Call me the king of credit. D* Retention ... How much is too much.

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slacker9876

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May 20, 2004
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Spokane, WA
I called DirecTV customer retention (800.600.8977) today because Concast (not it's not a typo) is currently offering me a good deal.

Dual tuner DVR product, additional Digital Cable receiver for another room and HBO all for 1 year, with a price guarantee of 39.99 per month for 12 months. This all comes with the obligatory free installation that cable has had for years.

D* countered with 6 months free Showtime, 3 months free HD package, 3 month HD package credit (applied today) $32.97 and a month of free service, flat credit of $50.00 and HBO for $2.00/mo for 6 months. All said and done it looks to be a value of $214.97.

I almost feel guilty and I don't know why ... they are a billion dollar corporation, I am one guy. Maybe it is because I have paid of total of $12.16 for my programming since August 2004. I have however shelled out about $1100 in hardware costs including my HD TiVo. This puts me at a "deficit" nearing $265.03.

How is it that this actually works for DirecTV? I figure it must be that the other 13,xxx,xxx are not all getting equal treatment. Either way, I have to give it up once again to the DirecTV customer retention department. Next month I'll be shipping about 50.00 to them ... same for the next 6 months, unless I bump the package back up.
 
why didn't you ask for the $250 deal with the HD DirecTivo? You paid way too much. Take the deal, just be aware that they won't give you another any time soon. They take note of how much they give out.
 
You can get as much as they are willing to give. If you were legitimately considering the switch, I see nothing wrong with the deal you got. With 13 million + subs, their real cost of this deal is probably $25-50 (the cost they are paying in fees), unless hardware is part of the deal.
An incremental customer does not require them to put up another satellite or other than the minimal billing records, add much to their bottom line costs. The reality is that the online community is probably accounting for about 10% of the calls to retention. D* is probably not really losing anything even with offering these deals. I thought I had read somewhere that D*'s cost to acquire an incremental customer is in the range of $1200-1300, all things considered (hardware subsidy, personell, advertising, etc..) so losing a small amount is made up very quickly, probably before the end of your commitment (which is why they pick 1 year). So they are really not losing, just foregoing profit for a little while.
The ethics of calling every 3 or 6 months just to see what you can get are questionable, but with their tracking system, they know what you got before and what they are willing to offer again. I don't really recommend this practice, but can't be too holier than thou about it. (This is even after spending 5 years with Pegasus, where they didn't care at all. The only thing I ever got from them was a book of 1 free PPV per month coupons, which usually got lost before it was used.)
I did get in on the 6 month free HD package about a week after getting the $20 TC Premiere discount. Just said I read something online and was given both.
If they give it, take it, within reason.
 
mini1 said:
why didn't you ask for the $250 deal with the HD DirecTivo? You paid way too much. Take the deal, just be aware that they won't give you another any time soon. They take note of how much they give out.

What $20 HD TIVO deal are yu referring to?
 
Slacker , Don't feel bad I have had a lot more than that for free and I am still getting it ,I will have had the HD package for free for 9 months come April of this year and I have had Showtime for over a year for free along with a lot of other things . How you ask, I just call that same number that you put up and ask if there is anything they have for a free trial , be it movie channels or something else . I Don't yeah when I call I Don't complain about any problems to them I just call up and let them know how happy I am with my Directv and thank them for all the times they fix problems (very far and few in between) So if your nice , pleasant you just might get something. But Not Always :)
 
No offense, but THIS is exactly why we are getting rate increase -- Free Stuff to a few. Don't tell me ever again that D* invest in new sat, this and that. No! Real reason? Free Stuff to new subscribers, free stuff to people with good relations with customer retention, and under-priced (if not free) stuff to the rich people who can afford HD.

For poor people like me (lives in a rural area that he couldn't receive any broadcast signal via rabbit ears, can't afford to have his own house, while the apartment management does not allow big antenna, and choose satellite dish over cable because it cost less per month), we are getting a higher-than-inflation rate increase for basically nothing more (and a few channels less every year).

That is fair in the capitalist world, and I should just shut up.
 
Uhm... Lets break that down...

6 months free Showtime - DTV doesn't mind doing free Showtime due to the fact it actually costs them maybe $1-2 /month to give out. (They prefer free Showtime to a cash credit any time.)
3 months free HD package - The 3 free months of the HD package is standard right now. In fact, before Jan 1st it was 6 months free.
3 month HD package credit (applied today) $32.97 - Woot! This isn't something standard. Deal! =)
month of free service - Another score... Retention likes you!
flat credit of $50.00 - Wow... I'd think of this as a second month free though... Unless if you meant that this is what they did for a month free.
HBO for $2.00/mo for 6 months - Hrmm... I wonder if this is costing them any more than Showtime...
 
It seems like the folks in the Customer Retention Group have a limit of $250 credit per customer, and can dole that out in a lot of ways. (e.g. bill credit, free XYZ service, etc.)
 
mcsj said:
For poor people like me (lives in a rural area that he couldn't receive any broadcast signal via rabbit ears, can't afford to have his own house, while the apartment management does not allow big antenna, and choose satellite dish over cable because it cost less per month), we are getting a higher-than-inflation rate increase for basically nothing more (and a few channels less every year).

That is fair in the capitalist world, and I should just shut up.

No offense, but you said it yourself. Satellite costs less than cable. There is also a greater perceived value with satellite, in most cases. Giving these freebies to 'rich' people does not really cost D* much, and the 1 year commitment ensures they re-coup the discounts. They are smart enough to not give it all away with some chance of recovery. In fact, these freebies probably get enough customer loyalty that they probably are more profitable because of them (as long as the number remains small, let's say 10% or less).

It is many of these 'rich' people you talk about (re; early adopters) that enabled D* to get big enough to make it affordable for more of the masses. Had there not been people willing to pay $1000 for HD Tivo, the price drop we will likely see this year would not happen. By the end of the year those $1000 receivers will be $500 or less. Much like the $300 receivers were 7 years ago are now basically free.

As far as the rate increases, there has been very little inflation in the last 5 years if you take gasoline out of the picture, so any increase will be greater than inflation. Would you prefer a 4% increase with 20% inflation or 1% inflation? Considering I originally signed up with D* in '97 and I have seen two realtively modest increases, I really think it is not out of line.

Not that I want to pay more, but look at car and health insurance premiums. These are necessities and are far outpacing the rate of increase of luxuries such as satellite TV. I know you said you live in a non-OTA area, but in reality, TV IS a luxury, not a necessity.

And finally, NO, you should not just shut up. Your opinion is as valuable as any other (mine included). That is why these boards are here, so that we can all vent, rant or just generally blow off steam. Sure beats kicking dogs.
Keep on keeping on.
 
mini1 said:
why didn't you ask for the $250 deal with the HD DirecTivo? You paid way too much. Take the deal, just be aware that they won't give you another any time soon. They take note of how much they give out.


I did get this credit, perhaps I mistyped and I'll check the original post. My Breakdown on the HR10-250 was 919.00 from VE minus $250 D* credit, minus sale of HTL-HD $225, end cost for pure joy $444. Works for me!


cbearnm said:
The ethics of calling every 3 or 6 months just to see what you can get are questionable
Sorry I am a poker player, not an ethic professor ;) We'll chalk it up to my needs vs. the needs of D*. But as I said ... I do feel a little guilty. Then I realize I will pay for it over the course of the next year.


Angerphile said:
Uhm... Lets break that down...

6 months free Showtime - DTV doesn't mind doing free Showtime due to the fact it actually costs them maybe $1-2 /month to give out. (They prefer free Showtime to a cash credit any time.)
3 months free HD package - The 3 free months of the HD package is standard right now. In fact, before Jan 1st it was 6 months free.
3 month HD package credit (applied today) $32.97 - Woot! This isn't something standard. Deal! =)
month of free service - Another score... Retention likes you!
flat credit of $50.00 - Wow... I'd think of this as a second month free though... Unless if you meant that this is what they did for a month free.
HBO for $2.00/mo for 6 months - Hrmm... I wonder if this is costing them any more than Showtime...
All my numbers are based upon what I saved. I know it costs less than 214.97, but that is still my net savings either way.


Hogarth said:
It seems like the folks in the Customer Retention Group have a limit of $250 credit per customer, and can dole that out in a lot of ways. (e.g. bill credit, free XYZ service, etc.)
As I stated, I have received more than $700 in credits since the last 8 months. :)


I am just saying it is out there if you are willing to ask. D* will not go bankrupt from issuing credits, they do budget just for this sort of thing.
 
mcsj said:
No offense, but THIS is exactly why we are getting rate increase -- Free Stuff to a few. Don't tell me ever again that D* invest in new sat, this and that. No! Real reason? Free Stuff to new subscribers, free stuff to people with good relations with customer retention, and under-priced (if not free) stuff to the rich people who can afford HD.

For poor people like me (lives in a rural area that he couldn't receive any broadcast signal via rabbit ears, can't afford to have his own house, while the apartment management does not allow big antenna, and choose satellite dish over cable because it cost less per month), we are getting a higher-than-inflation rate increase for basically nothing more (and a few channels less every year).

That is fair in the capitalist world, and I should just shut up.
NO you are wrong. The real reason for the programming increases, which EVERY provider faces is the programming providers, like ESPN. ESPN I use, because it is the worst. Call the stations, giant companies and other places that provide DirecTV with your programming. They are the sole responsabilty for these large increases, which are seen accross the board.

Another thing, Its not all of our faults that you are too L-Z to get of the couch and call a toll free number at DirecTV to claim your share of the discounts. If DirecTV thought it was bad for business then they wouldn't be giving out $250 would they. Its up to them, not you.
 
Just math.

mini1 said:
NO you are wrong. The real reason for the programming increases, which EVERY provider faces is the programming providers, like ESPN. ESPN I use, because it is the worst. Call the stations, giant companies and other places that provide DirecTV with your programming. They are the sole responsabilty for these large increases, which are seen accross the board.

I don't believe so.

Let's do some nonsense math (I know I am doing trash talk by commenting D* based on E*). From a quote during the Viacom/E* dispute, a 40% rate increase to E* cost only 6 cents more, and that covers 8 of the TC 85 non-shopping video channels, or 0.75 cents per channel. Let's say everyone does the same, including those religion & public interest channels (which cost D* almost nothing), the programming cost of TC will increase by only 64 cents.

I understand there's some big ugly guy out there (spell D.I.S.N.E.Y) would increase their rate even higher. So let's play with the numbers. Say each channels now pose a rate hike of 1.5 cents (twice of 0.75 cents mentioned above). The programming cost of TC will increase only by $1.2! That is, if everyone (including TBN, Daystar, C-SPAN, C-SPAN 2, EWTN, CCTV-9, BYU TV, The Church Channel, NASA TV, The Word, PBS You, World Harvest Television) is as greedy as the big ugly guy.

mini1 said:
Another thing, Its not all of our faults that you are too L-Z to get of the couch and call a toll free number at DirecTV to claim your share of the discounts. If DirecTV thought it was bad for business then they wouldn't be giving out $250 would they. Its up to them, not you.

And you really think I am that lazy? No, they don't care much about TC-only customers like me. I've been a TC-only customer since 2002 and I've called customer retention about twice a month since 2003 and so far I've got nothing.

And NO, I am not saying that it's your fault to call customer retention. I call them too. Just that this is not a healthy way of life. Why only a few of the subs can "feel the joy", while the rest are paying extra for the joy of some?
 
I'm bumping this up because I had a question............do you guys just call and say "what can you give me?" or do you say "I'm thinking about switching, what can you offer me?" Because We've been with D* for over 10 years and have never asked for or been offered anything.........we want to stay with D*, but E* is offering such a good deal on equipment, that we don't know what to do........we have had all levels of service from everything to our current middle of the road package. We recently got an HDTV and want to upgrade.........but considering what we paid for the TV, I hate to now have to buy all new satellite equipment............so.............what do you think I can legitimately get from D* and for how much????? Thanks, Pat
 
Thanks Slacker, I've been with D* for 4 months now. Gave that number a call and they credited my account $100.
 
Pat said:
I'm bumping this up because I had a question............do you guys just call and say "what can you give me?" or do you say "I'm thinking about switching, what can you offer me?" Because We've been with D* for over 10 years and have never asked for or been offered anything.........we want to stay with D*, but E* is offering such a good deal on equipment, that we don't know what to do........we have had all levels of service from everything to our current middle of the road package. We recently got an HDTV and want to upgrade.........but considering what we paid for the TV, I hate to now have to buy all new satellite equipment............so.............what do you think I can legitimately get from D* and for how much????? Thanks, Pat
Stay with D*. Let me tell you, if you have really been with D* for 10 years (Congrats!!), and never asked for a thing-then your in for a nice prize. Call customer retention and tell them you would like the $99 HD upgrade deal. Everything you need to upgrade one TV to DirecTV HD for $99, not to mention the largest number of HD channels (after voom is dead soon) and the best receivers on the market. you should get the new H10 HD receiver and a new Tri-Lnb dish, with included install. If you really nag them, they will include a free antnna for free OTA HD broadcasts at no extra charge. good luck!
 
Just as an update my buddy from the office called and was given an 80hr DVR with free install. I asked him where his skills were; and warned him to stay clear of Board Rooms!


chewy said:
Thanks Slacker, I've been with D* for 4 months now. Gave that number a call and they credited my account $100.
Always happy to have helped! It never hurts for D* to give back either!


Pat said:
I'm bumping this up because I had a question............do you guys just call and say "what can you give me?" or do you say "I'm thinking about switching, what can you offer me?" Because We've been with D* for over 10 years and have never asked for or been offered anything.........we want to stay with D*, but E* is offering such a good deal on equipment, that we don't know what to do........we have had all levels of service from everything to our current middle of the road package. We recently got an HDTV and want to upgrade.........but considering what we paid for the TV, I hate to now have to buy all new satellite equipment............so.............what do you think I can legitimately get from D* and for how much????? Thanks, Pat


Point Blank … the moon and the stars! Based upon what I have read about folks in your situation I’ll bet you could get an HD Receiver (not a Tivo), a Tivo for a second room, The 3LNB dish and an OTA antenna all installed for about $150.00. You would need to call retention at the number above and you would need to let them know you are considering Dish Network. You might even be able to swing the same as above and HD Tivo for around $495 … since I believe this is what Dish offers.


Just be nice … goes back to more bees with honey than vinegar.
 
So Thanks everyone for your advice........And Slacker you were pretty close,

Here's what they offered me.........HD receiver with a new 3 LNB dish, a Tivo for the other room, 6 months free HD package for $149 and free installation. I didn't get the OTA antenna(but then again I didn't ask for it, we get very good reception on rabbit ears and I didn't think to ask. We're satisified. We want to install it ourselves, Directv said no way, we won't sell it to you that way, but suggested we talk to the installer they assign and see if he'll let us do it..........what do you think, are installers pretty easy that way?
 
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