U.S. Department of Commerce National Telecommunications and Information Administration - PowerPoint PPT Presentation

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COUPON PROGRAM PHASE TWO

U.S. Department of Commerce

National Telecommunications and Information Administration

Program Overview

The Deficit Reduction Act of 2005:

Directed FCC to require full-power television stations to cease analog broadcasting no later than February 17, 2009
Directed NTIA to create the Digital to Analog Converter Box Coupon Program

Consumers may obtain up to two coupons that can be applied toward the purchase of digital-to-analog converter boxes
Provided $1.5 billion in funding

The DTV Delay Act, February, 2009

Postponed the date to require full-power television stations to cease analog broadcasting to no later than June 12, 2009
Extended coupon request period to July 31, 2009 and allowed replacement coupon for each coupon that was issued to households and expired without being redeemed
Changes to eligibility only to take effect upon enactment of additional budget authority

The American Recovery and Reinvestment Act of 2009 provided $650 million in additional funding

For additional consumer outreach
For distribution and redemption of additional coupons

Program Schedule

FY10

FY09

FY08

Major Milestones:

2/17/09

7/31/09

2/4/09

11/15/09

1/31/10

1/1/08

Coupon

Ordering

Started

DTV Delay Act

ARRA

Last Coupon Ordering Day

Last Coupon Redemption Day

Program Complete

Program Functions:

CONSUMER EDUCATION

COUPON DISTRIBUTION

COUPON REDEMPTION

CLOSEOUT

3

Program Description

Program consists of three functions:

Consumer Education and Communications
System Processing

Call Center Services
Coupon Fulfillment
Retailer Certification and Training

Financial Processing

Coupon Redemption
Retailer Payment Settlement
Audits and WFA

STIMULUS FUNDING

$490m 12.25 million coupons
$38m Coupon Distribution
$32m 4 month extension, process enhancements
$90m FCC/NTIA consumer services

Current Status—April 22nd

56,358,855 Coupons Requested
20,650,072 Coupons Expired
7,023,020 Coupons Active
55.9% Average Redemption Rate
117,906 Average Daily Orders

NEW CONSUMER FOCUS

Search and rescue
Focus groups of unready households
Merge NTIA/FCC target markets
More service, live agent support, hands-on help
New messaging, revise materials
Don’t wait until June 12, 2009
Emphasize ACTION
Apply, Buy, WATCH DTV NOW

IMPROVED PROCESSING

11/2 weeks from request to receipt
Expanded call center for more requests and live agent calls
Integrated call center with FCC and others for “one-call assistance”
First class postage
Re-issue of expired coupons

MORE COUPONS

12.25m new coupons from stimulus
1.5m to 3m from expirations
Continued DMA and zip code data for retailers and manufacturers
Retailers website link to FCC data on station by station transition dates
Challenge to coordinate coupons, inventory and consumer service

Consumer Education Strategy

Focus group research

Further define the households that are not prepared and why they have not taken action
Use results to inform future activity and messaging

Refine messages and develop new materials
Conduct earned media outreach focused on key target audiences

Encourage coverage of the transition via interviews
Garner participation of local media in local events (mobile assistance teams, retail teams)
Drive attendance at local events

Leverage grantees, partners and contractors to provide on-the-ground education and support

Coupon Program Messaging

Message Theme: Act Now.Top priority is to move remaining unready households to take action

Highlight the three options consumers have to prepare, including purchasing a converter box with or without a coupon
Extend “Apply. Buy. Try” campaign messaging, with focus on buying converter box as soon as coupons received in mail and the importance of troubleshooting (antenna and reception issues, installation instructions such as re-scanning, etc.)
Encourage consumers who have already prepared to make sure their friends, family and neighbors are also ready

Reinforce transition date and information resources in all communication

Consumer Education Activities

Paid and public service advertising to reach target populations through radio and print outlets

Public service advertising on transit systems in key markets
Paid advertising through ethnic media partner organizations and outlets that are highly consumed by target audiences

Engage existing partners to educate and support constituents in preparing for transition by providing materials, training and technical assistance

Supply partners with information to distribute directly to constituents
Establish brief training module offered regularly for all partners, grantees and other entities to ensure consistent and accurate dissemination of information
Establish mobile unit transition assistance teams (i.e., mobile assistance centers) for help in applying for a coupon and instruction on installing a converter box
Complement mobile assistance teams with retail event teams to conduct similar outreach at participating retail locations
Supplement funds to LCCREF & n4a to help vulnerable communities apply for the coupon and purchase and install converter boxes and provide post transition assistance