopping section, but have not purchased anything. Mark Blackmon did buy a hat from the Warner Bros. store. But the fathers of both test families doubt they would shop via FSN.

"I can't believe I'd buy clothes off TV-I need to touch and feel them," said Fred Blackmon.

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