Tuesday, August 14, 2007

Cable vs Satellite vs Phone - the key to victory

Listening to the local DJs rambling on this afternoon, and if you must know it was 98.5 FM and the Rocky Allen program, when the topic turned to cable installation. It seems Rocky was describing how he had been stood up by the Direct TV installer for the second time, and he was begging for Comcast to get the NFL package so he wouldn't have to put up with this nonsense anymore.

It got me to thinking, service vs content, which is more important. Like in a restaurant, are customers willing to put up with bad service for a good meal, or do they get fed up and move on. Is one particular package so important, that the customer will put up with bad service. Is Rocky's choice the minority or majority vote, to stay regardless of how bad the service might be. As a football fan, I understand the appeal. But would other customers make the same choice if their particular network was only available on one outlet, and you had to put up with bad service just to get it.

And then the light bulb went on! yes service is important, BUT content ultimately wins out. Take for example the recent launch of the Apple iPhone. Despite bad reception on the AT&T service, the value of the product won out and people switched. Content beat service.

The conclusion - in this age of competition between cable, phone, and satellite - build or acquire unique content that only you control. Customize hardware or create better software, like Time Warner's "Look Back" and "Start Over" programs, build strong brand awareness and brand preference, and grow your customer base.