You missed my point!! At a lower cost you would get 5 to 1 the subscibers you currently have. 1 at $24.99 compared to 5 at $9.99 = $49.95. You double your revenue!!! Even at 3 to 1 you do better. Go to the satellite guys forum and count how many say they subscibed to how many said no way at the prices you have. It was 5 to 1 rejecting your price.
--- On Mon, 6/15/09, Michael Mountford <mike@allamericandirect.com> wrote:
From: Michael Mountford <mike@allamericandirect.com>
Subject: RE: High HD prices
To: "Ralph Bravoco" <odbrv@yahoo.com>
Date: Monday, June 15, 2009, 8:28 AM
With the prices, I don’t like them either. I know they are high, but unfortunately with the cost of an HD DBS transponder, backhauls, equipment needed to provide the HD service versus our estimated revenue, (based on our small subscriber numbers and only 30% having HD capability) the choice came down to launching the service at these prices or not providing HD at all. We decided on the latter based upon input from our customer base. Hopefully you will see the value in the service.
Thank you for your support of All American Direct.com.
MM
-----Original Message-----
From: Ralph Bravoco [mailto
dbrv@yahoo.com]
Sent: Sunday, June 14, 2009 7:25 PM
To: Michael Mountford
Subject: High HD prices
Dear Sir,
I called today to add HD network programming to my current SD network subscription. When I was informed that the cost would be $24.99 per month for 4 HD channels from either LA or Chicago plus the $12.99 I am currently paying for 8 SD channels, I was appalled. Twice the price for half the stations is unbelievable. $24.99 is more than the $22 per month to get the 2 premium channel package from Dish say HBO and Starz ( 14 HD and 16 SD channels). Dish offers local for $5.99 per month for 8 SD channels and when the HD version becomes available they don't quadruple the price( $14 is what I am seeing for both HD and SD). Your pricing has forced me to wait for Dish to offer HD in my DMA. I noticed on Satellite Guys that your pricing has turned off most( 5 to 1 ) that blog there. Please reconsider your pricing to a more acceptable economic model. If you do , you might get a 5 time increase in subscibers.