Starz Encore is making deals with cable operators ? Adelphia Communications and Cablevision Systems are the first ? that allow operators to bundle the Starz On Demand subscription-video-on-demand (SVOD) service free of charge for an introductory period of six months to a year. Starz Encore, a subsidiary of Liberty Media, is betting that the mix of the free service and a heavy marketing push will both bring in subscribers and convince them to keep Starz On Demand when it converts to a pay service.

Consumers get a rotating package of up to 30 movies from the Starz Super Pak that can be watched any time with full playback control and no charges per transaction.

?We think we can beat the odds,? says Greg DePrez, Starz VP-SVOD, although he admits nothing is concrete when it comes to the conversion to a pay service. ?We're not locking in really hard deals at this point. We've sketched out some ideas about it.?

The estimated price of the service ranges from $3 to $6, but Starz Encore doesn't want to price it right out the chute. Instead, the company plans to prove its value to consumers and operators first.

All cable subscribers in the markets served by Starz Encore SVOD will be blanketed with a multipronged marketing campaign that includes introductory letters, telemarketing and specially produced videos.

?In one system, we'll run at least four campaigns,? says DePrez. ?It does up our costs, but this is our future. We're not being shy about making what is an aggressive investment in marketing.?

Starz started field trials with Cablevision in Western Long Island, New York, last year and was part of the launch package of Cablevision's iO: Interactive OptimumSM digital cable service in September.

The Adelphia trial in Cleveland Heights, Ohio, launched last month with an initial 1,000 subscribers in two neighborhoods and is expected to roll out across the 284,000 basic households in the Cleveland system.

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