TWC Launches Aggressive Marketing To Draw Video Customers

Notably with its former "Comcastic" campaign, Comcast has invested heavily in trying to lure new customers. DirecTV has spent liberally as well. Now, Time Warner Cable may be heading in that direction.

Executives are indicating that to attract more video customers, it plans to invest significantly in marketing this year, although no financial terms were disclosed. While DirecTV has national reach, the Comcast campaign broke ground with a cable company that serves only a portion -- albeit a large one -- of the country running a national effort.

TWC -- the country's second-largest cable operator -- could go that route, but it is likely to heavy-up in its five core markets, which include the Carolinas and Texas. Comcast has also re-branded its service as Xfinity, a tack that TWC could also pursue.

DirecTV and Verizon may have succeeded in creating more excitement around their services than decades-old cable. And TWC's COO Rob Marcus told investors Tuesday: "Clearly, perception is almost as important as reality, and we're focused on more aggressive marketing. And I think that should significantly enhance the perception of our video product in the marketplace."

advertisement

advertisement

Marcus indicated there is potential to grab customers through TWC's new "TV Essentials" and "Signature Home" offerings. "TV Essentials" offers a select group of channels, such as CNN, MTV and ESPN News for a reduced price ($39.99 a month in New York, $29.95 in Northeast Ohio), while "Signature Home" is a top-tier service.

"We're not satisfied with the prospect of continuing to lose video customers as we have over the last several years," Marcus said.

The "TV Essentials" suite does not offer ESPN, Fox News and other channels that are more expensive for TWC to provide. Marcus said TWC is evaluating uptake of the cheaper product since its late-2010 launch.

He said that so far, the data around the offering is "not statistically significant," although he declined to provide details.

Another potential marketing hook: TWC has begun offering a service allowing subscribers that get ESPN to access it live on other devices. However, Marcus said, not many eligible subscribers have taken advantage of it; usage has been "relatively light."

"I'm not yet sure what that tells us about consumption of certain content online," he said.

Next story loading loading..