Looks like XM is running a discounted subscription promotion to previous subscribers.
An email promotion was sent out recently to offer a "welcome back" subscription price of only $4.99 a month for three months. Not bad. After the three months it goes back to the standard subscription price.
The offer is only available to previous subscribers, and it expires on 12/22/06, but it's still a good approach. The recipients of the email probably still have their XM receivers (or a car equipped with XM), so the subscription cost is a good thing to go after.
Marketing 101: The most likely people to buy are those who are familiar with your product. It sure as hell works for nearly every other type of subscription-based product.
Thanks Tyler!
bout time XM.. Kudo's to you... previous subs still having the receiver means Zero SAC and only more revenue if they come back. I like the move. Cost effective method of un doing churn. now they need to tackle the CHURN itself.
smart move
Sounds very familiar to another type of buisness. When restaurants start to offer buffets and "early bird specials", they are on their last leg.
XM can not stop the hemoraging of subs over to SIRI by this last ditch effort.
I am a current XM (and Sirius) subscriber. Will XM give me this price, too? If not, why not? Yes, I realize it's designed to bring in new (former) subscribers, but aren't I important too? Just asking.
"aren't I important too? "
No.
Westfall