DTH

Dish TV aims to boost ARPU with differential pricing strategy

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MUMBAI: Taking the path that cable operators often do, Direct To Home (DTH) operator Dish TV has decided to offer differential pricing across different cities.

Dish TV chief operating officer Salil Kapoor tells Indiantelevision.com that with the DTH operator having over 40 High Definition (HD) channels and superior quality, the consumers would not mind the “marginal jump.”

According to Kapoor, Indian consumers can no longer be treated as “one size fits all,” especially in metro segments. Kapoor believes that the consumer today has the capacity to pay slightly more for a quality product. “This differential pricing is our strategy to give a boost to our Average Revenue Per User (ARPU),” Kapoor informs.

As part of the first phase, metro cities such as Delhi, Mumbai, Kolkata and Pune will be targeted. Each pack in these four cities will now cost an additional Rs 10. The revised prices came into effect from 26 February, 2015.  

Dish TV has already introduced differential pricing for its regional brand, Zing. While in Maharashtra, the pack price is pegged at Rs 189, in the state of Odisha it has been priced at Rs 175. Since the strategy worked successfully for its sub brand Zing, Kapoor is of the opinion that it would also work for Dish TV. 

While the packages have currently been introduced for the metros, no decision on other cities has been taken as yet.

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