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Old 04-05-2006, 15:37   #48
Chrysalis
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Join Date: Sep 2003
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Re: Where Now For UK Cable?

Quote:
Originally Posted by Stuart C
True, although NTL are stuck between a rock and a hard place there. It costs a lot to operate all those different services, but would also cost an awful lot to upgrade



Well, I did say *entirely*. I do think NTL could do a lot more to improve the customer side of interactive.
Yep its a short term gain and long term loss.

Lets take a 5 year period of increased support/maintenance costs, increased retention costs (keeping customers on inferior services), loss of customers due to inferior services so loss of profit, increased training costs for staff having to train on more types of network/services, increased advertising costs having to print out more prices etc. for different services. Put this VS a one off large cost of upgrading and merging areas so is one playing field across their footprint.

NTL can then start doing things like this.

10meg broadband/family digital tv pack with VOD/tu24 available in ALL OUR AREAS, not distance dependant all for only 49.99 a month.

Sky would find it hard to match that since you getting a phone/vod/10 meg broadband which performs well due to downstream channel bonding made possible by not having to support analogue channels, whilst bt/sky have to contend with poor long phone lines etc. VOD which sky dont have i think and the ability to change your broadband package online instantly. Ntl need to play to their strengths they potentially could lead the market in many aspects of service but just dont know how to play the game.

Add to that people will then start to want ntl for their normal prices (not discounted) and ntl might actually make profit again, redesign the product portfolio so you can things seperatly but they cost a lot more, for examply sky allow the subscription of sky sports extra on its own but it costs a nice £6 a month whilst as an incentive to get their premium packages they throw it in free with sky sports 1+2.
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