June 3, 2010

Half of UK broadband customers have switched ISP

by Darren Allan

A report by Orchid Consulting has uncovered data which shows that half of broadband users in the UK have got fed up with their ISP and switched to another at some point in their online lives.

The company states that this is a significantly higher figure than they expected, and we suppose it is, although over a long time frame – some folks have been online for years – then surely one change of ISP becomes more likely.

The central concern of the disgruntled, or “key churn point” in marketing gobbledegook, is the speed of the connection.

While poor speed – and no doubt failing to get anywhere near the advertised headline speed – is a prime cause of shifting provider, the choice of new ISP is apparently mainly based on price factors. And not the potential performance of the service.

In other words, customers are running the risk of jumping from frying pan to fire.

The report also claims that 81% of users are happy with their current broadband provider, a surprisingly high number, and seemingly at odds with those churn figures.

Although Orchid Consulting points to this meaning that there is no direct relationship between customer satisfaction and continued loyalty.

Keith Gait, Founder of Orchid Consulting and author of the report, explains: “Satisfaction or a continuing subscription is not an indicator or predictor of loyalty and should not be relied upon as a predictor of low churn behaviour. Management information should therefore be taken with a pinch of salt.”

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One Response to “Half of UK broadband customers have switched ISP”

  1. Steve on June 8th, 2010 6:41 pm

    I’ve switched around 5 times in the last 6 years. Starting with Freeserve, Bulldog, Vault5, BT and now currently on PostOffice (BT Wholesale) which is actually cheaper than BT + a rented line!

    The only reason for my switches were problems with either the line or connection that lasted weeks at a time; downtime and lack of technical knowledge from the support desks.

    BT Tech support was asking me to perform speed checks after I sent a letter in reporting that the connection was down and no ADSL signal was being shown!

    Currently happy with the connection and support – It’s been two years since I’ve had a problem.

    Sometimes you just need to switch.

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