Originally Posted by fredfa
Given your argument, and realizing that fully 70%+ of the nation's viewers never watch ESPN, why shouldn't TWC put the ESPN channels on a tier, too?
That would benefit the overwhelming majority of viewers who don't want to pay the $2.60 a month for ESPN and the $2.00 a month for ESPN2 and the $0.70 a month for ESPN News and another $0.50 for ESPN Classic (not even mentioning the TWC markup of those charges.) Tha could save about two-thirds of TWC subscribers well over $6 a month.
And TWC "sticking by its guns" never seems to include knocking Time Warner cable channels off its systems, does it?
And "sticking ot its guns" so far has enabled TWC to get an average monthly revenue per subscriber (at the end of the 1st Q of 2006) of $91.33. (Comcast is $86.78 and Adelphia -- which apparently will have the NFL Network dropped from its systems when TW takes over -- is $77.79)
Not counting the HBO and Cinemax pay services, here are the TW basic cable channels:
CNN Headline News
Turner Classic Movies
Do you honestly believe that there is more interest in each of these channels than in the NFL Network?
Couldn't have said it better myself.
I envision 1 of 2 possible scenarios:
1. TWC eventually signs and delivers the NFL Network. Whether the NFL's marketing tactics influences that will be a matter of opinion.
2. Dressler (firstname.lastname@example.org ... e-mail him relentlessly, please) and the other suits at TWC dig in their heals and continue with their current stance that the NFL is charging too much and resisting the NFL's insistance on a basic digital channel position (vs. being relagated to a sports tier). In fact, the upcoming marketing blitz may even embolden him to refuse a carriage agreement ... all the while, not caring about the effect on subscriber count.
I know, I know ... last year TWC saw a marked increase in total subscriber count. And, this year, they will as well as they absorb much of Adelphia. However, those increases are not by choice, as we know. They are customers who default to the local franchised cable system. Now that TWC is being exposed on a national forum, lets see how many subscribers get their head out of the sand, and act accordingly.
BTW ... Buffalo Adelphia customers (soon-to-be NFL Network-less) are extremely pissed that TWC will immediately pull the NFL Network, ESPN2HD, ESPNU, etc. when they make the switch (within 30 days). The local papers have written articles ... Buffalo is a football-crazy, very hearty place. I don't think they'll sit back and take it like most of TWC subs after beating our heads against the walls.
Should be interesting.