Thoughts on where Dish ought to head

[vegassatellite]

1. Get DishComm and Broadband enabled on the 211 and 222 receivers. Enable them to have external hard-drives.

2. Get rid of HD Access Fee.

3. Replace the 625 with 722 in all New Connect promotions.

4. Replace the 311 and 322 with the 211 and 222 respectively.

5. Make 1000.2 the standard dish.

6. New inventory is only 722, 612, 222, 211. This makes all new receivers capable of broadband and seeing each other. Should eliminate many AO fees.

7. a. Create a device similar to NetGear XE102 and allow retailer to get reimbursed extra for receivers that have a broadband connection. That will cover the cost of the device.

b. Create a wireless adapter similar to a game adapter that can connect to the Ethernet port on the receivers, the above reimbursement could offset this device's costs as well.

The above steps will allow Dish to get a better handle on where their equipment is and allow PPV impulse and DishOnline buys.

8. Convert more PPV channels to Mpeg4 and upgrade those customers who buy PPVs to Mpeg4 receivers.

9. Convert TEN, Exstacy, etc., to Mpeg4 and upgrade those customers.

10. Convert sport packages like Center Ice, Extra Innings, cricket, etc. to Mpeg4 and upgrade those customers.

11. Same for movie channels, then AT250, etc.

The goal of the above transitions is to get away from the Mpeg2 standard to allow more channels via mpeg4 without forcing a big swap-out to occur at one time. If those hacked FTA receivers can't do Dish's Mpeg4, then this transition would be even more worthwhile since the high-revenue programs would be first to get protected.

Finally, make a module that has the separator built in that just slides onto the Sat 1 and Sat 2 ports and can be screwed onto the receiver. Matter of fact, ship the receivers with the unit attached. Those who don't need the separator can unscrew the module and connect direct to Sat 1 and Sat 2.

I would go so far as to even suggest they build a splitter and diplexer directly inside the dual tuner receivers. That way, SAT 2 can have a diplexed backfeed of TV2, leaving the one coax connection a possibility with the above module. By splitting internally, the normal TV 2 output is preserved. This could save on lots of inhouse labor by letting techs cut fewer jumpers and connections. It would also reduce the number of fail points in the typical install.

 

[DirectDishNet]

Great sugestions, I have thought of many of those myself.

One More Sugestion;
I was in Tokyo last January and noticed they have some receivers that are awsome, I think they were called "nipon suzi" (I think) thats what was on the dish's that were a little smaller than the old dish 300's. They were black with the lettering in pink (weird huh?) All of those black dish's were mounted inside the apartments window's. With the windows closed!!......They revearse mount them to the inside wall..
The hotel we were in "Hotel Monterey Ginza Tokyo" had a dish mounted in the lobby pointing to a window that had the blinds closed and they were getting signal in the conference room. This would be awsome if charlie could somehow use one satellite with one dish.

 

[whitewolf8214]

Great Suggestions Vegassatellite Send Them Into Dish(charlie) And See What They Say

 

[kstuart]

Send them to E* Engineering Dept. instead...

 

[vegassatellite]

My last suggestion was short lived. (activation through the receiver)

 

[Zero327]

1. Get DishComm and Broadband enabled on the 211 and 222 receivers. Enable them to have external hard-drives.

Hmmm. We'll see...

2. Get rid of HD Access Fee.

This is instant revenue. Not gonna happen.

3. Replace the 625 with 722 in all New Connect promotions.

This is instant cost, not gonna happen until 625's are phased out. Pick cheaper units...

4. Replace the 311 and 322 with the 211 and 222 respectively.

Again, don't expect a company to use it's more expensive models to give freebie upgrades. Unnecessary cost kills stock (if it can much more...)

5. Make 1000.2 the standard dish.

It already is if you have anything but basic packages. Unnecessary upgrades to people who don't have internats or HD is overkill and costly. Better reflectors carry higher costs.

6. New inventory is only 722, 612, 222, 211. This makes all new receivers capable of broadband and seeing each other. Should eliminate many AO fees.

Again, instant revenue. Not gonna happen. This is commonly known as a pipe dream.

7. a. Create a device similar to NetGear XE102 and allow retailer to get reimbursed extra for receivers that have a broadband connection. That will cover the cost of the device.

So the retailer gets reimbursed extra, which covers the costs to them of the device which they would purchase. Who reimburses DISH for development, testing, launch and maintenance? Money out the door.

b. Create a wireless adapter similar to a game adapter that can connect to the Ethernet port on the receivers, the above reimbursement could offset this device's costs as well.

For the retailer. It doesn't help the manufacturer at all.

The above steps will allow Dish to get a better handle on where their equipment is and allow PPV impulse and DishOnline buys.

Works pretty well so far?

8. Convert more PPV channels to Mpeg4 and upgrade those customers who buy PPVs to Mpeg4 receivers.

Free upgrades cost money, and there's already two scheduled with the migrations.

9. Convert TEN, Exstacy, etc., to Mpeg4 and upgrade those customers.

Porn is a wonderful thing. But people don't talk about it openly. Costs of investing in only those channels which price gouge to being with makes this unlikely. Not impossible, but there's no benefits to it.

10. Convert sport packages like Center Ice, Extra Innings, cricket, etc. to Mpeg4 and upgrade those customers.

...No. See above.

11. Same for movie channels, then AT250, etc.

So upgrade five different customer bases across 13.6M+ people to feed an MP4 fetish? Not so much...

The goal of the above transitions is to get away from the Mpeg2 standard to allow more channels via mpeg4 (which is going to happen WITHOUT all of the upgrades you suggest anyways) without forcing a big swap-out to occur at one time (um... didn't you just suggest exactly that?) If those hacked FTA receivers can't do Dish's Mpeg4, then this transition would be even more worthwhile since the high-revenue programs would be first to get protected.

Finally, make a module that has the separator built in that just slides onto the Sat 1 and Sat 2 ports and can be screwed onto the receiver. Matter of fact, ship the receivers with the unit attached. Those who don't need the separator can unscrew the module and connect direct to Sat 1 and Sat 2.

Oooohhh, wasted parts. Great idea!

I would go so far as to even suggest they build a splitter and diplexer directly inside the dual tuner receivers. That way, SAT 2 can have a diplexed backfeed of TV2, leaving the one coax connection a possibility with the above module. By splitting internally, the normal TV 2 output is preserved. This could save on lots of inhouse labor by letting techs cut fewer jumpers and connections. It would also reduce the number of fail points in the typical install.

See! Now this is good stuff! ....for the techs. You're not dealing with the techs when this decision is up for debate. Where's my ROI?

Yeah....no.

 

[darrencp22]

Yeah....no.

Zero, you dont have to be a zero, and an ass too. You're right on most of what you say. You delivery is what sucks.

 

[Zero327]

I'm sorry. I'll try and sugar coat it next time so you feel like your customer service needs are being met.

How're my posts?

1-800-SOL@Echostar.com

 

[vegassatellite]

Hmmm. We'll see..

2 way connectivity is the desire of all pay tv services. It leads to additional revenue, and less possibility of account stacking.

This is instant revenue. Not gonna happen.

Competition will probably dictate the future of useless fees like this. It's elimination would pave the way to going to all mpeg4 receivers. Of course, the alternative is to make a 311 and 322 that is mpeg4.

This is instant cost, not gonna happen until 625's are phased out. Pick cheaper units...

I actually think this will happen as HD becomes the standard package for most customers. If the new chipsets bring the costs down, it is also possible. Especially when you consider the cost of producing two separate products that are very similar. The cost of the 722 will come down as production goes up.

Again, don't expect a company to use it's more expensive models to give freebie upgrades. Unnecessary cost kills stock (if it can much more...)

The cost differences aren't really all that great. Increased revenue from impulse activity of broadband enabled units would easily offset those costs in the short term. Since these units are leased anyway, they are still considered assets to DISH.

It already is if you have anything but basic packages. Unnecessary upgrades to people who don't have internats or HD is overkill and costly. Better reflectors carry higher costs.

There is quite a bit of customer churn from things like not being able to get the same offer as new customers. Having a customer "HD ready" ensures they are less likely to churn when they buy an HDTV later and find out that DTV's new customer offer is better than DISH's existing sub offer. The cost to upgrade the ODU at a later time is significant compared to the difference of the costs of the two separate dishes.

Again, instant revenue. Not gonna happen. This is commonly known as a pipe dream.

I agree that AO fees account for instant revenue but being able to offer a 4 room package for the price of a 2 room package makes competing offers from cable and DirecTV that much less palatable to a customer. Long term goals are to keep the customer paying you and not the competition.

So the retailer gets reimbursed extra, which covers the costs to them of the device which they would purchase. Who reimburses DISH for development, testing, launch and maintenance? Money out the door.

The same people who reimburse DISH for innovation like DP Plus, 722s, Spotbeam satellites, etc. The customer. R&D is part of the overhead of any company. The point of R&D is revenue and that is acquired through retention.

For the retailer. It doesn't help the manufacturer at all.

Retention makes up for it by keeping the customer at a price point that DirecTV can't compete with when they have to quote a 4 room price to Dish's 2 room price.

Works pretty well so far?

Dish hasn't exactly been trying for broadband connectivity as part of a standard install. I can tell you that for the retailers I work with, we strive to put in the XE102 units on every install and VIP receivers on every install. It gets the customer's bill lower. As the principle installer for my retailers, I know we are certainly getting more units two-way connected than most other retailers. If the 222 would get the broadband software, they could check a lot of our subs for account stacking without ever having to bother the customer.

Also, by selling the XE102, we can offer the customer a 722 with no PL fee but with an HD access fee instead. It's a wash to the customer but it gets them HD ready, and they get a lot more hard drive than the 625. When they buy the HDTV, HD is only a phone call away. Lord knows, we don't want DISH sending an inhouse tech to our customers to upgrade them later.

Free upgrades cost money, and there's already two scheduled with the migrations.

So does loss of revenue through programming theft.

Porn is a wonderful thing. But people don't talk about it openly. Costs of investing in only those channels which price gouge to being with makes this unlikely. Not impossible, but there's no benefits to it.

I don't think they should approach it as "hey you've got porn, how about an upgrade?" You establish a list of customers who subscribe to those channels and you market to them. Then you move those channels to MPEG4 and free of some bandwidth. It also screws with the hackers a bit. (no pun intended)

So upgrade five different customer bases across 13.6M+ people to feed an MP4 fetish? Not so much...

Well not all at the same time. These particular channels are most likely subscribed by those customers with the highest ARPU and those are the ones you want to keep. So you protect your content while keeping your $100+ a month customers happy with upgrades.

Oooohhh, wasted parts. Great idea!

The separator is a wasted part as well if the installed system has two wires. I don't think the production costs of putting the separator into a different housing would be any greater than the current separator production costs. Especially because they have to make jumpers with them now and that costs them coax and connectors. This module being attached at the factory (probably by a robot with a screwdriver) would probably cost less labor than paying an inhouse tech to attach the current separator to the unit.

See! Now this is good stuff! ....for the techs. You're not dealing with the techs when this decision is up for debate. Where's my ROI?

ROI comes from growing customer base, reduced subscriber churn, increased ARPUs, and less loss from theft. I've addressed all of that. Make all receivers easy to establish two way connectivity, protect the signal, and keep your price points more enticing than the competition.

There's a billboard by my house that says "Fees are like financial wedgies". DISH might think its being cute with all these fees, but people are going to wise up.

 

[reallyniceguy]

They really need to concentrate on the outsource centers! The phillipine agents .. some are just not trained very well.

 

[Zero327]

2 way connectivity is the desire of all pay tv services. It leads to additional revenue, and less possibility of account stacking.

Connectivity achieved over several generations worth of new equipment which diffuses the costs of development and implementation over time. Instant gratification to meet market demand carries a higher immediate impact.

Competition will probably dictate the future of useless fees like this. It's elimination would pave the way to going to all mpeg4 receivers. Of course, the alternative is to make a 311 and 322 that is mpeg4.

And historically, competition would rather utilize similar tactics than eliminate them to compete. DISH wasn't the first to use per-receiver fees. And in order to keep revenue streaming, no single company can go "revolutionary" and abolish them without absorbing that cost somewhere else. Subscriber growth occurs over time, again, not immediate but the pain financially would be.

I actually think this will happen as HD becomes the standard package for most customers. If the new chipsets bring the costs down they don't until long after the production costs are recovered. Think three to five years.),it is also possible. Especially when you consider the cost of producing two separate products that are very similar. The cost of the 722 will come down as production goes up.

Again, over years. Vendor part prices don't drop with demand, they stabilize. Not just DISH is out for a profit. Depreciation dictates cost reduction over time.

The cost differences aren't really all that great. Increased revenue from impulse activity of broadband enabled units would easily offset those costs in the short term.

That's an assumption. It takes into account you knowing the cost differences, and having a guaranteed revenue stream from broadband units, of which there is neither.

Since these units are leased anyway, they are still considered assets to DISH.

Until a portion of them are damaged/destroyed and/or require repairs. Remember that leased or not, equipment after use must be remanufactured before reship. Additional cost.

There is quite a bit of customer churn from things like not being able to get the same offer as new customers. Having a customer "HD ready" ensures they are less likely to churn when they buy an HDTV later and find out that DTV's new customer offer is better than DISH's existing sub offer. The cost to upgrade the ODU at a later time is significant compared to the difference of the costs of the two separate dishes.

Customer churn is always related to upgrade options and newest equipment. This is why thousands of people call in after the announcement of every new model and threaten to quit if they don't get two (not just one, but two! Greedy freakin people...) People want the best, and most want it free. A business must learn to not care, or at least only care about the handful that are truly important. Lest you be constantly upgrading EVERY customer...


I agree that AO fees account for instant revenue but being able to offer a 4 room package for the price of a 2 room package makes competing offers from cable and DirecTV that much less palatable to a customer. Long term goals are to keep the customer paying you and not the competition.

Still America's Lowest Price sat provider... fees and all. Long term goals are in fact keep the customer paying you versus the competition, so long as they don't outlive their revenue stream. Take all the Extra Innings customers... Wonder why Charlie just didn't care?
.

The same people who reimburse DISH for innovation like DP Plus, 722s, Spotbeam satellites, etc. The customer. R&D is part of the overhead of any company. The point of R&D is revenue and that is acquired through retention.

R&D isn't about retention. It's about new customer acquistion. Retention makes up no more than 20% of a business' core concerns because it is a fact people will quit. Acquisition of new base is top priority. You don't develop new equipment to keep people... You offer quick rebates.


Retention makes up for it by keeping the customer at a price point that DirecTV can't compete with when they have to quote a 4 room price to Dish's 2 room price.

Retention doesn't even pay for itself. How can it finance any other business ventures? Rentention is a EXPENSE, not a profit and not even a break-even point. You want to know why your bills increase annually? Rentention continues to increase... Would you still get an increase without it? Yes, but it would be minimum half of what it is, expressedly for the purpose of maintaining that "America's Lowest" price point. This is THE primary reason I have an incredibly low view of call center employees... Because it's easier to give free money, or expense equipment than to take care of a problem or to truly address an angry customer. Everytime they throw money at a problem, the stock drops...

Dish hasn't exactly been trying for broadband connectivity as part of a standard install. I can tell you that for the retailers I work with, we strive to put in the XE102 units on every install and VIP receivers on every install. It gets the customer's bill lower. As the principle installer for my retailers, I know we are certainly getting more units two-way connected than most other retailers. If the 222 would get the broadband software, they could check a lot of our subs for account stacking without ever having to bother the customer.

Account stacking is a concern, not a priority.

Also, by selling the XE102, we can offer the customer a 722 with no PL fee but with an HD access fee instead. It's a wash to the customer but it gets them HD ready, and they get a lot more hard drive than the 625. When they buy the HDTV, HD is only a phone call away. Lord knows, we don't want DISH sending an inhouse tech to our customers to upgrade them later.

So does loss of revenue through programming theft.

Which WILL occur regardless of how "secure" any new system is. The question is at what point does the cost exceed the gains margin.

I don't think they should approach it as "hey you've got porn, how about an upgrade?" You establish a list of customers who subscribe to those channels and you market to them. Then you move those channels to MPEG4 and free of some bandwidth. It also screws with the hackers a bit. (no pun intended)

This requires Charlie to negotiate with the carriers... Do you REALLY want Charlie negotiating again? Before he's done porn might be outlawed.


Well not all at the same time. These particular channels are most likely subscribed by those customers with the highest ARPU and those are the ones you want to keep. So you protect your content while keeping your $100+ a month customers happy with upgrades.

And the first customer that figures out what is going on sics a class action lawsuit for unfair business practices, then drags in their attorney general. Have you dealt with the general public lately? They're like pit vipers... angry angry pit vipers. Besides, those customers with high units have the most expendable income. They're not likely to be going anywhere, hence AEP customers eating the bulk of increases. ; )

The separator is a wasted part as well if the installed system has two wires. I don't think the production costs of putting the separator into a different housing would be any greater than the current separator production costs. Especially because they have to make jumpers with them now and that costs them coax and connectors. This module being attached at the factory (probably by a robot with a screwdriver) would probably cost less labor than paying an inhouse tech to attach the current separator to the unit.

Assumption, and I can tell you the answer to that one...but you already know it.

ROI comes from growing customer base, reduced subscriber churn, increased ARPUs, and less loss from theft. I've addressed all of that. Make all receivers easy to establish two way connectivity, protect the signal, and keep your price points more enticing than the competition.

I like your logic, but a lot of it relies on financial figures and churn ratios that are internal to DISH. I disagree with many of your points, but that's because I also have seen the equipment trends. You have some good ideas, but they aren't practical with DISH's long-term agenda. DISH doesn't implement short-term solutions except in terminal situations.

There's a billboard by my house that says "Fees are like financial wedgies". DISH might think its being cute with all these fees, but people are going to wise up.

There's a screenshot on Digg that says "No one remains a virgin. Life f*cks everybody."