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01-29-07, 06:16 PM
Installers scramble to meet viewer demand
By Clint Swett Sacramento Bee Staff Writer January 29, 2007
Like more than 1 million Americans, Brion Maciel bought a new high-definition television during the holiday season.
But so far, the Sacramento computer engineer hasn't been able to enjoy the razor-sharp picture that his plasma high-def unit promises.
Though he called satellite provider DirecTV just a few days after Christmas to order a combo HD receiver and digital video recorder, he won't get it installed until Feb. 8 -- four days after the Super Bowl.
"I wish I could watch (high-definition) right out of the box," said the passionate pro football fan who financed his TV purchase with fantasy football winnings. "The wait is really frustrating."
While Maciel's experience may be extreme, it's a sign that satellite and cable companies are seeing a big jump in demand for their HD services in the wake of strong holiday sales for high-def TVs.
Americans scooped up about 1.6 million plasma and LCD TVs during the holiday season, more than twice as many as a year ago, according to the NPD Group, which tracks retail sales of electronics.
And with the Super Bowl broadcast on Sunday, demand for high-def TVs and service could grow even further.
Owners of high-definition TVs generally must rely on cable or satellite companies for high-def programming unless they install a special outside antenna to pick up HD signals from local broadcasters such as KXTV Channel 10 or KCRA Channel 3.
DirecTV is now forecasting a March installation for Sacramento-area customers who want the combination high-definition receiver and digital video recorder. The delay is due to several factors, said company spokesman Robert Mercer, who declined to reveal how many new HD customers DirecTV has.
He said, however, the company tripled the number of new high-definition subscribers in the fourth quarter from a year earlier and doubled the number of HD customers among existing subscribers.
"The installation of a high-definition satellite dish is slightly more complicated," Mercer said. "Couple that with higher demand, and that's why we have waiting periods."
He said new customers generally see faster installation, often in four days. "Existing customers who already have DirecTV are usually more patient in waiting for upgrades, and that allows us to respond faster to new customer installs and service issues," he wrote in an e-mail.
"It would have been nice to know that," responded Maciel when told of Mercer's comment. "Being a paying customer, I would expect better service."
SureWest Broadband said its base of HD subscribers in the Sacramento region grew 24 percent over the holiday period. But it has had no problem getting HD receivers to its customers, said Haavard Sterri, the Roseville-based company's director of marketing.
"We have the set-top boxes and the field techs ready," Sterri said. "For a new customer, installation will take about seven days. For an existing customer, we can do it sooner."
Dish Network said it's seeing more interest in its HD offerings, though company spokeswoman Cory Vasquez declined to say how many new HD subscribers the Denver-area satellite company has. She also wouldn't say if there is an installation backlog, but said the company had plenty of HD receivers to handle demand.
Comcast spokeswoman Erica Smith said her company has plenty of HD set-top boxes available. She said installation usually can be done within two to three days of placing an order.
The cable and satellite companies have good reason to rush to sate the hunger for HD, experts say.
In a fiercely competitive market for subscribers, the ability to offer glitzy new services helps companies retain existing customers and snare new ones.
In addition, HD is a significant revenue generator and makes it more likely that the subscriber might add other services, said Jimmy Schaeffler, an analyst with the Carmel Group in Carmel-By-The-Sea.
"You can charge extras for the boxes, and then if you charge an extra $8 or $12 or $15 a month for programming, that get's pretty lucrative," he said.
"It's an absolute boon for cable and satellite providers," added P.J. Bednarski, editor of the trade publication Multichannel News. "They will be able to get people into video-on-demand more easily and to sign them up for other premium services. Those are all new revenue streams."
High-definition revenue alone is substantial. SureWest, for instance, charges $11 a month for its HD service, which includes 12 HD channels, not counting premium channels such as HBO and Showtime.
Dish Network charges $20 a month for 26 high-def channels; DirecTV gets $10 a month for 12 channels.
Comcast customers pay $5 a month for an HD receiver, but to receive all the major HD channels they need to subscribe to a digital service, which is an additional $10 a month. Those with a regular analog subscription can receive the five local channels that broadcast in HD.
Those holding off on their HD television purchase until closer to the Super Bowl are advised to act sooner, rather than later, if they want to watch the game in high-def.
Smith of Comcast said there traditionally is a rush of orders in the days leading up to the game, making quick installations problematic.
"We suggest people get their orders in as soon as possible," she said. "We invariably get calls the day before the game from people who want HD service. We try to accommodate everyone, but it's not always possible."
http://www.sacbee.com/127/v-print/story/114970.html
By Clint Swett Sacramento Bee Staff Writer January 29, 2007
Like more than 1 million Americans, Brion Maciel bought a new high-definition television during the holiday season.
But so far, the Sacramento computer engineer hasn't been able to enjoy the razor-sharp picture that his plasma high-def unit promises.
Though he called satellite provider DirecTV just a few days after Christmas to order a combo HD receiver and digital video recorder, he won't get it installed until Feb. 8 -- four days after the Super Bowl.
"I wish I could watch (high-definition) right out of the box," said the passionate pro football fan who financed his TV purchase with fantasy football winnings. "The wait is really frustrating."
While Maciel's experience may be extreme, it's a sign that satellite and cable companies are seeing a big jump in demand for their HD services in the wake of strong holiday sales for high-def TVs.
Americans scooped up about 1.6 million plasma and LCD TVs during the holiday season, more than twice as many as a year ago, according to the NPD Group, which tracks retail sales of electronics.
And with the Super Bowl broadcast on Sunday, demand for high-def TVs and service could grow even further.
Owners of high-definition TVs generally must rely on cable or satellite companies for high-def programming unless they install a special outside antenna to pick up HD signals from local broadcasters such as KXTV Channel 10 or KCRA Channel 3.
DirecTV is now forecasting a March installation for Sacramento-area customers who want the combination high-definition receiver and digital video recorder. The delay is due to several factors, said company spokesman Robert Mercer, who declined to reveal how many new HD customers DirecTV has.
He said, however, the company tripled the number of new high-definition subscribers in the fourth quarter from a year earlier and doubled the number of HD customers among existing subscribers.
"The installation of a high-definition satellite dish is slightly more complicated," Mercer said. "Couple that with higher demand, and that's why we have waiting periods."
He said new customers generally see faster installation, often in four days. "Existing customers who already have DirecTV are usually more patient in waiting for upgrades, and that allows us to respond faster to new customer installs and service issues," he wrote in an e-mail.
"It would have been nice to know that," responded Maciel when told of Mercer's comment. "Being a paying customer, I would expect better service."
SureWest Broadband said its base of HD subscribers in the Sacramento region grew 24 percent over the holiday period. But it has had no problem getting HD receivers to its customers, said Haavard Sterri, the Roseville-based company's director of marketing.
"We have the set-top boxes and the field techs ready," Sterri said. "For a new customer, installation will take about seven days. For an existing customer, we can do it sooner."
Dish Network said it's seeing more interest in its HD offerings, though company spokeswoman Cory Vasquez declined to say how many new HD subscribers the Denver-area satellite company has. She also wouldn't say if there is an installation backlog, but said the company had plenty of HD receivers to handle demand.
Comcast spokeswoman Erica Smith said her company has plenty of HD set-top boxes available. She said installation usually can be done within two to three days of placing an order.
The cable and satellite companies have good reason to rush to sate the hunger for HD, experts say.
In a fiercely competitive market for subscribers, the ability to offer glitzy new services helps companies retain existing customers and snare new ones.
In addition, HD is a significant revenue generator and makes it more likely that the subscriber might add other services, said Jimmy Schaeffler, an analyst with the Carmel Group in Carmel-By-The-Sea.
"You can charge extras for the boxes, and then if you charge an extra $8 or $12 or $15 a month for programming, that get's pretty lucrative," he said.
"It's an absolute boon for cable and satellite providers," added P.J. Bednarski, editor of the trade publication Multichannel News. "They will be able to get people into video-on-demand more easily and to sign them up for other premium services. Those are all new revenue streams."
High-definition revenue alone is substantial. SureWest, for instance, charges $11 a month for its HD service, which includes 12 HD channels, not counting premium channels such as HBO and Showtime.
Dish Network charges $20 a month for 26 high-def channels; DirecTV gets $10 a month for 12 channels.
Comcast customers pay $5 a month for an HD receiver, but to receive all the major HD channels they need to subscribe to a digital service, which is an additional $10 a month. Those with a regular analog subscription can receive the five local channels that broadcast in HD.
Those holding off on their HD television purchase until closer to the Super Bowl are advised to act sooner, rather than later, if they want to watch the game in high-def.
Smith of Comcast said there traditionally is a rush of orders in the days leading up to the game, making quick installations problematic.
"We suggest people get their orders in as soon as possible," she said. "We invariably get calls the day before the game from people who want HD service. We try to accommodate everyone, but it's not always possible."
http://www.sacbee.com/127/v-print/story/114970.html