Marketing

DirecTV Proffers Gifts To Couch Potatoes

9/03/2012 12:01 AM Eastern

DirecTV is launching a “frequent viewer” program
through an exclusive marketing deal with secondscreen
app startup Viggle that promises subscribers
free gift cards, pay-per-view movies and other rewards
— just for watching lots of TV.

Under the loyalty program, DirecTV customers will
earn points when they use Viggle’s app to check into
their favorite TV shows or engage with interactive ads.

Those Viggle “watchpoints” can then be redeemed for
rewards, including gift cards from Amazon.com, Best
Buy, Lowe’s, Starbucks and 1-800-Flowers; movie tickets
through Hollywood Movie Money; and credits for
iTunes, Spotify, Papa John’s, Facebook and Hulu Plus.
Users can also make donations to charities, such as the
National Breast Cancer Foundation.

DirecTV plans to work with Viggle to develop new
features, including integrating the app with its tablet
guide and set-top boxes, to let customers automatically
check in to TV shows. The duo also intends to cut
deals with cable TV networks and premium programmers
to reward DirecTV customers with bonus points
when they check into shows with Viggle.

DirecTV’s aim with the Viggle partnership is to
reduce churn and provide a point of differentiation
from cable and telco TV competitors. “With this
agreement, DirecTV customers will have the best
Viggle experience with exclusive bonus points —
earning opportunities and rewards such as exclusive
pay-per-view movies,” vice president of marketing
Alex Kaplan said in
a statement.

As part of the
agreement, DirecTV
will market its services
on the Viggle
ad platform with video,
sponsored games
and interactive ads.
The satellite operator
also will promote the
Viggle rewards program
as a benefit to
new subs.

Viggle’s multiyear
deal with DirecTV is
exclusive in the pay
TV category. The companies have been in serious negotiations
for the past four months, Viggle vice president
of marketing Jason Reindorp said.

Viggle launched in January and had about 1 million
registered users for its Apple iOS and Android apps as
of July 26, of which 660,341 were active users that have
earned points within the preceding 90 days, the publicly
traded company disclosed in a regulatory filing.

Viggle is counting on DirecTV to expand its footprint.
“We have had all kinds of conversations with
[other operators], but DirecTV is a great partner for
us with their reach, their relationships with the networks
and the fact they have millions of set-top boxes
in living rooms,” Reindorp said.

October