After almost two years without sales campaigns, Net Serviços seems to have come up with a winning promotional strategy to capture new subscribers.
The MSO has a marketing budget of 15 million Brazilian Reals for the year (now about 5.3m US Dollars), covering promotional campaigns, market research and advertising.
The centerpiece of the current promotion, which began in March and is set to continue at least until the end of July, is a membership fee rebate for new subscribers to the premium package (?Advanced?). Sales of the package have risen month by month, growing 30% in May compared with April, for example.
?We expect to show even faster growth in June,? says Ciro Kawamura, marketing and product director. The campaign includes three spots that TV Globo will start airing this week on prime time in the network?s main markets. Each film highlights a programming genre, from children?s to movies and sport, without mentioning specific channels.
The Advanced package costs about 100 BRL (35 USD) per month, so the zero membership fee campaign targets upper-income prospects. New subscribers must sign up for 12 months in exchange for the rebate.
Broadband
Net Serviços is also promoting Vírtua, its broadband Internet service via cable modem, in the ten cities where it already operates. New subscribers lease the modem free of charge (previously it cost some 600 BRL, now about 215 USD) and pay only an installation fee of 120 BRL (43 USD). Sales of Vírtua tripled in May compared with April, according to Ciro Kawamura.
Strategy
