Verizon Communications is looking to keep the pressure on incumbent cable operators and satellite TV service providers with a promo that offers two-year price locks to new FiOS Internet, TV and voice subs through April 19.
The promo, introduced Friday (February 7) and featuring some contract-free options, pitches a “free upgrade” to a Quantum-level broadband tier that maxes out at 50 Mbps downstream and 25 Mbps upstream, FiOS TV Prime HD (a lineup of more than 215 channels, including at least 55 in HD), and FiOS Digital Voice with unlimited nationwide calling.
Verizon said it’s sweetening the two-year lock-in by giving those new subs $250 Visa prepaid cards. Customers who subscribe online will get $10 shaved from their monthly bills.
The price guarantee comes as Verizon FiOS continues to add subs, but at a slower rate.
Verizon added 126,000 net new FiOS Internet connections and 92,000 new FiOS video subs in the fourth quarter of 2013, down from the 144,000 FiOS Internet customer and 134,000 FiOS video subs added in the year-ago quarter. Verizon ended 2013 with 6.1 million FiOS Internet and 5.3 million FiOS video subs.
“We’re responding to feedback from prospective customers who told us they want to switch to FiOS for the faster speed, greater reliability and clearer images, but they struggle with the notion of signing up for a multiyear contract,” said Mike Ritter, chief marketing officer for the consumer and mass business unit of Verizon, in a statement. “We’ve also heard from prospective customers that they want price assurance when they switch providers.”
Here’s a snapshot of the telco’s new price-locked offers:
- Online with no annual contract: $89.99 per month for two years, free FiOS Quantum 50/25 Mbps upgrade for two years and a two-year price guarantee.
- Online with a two-year agreement: $89.99 per month for two years, free FiOS Quantum 50/25 Mbps upgrade for two years, two-year price guarantee and a $250 Visa prepaid card.
- Offline order (purchased through any means other than online) with no annual contract: $99.99 per month for two years, free FiOS Quantum 50/25 Mbps upgrade for two years, and a two-year price guarantee.
- Offline order with a two-year agreement: $99.99 per month for two years, free FiOS Quantum 50/25 Mbps upgrade for two years, two-year price guarantee and a $250 Visa prepaid card.
The smarter way to stay on top of the multichannel video marketplace. Sign up below.