UK Broadband Usage Grows

As the use of Broadband continues to expand in the UK, the use of the Internet is also developing at a rapid rate, with search traffic, website applications and all forms on online media (such as video) benefiting from this trend. A recent report by internet testing company Epitiro, on the top consumer ISP’s in the UK provided performance data – which was previously unavailable in the public domain – that shows BT Yahoo coming out top in the period April to June 2006.

The recent research on the UK ISPs by Epitiro reported that the top 5 consumer companies are BT Yahoo, Virgin, Demon, AOL and Orange. Cable broadband services provided by the likes of NTL Telewest were not included in the survey as the technologies are not the same.
Epitiro also reported that “BT was also found to provide the fastest service as a percentage of its theoretical maximum.” Tests included how long it took to connect to a service provider, the time it took to download a website and the length of time it took to upload content to the web. The cost of the service and overall customer satisfaction is not measured in the survey. The survey indicated which ISP’s are strong in different areas of broadband provision: “Virgin, BT and AOL were the fastest services to actually connect to the Internet, while Pipex, Orange and BT were up to four times faster than the industry average at delivering e-mail”.

BSkyB have announced their intention to join the competitive broadband market – experts predict they will bundle the service with their television and home phone offerings in a similar manner to the Carphone Warehouse service. Times Online suggest the investment could cost in the region of ‘200m.

Whilst broadband provision surges and competition remains fierce, companies should pay heed to the Advertising Standards Authority’s latest judgment on Talk Talk’s (a subsidiary of Carphone Warehouse) claim to offer “free broadband forever”. In reality, consumers pay ‘20.99 a month which covers a line rental and calls package and a one-off connection fee of ‘29.99. In line with the ASA’s judgment, Talk Talk will have to re-position their pricing in order to retain the claim that broadband is free.

Still, the campaign achieved its aim – over 300,000 customers signed up for the service in 3 months and the company maintains that customers will be willing to pay ‘29.99 for the cost of the modem (replacing the connection charge) and a minimal ‘1 increase per month to cover free international calls. On the downside, the popularity of this offer, supported by an extensive advertising campaign, has led to complaints of delays and poor customer service as Talk Talk have struggled to cope with the demand.

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