Cablevision Eyes VOOM SAC

silversurfer

silversurfer

Thread Starter
Supporting Founder
Supporting Founder
Sep 8, 2003
1,147
1
Las Vegas, Nevada
From our friends at SkyReport.com

Executives with Cablevision didn't talk much about their new DBS service VOOM during a third quarter conference call, but did say they expect the platform to do better than its small dish competition when it comes to subscriber acquisition costs.

Company officials didn't offer specifics, but said the VOOM platform will have lower SAC costs than EchoStar's DISH Network or DirecTV. At the moment, the service, which aims to offer 88 standard-definition digital channels and 29 high-def channels, is free to customers though February.

Also in its third quarter report, the company disclosed some accounting issues.

Cablevision said an audit found $15 million in improperly booked expenses in 2002 and from earlier reporting periods. The MSO said it would restate first quarter and second quarter 2003 results and revise third quarter numbers to take into account the improperly recorded expenses.

Cablevision reported a third quarter net loss of $104.6 million and revenue of $975.8 million.
 
S

Sean Mota

SatelliteGuys Master
Supporting Founder
Sep 8, 2003
19,039
1,738
New York City
Crunch time at Cablevision

Also found the following Here


Yesterday, it reported finding $15 million more in improperly booked expenses. The accounting probe may slow down Cablevision's plans to spin off Rainbow and its new satellite service, VOOM, into a separate company.
 
mike123abc

mike123abc

Too many cables
Supporting Founder
Sep 25, 2003
24,238
3,124
Norman, OK
Well when they charge the big $$ up front to make a new sub pay for the receiver, antenna and installation of course the cost will be less. It is easy to say your SAC is less when you charge and your competition gives it away almost for free.
 
Stargazer

Stargazer

Supporting Founder
Supporting Founder
Sep 7, 2003
16,565
340
Western WV
I agree with you completley mike123abc. Not only does it lower SAC but it also attracts consumers that are going to be a lot less likely to disconnect service because of the large investment the consumer has in their satellite system. This is what I have been thinking all along when they set the pricing so high for the system and installation.

Perhaps they figure that they are better off making twice as much off of each customer with half as many new customer aquisitions making each customer even more valuable to them than it would be otherwise.
 

Similar threads

silversurfer
Replies
2
Views
2K
Stargazer
Stargazer
Scott Greczkowski
Replies
13
Views
4K
Stargazer
Stargazer
S
Replies
8
Views
2K
Stargazer
Stargazer

Users Who Are Viewing This Thread (Total: 0, Members: 0, Guests: 0)

Top