Rogers Adds 18K Cable Telephony Subs
In the three months after finally launching cable telephony service, Rogers
has attracted 18,100 customers. This is not bad given the company has done
a modest amount of marketing to avoid being swamped by new
customers. The company's performance is similar to Calgary-based Shaw,
which has managed its growth by charging its customers as much as $55 a
month for service. While Rogers and Shaw have decided to adopt premium
price strategies, Videotron is using an aggressive discount approach with service as low as $15.95 a
month. While Videotron has signed up more than 70,000 customers, there
are questions whether the company can make any money offering such low
prices. Look for Rogers to become more aggressive in the fourth-quarter as
it works out technical bugs and becomes more comfortable it can handle
a wave of new customers, particularly those who already use its cable
and high-speed Internet services.
