The NTCA Application, which includes Alpine Communications (IA), in partnership with Connected Nation, will test subsidy design by offering a range of wireline broadband plans in one state with a flat subsidy amount of $25 per month for all 12 months and offering a range of wireline broadband plans in another state with a sliding scale subsidy that is initially $40 per month for the first quarter and is reduced each quarter thereafter in increments of $10, with the last quarter providing a subsidy of $10 per month, thereby increasing the monthly end-user charge by $30.
For more information contact: Alpine Communications – Lori Keppler, 563-245-4000, www.alpinecom.net
Nexus, in partnership with Connect Ohio, will test the effect of subsidy amounts and digital literacy on adoption by giving one group of subscribers a $15 subsidy, a second group $20 and a third no subsidy (groups are offered plans based on zip code). These subsidies will lower the offered price by the subsidy amount for a menu of plans, which are varied based on usage limits. By allowing customers to select their usage limits, Nexus will be able to report subscribers’ willingness to pay for data limit increases and also learn if subscribers were satisfied retrospectively with their choice.
For more information contact: 800-248-0204Published: July 10, 2013 Updated: July 15, 2013