I. Executive Summary:

DIRECTV is the largest and leading satellite television provider. It provides services in the United States and Latin America. DIRECTV subscribers total is 26.3 million in the U.S. and Latin America. DIRECTV provides programming to more than 300,000 commercial establishments including hotels, bar, restaurants, and sports club. A major challenge facing DIRECTV is increase market share while increasing profits in a highly competitive market. DIRECTV has capitalized on services offered in Latin America by increasing the capacity of Ku-band on two of Intelsat S.A. satellites.

An evaluation of the company’s internal strengths and weaknesses and external opportunities and served as the foundation for this strategic analysis and marketing plan. The plan focuses on the company’s growth strategy, suggesting ways it can build on existing customer relationship and create new subscriptions. How to emphasis on the development of new available services and market those to existing and new customers.

II. Environmental Analysis:

Founded in 1990, DIRECTV is the leading satellite television provider in the United States. Formerly known as the DIRECTV Group, DIRECTV is headquartered in El Segundo, California, and has more than eighteen million consumers in the U.S. and more than six million in Latin America. At the end of 2010, DIRECTV had more than 25,000 employees international and had more than twenty four million in revenue. However, established in 1990, DIRECTV formally began its satellite service on a local foundation in June 1994. In October of the same year, the company went national and, by the end of 1994, had 320,000 subscribers. In November 1995, the company celebrated its millionth customer. DIRECTV acquired U.S. Satellite Broadcasting and Prime star within months of each other during 1999, purchases that changed the circumstances of the company to its ten millionth customer in 2001. In 2005, the company reached its fifteen millionth customer and launched international service in Latin America in 2006, reaching the five million customer marks there in 2008.

A. The Marketing Environment

1. Competitive forces. DirecTV added 184,000 net subscribers in the U.S. in Q1 2011, showing an increase of 84% over its Q1 2010 figures and making it the third successive quarter of year-on-year development in that area. DirecTV's subscriber growth is considerably higher than Dish Network's, which had net subscriber additions of about 58,000. Time Warner Cable, meanwhile, had video subscriber losses of 65,000. Interestingly, DirecTV's growth is not far behind AT&T's U-Verse subscriber additions of 218,000 in Q1 of 2011. We believe nevertheless that subscriber additions will not continue at this rate. While Dish has not aggressively pursued new subscribers, competition from AT&T and Verizon remains intense, and cable operators also are starting to improve.

We estimate this figure to slightly increase from current levels of about 18.2% to about 18.6% by end of our forecast period. However there could be more than 6% upside to our price estimate if DirecTV can lift its market share to 20% by end of our forecast period. On the other hand if this figure falls down to 17%, there could be downside of 7% to our price estimate.

2. Economic forces. DIRECTV has increased their available promotions to increase net subscribers. With current levels DIRECTV is looking for ways to increase market share both domestically and internationally. They have hired additional customer service representative to handle the increase volume of new customers inquiring on service. This trend is expended to continue through the next several quarters and level off in 2nd quarter of 2012.

3. Political forces. There are no expected political influences or events that could affect the operations of DIRECTV.

4. Legal and regulatory forces. DIRECTV has a number of lawsuits filed against them. One of the most recent lawsuits was against DIRECTV charging a $450 cancellation fee. At a hearing on Wednesday, April 6, 2011, DIRECTV customers who were charged cancellation fees of as much as $480 – even if the service was never installed in the first place – asked a California court to let their lawsuit proceed as a “class action.” While the judge put off a decision on the class action, she refused DIRECTV’s request to dismiss the suit altogether.

The suit, filed in September 2008 by Consumer Watchdog attorneys on behalf of a former DIRECTV customer who was charged such a cancellation penalty, asks the court to order DIRECTV to refund the fees to consumers. The penalty was imposed in a way that violates California standards for consumer contracts. The lawsuit also seeks a court order prohibiting DIRECTV from charging such fees or penalties in the future. The case has been combined with a similar suit filed in California courts.

5. Technological forces. DIRECTV is the world’s most popular video service, dedicated to providing the best TV entertainment experience available. Customers have access to hundreds of channels of digitally delivered entertainment, sports, news, family and informational programming. DIRECTV® HD Programming — DIRECTV currently offers access to 160 channels in HD – more quality national HD channels than any other television provider in the nation – with the highest-quality picture and the most movies available in Blu-ray-quality 1080p HD.

In addition to the national HD channels, DIRECTV also offers local HD channels in 145 markets, representing more than 93 percent of U.S. TV households. DIRECTV continues to lead the TV industry into a new dimension: 3D. DIRECTV is dominating the 3D landscape as the first provider to deliver compelling 3D content across three dedicated channels: n3D™ powered by Panasonic (Channel 103), DIRECTV CINEMA™ in 3D (Channel 104) and DIRECTV on DEMAND in 3D (Channel 105).DIRECTV is a leader in new technology, delivering advanced digital video recording products and services.

6. Socioocultural forces. DIRECTV has a line up of products to offer the busy family. DIRECTV launched the Whole-Home DVR service, which allows customers to record and watch their favorite shows in HD from any room — with a single HD DVR. This new service also enables customers to operate DVR controls in every room, including record, delete, pause and rewind functionality, manage DVR playlists from any connected room, and set separate Parental Controls for each TV. DIRECTV CINEMA™ On Demand enables customers with a DIRECTV Plus® HD DVR or R22 model DVR to search through more than 6,000 on demand titles and download programming of their choice from the DIRECTV CINEMA On Demand library to their DVRs, With DIRECTV’s DVR Scheduler, customers no longer need to be at home to program their DIRECTV® DVR. This easy-to-use feature will let customers browse the 14-day Advanced Program Guide® and set their home DVR with any computer or through a mobile phone with DIRECTV’s mobile apps.

B. Target Market

By focusing on commitment to service and quality, DIRECTV has effectively set the standard in the television industry. Its ability to differentiate its product has contributed to excellent new subscription growth. The target markets are personal and commercial sites to increase revenue and market share. DIRECTV has maintained a long-term relationship with many restaurants and hotels and we need to focus on further development and marketing of the satellite television programming.

C. Current Marketing Objectives and Performance

DIRECTV is currently looking into keeping and maintaining the #1 rating for customer service. Increasing new residential accounts and increasing commercial accounts over the next several quarters is a top priority.

III. SWOT Analysis:

A. Strengths

1. DIRECTV offers Whole-Home DVR service throughout your home. This service allows you watch recorded show in HD in any room. You can start watching in one room, finish in another and delete shows from any room. Another great feature is being able to record two shows at once while watching two shows from your playlist.

2. Fewer competitions for satellite television companies capitalize on more of the profits for the remaining available companies in the business industry.

3. Businesses working in a duopoly face lesser opposition, because there are fewer competitions in the industry. From time to time, a duopoly can form from intervention from our government or economies of scale. Fewer competitions mean higher prices and increased profits. There are sometimes normal obstacles; such has high capital spending costs that restrict marketers from entering the industry.

4. DIRECTV offers a variety of services those competitors in their packages to the consumer. This year DIRECTV offers free NFL Sunday Ticket if you subscribe to their ultra plus television package. Other services that DIRECTV offers other sports packages like MLB, NHL, and NBA. They offer DIREC Cinema movies in the comfort of your own home.

5. Rural customers are more secluded from competition; therefore, margins should stay pretty consistent. Rural businesses are secluded from competition.

B. Weaknesses

1. Higher costs of business negatively affect productivity relating to profit. Satellites are expensive, and the overhead to set up just one standard dish can cost hundreds. However, the cost associated with DIRECTV and its up keep should come down over time as new technology improves. Additionally, the very high cost provides some obstacles for the business consumer who tries to compete for any firm trying to complete against the competitors.

2. This industry requires a huge amount of capital expenditures to provide the service to customers that is required to satisfy the consumers needs; and through satisfaction comes referrals for new consumers.

C. Opportunities

1. Mobile digital television offers a huge advantage for broadcasters who want to attain the billions of persons who have mobile devices and want their enjoyment on the go. Mobile digital television will provide device products, broadcasters, and telecommunication companies with new revenue constant flow for markers.

2. Mobile digital communications should increase the demand for services, which can facilitate data intensive communications as digital devices become more popular. According to Nokia the amount of mobile data will increase 300 fold between 2009 and 2012. As devices grow in complexity, they will require fast communications networks, better applications, better energy use, and better storage capacity.

3. Requirement from up-and-coming markets is serving growth and margins. Promising markets generate new opportunities to increase products from the industrial world. Paper products, computer services and other industries will all take advantage of the emerging countries that increase requirement for industrial and agricultural products.

4. System upgrades to DVR triple play services could help expand growth. Upgrades require capital expenditures in fiber optic cables, but provide additional services to customers. DVR Triple play services battle directly with traditional telecommunications companies to offer consumer absolute services in less than one bill. There are many synergies concerned in DVR triple play, which require no extra funds investment once the primary investment was made.

D. Threats

1. The capability for consumers to record shows on the DVR, and but skip the commercials is affecting the ability for advertisers to get to their target audience. DVR usage decreases revenue for advertisers and amount of distributors

2. Cable companies are able to offer better services than Satellite companies. Broadband Internet is quicker and more dependable. Voice over Internet protocol is likely on cable services. A better range of services by cable companies improves their relationship with customers, which increase revenue and profits.

E. Matching Strengths to Opportunities Converting Weaknesses and Threats

1. DIRECTV has more opportunity for business growth with new technology available to customers and business. Competing with the cable for business can be cumbersome. Both services offer the same product but satellite is sometimes difficult to get in an apartment complex. One opportunity is if DIRECTV can improve on Internet through satellite. Currently the download time is slow and the price to obtain this service is very expensive.

IV. Marketing Objectives:

DIRECTV is the world’s largest satellite service, devoted to providing the finest TV entertainment experience available. Customers have the ability to have access to a number of channels of digital entertainment, news, sports, informational programming and Family. DIRECTV high definition programming currently offers admission to 160 channels in HD more quality national HD channels than any other television provider in the nation with the highest-quality picture and the most movies available in Blu-ray-quality 1080p HD. In addition to the national HD channels, DIRECTV also offers local HD channels in 145 markets, representing more than 93 percent of U.S. TV households.

In addition to its advertising plans, DIRECTV is submitting new technology to set themselves apart from the competition. The DIRECTV HD DVR Pro is the ultimate in high-end home theater equipment for taking full advantage of DIRECTV HD. The DIRECTV HD DVR Pro: allows customers to record up to 400 hours of standard-definition programming and up to 100 hours of (MPEG-4) HD programming; In 2010, DIRECTV launched the Whole-Home DVR service, which allows customers to record and watch their favorite shows in HD from any room — with a single HD DVR. This new service also enables customers to operate DVR controls in every room, including record, delete, pause and rewind functionality, manage DVR playlists from any connected room, and set separate Parental Controls for each TV. DIRECTV CINEMA™ On Demand enables customers with a DIRECTV Plus® HD DVR or R22 model DVR to search through more than 6,000 on demand titles and download programming of their choice from the DIRECTV CINEMA On Demand library to their DVRs.

V. Marketing Strategies:

A. Target Markets

Target Market 1: Expand on the customer base with more businesses signing up for service.

Target Market 2: Develop our international customer base to include more areas outside the United States.

Target Market 3: Improve and continue developing the 3D service that is offered and have more movies offering this feature.

Target Market 4: Increase our market share from currently 18.3% to over 20.0% in the next five years.

B. Marketing Mix

Product: DIRECTV lets you know when first enter their site what the product is they are offering. The company lets you know what the newest technology they have to offer. They are the only one who has exclusive rights to the NFL Sunday Ticket. I image that this is their best selling sports package and have spent billions to have rights to broadcast all the games.

Price: DIRECTV has wide range of packages and prices for satellite TV. They charge for the extras you might want included in your package. For each receiver, they charge $6 dollars a month for a standard box. When you want to upgrade to HD the cost, is $10 dollars a month a box. If you want DVR for your entire home that is $3 dollars a month. They best offers are for first time subscribers and with a 24-month agreement.

Promotion: DIRECTV offers a lot of promotions during the year. You have to check back regularly to see what deal they offer from month to month. Currently the last few months they have offered NFL Sunday Ticket for free with Choice Extra package and free whole-home upgrade.

Distribution: DIRECTV is offered for individual, building owners, businesses, and travelers. They have information on the website for you to compare with other leading competitors on what they offer. They also offer international television packages.

VI. Marketing Implementation:

A. Marketing Organization

Headquarters in El Segundo, California, DIRECTV® is the industry leader in manufacturing satellite service, carrying satellite installation based services to more than 19 million homes and businesses around the world. With difficult a functioning operation that incorporates some of the world’s most finest and advanced methods in technology, DIRECTV’s job is to provide its consumers with a flawless presentation of knowledge and a excellent stage of support and service. In this extremely competitive marketplace, DIRECTV repeatedly strives to increase the excellence of its meaning and programming, also the profitability of its valued customer relations. Whether it’s the products and services they deliver to the market or their internal systems and infrastructure, DIRECTV aims to benefit the newest and most pioneering expertise in technology to help drive its success.

For the CRM On Demand operation, they are looking for an explanation that could offer each ASM with relevant sales knowledge about each seller, so they could maintain accounts more professionally, and efficiently even while being mobile. “Instead of lugging around cumbersome notebooks and folders, we wanted to give ASMs the ability to sit down with a dealer and pull up metrics quickly and easily, such as number of activations, financial data, open service requests, and so forth,” said Walters. “With these metrics and other key customer data literally at hand, the ASMs can spend more face time with dealers, nurturing those relationships and making them as profitable as possible.”

Identifying that consumer services is a solution differentiator in the markets of competition, DIRECTV determined to assemble the customer service section of CRM On Demand. This supplies mobile ASMs with an inclusive view of the dealers, which includes the insight into repair requests, and service repair history, and this lets them call up relevant and timely knowledge that could affect the quality of a meeting, before they walk through the door. Just as significant, it gives ASMs the authority to contribute a service demand immediately on the BlackBerry to report new service repair or inquires problems.

Intelsat S.A., the world’s leading provider of satellite services, today announced an agreement with DIRECTV Latin America (DTVLA), an operating unit of DIRECTV, to provide Ku-band capacity for DTH services in Latin America.
Intelsat will provide services on two new hybrid C- and Ku-band satellites, Intelsat 30 and Intelsat 31, each containing 72 transponders. DTVLA will use the Ku-band payloads to expand its current DTH entertainment offerings and provide backup and restoration services. The two satellites are scheduled for launch in 2014 and 2015, respectively, and will be co-located with Intelsat’s Galaxy 3C satellite at 95°W. DTVLA has provided service via Galaxy 3C since the satellite was launched in 2002. DTVLA plans to utilize the satellites for their entire 15-year lifetime. “This agreement positions our Pan Americana platform for future growth, while also providing full redundancy. It reflects our continued optimism about the region,” said Bruce Churchill, President and CEO of DTVLA. “Intelsat and DIRECTV Latin America strategically designed a Ku-band payload to optimize the available frequencies to maximize our channel capacity in Spanish-speaking South America by using both local and pan-regional beams.”
“ We’re thrilled that DIRECTV Latin America continues to show confidence in the high-quality services that Intelsat provides through this long-term agreement,” said David McGlade, CEO of Intelsat. “This effort will allow DIRECTV Latin America to offer enhanced services to all of its Latin American customers, along with restoration services to guarantee uninterrupted delivery.”

B. Activities, Responsibility, and Timetable

Listed below are some of the activities and milestones DIRECTV has established over the years:

* June 17 1994: DIRECTV Service Launches. The first DIRECTV® System is sold to LeMoine Martin at Cowboy Maloney’s in Jackson, Mississippi. * February 1995: Galaxy Latin America partnership forms. Company is renamed DIRECTV Latin America in 2000. * October 1995: DIRECTV receives its first technical Emmy® Award for its outstanding achievement in developing digital direct broadcast satellite technology. * November 1995: The 1 millionth DIRECTV customer is activated. * July 1998: DIRECTV becomes the first national broadcaster to deliver programming with 5.1 channel Dolby® Digital surround sound. * October 1998: DIRECTV is first to broadcast coast-to-coast HD television demonstration. * April 1999: Acquired PRIMESTAR Medium-power Satellite TV Business. * May 1999: Merged with U.S. Satellite Broadcasting Company, Inc., provider of premium movie channels. * September 1999: Launched DIRECTV PARA TODOS® service. * November 1999: Local channels launch for the first time. * July 2001: The 10 millionth customer is activated. * December 2003: Hughes Electronics is spun-off from General Motors and becomes an asset-based stock when News Corp purchases 34 percent of Hughes. * March 2004: Hughes Electronics, DIRECTV’s parent company, announces it will change its name to The DIRECTV Group. * September 2004: DIRECTV receives its first Primetime Emmy® Award for Outstanding Achievement in Interactive Television for its enhanced NFL SUNDAY TICKET™ programming. * November 2005: The 15 millionth DIRECTV customer is activated. * June 2006: DIRECTV’s The 101® Network launches. * August 2006: The merger between SKY Brazil and DIRECTV Brazil is complete, forming a company that accounts for one-third of all pay-TV subscribers in the country at the time. * September 2007: DIRECTV breaks away from the competition by launching 21 national HD channels. Today, DIRECTV offers 160 national HD channels. * 2008: DIRECTV’s The 101 Network changed the television landscape by partnering with NBC to produce and air three additional seasons of the Emmy® Award-winning series, Friday Night Lights. * January 2008: DIRECTV® DVR Scheduler debuts, offering customers the ability to schedule DVR recordings from their mobile phone or computer. * February 2008: Liberty Media Acquires 41 percent of The DIRECTV Group from News Corp. * February 2008: DIRECTV Latin America reaches the five million customer milestone. * June 2008: DIRECTV on DEMAND becomes available to customers nationwide. * March 2009: The DIRECTV DVR Scheduler App for the Apple iPhone® and iPod touch is launched, immediately becoming one of the most popular Apps. * Summer, 2009: The Dan Patrick Show, a TV show based on Dan Patrick’s nationally syndicated radio show on ESPN Radio, debuts on The 101 Network. * June 2009: DIRECTV celebrates 15 years of service. * November 2009: Completion of transactions with Liberty Media that result in DIRECTV being an independent entity with no corporate parent stockholder. The DIRECTV Group changes its name to DIRECTV. * June 2010: DIRECTV launches 3D platform in partnership with Panasonic. * June 2010: DIRECTV® Whole-Home DVR service launches nationwide. * July 2010: DIRECTV announces that the critically acclaimed show, Damages, will move to and air exclusively on DIRECTV’s The 101 Network.
VII. Evaluation and Control

A. Performance Standards and Financial Controls

Some of the key financial ratios that used to implement the marketing plan:

* The total number of DIRECTV subscribers is 26.3 million in the U.S. and Latin America. DIRECTV provides programming to more than 300,000 commercial establishments including hotels, bar, restaurants, and sports club. * DIRECTV is available on JetBlue, Continental and Frontier flights. * Each of the eight antennas at the Castle Rock Broadcast Center beam up 600 megabits of information per second totaling 518,400,000 megabits per day. DIRECTV broadcasts 25,000 channels (including national and local channels) each day. * DIRECTV currently owns a fleet of 11 satellites that are in geosynchronous orbit, 22,500 miles above the Earth. * DIRECTV has thirty-five customers care centers (both partner sites and owned-and-operated). DIRECTV’s six owned-and-operated customer care center are located in: Boise, Idaho Denver, Colorado Huntington, West Virginia Huntsville, Alabama Missoula, Montana Tulsa, Oklahoma

* DIRECTV has revenue of $24.102 billion and operating income of $3.896 billion. Their net income for 2010 was $2.312 billion and was an increase from 2009. The company employees over 18,000 customer care agents that take more than 120 million calls a year. Over 14,000 service technicians install and service DIRECTV customers.

B. Monitoring Procedures

To analyze the effectiveness of DIRECTV marketing plan, it is necessary to compare its actual performance with plan objectives that were established during the previous year.

* DIRECTV has earned #1 in customer satisfaction in the 2011 American Customer Satisfaction Award. Management is responsible for maintaining this achievement. * DIRECTV will have a quarterly meeting focusing on operations and customer satisfaction. * The management will evaluate the increase or decrease in new customers subscription. This is will looked at the first week of each new quarter beginning in January 1.

Works Cited
DIRECTV: http://en.wikipedia.org/wiki/DirecTV

DIRECTV: http://www.directv.com

Daily Finance “Can DirecTV Keep Adding U.S. Subscribers?”, May 18, 2011 http://www.dailyfinance.com/2011/05/18/can-directv-keep-adding-u-s-subscribers/ EHow ”DirecTV Facts”, July 30, 2011, http://www.ehow.com/info_10012005_directv.html

DIRECTV “Who We Are”, October 1, 2011 http://www.directv.com/DTVAPP/global/contentPage.jsp?assetId=3580002&lpos=footer

DIRECTV “DIRECTV Whole-Home DVR”, October 3, 2011 http://www.directv.com/DTVAPP/content/technology/wholehome?footernavtype=-1&lpos=header DIRECTV (DTV) SWOT Analysis, September 23, 2011 http://www.wikiwealth.com/swot-analysis:dtv Consumer Watchdog, “DIRECTV Ripoff Lawsuit, Challenging $480 Cancellation Fee, Moves Forward”, April 6, 2011 http://www.consumerwatchdog.org/node/10961 DIRECTV Press Center, “Just the Facts About DIRECTV”, September 12, 2011 http://static.directvpresscenter.com/fact-sheet/.../directv-fact-sheet_v4.pdf DIRECTV Latin America: http://www.directvla.com/

DIRECTV Company Profile: http://www.directv.com/DTVAPP/global/contentPage.jsp?assetId=1400012I

INTELSAT, “DIRECTV Latin America Doubles its Capacity on New Intelsat Satellites”, September 8, 2011 http://www.directv.com/DTVAPP/global/contentPage.jsp?assetId=1400012