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Old 23-02-2007, 19:56   #117
andygrif
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Re: SKY VS Virgin Media

Quote:
Originally Posted by pedg View Post
Why not. It would take much to phone up a thousand random subscribers (not just those who are interested enough in the subject to post online) and ask them what they would do.
I think you're underestimating the inteligence and broadness of the people who use this site. But I do understand where you are coming from.

I am not saying that Virgin have called up a thousand subscribers to ask them, but I am saying that I would not assume that they have.

Even if they have, there will be a percentage of customers that will change their supplier if what has been suggested comes to pass; how many customers can Virgin afford to lose before cashflow is seriously compromised?

If 15% is 1/2 million subs and £21m per month income, then 10% is 1/3 million and £14m per month lost, 5% is 167,000 and £7m per month (£84m a year).

If the sums being banded around earlier of carraige fees of £45m pa for these channels are correct, then you can see the predicament that Virgin are in for yourself.

I'd hazard an educated guess that the 15% we see on here might not be too far off the money; taking into account the channels in question, viewing figures are as follows:

20% of digital homes watch Sky One at some point during an average week, 10% Sky Two, 10% Sky News and 15% for Sky Sports News. These stats include Freeview, where Sky One and Two don't appear of course.

So the average for these channels is not a million miles from the 15% on here. Could just be a coincidence, I'm no statistician.
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