It seems that the novelty and value of bundle deals aren’t tempting consumers. A survey by ISP Zen Internet has found that most of us aren’t interested in TV/Internet bundles anymore.
The survey found that 2 million households with bundle deals want to ‘unbundle’. Unsurprisingly it’s all down to a lack of value and competitive independent package pricing.
(However, the survey only spoke to 2002 Britons. So you should bear in mind that this is an estimate based on a small sample of people.)
Zen Internet has a few theories as to why we’re turning away from TV / Broadband bundles. Here’s a clue; N**flix. Zen says that the quality and value that streaming services offer is killing the cable TV industry. And with the ability to watch on demand and minimal advertising, it’s kind of a no brainer.
Millions of UK households signed up to new streaming services during lockdown. We also spent 40% of our waking hours watching TV. So it’s obvious that as a nation we’re reassessing how important the way we view content is to us.
Many cable companies are licensing their original content to streaming services, or buying their own (i.e. Sky & NOW TV). So many consumers might not see the point of a TV package for channels they can view on Amazon etc…
Pay per pause.
One staggering figure which puts the value of streaming versus cable TV packages is the cost per hour watched. The average streaming service costs only 23p per hour, compared to a cable TV package at £1.30 per hour!
In addition to the perceived value that streaming services offer, 2.9 million UK people think cable packages cost too much. However, despite this view, most surveyed said they didn’t want to lose sports channels.
So if streaming giants were able to corner the live sports market it could be the last blow to TV services. Amazon has already begun offering pay-per-view sports events on Amazon Prime.
Despite the value that streaming services offer compared to TV packages, it’s not without its dangers. The survey found that 28% of houses have multiple streaming services on top of a TV package. A massive 6.1 million households have two streaming services, and 3 million have three streaming services.
Most people sign up to multiple streaming platforms to access content that one service lacks. So signing up to multiple services could end up being more costly than a TV deal.
This could be a major issue for the 1.3 million households who don’t know when their TV subscription ends. Or for the 800,000 who never pay attention to changes in the price of streaming subscriptions.
Ultimately it comes down to remaining vigilant. People who shop around for deals and keep an eye on prices always end up saving the most, but for the rest of us who aren’t as eagle eyed, maybe a TV bundle saves the hassle. And can you really put a price on that?