SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : XM Satellite Radio Holdings Inc. (XMSR)

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: pcstel who wrote (2227)2/17/2006 4:12:56 PM
From: i-node  Read Replies (1) of 3386
 
Let me see if I can answer this one for you. CPGA is supposed to be the total costs of acquiring a new subscriber divided by the number of Gross Additions. XM counts "trial subscribers" as actual "subscribers". Which they are not, at least until they become "Self Pay Subscribers", since they are not included in the CHURN metrics when they don't become "self-pay".

You're confusing CPGA with Churn. Unrelated. COST PER GROSS ADD.

Both companies count every new radio as a "gross addition" (Sirius actually counts them before they're sold, but that's another matter).

It doesn't account for the difference. Sirius should be able to get its CPGA down to where XM's is, one would think. Eventually.

It is interesting that SIRI's CPGA isn't even close to what XM's was at 3M subs. But you didn't explain it.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext