Wilderotter: Frontier will decentralize marketing spending

Apple promotion will continue into 2013
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Frontier Communications (Nasdaq: FTR) plans to decentralize its marketing operations in order to give local general managers more flexibility in targeting subscribers from cable operators and other telecom providers, CEO Maggie Wilderotter said Monday.

Maggie Wilderotter, Frontier

Wilderotter (Image source: Frontier)

Wilderotter told attendees at a UBS conference in New York that Frontier employs 180 local general managers who receive daily reports tracking new subscribers and subscribers that cancel service. She said the local executives can be more effective in marketing than relying on a strategy in which Frontier runs the same promotions in every market.

While Wilderotter said Frontier will decentralize marketing spending, she said the company will continue to offer an aggressive subscriber acquisition promotion it is offering with Apple (Nasdaq: AAPL) through the end of January, and possibly early February. "We're very happy with what we're seeing," Wilderotter said regarding the promotion, in which the company is offering Apple gift cards of up to $500 in value to cable or satellite TV subscribers that order a Frontier double- or triple-play package.

Also worth noting from Wilderotter's appearance at the UBS conference:

  • Wilderotter said Frontier is looking at offering residential subscribers the option of a VoIP phone service "to give customers choice on that platform."
  • Frontier plans to announce a partnership during the first quarter that will allow it to offer cloud-based services to commercial customers, Wilderotter said.
  • Wilderotter criticized providers that are charging subscribers fees to lease a cable modem, noting that Frontier's strategy is to bundle the equipment fee in the price of it high-speed service. "We've seen some of the ire in the marketplace with these modem fees. That's a positive for us," she added.

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