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-   -   Why is Sky Sports on BT so much cheaper? (https://www.cableforum.uk/board/showthread.php?t=33674250)

resander 26-01-2011 18:35

Why is Sky Sports on BT so much cheaper?
 
I have only just discovered Cable Forum and this sub-forum, so I
can now ask about something that has puzzled me for some time,
namely the price difference of Sky Sports TV for BT and Virgin.

Adding Sky Sports 1, 2... to a Virgin bundle is £22 and adding
the same to a BT bundle is £12. That's a huge difference.

Why is this? What caused it? Did BT negotiate with Sky after
Virgin and got a much better deal? Can/will Virgin renegotiate?
Or did other factors come into play?

Any news/rumours/opinions about Virgin coming down in price
when adding Sky Sports to their bundles?

Ken

nialli 26-01-2011 18:37

Re: Why is Sky Sports on BT so much cheaper?
 
It's heavily subsidised by BT - they make a (significant) loss on every subscriber who signs up to Sky Sports. Virgin and BT get it at the same wholesale price.

Digital Fanatic 26-01-2011 18:58

Re: Why is Sky Sports on BT so much cheaper?
 
Yep, BT make a loss of Sky Sports.

frogstamper 26-01-2011 19:08

Re: Why is Sky Sports on BT so much cheaper?
 
Quote:

Originally Posted by resander (Post 35159331)
I have only just discovered Cable Forum and this sub-forum, so I
can now ask about something that has puzzled me for some time,
namely the price difference of Sky Sports TV for BT and Virgin.

Adding Sky Sports 1, 2... to a Virgin bundle is £22 and adding
the same to a BT bundle is £12. That's a huge difference.

Why is this? What caused it? Did BT negotiate with Sky after
Virgin and got a much better deal? Can/will Virgin renegotiate?
Or did other factors come into play?

Any news/rumours/opinions about Virgin coming down in price
when adding Sky Sports to their bundles?

Ken

I didn't realize that BT offered Sky sports for such a low price, having just looked at their web-site you get Sky sports 1 and 2, ESPN and Vision sport for just £12.30pm.
I suppose its heavily discounted to make up for their general lack of channels compared to Sky and VM, either way its a very good offer.

http://www.productsandservices.bt.co...?topicId=25634

Dave42 26-01-2011 19:10

Re: Why is Sky Sports on BT so much cheaper?
 
Quote:

Originally Posted by resander (Post 35159331)
I have only just discovered Cable Forum and this sub-forum, so I
can now ask about something that has puzzled me for some time,
namely the price difference of Sky Sports TV for BT and Virgin.

Adding Sky Sports 1, 2... to a Virgin bundle is £22 and adding
the same to a BT bundle is £12. That's a huge difference.

Why is this? What caused it? Did BT negotiate with Sky after
Virgin and got a much better deal? Can/will Virgin renegotiate?
Or did other factors come into play?

Any news/rumours/opinions about Virgin coming down in price
when adding Sky Sports to their bundles?

Ken

you got to sign 2 year contract for bt broadband to get it at the cheapest price too

mersey70 26-01-2011 19:15

Re: Why is Sky Sports on BT so much cheaper?
 
They no doubt make a decent profit on the BT landline and BB whch is required to have BT Vision though. Even though their phone and BB is excellent in my personal experience the BB is quite expensive though compared to other ADSL products.

Nevertheless the Sky Sports offer isn't bad but new customers seem to get hit with a 24 month contract though to get the best headline price, ouch!

Digital Fanatic 26-01-2011 19:18

Re: Why is Sky Sports on BT so much cheaper?
 
Quote:

Originally Posted by mersey70 (Post 35159365)
They no doubt make a decent profit on the BT landline and BB whch is required to have BT Vision though. Even though their phone and BB is excellent in my personal experience the BB is quite expensive though compared to other ADSL products.

Nevertheless the Sky Sports offer isn't bad but new customers seem to get hit with a 24 month contract though to get the best headline price, ouch!

That's a long time to be tied to it, especially if you decide it's not for you after a few months! :)

mersey70 26-01-2011 19:28

Re: Why is Sky Sports on BT so much cheaper?
 
Quote:

Originally Posted by Digital Fanatic (Post 35159371)
That's a long time to be tied to it, especially if you decide it's not for you after a few months! :)

Until they become the norm I wouldn't sign an 18 month contract with a provider let alone 24 months, no chance! Unfortunately with BT and Talk Talk and to a lesser extent VM longer contracts are becoming more common.

HDFootyMan 26-01-2011 20:36

Re: Why is Sky Sports on BT so much cheaper?
 
http://www.ft.com/cms/s/0/c879c8b4-8606-11df-bc22-00144feabdc0.html#axzz1CAwhCNjB

Quote:

For each bundle of Sky Sports 1 and 2 it sells at £12, BT must pay BSkyB £19.07, which increases both BT’s loss and BSkyB’s margin.

resander 28-01-2011 07:09

Re: Why is Sky Sports on BT so much cheaper?
 
I see, BT is making a loss...

This could well be effective, so I hope VM will answer and reduce the Sky Sports add-on price soon.

Here, TV is the king (XL-160 channels) and there is no way I can downgrade with three teenage children glued to Disney-channel, discovery channels and other XL offerings (and self and football-crazy son to ESPN!). Our minimum broadband M (10meg) and phone M are all we need, so there are no savings to be made by trying to downgrade the regular Virgin stuff.

Then, as we want Sky Sports and having to pay £22 instead of £12 hurts.

Paul K 28-01-2011 07:33

Re: Why is Sky Sports on BT so much cheaper?
 
Why on earth would VM drop pricing to compete with someone making a massive loss? It's not going to happen as a standard pricing change so don't hold your breath.

Perfect Choice 28-01-2011 08:31

Re: Why is Sky Sports on BT so much cheaper?
 
Its tough managing the finances of a family with multiple demands, you don't seem to have much choice reallyas far as I can see.

BT are trying to buy up customers with such a loss making deal and counter gaps in their TV portfolio which is precisely why you are subscribing to VM I guess. Something has to give in terms of TV choice or the family budget has to be hit elsewhere.

nialli 28-01-2011 09:29

Re: Why is Sky Sports on BT so much cheaper?
 
Even at that price, the numbers released in November suggest few are biting: just 50k signed up.

Dave42 28-01-2011 10:08

Re: Why is Sky Sports on BT so much cheaper?
 
and don't forget bt only get sky sports 1+2 and vm get sky sports 1,2,3,4 and sky sports news and sky sports 1+2 HD

BenJSmyth 28-01-2011 10:10

Re: Why is Sky Sports on BT so much cheaper?
 
Although adding the HD part costs another £7 a month.


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