Strategy

Foxtel debuts tenure-based customer loyalty program

Pay TV provider launches latest effort to woo customers as the TV streaming market in Australia explodes

Foxtel has debuted a new tenure-based customer loyalty program aimed at better rewarding customers for staying longer with the TV streaming provider.

Launching today, the ‘Foxtel First’ programs sees customers rewarded across four levels of continuous customer tenure: Bronze (0-3 years), silver (3-8 years), gold (8-15 years) and diamond (more than 15 years). Each tier comes with a range of benefits, including advanced access to popular content, tickets and competitions to attend events such as the Cricket and Australian Grand Prix, product offers and priority customer service.

The company said Foxtel First takes its cues from research showing newer customers valued rewards based on tickets, experiences and Foxtel shows, while longer tenure customers saw the latest technology and priority service as more appealing value-adds. Many of these take advantage of partnerships between Foxtel and its providers across sports, cinema, music and TV.

“Foxtel First is another step in our strategy to provide our customers the best in TV and on-demand all in one place at the best value,” Foxtel CEO, Patrick Delany, said. “It delivers customers more value through experiences and benefits which only get better the longer they have been with us.”

The free program launch this week comes laden with a host of benefits, and more rewards will be announced in coming months, Delaney said.

The customer loyalty program is available to residential customers with a set-top box and via the My Foxtel app or via its account portal. Those who sign up get a free Foxtel Store movie as a welcome gift, and will be able to see their tier status and offerings online.

Foxtel stressed subscribers with Foxtel from Telstra are not supported by its program, but rather the telco’s own customer loyalty offering.

Among the first experiences on offer are passes to see Alice Cooper in concert in Sydney or the Australian Grand Prix; walking the red carpet at the Australian Film Institute’s 2019 Australian Academy Cinema Television Arts (AACTA) Awards plus after party access; private dining experiences; visiting the Wentworth TV drama set, and a home styling appearance with Selling Houses Australia celebrity, Shaynna Blaze, complete with shopping budget.

The loyalty program launch comes amid a frenzy of activity from Foxtel to improve its value proposition with customers. In September, the TV streaming provider announced a raft of initiatives showcasing the concerted effort it’s making around digital and data, including investments into customer data insights and analytics, a more tailored and user-friendly navigation system, extended content partnerships, fresh channels and more.

At time of launch, Delaney said steps taken by Foxtel over the past 18 months represented a “revolution” of the business model, as well as its biggest programming shake-up in 10 years.

And the changes arguably can’t come fast enough. As well as the growing dominance of digital first streaming player, Netflix, in recent years, along with new offerings such as Stan and Amazon TV, the Australian market will see the introduction of Disney’s streaming service, Disney Plus, in November.

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