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Dish TV launches differential pricing for metro cities

MUMBAI: Taking a step towards further strengthening its ARPU (average revenue per user), direct-to-home (DTH) market leader Dish TV has announced the implementation of differential pricing for its subscribers in the four key metro cities of Delhi, Mumbai, Pune, and Kolkata.

As per the plan, all pack prices, for new as well as existing subscribers of Dish TV, would be increased by Rs 10 each in the four cities. Meanwhile, customers in these places will be provided additional services like express call centre queues and express service facilities.

Dish TV CEO RC VenkatieshIncidentally, Dish TV will be the first DTH company to introduce differential pricing.

Dish TV offers five packs starting from Rs 240 per month (New Super Family pack) to Rs 499 per month (New Titenium). Other packs include Maxi Sports (Rs 285), All Sports (Rs Rs 335), and Platinum Sports (Rs 460 per month).

In a recent interview to TelevisionPost.com, Dish TV CEO RC Venkateish had said, “We are planning to introduce differential pricing for metro markets to start with.”

His rationale was that if cable could do so, Dish TV could too. “We have already done that with Zing. In Maharashtra, the pack price is Rs 189, while in Odisha it is Rs 175. We have proved that we can execute differential pricing,” he had said.

The differential pricing targets consumers at the upper end of the pyramid by charging higher ARPU from those located in the Tier I and II cities.

Incidentally, Dish TV also plans to introduce differential pricing in DAS Phase II cities after its rollout in the key metros.

This will be the second hike in this month for subscribers in these metro cities. Early this month, the DTH player had announced an increase in subscription tariff across all its packages (except South packs) by initiating price hikes ranging from 5-8 per cent, which resulted in the overall subscription table moving up.

In the third quarter of the fiscal ended 31 December 2014, Dish TV’s ARPU stood at Rs 177, up 2.9 per cent quarter-on-quarter.

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