Sirius Satellite Radio Marketing Plan

2391 WordsApr 26, 200510 Pages
Sirius Satellite Radio, Inc. SITUATION ANALYSIS COMPANY BACKGROUND SIRIUS Satellite Radio was incorporated on May 17, 1990 as Satellite CD Radio Inc. On November 18th 1999 the company changed their name to SIRIUS Satellite Radio Inc, which is the name under which the FCC license to distribute satellite radio was given to. SIRIUS Satellite radio currently offers over 100 of music, news, sports, talk, entertainment, traffic, weather, and children's programming to subscribers throughout the United States. Their primary source of revenue is through subscription fees, with most of their customers subscribing to SIRIUS Satellite Radio on either a monthly or a yearly basis. They also derive revenue from activation fees, advertising sales on…show more content…
ENVIRONMENT Economic Considerations. Sirius service is still young and growing. Currently sales are on the rise and subscriber numbers look good. The company is vulnerable to economic change though. Since Sirius's income is based on a subscription model and satellite radio is seen as a convince rather than a necessity in a time of economic hardship Sirius could suffer greatly. Demographic Considerations. Sirius's target audience is any average consumer, specifically any consumer with a motor vehicle. There are around 100 Million motor vehicles on the road today. The satellite radio industry has only been able to infiltrate around 4.5 Million of them so far. With this huge target market and the word about this new technology spreading there is still room for huge growth. Social and Cultural Considerations. The amount of social and cultural diversification within Sirius's target market is huge. To take advantage of this, Sirius offers programming across the board to appeal to any listener. From rap and top 40 hits genre's to the all Elvis channel and easy listening Sirius has covered everyone's musical wants and needs. Also with talk radio you can find anything from Sirius Left and Sirius Right political talk stations to Maxim radio for the guys and even Disney Radio for the kids. Political and Legal Consideration. As an operator of a
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