Objective:
The Corporate marketing team of AT&T Broadband (formerly TCI) approached me at West Division headquarters to gauge our interest in participating in a test market campaign aimed at high renting PPV customers. The goal was to convert as many high volume PPV customers to Digital Cable subscribers as possible. As one of three such participants in the country, the campaign would be paid for by corporate, and produced and executed on a local basis.

Plan:
With a budgeted number in hand, the first step was to determine the maximum number of first class letters that could be sent. Second, the number of hi-volume subscribers had to be ascertained. With the number of analog PPV buyers being 30% higher than the letters to be sent, a Claritas Prizm profile was to be developed. With the Prizm clusters selected, a total of 12,000 letters would be sent out. To ensure a compelling offer, the features and benefits of Digital Cable were clearly outlined. In addition, three PPV movie coupons were included.

Event Schedule:
· Two month advanced planning required to execute the following: write, proof and receive final approval of PPV Private Sales Letter from Corporate; request profile and choose Prizm clusters; request labels and postage for mail house processing; preparing customer service, field and operations groups.

Costs for AT&T Broadband (formerly TCI):
· $0 for customization and processing
.
· $0 for 12,000 mailers.
· $0 for postage and handling.

Results:
· Of the 12,000 recipients of the letter, 2,641 (22%) converted from Analog to Digital Cable.
· With the average monthly price of Digital Cable being $49.95 at the time, if each customer retained service for one year, the added revenues would be $131,918.

 

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