Still Losing Subscribers, Dish Network has lost AT&T as a marketing partner, as the telecom giant has switched to Dish rival DirecTV. Although Dish still maintains a healthy subscriber base, DirecTV is surging. It performs well against the cable competitors. It boasts partnerships with the three largest U.S. phone companies, appeals to the higher end of the pay-TV market and its stock is trading at 18 times current year earnings estimates (compared to 8.7 for Dish). Observers think Dish must improve customer service and, perhaps, enter into partnerships with retailers that combine consumer electronics sales with first-year service contracts at the point of sale. Dow Jones Newswires Sept. 29, 2008
Sep 302008
ShopNBC Appoints Joseph F. Berardino to Board
DRTV Retailer, Talent
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Sep 302008
ShopNBC today announced the appointment of Joseph F. Berardino, a former chairman and ceo of Profectus BioSciences and ceo of Andersen Worldwide, to its board of directors. Mr. Berardino will sit on the Board’s special committee of independent directors reviewing strategic alternatives to maximize ShopNBC’s stockholder value. CNN Money Sept. 29, 2008
Indian-Korean JV Plans to Launch Shopping Network in India
DRTV Retailer, International
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Sep 302008
Star India and CJ Home Shopping Co. of Seoul, Korea, have formed a joint venture company, called Star CJ Network India, and plan to introduce TV home shopping to India early next year. “Currently, the home shopping genre is largely unorganised with only a few players airing ‘paid-programmes’ on existing networks.” Star India is India’s largest cable channel and CJ Home Shopping introduced TV shopping to Korea back in 1995. The new network will be called Star CJ Network India. Business Standard (India) Sept. 28, 2008
Consumer Spending Flat in August
Research, Trends, Forecasts, USA
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Sep 292008
Consumer spending in August turned in its weakest performance since the last “flat” month — February. Some observers attribute the poor performance to the drying-up of the government stimulas well. The last of those checks went out mid-July. The New York Times Sept. 29, 2008
Liberty’s John Malone Sees Few Big Media Deals in Offing
Carriage (Cable & Satellite TV)
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Sep 292008
Despite attractive potential purchase prices (courtesy of depressed stocks) Liberty Media Corp. Chairman John Malone sees few opportunities to make strategic purchases “in the communications and media space.” The credit crunch is one reason. But perhaps a bigger obstacle is that many of these companies are controlled by private equity groups and families, who are not obliged to sell even at a premium price. “Some of these things may prove cheap for an investor for taking a position, but not necessarily strategically are these assets available…” The renowned deal-maker suggested that the current down period in the business cycle is a good time to “mind your knitting.” Reuters Sept. 26, 2008
Sep 262008
QVC Italy is scheduled to begin airing in October of 2010, and will be distributed through Telecom Italia Media Broadcasting, reaching by than an estimated 8.8 million homes. Italy will be QVC Inc.’s fourth international market, following the UK, Germany and Japan. Philadelphia Business Journal Sept. 26, 2008
Sep 262008
The Lost Angeles Times gives HSN’s new Patricia Field, Sex in the City line a favorable review! The Los Angeles Times Sept. 25, 2008
National Retail Federation Predicts Disappointing Holiday Season
Research, Trends, Forecasts
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Sep 252008
The NRF predicts a 2.2% increase in November and December retail sales (excluding auto, fuel and restaurant spending) over the same last year. That’s half the 10-year average annual increase of 4.4% and the smallest rise since 2002. The Wall Street Journal Sept. 25, 2008 Paid subscription may be required.
Whither DirecTV?
Carriage (Cable & Satellite TV)
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Sep 252008
Rupert Murdoch has suggested that News Corp. may have erred in selling DirecTV to Liberty Media earlier this year, although he remains uncertain about the company’s long-term prospects in the competitive pay-TV market. Liberty Media may merge DirecTV with Liberty Entertainment, perhaps leveraging up to fund acquisitions (that is, if or when the credit markets again function). What is clear is that DirecTV is a cash cow — it produced $950 million in free cash last year — and takes in an average of $82 per month from customers, well ahead of the number two satellite provider, Dish Network. Still, the company faces competition from cable companies and telecoms and uncertainties about the impact of emerging technologies. Investor’s Business Daily Sept. 24, 2008
Longtime QVC Lawyer Leaves for Outside Firm
DRTV Retailer, Trade Shows & Exhibitions, USA
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Sep 252008
QVC general counsel Neal Grabell, who joined the company in 1987 and headed up growth within its legal department as the start-up turned into a bohemeth, has resigned. Grabell has taken an of counsel position at Saul Ewing, one of QVC’s outside law firms. “After 21 years, it’s just time for a change,” he said. The Legal Intelligencer Sept. 25, 2008
