{"id":34994,"date":"2023-07-10T12:27:54","date_gmt":"2023-07-10T11:27:54","guid":{"rendered":"https:\/\/www.ispreview.co.uk\/?p=34994"},"modified":"2023-07-10T12:31:41","modified_gmt":"2023-07-10T11:31:41","slug":"thinkcx-claims-uk-isps-with-biggest-price-hikes-lost-most-market-share","status":"publish","type":"post","link":"https:\/\/www.ispreview.co.uk\/index.php\/2023\/07\/thinkcx-claims-uk-isps-with-biggest-price-hikes-lost-most-market-share.html","title":{"rendered":"ThinkCX Claims UK ISPs with Biggest Price Hikes Lost Most Market Share"},"content":{"rendered":"

Telecoms analysts at global market intelligence firm ThinkCX<\/a> have today released the results from their latest market share report on the UK’s broadband ISP market, which claims to show that providers “with the biggest price hikes lost the most ground to rivals<\/em>“. But the shifts are fairly small, and it may not be telling the whole story.<\/p>\n

In an ideal world, the price you pay when you first take a new broadband package would remain the same until the end of your contract term, but as we all know many providers don’t do that and will increase their prices mid-contract, often significantly and on an annual basis. The market’s largest ISPs (BT<\/a>, Vodafone<\/a>, TalkTalk<\/a> etc.) are typically the worst offenders and hit consumers with hikes of over 14% around the March to April 2023 period (here<\/a>).<\/p>\n

NOTE:<\/strong> The ASA has proposed new guidance to tackle the transparency of mid-contract hikes (here<\/a>), while Ofcom<\/a> are also reviewing the practice (here<\/a>).<\/div>\n

But such rises do have consequences. According to ThinkCX’s findings, the market share for BT<\/a>, EE<\/a>, Plusnet<\/a>, and TalkTalk<\/a> (all of which increased prices by more than 14%) experienced a decline in the months following the mid-contract price increases. Customers who were dissatisfied with the sudden price escalation “actively sought alternative providers, resulting in a notable redistribution of market share in the industry<\/em>“.<\/p>\n

However, the research also showed that the market share for Sky Broadband<\/a>, Virgin Media<\/a>, and Vodafone<\/a> experienced an increase in May, indicating a more favourable response from their customer base. But it should be noted that Vodafone<\/a>\u2019s growth rate, which had been quite high prior to the price hike, slowed noticeably after its 14.4% increase. Sky\u2019s lower price increase (8.1% average) also corresponded with a broadly flat market share performance. “Generally, these three ISPs seem to be more successfully managing the balance between pricing adjustments and customer sentiment<\/em>,” added the report.<\/p>\n

\"ThinkCX-Broadband-market-share-change-2023\"<\/p>\n

On the other hand, it’s worth noting that ISPs which apply the ‘Inflation (CPI or RPI) + X%<\/em>‘ rule for price hikes often make it harder for customers to exit their contract penalty free, thus in reality it’s difficult to know, from this short-term snapshot, how big of an impact the hikes really have (i.e. some may switch at the end of their term). Likewise, it would have helped to know how this compares with the normal baseline of movements from the prior quarters.<\/p>\n

Furthermore, price hikes aren’t the only reason why consumers are switching ISPs right now, with the rising coverage of cheaper alternative full fibre (FTTP<\/a>) networks being one of several other factors that must be considered. But the data above only looks at the largest players, which makes it tricky to gauge such impacts. One other complication on this front would be the fact that TalkTalk<\/a> and Vodafone also sell via some AltNets (e.g. CityFibre<\/a>). Suffice to say, take this data with a pinch of salt.<\/p>\n","protected":false},"excerpt":{"rendered":"

Telecoms analysts at global market intelligence firm ThinkCX have today released the results from their latest market share report on the UK’s broadband ISP market, which claims to show that providers “with the biggest price hikes lost the most ground to rivals“. But the shifts are fairly small, and it may not be telling the […]<\/p>\n","protected":false},"author":1,"featured_media":25443,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"ngg_post_thumbnail":0,"footnotes":""},"categories":[1],"tags":[34],"class_list":["post-34994","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uk_isp_news","tag-statistics"],"share_on_mastodon":{"url":"","error":""},"yoast_head":"\nThinkCX Claims UK ISPs with Biggest Price Hikes Lost Most Market Share - ISPreview UK<\/title>\n<meta name=\"description\" content=\"Telecoms analysts at global market intelligence firm ThinkCX have today released the results from their latest market share report on the UK's broadband\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.ispreview.co.uk\/index.php\/2023\/07\/thinkcx-claims-uk-isps-with-biggest-price-hikes-lost-most-market-share.html\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"ThinkCX Claims UK ISPs with Biggest Price Hikes Lost Most Market Share - 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