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DTV Marketing Strategy - Run by Morons

Discussion in 'DIRECTV General Discussion' started by woward, Dec 14, 2012.

  1. lparsons21

    lparsons21 Hall Of Fame DBSTalk Club

    Mar 4, 2006
    Herrin, IL
    No one reasonably expects a free upgrade every time they call in, that is absurd. And yes, I'm sure they told you it is better to lose some instead of giving existing customers whatever they want. But they could and sometimes do, give existing customers a decent deal to stick around longer.

    Take me for instance. I subscribe to Premier and have NFLST as well as 3 of the HR24s. Do I expect some discounts on that? Yep, and I've gotten them every time, sometimes big ones, sometimes small ones. And it is that very reason that I'll probably not switch anytime soon.

    You see, I have my own set of 'policies' when it comes to my money. It goes something like this, make sure I only pay what I think a product is worth or don't get the product. Simple, huh?

    And I don't know how poor your local cell providers are, but around here every two years you get a new customer deal with new phones, regular as clockwork if you so choose.
  2. Newshawk

    Newshawk Hall Of Fame

    Sep 3, 2004
    Actually, I did a quick and dirty calculation a few years back and determined that it is about 1% to 2% of all DirecTV customers that call in with issues/problems/complaints. The vast majority of customers have no problem with their systems and, as a result, do not call in. YMMV and, of course, I could be wrong...
  3. Lazy Senior

    Lazy Senior Legend

    Jan 24, 2005
    EXACTLY!!!! I use Verizon Wireless and every 2 years at the end of my contract I get constant promotions to sign-up for another 2 year contract. Imagine that, they treat me like a New non-Customer. The Cell Companies know how to treat and retain customers.

    Dish and Directv on the other hand almost dare you to go to the other provider. Certainly they do not treat you like a valued customer....
  4. Mauiguy

    Mauiguy Cool Member

    Jul 13, 2007
    I am not sure exactly what folks expect a company, that is in the business of making money to do. I went to Gm the other day and told them that I wanted a free upgrade on my ten year old Buick. They were not very receptive.

    Nor was my phone company when I asked them to upgrade me to 10 meg service as opposed to seven.

    I am not denigrating anyone here, just asking what a loyal company is expected to do. If Directv is expected to give free upgrades then should my phone company?
  5. Rich

    Rich DBSTalk Club DBSTalk Club

    Feb 22, 2007
    Piscataway, NJ
    A couple years ago I called Dish and asked them if it would be possible to replicate my D* system. When I told the CSR how many HRs I had he laughed and said that would really cost you. Couple days later, a voucher for 6 or 7 hundred dollars from Dish shows up in the mail. Just to get me going if I decided to go with Dish. Made me wonder just how far Dish would go to get subs.

    I usually get equipment without charges when my comittment is up. About drove a CSR crazy the other day when he offered me anything at no charge and I turned him down. I have no intention of leaving D*, they've been good to me. Just the thought of another learning curve gives me the shivers. Best to stick with what you understand, I think.

  6. woward

    woward New Member

    Dec 1, 2006
    Guys, thanks for all the input. I cancelled my DTV Friday night. I was quite surprised to get a call from a very pleasant DTV employee on Saturday who suggested she would try to accommodate my requests and help me continue as a DTV customer. The deal is not yet done so I don't know what will actually come of it. In the interim I "upgraded" my minimal Comcast service yesterday at very little cost - since Comcast doesn't have any contracts or 2 year commitment requirements it will be simple to change the Comcast deal & move to whomever seems to want my business next.

    Some of you commenters don't seem to really understand the business model of DTV, Dish or the cable companies. They are all in what we old timers used to call the "razors and razorblades" business. The shaving companies happily gave razors away because they knew if you got it and liked it, you would return every week and buy more blades. The blades had 1000% markup and were the really profitable part of the shaving business.

    For the entertainment companies it is NOT about the equipment, that's why they mostly give the stuff away. It is about hooking and collecting that monthly payment - that is an annuity to the cable or satellite company and that is where they truly make their profit. Remember, there is zero incremental cost to provide additional electronic content to each new subscriber. I don't know what DTV's actual costs but the company surely follows the historic trend that it is many times more expensive to get a new customer than it is to retain an existing one. Just look at my history with DTV. Nearly 18 years ago they gave me a dish and a receiver and an installation - since that time I've paid them more than $100/month, every month. During that time it has cost them a couple of additional receivers, an HD dish and some install labor to retain that huge revenue stream. If they can get, and keep, enough people like me, that's where they really make the big $$$.

    I'll post the outcome of my continuing DTV upgrade saga whenever they contact me next.

  7. Mauiguy

    Mauiguy Cool Member

    Jul 13, 2007
    Actually you made my point. You got Directv understanding fully what you had signed up for. You received the "equipment " so that you could pay for blades.

    I do not believe that they offered new receivers when ever you decided to ask for them.

    That being said, I hope you get what ever it is that you are looking for from Dish.
  8. Lazy Senior

    Lazy Senior Legend

    Jan 24, 2005
    It all comes down to this word "Competition".

    A loyal company is expected to treat existing customers the same as new customers.

    Directv and Dish are not loyal companies, hence the churn problem.
  9. wrj

    wrj Legend

    Nov 23, 2006
    Woward: I think your approach was wrong. You called anticipating good things out of the CSR. And frankly, I completely understand with all your years of loyalty. However, when I call I set my expectations really low. Whether I'm calling about a possible upgrade, issue with equipment, or billing. It doesn't matter. Just expect nothing and little help.

    Then if they do actually come through, you're delighted. Otherwise, no big deal. It just worked out the way you thought.

    But here is the key; don't give up. Call back and try again at some other date. My sister use to get amazing airlines values by calling after 10pm at night and then be willing to hang up and try again if she didn't get the deal she liked. It actually worked a decent number of times.
  10. inkahauts

    inkahauts Well-Known Member

    Nov 13, 2006
    And most the time you need to go to retention to get extra deals.
  11. spartanstew

    spartanstew Dry as a bone

    Nov 16, 2005
    Wylie, Texas
    I had the exact opposite experience with Verizon. I had been a customer for 10 years and this past Spring I was considering switching to T-Mobile due to the much cheaper monthly costs. I called and explained that to Verizon and told them that I didn't expect them to match T-Mobile, because I knew their coverage and service was better, but I needed them to do something. They told me there was nothing they could do to retain me. No monthly discount of any kind. I've been happily with T-Mobile ever since.
  12. Snapaniac

    Snapaniac Mentor

    Sep 14, 2010
    Weird... on Wednesday, I had to call them because I had a box that was overheating. Anyway, received the new box the next day and when I called to activate the replacement DVR, the person on the other line said that I was also eligible for an Upgrade. I could either get a free HD DVR (I already have 3 HR24s) or I could get a Genie plus 3 clients for $99, and zero cost for installation. I chose to get the Genie but keep my existing HR24s. The guy showed up this morning, installed the SWim 16 and hooked up my Genie.

    I was a DTV customer back in the lat 90s for a couple of years. I haven't been a customer since then until 2 years ago... My contract ran out in September.

    Funny thing though, when I called to activate my replacement HR24, I didn't ask for any upgrades. They just offered to me, of course with a new 2 year contract, which I didn't mind.. I've had NO problems with DTV for the past couple of years.

    I'm on the Premier Plan, with 4 boxes, HD, Whole Home, etc... I'm sure I'm not one of the "top tier" subscribers... My bill average about $160 a month with them.
  13. patmurphey

    patmurphey Godfather

    Dec 21, 2006
    They are businesses! If all customers got the same deal as the temporary promotions the prices would have to be higher overall. Introductory sales are a good way to expand a customer base. "Loyalty" requires them to make introductory pricing permanent???
  14. acer

    acer Duplicate User (Account Closed)

    Dec 13, 2012
    Yes it is very absurd and thanks for having sense to know it is, but i kid you not that was the majority of my customers i had to deal with.

    DirecTV and Dish really aren't that bad compared to sattelite service in say like Canada. With much competition, we Americans have it good. ShawDirect there wants customers to fork out as much as 800.00 upfront to get the service and they are more expensive a month. Yikes!
  15. Lazy Senior

    Lazy Senior Legend

    Jan 24, 2005
    Why should New Customers be more valuable than existing Customers? Why should a new customer get program/equipment discounts that are not available to an existing customer?

    What is the cost of losing a long term good paying customer to the other guy?

    Since I have churned 7 times, I am a good example of why it should pay to attempt to keep existing customers. BEFORE they churn.

    The last time I churned (10 months ago) I started calling Dish 6 weeks before my contract was up. I called many times. I even emailed. I told them I was going to cancel at the end of my contract. I tried to get a discount to re-sign another 2 year contract. The best they could do was offer me $5 a month discount for 1 year. $60. Laughable. I was paying $110 a month for service. I was asking for something close to the new customer discount (at the time around $20 a month discount) but without any new equipment.

    For weeks after I cancelled service I was offered much much more from Dish. I got phone calls from them and a barrage of emails and snail mail begging me with offers to come back. It was too late since Directv had offered me fantastic discounts and free new equipment and now I was in a contract with them. Now this scenario was nothing new for me. I expected it. I know how they operate, both Dish and Directv. After all I have churned 7 TIMES in 17 years.

    If more customers churned frequently (like me) both companies would start treating existing customers MUCH better.

    I churn because I can and as a new customer it saves me considerable $$ over a 2 year contract. As an added benefit I get the latest and greatest equipment free or close to free with free installation. What is not to like about churning? I love being a new customer every 2 years..... IMO this thread's Topic " DTV Marketing Strategy - Run by Morons" should be re-named " DTV and DISH Marketing Strategy - Run by Morons"
  16. TMan

    TMan Legend

    Oct 30, 2007
    It is very strange how cell phone companies routinely give you their then-current flagship phone for no more than $200 every two years if you re-up your contract, but satellite providers have marginal interest in similar upgrade incentives.
  17. unixguru

    unixguru Godfather

    Jul 9, 2007
    There is the answer: not enough customers do. They bank on it. Same for cable, cell, ...

    Rebates on inexpensive items is another. Get a few bucks back if you go to the work of filling out a form and mailing it in. They bank on most people not bothering - or forgetting.
  18. patmurphey

    patmurphey Godfather

    Dec 21, 2006
    Enjoy your churning. I guess you don't care about programming stored on your DVRs.
  19. lparsons21

    lparsons21 Hall Of Fame DBSTalk Club

    Mar 4, 2006
    Herrin, IL
    Programs stored on DVRs is only a real benefit if you can keep them with a DVR swap. In the case of D*, you can't at all as they chose to tie disks to a specific DVR.

    When I switched from E* to D* a bit back, one of the considerations was that I would lose all that archived material. If/when I decide to switch back to E*, that won't even be a thought.
  20. Carl Spock

    Carl Spock Superfly

    Sep 3, 2004
    Lazy Senior, you chose to play the churning game.

    Some of us get great deals by playing a different game.

    Still others don't play any game at all and are content with their status.

    And you know what's amazing? DirecTV's and Dish's procedures accommodate the needs of all three types of customers. Pretty remarkable if you ask me.

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