They can't keep enough sales people in stock to sell all the new services either.
I just went though an interesting Email exchange with my local CBS station. Time Warner has Fox, NBC and ABC HD. But not CBS. Read the following sequence:
1) I Emailed them asking why they didn't offer HD service to TW and got this reply.
2} Thank you for writing us about HDTV. I want to be sure you are aware KGMB9 offers a high-definition signal free of charge over-the-air on UHF channel 22. You will need a digital high-definition receiver and an antenna to capture the signal. Some HDTV sets have the receiver built-in.
With regard to Oceanic carrying our HD product, we request that you contact them directly and ask them to add KGMB9 to the high-definition tier. Since consumers are paying Oceanic monthly for this premium product, we believe all local channels should be offered in HD, including KGMB9 and the CBS prime-time lineup. Oceanic is the only entity that can make this happen.
Mahalo for writing KGMB9!
Grant Morrow
Director of Engineering & Information Technologies
KGMB-TV Honolulu, Hawaii
3) Oceanic is the only entity that can make this happen.
Oceanic tells me that the reason they don't have it is because you don't offer it. It costs you a big marketing bundle to get a regular local customer. You can figure that every one who gets HD will switch to one of your local competitors for local news and programming once they see the difference. So you are losing viewers left and right.
Once they switch, it's almost impossible to get them back. You are in an enormously bad competitive situation right now. Best you do something about it.
Regards,
Bill Millan
Then they finally fessed up
To all of you who have written to the station, I asked our engineering staff about the HD issue and here's their response:
We are an HD station and have been for a long time now... We do not however at this point in time offer our HD signal to Oceanic Time Warner. Our HD signal is available for FREE off-air. Our website has a page that explains how to get the free signal (search HD on our website to find this page). The reason we don't provide our HD signal to Oceanic is not because we can't - we definitely can. But Oceanic would charge our viewers a premium fee for the ability to view our signal on their system. Oceanic does not pass any of the HD proceeds onto us. So they're asking us to give them a premium product for free which they will then turn around and sell to someone else. At this point in time Time Warner has been unwilling to negotiate with KGMB to arrange a carriage agreement.
The best thing you can do at this time is to call Oceanic and demand they carry our available signal.
5) Wow. Do you need a new management team. You obviously don't understand that HD hit a "tipping point" with Hawaii consumers this Christmas. You are going to lose a ton of your base viewers this year who have been faithful followers of your news and local shows. They will migrate to your competitors who do provide HD to Time Warner. They have a better understanding of how to market their TV stations. Think of all the promotions you have run over the years to attract new customers. Then watch them leave this year. And when you say, "whoops, we made a mistake" next year, it will be too late to get them back. Their viewing habits will have changed.
Too bad,
Bill Millan - Waikiki
They then had a guy send me a standard "How to get it over the air" response to get rid of me. I finished them off with the following.
6) Dear Mr Nunes,
Thank you for your response. I think you are kidding yourself. Neither I, nor anyone else using cable [which is most of your audience]is going to attempt to rig a UHF antenna in order to receive your HD service, when your competitors stations have it included in Oceanic's HD package. Perhaps the "grass shack" share of your audience will wet their finger, stick it out their window, and attempt to get your signal that way. The rest of your audience has been busy upgrading to HDTV, and are enjoying the HD service that your competitors are smart enough to offer on Oceanic. Your comment:
Oceanic would charge our viewers a premium fee for the ability to view our signal on their system. Oceanic does not pass any of the HD proceeds onto us.
indicates that your main objection to providing this signal to Oceanic is that you don't get a cut of the cash flow.
I understand your desire to get a share of the revenue. I also don't like the fact that they knick me for more money. But I realize that they have a "lock" on the market and can get away with it. And that this is not going to change. Why get upset about it? If I want the signal, best I smile and pay.
From what I can tell, no "Over the air" station like yours is getting a cut from cable in the country. And they certainly are not getting it here in the islands. So when you refuse to provide them with the service, you are not hurting them, you are only "cutting off your nose to spite your face."
If I was selling time for one of your competitors, I would tell my prospects:
"My demographics show that our audience has a higher income and contains more 'early adapters" who are more willing to try a new product than KGBM9 does.
How do we know this? Because they are buying the new HD service and watching it on our station on Oceanic, because KGMB9 refuses to offer to them. This means that the higher income audience that is purchasing HDTV in droves is switching to us. They are people you want to reach; who have enough income to upgrade to HD, and thereby demonstrate a willingness to try a new product."
Goodbye and good luck,
Bill Millan - Waikiki |
