The Total Package
Goldberg mentioned that sometime next year IP telephony will be added to the iO set-top box, "so you'll be able to have a second phone in your house for a lot less money."
No third quarter numbers for the iO service were available due to the launch late in the period, but Falese emphasized the importance of the retail channel for iO's launch. "The products within iO are so broad and new to our customer base, they greatly benefit from demonstration," she said. "The WIZ provides us with a fun, entertaining place to meet our customers and to demonstrate all the products that are part of iO. In doing so, we stimulate demand, encourage positive word of mouth and sell the products in a retail environment where customers are motivated to learn about and buy consumer electronics-related services."
Currently, all new iO sales are accompanied by professional installation, but Falese said a consumer-installable sales model will be sold early in 2002. The OOL high-speed cable modem became consumer-installable in October 1999, and Falese said this plus retail sales have been key to OOL's success. "Sales and customer growth appreciated tremendously once we introduced self-install and retail sales," she said. "Self installation also made a monthly service like Optimum Online closer to a consumer electronics purchase."