Customers more likely to quit Virgin Media after UKTV blackout

Virgin Media customers lose access to 10 channels from UKTV

25 July 2018 Virgin Media customers say they are more likely to cancel their TV subscriptions because of the withdrawal of the UKTV channels, according to independent research published today. The survey, conducted by leading research firm Kantar TNS, provides evidence of the frustration felt by Virgin Media customers over the blackout and their demand for the channels to be reinstated.

UKTV commissioned the survey to gain a comprehensive understanding of customer opinion after its 10 channels, including Dave, Alibi, Drama and Gold, were removed by Virgin Media when the two companies were unable to agree a new distribution deal. Kantar TNS surveyed a nationally representative sample of 301 Virgin Media TV customers on Monday 23 and Tuesday 24 July.

Customers are more likely to quit Virgin Media after losing UKTV

More than four in 10 customers (43%) say they are more likely to cancel their Virgin Media TV subscription in the next three months as a result of losing the UKTV channels. Of frequent viewers to UKTV channels*, 64% are now more likely to cancel their Virgin Media TV service in the next three months.

UKTV channels are highly valued by Virgin Media customers

Almost two thirds of customers (64%) believe that the UKTV channels were an important part of the package of channels supplied by Virgin Media. Four out of ten (41%) say they watched UKTV channels at least once a week, rising to two thirds of customers (67%) who watched at least once a month.

Replacement channels are seen as inferior

UKTV viewers are unhappy with the channels, such as YourTV, IQTV, Love Nature and Paramount Network, that Virgin Media has provided to replace the UKTV channels in their former slots. Of frequent viewers to UKTV channels, 65% believe the replacement channels are worse than their predecessors, including 44% who think they are much worse than UKTV.

There are high levels of frustration among customers

Almost two thirds of Virgin Media customers (62%) say they feel dissatisfied about losing access to the UKTV channels, with over half of these customers (34%) feeling very dissatisfied. The figures are even higher among frequent viewers of UKTV channels, of whom 82% are dissatisfied including 60% who are very dissatisfied.

Customers tell Virgin Media to bring back UKTV or cut prices

Almost two thirds of customers (62%) want Virgin Media to reinstate the UKTV channels on its TV service. Meanwhile, an overwhelming majority of customers, who saw their subscription charges rise by up to 5% in November 2017, say the company should now cut its prices. Eight out of ten customers (80%) believe the price of Virgin Medias TV packages should be reduced following the withdrawal of the UKTV channels.

Darren Childs, UKTV Chief Executive said:

Weve said consistently that we want to reach a new deal to supply our channels to Virgin Media. However, it is customers who have the power to bring about change through their opinions and actions, which is why we asked Kantar TNS to conduct this survey. This research delivers a loud and clear message to Virgin Media. We hope they will listen to customers and drop their demands to force a huge price cut on UKTV.

*Frequent viewers are defined as Virgin Media customers who say they watched UKTV channels at least once a week.

Source: Survey conducted by Kantar TNS on 23 and 24 July 2018.

301 respondents, all Virgin Media TV customers.

Q1. Thinking about you and any other people in your household, how frequently would you say that you watched any of the UKTV channels? Very frequently - at least once a week - 41%

Quite frequently - at least once a month - 26%

Q2. How dissatisfied or satisfied do you feel about the UKTV channels no longer being available to Virgin Media customers? Very dissatisfied - 34% (all respondents) - 60% (frequent UKTV viewers only)

Quite dissatisfied - 27% (all respondents) - 23% (frequent UKTV viewers only)

Total dissatisfied - 62% (all respondents) - 82% (frequent UKTV viewers only)

Q3. Thinking about you and any other people in your household, how important to you were the UKTV channels as part of the package of channels you receive from Virgin Media? Very important - 23% (all respondents)

Quite important - 40% (all respondents)

Total - 64% (all respondents)

Q4. How does the loss of the UKTV channels affect the likelihood that you will cancel your Virgin Media TV subscription within the next three months? A lot more likely - 15% (all respondents) 28% (frequent UKTV viewers only)

A little more likely - 28% (all respondents) 36% (frequent UKTV viewers only)

Total more likely - 43% (all respondents) 64% (frequent UKTV viewers only)

Q5. In place of the UKTV channels, Virgin Media has said it will offer a number of new channels. These include IQTV, Love Nature, YourTV, the Paramount Network, Lifetime and True Entertainment. How do you rate these channels as replacements for the UKTV channels? Much worse than UKTV channels - 44% (frequent UKTV viewers only)

A little worse than UKTV channels - 20% (frequent UKTV viewers only)

Total worse than UKTV channels - 65% (frequent UKTV viewers only)

Q6. Do you want Virgin Media to reinstate the UKTV channels on its TV service? Yes - 62% (all respondents)

No - 8% (all respondents)

Dont mind/Dont know - 29% (all respondents)

Q7. Do you think Virgin Media should reduce the price of its TV packages following the withdrawal of the UKTV channels? Yes - 80% (all respondents)

No - 11% (all respondents)

Dont mind/Dont know - 10% (all respondents)

Note: Where discrepancies exist between the Total figure and the sum of the individual figures, this is due to rounding.

Further information: Robert Fraser, New North Partners (for UKTV)

LINK:	https://corporate.uktv.co.uk/news/article/customers-more-likely-quit-v...
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