Opening the Flood Gates: Cablevision Expands $90 Triple-Play Offer

Cablevision, the innovator of the discounted, triple-play offering, has opened the deal up to more people. Previously, consumers had to be new subscribers to get voice, HSD and digital cable for $90/month ($29.95 per service) for 1 year. But Cablevision’s Website now proclaims that the offer is available to current cable TV customers. "Cablevision’s Optimum Triple Play is arguably the most successful marketing offer in the history of the cable industry, and we are pleased to be extending the benefits of this enormously popular and valuable offer to our existing cable television customers," a spokesman said Tues. The promo’s changes come as Verizon expands its presence in Cablevision’s footprint. The telco activated a large expanse of territory, particularly in NJ, for FiOS at the end of 4Q—a move that execs acknowledged contributed to Cablevision’s 1Q churn increase. Verizon continues to hit CVC’s footprint, on Tues lighting up FiOS TV in 4 more NY communities: White Plains, Rye Brook, Airmont and Williston Park. When CVC launched its $90/month bundle in ’04, many analysts shook their heads, warning it could force an airline-like price war between MSOs and RBOCs. But when the impressive ARPU and churn numbers poured in, Wall Street started singing a different tune. Before the $90 bundle, about 11% of new customers took all 3 services. Today, CVC says more than 60% do. Time Warner Cable and Comcast soon followed, rolling out similar, limited time $99/month triple-play packages. Comcast’s $99 bundle is generally available only to new residential customers who have not had Comcast service during the past 6 months. TW’s bundle varies by division, with some allowing existing customers who haven’t received digital phone within the past 30 days to receive the $99 package. Cablevision’s $90 promo still lasts for 12 months. After 1 year, subs get a $25 discount off the regular price for all 3 services.