This site is dedicated to new ideas and concepts with regard to Sirius XM Satellite Radio. New technology, marketing ideas, and strategic partnerships are fair game. This site is for brainstorming and I welcome all new ideas.
DISCLOSURE: I own shares of Sirius XM Satellite Radio.

9.13.2008

Sirius Rewards

Sirius has a great opportunity to use advertising to help spread its service. But, isn't satellite radio largely commercial free? The internet gives them the capability of delivering location-based, targeted advertising to consumers. Sirius could promote advertisers on the site to subscribers so they can shop at or purchase items from the advertiser and get credit towards their subscription. Let's get into this in a bit more detail.

Advertisers could put offers on the Sirius site in a special area. You could print out coupons from the site that could contribute something towards your subscription and a small discount on their product. If you visit enough of the retailers during the course of the month, you could theoretically earn your subscription.

This allows consumers to get satrad for free, so it eliminates the paid/free argument. It also would cut down on churn because consumers would view it as getting something for free just by buying one product over another: I'll buy Crest this month instead of Colgate. This allows the company to create an online advertising presence and get some of those advertising dollars they have been seeking. One other added bonus is commercial free music remains intact, while increasing advertisers.

Another approach that Sirius can take immediately is to work something out with other rewards programs, such as those offered by Citibank, in order to allow their cardholders to use reward credits in order to purchase Sirius gift cards. These gift cards could be used to purchase equipment or pay for their subscription.

If Sirius can find a simple way to help consumers buy their superior radio content, their subscriber numbers will be even more explosive than at any other point in its past. It will also bring in a windfall of cash at a time that Sirius needs to generate revenue.

2 comments:

socalrunningfool said...

Hey Egis. Nice ideas. I really like the rewards idea. Just added a sub recently and think that there is a definite angle to that. People love rewards programs and it would keep them counting their points. Nice!

ok said...

Durning a commercial the advertiser could have a code number display on the screen and the sub would use it with his sub# or the unit he using to get his reward or discount