Chris
Senior HTF Member
- Joined
- Jul 4, 1997
- Messages
- 6,788
Yeah, I've seen the "SIRIUS to go belly up" threads all over XMFan and elsewhere.
Howeer, while SIRIUS is shelling out $500M (over five years) they don't shell out penny 1 until 2006. Which means every day from now until then, they get free advertising in Howard Stern and others. They are already reaping benefits from their NFL agreement, which has put them at the forefront of the news.
To cover the expense of Stern & NFL SIRIUS will need 1.4M subscribers, which is roughly double what they have now. (Eminem's contract is for pennies, because SIRIUS offered him programming exclusives and rotation capabilities and promotion of his newly signed artists). So, they need to add 700,000 subscribers.
That is a daunting task, but still, as Merryl Lynch and other stock analysts have pointed out, that kind of conversion would mean you'd bring over a very small percentage of Stern's already 15M listening audience as well as gains from the NFL & NHL fans, which SIRIUS has been doing a pretty good job of bringing in.
Do I think SIRIUS can double it's base? Absolutely. I feel as though these kind of "gets" are enticing to the right kind of audience, and help market SIRIUS as the network with "premiere" content that you don't pay extra for.. which is anothe perk: if you want Stern or his networks, or NFL, or Eminem, there are no extra fees. You want O&A on XM? Shell out extra bucks.
Howeer, while SIRIUS is shelling out $500M (over five years) they don't shell out penny 1 until 2006. Which means every day from now until then, they get free advertising in Howard Stern and others. They are already reaping benefits from their NFL agreement, which has put them at the forefront of the news.
To cover the expense of Stern & NFL SIRIUS will need 1.4M subscribers, which is roughly double what they have now. (Eminem's contract is for pennies, because SIRIUS offered him programming exclusives and rotation capabilities and promotion of his newly signed artists). So, they need to add 700,000 subscribers.
That is a daunting task, but still, as Merryl Lynch and other stock analysts have pointed out, that kind of conversion would mean you'd bring over a very small percentage of Stern's already 15M listening audience as well as gains from the NFL & NHL fans, which SIRIUS has been doing a pretty good job of bringing in.
Do I think SIRIUS can double it's base? Absolutely. I feel as though these kind of "gets" are enticing to the right kind of audience, and help market SIRIUS as the network with "premiere" content that you don't pay extra for.. which is anothe perk: if you want Stern or his networks, or NFL, or Eminem, there are no extra fees. You want O&A on XM? Shell out extra bucks.