The Darker Side Of Satellite Tv Providers In America

Satellite services are big business in America

. Every satellite provider strives to beat its competitors by giving something extra to consumers or offering competitive prices. Most of us would think that there is not much room here for satellite TV providers to do anything fishy. After all, customers would naturally incline to the provider which offers the best rates or service. And move away from one whose service they are not satisfied with.

The real picture, it turns out, is not that simple. A key factor which differentiates a big satellite provider from a small one is subscriber base. Subscriber base is the number of customers who have subscribed to the services of a given satellite provider. Naturally, satellite providers are always battling to capture the greatest share of the market and the greatest number of customers, which often leads them to resort to annoying trade practices.

One way to prevent a customer from abandoning the satellite provider"s services is to lure him back. How do these satellite providers do this? They do this by offering sudden discounts and rebates to them in an attempt to keep them within their subscriber base. Nothing can really be more shameful for a satellite provider than to see its customer go to its competitor. Surprisingly, the very popular DirecTV is among those satellite providers who indulge in such aggressive retention practices.

Just take a cursory look at the forums related to these satellite providers and you would be alarmed to see the growing number of customers who have been targeted by DirecTV, just when they wanted to switch to another provider. One DirecTV customer was shocked to see the extent to which the satellite provider went to retain him. He adds that DirecTV made such an incredible and cheap offer to him that he simply couldn"t refuse the great offer!

It should come as no surprise to industry experts because they know how important subscriber base is to satellite providers. Attractive subscription numbers give DirecTV better ranking and visibility in Wall Street, and to prospective advertising firms. Companies would naturally incline to the provider with the maximum subscriber base.

But if you think this is all that there is to it, here is more for you. Another way in which satellite providers flaunt a hefty subscriber base is by funding their dealers to pay for their own services! DirecTV has been in the news in the recent past after it was discovered that there is more to these subscriber base numbers than what meets the eye.

Many DirecTV subscribers were taken in by surprise when they realized that the company had been keeping their records alive even though they had apparently moved on to a different satellite provider! Clearly, DirecTV more than makes up for these tiny losses by demanding premium rates for commercials from advertisers.

Another great side-effect of this malpractice is that DirecTV gets to show higher TRPs for its shows and soaps, which again benefits DirecTV significantly. The more the TRPs, the merrier things are. And the more the apparent subscribers, the more the moolah.

by: Sophia Johnson

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