DIRECTV 2007 Annual Report Download - page 16

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THE DIRECTV GROUP, INC.
•Enhance DVR and HD Equipment. A cornerstone of our strategy is to use set-top receivers
that incorporate DVR and HD technology. We continue to introduce features and
functionality to improve the customer experience. For example, in 2006 we introduced a
new HD-DVR capable of receiving and recording our new MPEG-4 HD signals. This box
also incorporated interactive and, after a software download, video-on-demand functionality.
Additionally in 2008, we introduced the ability to remotely schedule DVR recordings via the
Internet or cell / mobile phone. Also in 2008, we expect to significantly increase the
recording capacity of our HD-DVR. We also plan to introduce HD versions of our
interactive applications.
•Introduce Whole-House and Portable Services. We believe that it is important for our
subscribers to have multiple ways to access DIRECTV programming throughout the home
and on devices other than the television. For example in 2007, we introduced MediaShare, a
service that allows subscribers with the DIRECTV Plus HD-DVR to access applications
such as pictures, music and home video from their personal computer. Also in 2007, we
introduced a portable DIRECTV service called DIRECTVSat-Go that enables remote
viewing of DIRECTV’s programming. In 2008, we plan to add the ability to watch HD
television programming on personal computers by accessing content that resides on the
customer’s HD-DVR. We also expect to introduce a home media center that will provide
HD and standard-definition DVR functionality throughout the home and allow customers to
access stored content, including video, photos and music, seamlessly from any connected
television set in a household.
•Enhance Sales and Marketing, Customer Service, Distribution and Installation. We intend to
continue to grow our subscriber base and reduce churn by enhancing our sales and marketing,
improving the credit quality of our subscriber base, and improving our customer service,
distribution and installation.
•Enhance Sales and Marketing. We expect to continue growing our subscriber base through
marketing programs that capitalize on the strength of our brand and extensive
programming. In addition, we expect that our expanded national and local HD
programming will increase sales from customers purchasing access to this service. We also
intend to have a greater emphasis on local advertising and marketing to ensure that our
competitive strengths are effectively targeted based on demographics and geography.
•Reduce Churn and High-Risk Subscribers. We believe that in order to achieve further
reductions in churn, we must continue to improve the overall quality of our subscriber base
by implementing additional credit and identification screening policies. We review these
policies on an ongoing basis to determine whether changes are required to help ensure that
the quality of our subscriber base continues to improve. We believe another important
factor in reducing churn is to continue increasing the penetration levels of customers
purchasing HD and DVR services.
•Improve Customer Service, Distribution and Installation. We expect to attain the gold
standard in customer service throughout a customer’s lifecycle. We expect to improve
customer service, distribution and installation services while also improving operational
efficiencies. For example, we are improving the quality and usage of our web based
customer service capabilities, improving the tools that our customer agents have at their
disposal, and simplifying our customer bills. In addition, we are implementing a new work
order management system to improve the scheduling and tracking of our installation and
service calls. Later in 2008, we expect to integrate wireless handheld devices into this system
so that our install and service technicians can improve the efficiency of their daily work
orders real-time.
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