Cox Communications Announces One Million `Bundled' Customers
ATLANTA--(BUSINESS WIRE)--Nov. 28, 2001--Cox Communications, Inc. (NYSE: COX) announced today that 1 million Cox customers now subscribe to a "bundle" of multiple services.
The company defines a bundle as two or more of its communications and entertainment services - cable TV, high-speed Internet and digital telephone - delivered to a single customer.
"We are thrilled to surpass this highly significant milestone for our bundled services," said Jim Robbins, president and CEO of Cox Communications. "Our success with delivering the bundle clearly demonstrates that customers want choice and convenience and they trust Cox to provide high-quality, reliable services. We take great pride in our ability to offer customers one-stop shopping for their communications and entertainment needs."
Cox first began offering multiple services in selected markets in 1997 and today more than 15% of customers company-wide subscribe to the bundle, an 80% increase over the last year. In Cox's Orange County and Omaha operations, where bundled products have been offered the longest, 40% of customers subscribe to the bundle. In those locations, approximately 1 in 10 take all three services from Cox, and over 50% of customers have multiple RGUs.
In markets where Cox Digital Telephone is available, 23% of customers buy a bundle. In the past 12 months, the number of customers subscribing to all three products has increased by 165%. In addition, digital penetration among these customers has grown from 48% in 2000 to 60% today.
"The best news is that customers who buy a bundle seem to be very satisfied customers," said Joe Rooney, vice president of Marketing. "Churn among bundled customers is 33 to 50% less than that of single-product customers."
Earlier this year, Cox began offering even more choice to bundled customers in select markets. With Cox's flexible statement, customers who subscribe to more than one service have a choice of receiving single or multiple billing statements. Cox is the first major communications company to offer customers this kind of choice on a large scale.
Cox Communications, a Fortune 500 company, serves approximately 6.2 million customers nationwide, making it the nation's fifth largest cable television company. A full-service provider of telecommunications products, Cox offers an array of services, including Cox Cable; local and long distance telephone services under the Cox Digital Telephone brand; high-speed Internet access under the brands Cox@Home, Road Runner and Cox Express; advanced digital video programming services under the Cox Digital Cable brand; and commercial voice and data services via Cox Business Services. Cox is an investor in telecommunications companies including Sprint PCS and Excite@Home, as well as programming networks including Discovery Channel and The Learning Channel. More information about Cox Communications can be accessed on the Internet at www.cox.com.
|Erin Tallis, 404/843-5854|
|Laura Oberhelman, 404/269-7562|