Charlie speaks..... Finally!!!

**iceondsom** · 11-13-2007 03:59 PM

Originally Posted by tucksat

Churn happens when customers quit. Customers quit because they don't feel loyal to the company. Most folks don't have HD and don't care how many channels are out there. They just feel crapped on when they spend 30 minutes on the phone with someone who is ignorant of how their system works and can't help them. Throw in rudeness and stupid phone menus with talking computers and they just want to chuck it in and go to cable or Direct tv. I've been installing DNW for 5 years now and have been a customer that long. For the last 18 months or so the result of out sourcing has been bad. Most of these people aren't trained to do the job they need to do when they answer the phone and it is the fault of what ever big shot at DNW that is in charge. It is the same for all business, take care of your customers if you don't want "churn". I know you all know this, but I just had to get it off my chest.

E*'s churn is a result of two major factors. The first has to deal with their call centers. While no one likes speaking to an outsourced call center, 90% of E*'s calls are kept in house. The 10% that are outsourced are low-level, non-escalated issues like questions on how to program a remote control. The real problem was that E* got caught with their pants down in Q3 as they were short-staffed and call volume unexpectedly sky-rocketed. This led to long hold times and ticked off customers.

The second major contributor was the $100 Back Bonus promotion that ended August 15th. As you may recall, this promotion offered customers $10 bill credits each month for 10 months with AT100 or higher. Customers could receive an additional $10 credit each month if they also had HD programming. This offer of up to $200 in bill credits attracted a lot of promotion jumpers. Once they hit the last month of bill credits they disco'd.

E* learned their lesson and will never again offer a promo like that. Notice that all the goodies in the current promotion are tied to an 18-month agreement.

**ScoBuck** · 11-13-2007 04:05 PM

Those are NOT the major factors cited by Echostar in their call yesterday - OR in their 10-Q.

So - its begs the question - do you believe Dish is NOT being honest in its SEC filings?

**RandallA** · 11-13-2007 04:08 PM

Plus they've been doing the 18 months commitment for awhile now so this has nothing to do with the current state of the company.

"The second major contributor was the $100 Back Bonus promotion that ended August 15th. As you may recall, this promotion offered customers $10 bill credits each month for 10 months with AT100 or higher. Customers could receive an additional $10 credit each month if they also had HD programming. This offer of up to $200 in bill credits attracted a lot of promotion jumpers. Once they hit the last month of bill credits they disco'd."

**probinson** · 11-13-2007 04:08 PM

Originally Posted by tomyo10

Well, for you who have their locals in HD via E* or OTA, I'm sure it's not a big deal. For those of us who don't, it is a big deal.

Absolutely agree! I live in a hole, about 40 miles away from my local channels. I can get *one* CBS channel, if it's not raining, or cloudy, or foggy, or...

When I was shopping for a TV provider earlier this year, the availability of my local channels in HD was a HUGE consideration for me. That's why I initially, and reluctantly, went with Time Warner Cable. That was the ONLY way to get ALL of my HD locals since our Fox network doesn't have an HD OTA feed. It's only available in HD by a direct line to the 2 cable companies in the area.

However, after having 3 cable boxes crashing 6-8 times / day, I had to go somewhere else. Since no one else had my HD locals, the next consideration for me was hardware. And IMHO, the ViP622 blew D*'s box out of the water! That is why I ultimately chose E*.

So I say, bring on the HD locals (as long as they're in my market

)

**KAB** · 11-13-2007 04:08 PM

Originally Posted by iceondsom

E*'s churn is a result of two major factors. The first has to deal with their call centers. While no one likes speaking to an outsourced call center, 90% of E*'s calls are kept in house. The 10% that are outsourced are low-level, non-escalated issues like questions on how to program a remote control. The real problem was that E* got caught with their pants down in Q3 as they were short-staffed and call volume unexpectedly sky-rocketed. This led to long hold times and ticked off customers.

The second major contributor was the $100 Back Bonus promotion that ended August 15th. As you may recall, this promotion offered customers $10 bill credits each month for 10 months with AT100 or higher. Customers could receive an additional $10 credit each month if they also had HD programming. This offer of up to $200 in bill credits attracted a lot of promotion jumpers. Once they hit the last month of bill credits they disco'd.

E* learned their lesson and will never again offer a promo like that. Notice that all the goodies in the current promotion are tied to an 18-month agreement.

I don't think so!

**skottey** · 11-13-2007 04:26 PM

Originally Posted by damjr

No doubt !!!! The typical end user thinks that when they make their $40-$100 monthly payment, that all that money goes to the provider. Hummmmmmmm.

Lets see.............with each channel having a cost, and all overhead, csr's, intallers, hardware, etc.................... the provider has to be breaking even after the first month right?

I don't think even the most naive subscriber thinks that $40-$100 is all profit to Dish. Everyone knows there is cost involved. The question is at what point they start making a profit, and if it isn't for 16 months, they need to fix their business model, because it ain't working so well for them.

**AT&TDishman** · 11-13-2007 04:53 PM

Charlie's theme song: Manana, manana is good enough for me!!!

However, is it good enough for current and future subs?

**mattopia** · 11-13-2007 05:14 PM

Originally Posted by skottey

If it takes them 16 months to make a profit, than they should REQUIRE everyone to sign a 24 month contract, not just offer a non-required 18 month contract for a savings of $49.99. With 18 months they are only going to make 2 months profit off a customer if they bail after the contract. At least 24 months would give them 8 months of profit.

Then they'd be called DirecTV! It appears that D* no longer gives you any options to not have a contract. I don't do contracts, and E* is the only sat provider that would allow me to sign up with no commitment.

**iceondsom** · 11-13-2007 05:34 PM

Originally Posted by ScoBuck

Those are NOT the major factors cited by Echostar in their call yesterday - OR in their 10-Q.

So - its begs the question - do you believe Dish is NOT being honest in its SEC filings?

The call center trouble falls under the umbrella of operational challenges. Promotion jumpers were mentioned too.

**rcdallas** · 11-13-2007 05:38 PM

There you go Charlie, you heard it Dish is getting pretty stale ya'll are letting the grass grown beneath you feet.

Time to move out of ya'lls comfort zone !!!