Why Dish Network released the 921 in limited Quantities

[rtt2]

I think I know why Dish Net work released the 921 in limited quantities. It is probably because of the press release that they issued earlier this year. I bet the 921 is ready for prime time but Dish Network had to meet the dates it set for itself. Here is the Press Release


( BW)(CO-DISH-NETWORK) FEATURE/Give The Gift That Keeps On Skipping...Commercials; DISH Network First To Offer DVR That Can Record High Definition TV Shows

Feature Editors/Business Editors
BUSINESS WIRE)--EchoStar Communications Corporation and its DISH Network are rolling out the newest digital video recorders (DVRs) in time for holiday shopping.
With more programming and sports being broadcast in high definition, it is a perfect time to get ready for the New Year with a high definition DVR.
The DISH Player - DVR 921, available in late 2003, will be the first DVR to allow viewers to record up to 25 hours of high definition TV or 180 hours of standard definition programming without videotape. A DVR also gives viewers the control to pause live TV, perform slow-motion instant replays, and use four speeds of fast forward and fast reverse.
"The DISH Player DVR gives customers the flexibility to attend their son's or daughter's soccer game while their DVR is at home recording their favorite shows," said John Scarborough, senior vice president of Marketing for EchoStar. "Once at home, they can skip the TV commercials or conduct their own instant replays. With a DVR, you can live your life, then you watch TV."
The DISH Player - DVR 921 has a dual tuner and allows it to record two live shows at once while watching another. It also includes a 30-second skip commercial button to skip through endless holiday commercials. DISH Network has sold more than 1 million DVRs, establishing the lead as the fastest-growing and largest DVR provider in the nation.
DISH Network offers eight channels of high definition TV channels including ESPN HD, Discovery HD Theater, HDNet and HDNet Movies, HBO, Showtime, CBS and pay-per-view. DISH Network makes HDTV channels available to the 108 million U.S. TV households.
"DISH Network is revolutionizing television and making the VCR obsolete," said EchoStar President Mike Dugan. "Unlike cable, DISH Player's exclusive DISH Video-On-Demand service lets customers watch a 60-minute program in 40 minutes, saving them time to watch the shows they want."
For information on how to get a new DVR, call 800-333-DISH (3474) or visit www.dishnetwork.com.

EchoStar Communications Corporation serves 9 million satellite TV customers through its DISH Network(TM), a leading satellite TV subscription service. DISH Network delivers advanced digital satellite television services, including hundreds of video and audio channels, Interactive TV, HDTV, sports and international programming, professional installation and 24-hour customer service.

 

[Stargazer]

They probably did not want to make more than they can sell and get stuck with them especially seeing how expensive these receivers are.

 

[HokieEngineer]

LOL. Stargazer you probably are right. With the way Charlie is thinking - "There is not much compelling HD content out there" maybe he thinks there is not many HD content "customers" out there. What a joke. Maybe somebody should buy charlie a HD in a box kit so he himself can get with the program. By his own logic the 811 and 921 shouldnt sell very well cuz theres not much out there for HD content, yet they cant even keep those boxes in stock!

 

[Stargazer]

Perhaps Charlie underestimated the demand that these receivers were going to have not expecting to be able to sell them this well.

 

[TheForce]

In a customer base of 8Million (16M receivers active), even 10,000 - 921 units is a small number of sales. the 921 is marketing bragging rights. Has nothing to do with how it affects the company's cash picture. Until the 921 reaches 1 million is sales, it won't be a considered significant item. At 3 reported units having reached consumer destination, we're looking at electron-microscopic significance to the company's picture. In the course of his business day, do you really think he spends much time concerning himself with thoughts on the 921?

 

[Stargazer]

No, more on his stock and how much it will be the next day.

 

[Scott Greczkowski]

You know damn well on the next Charlie Chat, ole Charlie will make a statement like, "we promised to release the 921 by Christmas and we did".

 

[Stargazer]

Perhaps this is their way of releasing a product earlier but in such short supply it will give them time to fix all the bugs instead of delaying it further.

 

[Ray S]

You know damn well on the next Charlie Chat, ole Charlie will make a statement like, "we promised to release the 921 by Christmas and we did".

Scott:

Please, when you have finished checking out your 921 can you check with your contacts at Dish and let the rest of us know when we might get our hands on one. Thank you

 

[Mark_AR]

Please, when you have finished checking out your 921 can you check with your contacts at Dish and let the rest of us know when we might get our hands on one. Thank you

Yeah, because my local retailer already has my number blocked on their caller-id.

I'm sure that the distributor is also tired of the retailer calling to find out when and how many will be released.

 

[Ray S]

In a customer base of 8Million (16M receivers active), even 10,000 - 921 units is a small number of sales. the 921 is marketing bragging rights. Has nothing to do with how it affects the company's cash picture. Until the 921 reaches 1 million is sales, it won't be a considered significant item. At 3 reported units having reached consumer destination, we're looking at electron-microscopic significance to the company's picture. In the course of his business day, do you really think he spends much time concerning himself with thoughts on the 921?

But out of that 8Million people, how many want to purchase a 921 for the approximate amount of $1,000. I just missed getting one of three 921's from a local retailer because I had counted on one from Dishdepot. As for Charlie, he is conserned that this past quarter customer growth was not as much as he had predicted. In fact he attributed it to merchandise and service not being available when press releases promised they would be. That Superdish fiasco didn't help any.

 

[chelsea]

Why doesn't Charlie's home & office have a HD receiver?
None of his HD programming interests him.
No bandwidth for his Knoxville HD locals.
Does Jim have HD yet?

 

[mike123abc]

HD/921 is not important because it is not a money maker. It is a marketing gimmick at this time... Yes we have HD look at these channels and recievers. They 811 is priced where people will probably buy it (especially in the packages where it is free), but most probably will go for the DVR instead.

The average Dish customer does not read the internet forums on Dish, they have never heard of VOOM, and their knowledge of HD is closer to thinking a DVD is the same thing... They think paying 1000 for a reciever to watch a few "DVD" channels is just insane and would never do it.

Charlie is working on LIL because he knows where the money is. For every person that is going to worry about HD/921 he has more than 100 worried about their local channels. Who do you think he is going to please first. If he thought HD was going to sell more Dish network subscriptions than LIL he would have taken his shiney brand new satellite at 121 orbital location and stuffed it full of HD.

Note that HD ranks behind LIL, AND internationals. His first thought was to put the internationals on 121, he knew long before AMC-2 got to 105 that it would barely work. That is where HD was going to go. Both internationals and HD got relegated to the back burner with Superdish, better to fill 2 satellites instead with LIL. Moving HD to 110 from the wings will make more room for internationals on the wings.

It is like going to a fast food hamburger restaurant to order a salad. Yes they have them, yes the promote them, but they really do not sell very many compared to hamburgers (Wendy's is market leader with like 80 a day). They have them to appease a vocal minority, and prevent the veto factor for a group going and someone just wants a salad. All the real research goes into marketing the burger (and chicken to a lesser extent) because that is where the money is.

 

[Stargazer]

What should be looked at is what is needed to get locals vs. what is needed to get HD, the price difference, and how many people already have what they need for HD vs. locals. To get locals all you need is your current satellite receiver and a SuperDish (possibly with DP adapters, or a new receiver). The cost of this is free or small compared to having to get an HD television and HD receiver in which is a dramatic difference. Also most of the public does not have HD televisions. If they did it would be a different story, the cost would not be as great to get HD.

As the price of HD continues to drop and more people continue to get HD televisions, along with all tv's around 2007 having to be digital, this will help HD but may take a little more time. In another year or two there should be a big enough group of HD television owners to make more of a profit, to offer a product that a number of people would be interested in, but with competition from DirecTv and especially cable that seems to have bandwidth needed to add countless HD.