Speed, rather than price, is more likely to influence British customers to switch broadband service providers (BSPs), according to a study published by analyst firm Strategy Analytics. The study, "Broadband Satisfaction and Customer Churn: UK 2H’08," found that, despite high self-reported customer satisfaction levels, 70 percent of UK subscribers would defect for a higher speed offering.
The survey was fielded in the fourth quarter of 2008. Strategy Analytics polled 500 UK broadband decision makers on the "three pillars" of customer churn: customer satisfaction levels, propensity to churn and perceived obstacles to defecting. Respondents were presented with various broadband speed and price scenarios to gauge sensitivity.
Sky Broadband customers had the highest overall satisfaction levels, with 87 percent reporting to be "very" or "somewhat" satisfied with the operator.
Another key finding from this study was the weight customers placed on perceived barriers to switching. The hassle of scheduling installation was viewed as a gating factor for the majority of respondents.