Versus, DirecTV, Despite Negotiations, Remain Disconnected
Talks Have Yet To Bridge Pricing-Positioning Differences; Network Running Call-To-Action Ads
Mike Reynolds -- Multichannel News, 9/18/2009 10:49:50 AM
Versus and DirecTV resumed negotiations about a week ago over their carriage dispute, but the talks evidently have yet to yield much light about a reconciliation.
Comcast's national sports network went dark on the No. 1 DBS operator on Sept. 1, when their contract expired. The sides remain apart, evidently entrenched over pricing and positioning issues, with DirecTV saying that Versus was seeking a 20% increase in license fees and that Versus should be located on a tier, as it is on Dish Network.
For its part, Versus, which continues to run call-to-action ads for its displaced viewers, maintains it's looking for market rate. Rather, it's fight is over being dropped to a lower level of service that would cost it 6 million homes.Via email a spokesman said DirecTV is "still trying to negotiate a fair price that is comparable to other independent distributors and to package the service in a manner that reflects the value of the programming."
Versus president Jamie Davis views the matter differently.
"We remain hopeful and are negotiating now, but we have yet reached an agreement. For us, it's still about their intentions over the 6 million subscribers they are going to take the service away from and then have the others pay more for it," he said. "We have not yet reached an agreement."
With some 14 million subs through Sept 1, DirecTV accounted for about a fifth of Versus' 75-million household base. However, the programmer said it has been able to recoup about 10 million subs through exposure from free previews on Dish Network, Time Warner Cable and Cox Communications in Orange County, among others.
In the meantime, Versus, despite the loss of DirecTV, has been able to improve its viewership this month. Davis said the network's momentum, reflected by successful runs with the National Hockey League's regular season and the puck sport's best postseason performance on cable since 2002 and a doubling of viewership for the Tour de France this July -- is continuing with the Nielsens.
Through Sept. 14, network officials said Versus had improved its viewership in primetime by 13%, in total-day by 25% and by 88% during weekend afternoons. The latter was aided by its coverage of the Sept. 12 college football game between No. 2 Texas and Wyoming.
This weekend, Versus has a pair of collegiate gridiron contests featuring top 25 squads: Florida State vs. No. 7 BYU and Duke against. No. 22 Kansas.
The network is running newspaper ads in Florida and Utah touting the former, and in Raleigh-Durham and Kansas City supporting the latter. Moreover, the ad copy reads: "If you have DirecTV, you can't watch this game," before listing 800-642-1923 and suggesting that viewers "demand the coverage you deserve." It also points to versus.com as a place "to switch your television provider."
The ads are much tamer in tenor than the "Worthless" ads Versus ran two weeks ago in eight newspapers, that riffed off remarks made by DirecTV demeaning its programming, following the contract's expiration.
Davis indicated there will be more ads to follow next week, as Versus begins trumpeting its 2009-10 NHL coverage, which faces off Oct. 1 with a Boston-Washington and San Jose-Colorado doubleheader.
"We have received tens of thousands of calls and emails from viewers asking us about the status [of the dispute], how to contact DirecTV or where to go for another service provider," said Davis. "It's our responsibility to DirecTV viewers who can't get Versus to help them find ways to get the network."
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Directv would love to get the Versus hockey games on the NHL Center Ice package..Verus contract doesn't allow that. Maybe you should be asking Versus to make that change. You should be asking Versus why they want a 20% increase in price but don't want the channel in a higher package. Hmmm higher end channel, higher package. Do the math. Versus wants to overcharge it's carriers for their programming. I fully back Directv in their effort to continue negotiations with Versus. Bottom line...if Versus wants to provide their channel to Directv they must do so at a cost Directv customers will pay. 20% increase...come on time arent' that tight for the network. It's highway robbery!!
Fair Fighter - 10/8/2009 12:56:09 PM EDT -
DirecTV is not the only villain in this drama. Comcast, the "Biggest Bully on the Telecom Block" has constantly tried to undermine any kind of choice in TV subscription service. As I happen to work for a small local cable and phone company I know how they throw their weight around. And Dish network makes you go clear up to their next-to-the highest tier of service to get Versus (out of 6 tiers), so don't try to tell everyone how great they are.
J. LeDoux - 9/24/2009 2:52:08 PM EDT -
I find it Totally Un- Acceptable that Directv has NOT updated their customers whats so ever ! No changes on the Channel or Directv website . 14 million people want to know what is going on . For me a 10yr customer Fridays the deadline . I will take mu business elsewhere!
Michael - 9/22/2009 9:57:05 PM EDT -
If we hadn't already paid for Center Ice, I'd ditch DirecTV. Since I have, I just want the two sides to work this out. Either get Versus back on the air or allow the Versus NHL games to air on the Center Ice package.
AMR71 - 9/21/2009 3:42:51 PM EDT -
get dishnetwork they rock and don't have these problems. Dtv are just money hungry asshats.
bill thompson - 9/20/2009 11:55:03 AM EDT
