Wholesale local access market review: Residential broadband research

Transcription

1 Wholesale local access market review: Residential research Produced by: Populus Fieldwork: 6-11 September 2017 PROMOTING CHOICE SECURING STANDARDS PREVENTING HARM 1

2 Contents Slide Section 3 Methodology 7 Information about current service 14 Attitudes to current service 21 Previous and future migrations 32 Responses to increase in price of current services 47 Responses to increase in price of all superfast services 51 Responses to increase in price of all services faster than 38 PROMOTING CHOICE SECURING STANDARDS PREVENTING HARM 2

3 Methodology Sample 2955 adults aged 16+ in the UK. Those who knew their fixed home speed were put into the following sub groups of at least 500: Standard (up to 30 ) Entry-level superfast (38-40 ) Faster superfast (50-80 ) Faster superfast / Ultrafast (100 +) Quotas set on region, gender, age, and social grade Data collection Online methodology Conducted by Populus Fieldwork from 6-11 September 2017 Data reporting Weighted to be nationally representative of the UK (including boosts). For a detailed breakdown of quotas set and weights applied, see slides 4 and 5. Significance testing applied at the 9 confidence level PROMOTING CHOICE SECURING STANDARDS PREVENTING HARM 3

4 4 Methodology: Quotas Quotas have been set on gender, age, social grade and government office region. A detailed breakdown of the quotas that have been set on all four demographic groups has been outlined on the right hand side. A 10% leeway has been applied to all quotas. Quotas on age are interlocking by gender, split 50/50 between male and female to ensure a broadly even spread has been achieved across both genders. The data has been weighted to the known profile of the United Kingdom using age, gender, government office region, social grade, tenure, taken a foreign holiday in the last 3 years, number of cars in the household and working status. The breakdown for all four speed groups were taken from the nationally representative tables and were applied as weights to the full sample (including boosts). See slide 5 for a detailed breakdown of the weights applied to each demographic group. Age. Gender. Social Grade. Government office region. Gender Male 49% Female 51% Age % % % % % % Social grade AB 27% C1 27% C2 22% DE 24% Region Scotland 9% North East 4% North West 11% Yorkshire & Humberside 9% West Midlands 7% Wales Eastern 10% London 13% South East 14% South West 9% East Midlands 7% Northern Ireland 2% 4

5 5 Methodology: Weights Gender Male 48.9% Female 51.1% Age % % % % Social grade AB 26.4% C1 27. C2 21.9% DE 24.3% Number of cars % % % None 20.9% Knowledge of advertised speed Proportion of overall population who claim to know advertised speed Don t know (% of overall population) 6 34% Perceived speed (% of those who claim to know advertised speed) Up to % 2 22% Region Scotland 8.6% North East 4.4% North West 11. Yorkshire & Humberside 8.8% West Midlands 8.9% Wales 5.0% Eastern 9.7% % Working status Full time 42. Part time 12.0% Other 45. Tenure Own outright 32.3% Own with mortgage 31.9% Council 14.6% Other 21.2% Remaining (no or not bill payer) (% of overall population) 11% Foreign holiday Yes 60.8% No 39.2% London 12.8% South East 14.0% South West 8.9% East Midlands 7. Northern Ireland 3.0% Age. Gender. Social Grade. Government office region. Number of cars in the household. Working status. Taken a foreign holiday in the last 3 years. Tenure. 5

6 Methodological comments Online research panels may under-represent consumers who are less engaged than typical fixed internet users. Sample quotas were set and weights have been applied to correct for this, ensuring that the sample is demographically representative of the UK adult population. However, a degree of attitudinal bias may still be present, meaning that less engaged internet users may be partially under-represented. We found that a greater proportion of our online research respondents were able to tell us what their speed was, compared to previous face to face research. This is likely to be partly explained by the self-completion methodology, which allows the respondent to check before providing an answer to this question, but it may also be partly explained by a higher level of engagement with the internet amongst an online sample than we might find amongst the general population. The categorisation of customers using different speed connections is based upon statements by survey respondents. We have tested the accuracy of this categorisation by asking respondents to test the actual speed of their connection, and comparing with their claimed speed. We believe that the categorisation is broadly accurate, but is unlikely to be precisely accurate Some of the questions asked research participants to state how they believed they would react in response to hypothetical scenarios. Whilst our questionnaire design attempts to mitigate this, by capturing the degree of certainty associated with stated intentions, the responses obtained are of course subject to uncertainty. All survey results that are based on a sample are subject to a degree of sampling error. PROMOTING CHOICE SECURING STANDARDS PREVENTING HARM 6

7 Information about current service PROMOTING CHOICE SECURING STANDARDS PREVENTING HARM 7

8 8 Claimed advertised fixed home speed % 0% 4% 7% 7% 1% 2% Aware of advertised speed Up to 17 Around 20 Around 38 Around 50 Around 52 Around 76 Around 100 Around or more Other Don't know Q3. What is the maximum advertised speed you expect to receive from your home service i.e. the download speed that your provider says your service can provide? Please only give an answer if you are relatively certain, it is okay not to know. Base: All respondents aware of their household service provider (2743) 8

9 9 Home provider Virgin Media BT Sky 24% 24% 23% TalkTalk 13% Plusnet EE/Everything Everywhere 6% Post Office Vodafone KCOM SSE Hyperoptic Other Don't know 1% 1% 1% 0% 0% 2% 0% Q2. Who is your current home provider? Base: All respondents who pay for or contribute to household service (2749) 9

10 10 Amount paid per month for package 21% 21% 16% 11% 7% 7% 4% 3% 3% 3% 4% Less than or more Don't know Q7. How much do you pay per month for your package from your home provider? Base: All respondents aware of their household service provider (2743) 10

11 11 Percentage of respondents who pay line rental to a different provider to their home provider 2% Yes, 12% No, 86% Q5. Do you pay line rental to a different provider? Base: All respondents aware of their household service provider (2743) 11

12 12 Frequency of home usage for several tasks at the same time 52% 22% 6% 10% 9% 1% Every day A few times a week About once a week Less often than once a week Never Don't know Q10. How often is your home service used for several tasks at the same time? This could be several people doing the same type of activity, or different activities at the same time. Please think specifically about activities such as downloading and uploading files, video calling and streaming TV or videos. Base: All respondents aware of their household service provider (2743) 12

13 13 Frequency of carrying out different activities online via home connection NET At least weekly Daily Downloading large files 4 8% Streaming live TV or video in standard definition (SD) 4 1 Streaming live TV or video in high definition (HD) 42% 1 Online gaming 40% 16% Uploading large files 38% 6% Video calling 26% 4% Streaming live TV or video in ultra HD (4K) 22% 7% Streaming 3D TV or video 16% 4% Virtual reality video experiences 10% 2% Q11. How often is your home service used for the following activities? Base: All respondents aware of their household service provider (2743) 13

14 Attitudes to current service PROMOTING CHOICE SECURING STANDARDS PREVENTING HARM 14

15 15 Respondents opinion on whether speed is sufficient 80% 39% 41% 1 3% 1% NET: Always/often Always Often Sometimes Rarely Never Don't know Q8. In general, is the speed of your home service sufficient for your household, i.e. are you able to do the activities you want to with it? Base: All respondents aware of their home service provider (2743) 15

16 Respondents opinion on whether speed is sufficient, by advertised speed of package 16 NET Always/Often 80% 82% 83% 87% 68% Total Up to 30 Around Q8. In general, is the speed of your home service sufficient for your household, i.e. are you able to do the activities you want to with it? Base: All respondents aware of their home service provider (2743), those on up to 30 (507), those on around 38 (511), those on (500), those on 100+ (504) 16

17 17 Satisfaction with home speed while conducting activities simultaneously 62% 37% 2 22% 8% 4% 4% NET: Always/often Always Often Sometimes Rarely Never Don't know Q12. Please think about activities such as downloading, uploading, video calling and streaming TV/ videos that you may do at the same time as each other. Are you satisfied with the speed of your home service while conducting these activities simultaneously? Base: All respondents who ever use their home service for several tasks at the same time (2476) 17

18 18 Satisfaction with home speed while conducting activities simultaneously, by advertised speed of package NET Always/Often 62% 64% 70% 77% 46% Total Up to 30 Around Q12. Please think about activities such as downloading, uploading, video calling and streaming TV/ videos that you may do at the same time as each other. Are you satisfied with the speed of your home service while conducting these activities simultaneously? Base: All respondents who ever use their home service for several tasks at the same time (2476), those on up to 30 (456), those on around 38 (481), those on (473), those on 100+ (476) 18

19 19 Reasons why speed is not always/often sufficient Download speed is too slow 63% The connection is unreliable 53% Upload speed is too slow 38% Other 4% Don't know Q9. Why is your speed not always sufficient for your household? Base: All respondents who say their speed is not always/often sufficient (507) 19

20 20 Reasons why speed is not always/often sufficient for household by advertised speed 82% 57% 59% 53% 51% 53% 44% 63% 47% 37% 28% 2 4% 1% The download speed is too slow The connection is unreliable The upload speed is too slow Other Up to 30 Around 38 * * 100+ * Q9. Why is your speed not always sufficient for your household? Base: All respondents who say their speed is not always sufficient: Standard (148), Early-entry superfast (88*), Faster superfast (81*), Faster superfast / Ultrafast (63*) *Caution: low base size 20

21 Previous and future migrations PROMOTING CHOICE SECURING STANDARDS PREVENTING HARM 21

22 22 Changes to speed of home service over past 12 months 66% 29% 4% 2% Have upgraded to faster service Have downgraded to slower service Have not changed service in the last 12 months Don't know Q13. Have you changed the speed of your home service within the last 12 months? This could have been changing to a different speed service with your existing provider, or changing to a different speed service with a new provider. Base: All respondents aware of their home speed (2022) 22

23 23 Changes to speed of home service in past 12 months, by advertised speed 87% 63% 60% 53% 31% 34% 42% 10% 3% 4% 4% 4% 1% 2% 3% 2% Have not changed speed Upgraded to a faster service Downgraded to a slower service Don't know Up to 30 Around Q13. Have you changed the speed of your home service within the last 12 months? Base: All respondents aware of speed of home service (2022), those on up to 30 (507), those on around 38 (511), those on (500), those on 100+ (504) 23

24 24 Reasons for changing speed of home service in past 12 months I needed a faster service 41% For a cheaper price / deal 30% 26% 62% My existing service provider automatically 'upgraded' the service 20% The price of my old package increased The contract with my previous provider ended The change was automatic when I changed other parts of my bundle 17% % 14% 10% 10% 8% 3 Total Upgraded speed Downgraded speed* To get particular package features, e.g. a TV deal 7% 7% 9% Other 6% 6% Someone I know recommended a different provider 11% Don't know 0% 0% 0% Q15. Why did you change the speed of your home service? Base: All respondents who changed the speed of their home service (646), all respondents who upgraded their speed (570), all respondents who downgraded their speed (76*) *Caution: low base size 24

25 25 Consideration of changing speed of home service in past 12 months I have not considered moving to a faster or slower speed 56% I have considered upgrading to a faster speed but not looked into it in a lot of detail 26% I have seriously considered and looked into upgrading to a faster speed 12% I have considered downgrading to a slower speed but not looked into it in a lot of detail 1% I have seriously considered and looked into downgrading to a slower speed 0% Don't know 4% Q14. Have you considered changing the speed of your home service in the last 12 months? Base: All respondents who have not changed the speed of their home service (1346) 25

26 26 Reasons for considering changing speed of home service in the past 12 months I needed a faster service 5 For a cheaper price / deal 29% The price of my old package increased 20% The contract with my previous provider ended 9% To get particular package features, e.g. a TV deal 7% Someone I know recommended a different provider 7% Other 8% Don't know 2% Q15. Why did you consider changing the speed of your home service? Base: All respondents who considered changing the speed of their home service (539) 26

27 27 Reasons for not changing speed of home service in past 12 months Desired service was too expensive Too much hassle Decided current package was fine Wanted faster speed connection but it wasn't available Would have incurred a cancellation fee with existing provider 23% 20% 19% 16% 14% Worried about losing service Existing provider offered a better deal Would have incurred a connection fee with new provider 6% 9% 9% Would be happy with a slower connection but it wasn't any cheaper 1% Other 10% Don't know Q16. And why did you not change the speed of your service? Base: All respondents who did not change the speed of their home service (539) 27

28 28 Top four reasons for not changing speed of home service in past 12 months, by advertised speed 29% 23% 14% 1 26% 2 18% 16% 17% 18% 23% 20% 23% 12% 12% 4% Too expensive Too much hassle to change Decided my current package was fine Wanted a faster connection but wasn't available Up to 30 Around * Q16. And why did you not change the speed of your service? Base: All respondents who did not change the speed of their home service with advertised speed of up to 30 (222), around 38 (128), (114), 100+ (75*) *Caution: low base size 28

29 29 Likelihood of changing speed of fixed home service in the next 12 months NET certain/ very likely: Total 10% 16% 27% 16% 1 6% 1 Up to 30 8% 11% 17% 29% 12% 13% 6% 19% Around 38 2% 9% 17% 28% 1 17% 7% 4% 11% % 11% 16% 23% 17% 14% 6% 6% 18% % 8% 12% 2 20% 18% 6% 7% 12% Certain to Very likely Fairly likely Neither likely nor unlikely Fairly unlikely Very unlikely Certain not to Don't know Q17. How likely are you to change the speed of your home service in the next 12 months? Base: All respondents aware of speed of home service (2022), those on up to 30 (507), those on around 38 (511), those on (500), those on 100+ (504) 29

30 30 Likely new speed among those certain, very likely or fairly likely to switch 36% 37% 38% 36% 30% 23% 20% 19% 16% 13% 11% 8% 2% 9% 9% 18% 4% 3% 3% 1% 1 14% 10% 7% 6% 2% 2% 2% 10% 9% 9% 18% Total Current speed up to 30 Current speed around 38 Current speed Current speed 100+ New speed likely to change to: Around 17 Around 38 Around 52 Around 76 Around 100 Around or more Q18. And what speed would you be likely to change to? Base: All respondents certain, very likely or fairly likely to change the speed of their home service (593); up to 30 (177) (142), (155), 100+ (119) 30

31 31 Likely new speed among those certain or very likely to switch 41% 42% 31% 30% 33% 23% 19% 16% 17% 13% 14% 12% 13% 11% 11% 10% 7% 7% 4% 4% 2% 1% 2% 19% 20% 14% 11% 9% 10% 9% 7% 7% 4% 6% 4% 2% 2% Total Current speed up to 30 Current speed around 38 Current speed Current speed 100+ New speed likely to change to: Around 17 Around 38 Around 52 Around 76 Around 100 Around or more Other Don't Know Q18. And what speed would you be likely to change to? Base: All respondents certain or very likely to change the speed of their home service (297), those on up to 30 (96) those on (56), those on (83) those on 100+ (62) 31

32 Responses to increase in price of current services PROMOTING CHOICE SECURING STANDARDS PREVENTING HARM 32

33 Background We asked respondents to imagine that all home providers charge the same monthly amount for their current speed We then asked respondents about their responses to different price increases for services We also split each sub-group into two samples, A and B, and asked each sample about different price increases. The price increases presented to sample A were roughly equivalent to of an average retail dual-play package for the corresponding speed, while the price increases presented to sample B were roughly equivalent to 10% of an average retail dual-play package The table below summarises the price increases used for each sample in the questionnaire. Sample A Sample B Up to Around PROMOTING CHOICE SECURING STANDARDS PREVENTING HARM 33

34 34 Response to a price increase of 1 per month Up to % 13% 20% 27% 2% 7% 19% 12% 6% 0% 1% 3% 2% 7% Do nothing faster slower Use mobile internet instead satellite Give up internet altogether Other Don't know Certainty of given response: Certain to Very likely Fairly Likely Don't know Q19. For the next section, we would like you to imagine that all home providers charge the same monthly amount for your current speed. Now imagine that all providers raised that price by [ 1/ 2.50] per month for the same speed. The prices offered by all providers for all other speeds would remain the same as they currently are. In that scenario, what would you do? Base: All sample A respondents with an advertised speed of up to 30 (257) 34

35 35 Response to a price increase of 2.50 per month Up to 30 37% 36% 3% 3% 9% 10% 1 16% 17% 10% 6% 0% 1% 1% 3% 4% Do nothing faster slower Use mobile internet instead satellite Give up internet altogether Other Don't know Certainty of given response: Certain to Very likely Fairly Likely Don't know Q19. For the next section, we would like you to imagine that all home providers charge the same monthly amount for your current speed. Now imagine that all providers raised that price by [ 1/ 2.50] per month for the same speed. The prices offered by all providers for all other speeds would remain the same as they currently are. In that scenario, what would you do? Base: All sample B respondents with an advertised speed of up to 30 (250) 35

36 36 Speed most likely to move to in event of 1.00/ 2.50 price increase Up to 30 36% 28% 19% 0% 0% 10% 10% 6% 4% 2% 3% 1% 3% 1% 1% a different speed slower Upgrade to around 38 Upgrade to around 52 Upgrade to around 76 Upgrade to around 100 Upgrade to around 200 Upgrade to Q21. And what speed service would you be most likely to move to? Base: All sample A up to 30 users aware of home service (257) / All sample B up to 30 users aware of home service (250) 36

37 37 Response to a price increase of 1.50 per month Around 38 56% 3% 14% 22% 27% 3% 8% 17% 1 4% 1% 3% 0% 1% 8% Do nothing faster Certainty of given response: slower Use mobile internet instead satellite Give up internet altogether Other Don't know Certain to Very likely Fairly Likely Don't know Q19. For the next section, we would like you to imagine that all home providers charge the same monthly amount for your current speed. Now imagine that all providers raised that price by [ 1.50/ 3] per month for the same speed. The prices offered by all providers for all other speeds would remain the same as they currently are. In that scenario, what would you do? Base: All sample A respondents with an advertised speed of around 38 (248) 37

38 38 Response to a price increase of 3.00 per month Around 38 46% 3% 13% 16% 14% Do nothing 29% 1% 11% 12% 4% faster Certainty of given response: 3% 4% slower Use mobile internet instead satellite 1% 2% Give up internet altogether Other 10% Don't know Certain to Very likely Fairly Likely Don't know Q19. For the next section, we would like you to imagine that all home providers charge the same monthly amount for your current speed. Now imagine that all providers raised that price by [ 1.50/ 3] per month for the same speed. The prices offered by all providers for all other speeds would remain the same as they currently are. In that scenario, what would you do? Base: All sample B respondents with an advertised speed of around 38 (263) 38

39 39 Speed most likely to move to in event of 1.50/ 3.00 price increase Around 38 32% 32% 7% 7% 9% 11% 8% 7% 4% 3% 2% 2% 0% 1% a different speed slower Upgrade to around 52 Upgrade to around 76 Upgrade to around 100 Upgrade to around 200 Upgrade to Q21. And what speed service would you be most likely to move to? Base: All sample A around 38 users aware of home service (248) / All sample B around 38 users aware of home service (263). 39

40 40 Response to a price increase of 2.50 per month % 3% 14% 28% 19% 8% 12% 13% 6% 9% 3% 2% 1% 2% 7% Do nothing faster slower Use mobile internet instead satellite Give up internet altogether Other Don't know Certainty of given response: Certain to Very likely Fairly Likely Don't know Q19. For the next section, we would like you to imagine that all home providers charge the same monthly amount for your current speed. Now imagine that all providers raised that price by [ 2.50/ 4] per month for the same speed. The prices offered by all providers for all other speeds would remain the same as they currently are. In that scenario, what would you do? Base: All sample A respondents with an advertised speed of around (240) 40

41 41 Response to a price increase of 4.00 per month % 10% 28% 2% 9% 16% 8% 12% 9% 3% 0% 2% 13% Do nothing faster slower Use mobile internet instead satellite Give up internet altogether Other Don't know Certainty of given response: Certain to Very likely Fairly Likely Don't know Q19. For the next section, we would like you to imagine that all home providers charge the same monthly amount for your current speed. Now imagine that all providers raised that price by [ 2.50/ 4] per month for the same speed. The prices offered by all providers for all other speeds would remain the same as they currently are. In that scenario, what would you do? Base: All sample B respondents with an advertised speed of around (260) 41

42 42 Speed most likely to move to in event of 2.50/ 4.00 price increase % 37% 11% 13% 1% 0% 6% 6% 2% 1% 6% 7% 6% 3% a different speed Downgrade to around 17 Downgrade to around 38 Downgrade to around 52 Upgrade to around 76 Upgrade to around 100 Upgrade to around 200 Upgrade to Q21. And what speed service would you be most likely to move to? Base: All sample A users aware of home speed (240) / All sample B users aware of home speed (260). Note: right hand side of chart excludes those who said they didn t know to what speed they would upgrade/downgrade 42

43 43 Response to a price increase of 2.50 per month % 16% 20% 18% 17% 7% 6% 1% 0% 2% 10% Do nothing faster slower Use mobile internet instead satellite Give up internet altogether Other Don't know Certainty of given response: Certain to Very likely Fairly Likely Don't know Q19. For the next section, we would like you to imagine that all home providers charge the same monthly amount for your current speed. Now imagine that all providers raised that price by [ 2.50/ 4] per month for the same speed. The prices offered by all providers for all other speeds would remain the same as they currently are. In that scenario, what would you do? Base: All sample A respondents with an advertised speed of 100+ (251) 43

44 44 Response to a price increase of 4.00 per month % 6% 21% 21% 10% 18% 7% 6% 3% 6% 1% 2% 0% 3% 11% Do nothing faster slower Use mobile internet instead satellite Give up internet altogether Other Don't know Certainty of given response: Certain to Very likely Fairly Likely Don't know Q19. For the next section, we would like you to imagine that all home providers charge the same monthly amount for your current speed. Now imagine that all providers raised that price by [ 2.50/ 4] per month for the same speed. The prices offered by all providers for all other speeds would remain the same as they currently are. In that scenario, what would you do? Base: All sample B respondents with an advertised speed of 100+ (253) 44

45 45 Speed most likely to move to in event of 2.50/ 4.00 price increase % 7% 7% 0% 2% 1% 0% 3% 2% 1% 2% 2% 0% 2% 3% a different speed Downgrade to Downgrade to Downgrade to Downgrade to around 17 around 38 around 52 around 76 Downgrade to around 100 Upgrade to around 200 Upgrade to Q21. And what speed service would you be most likely to move to? Base: All sample A 100+ users aware of home speed (251) / All sample B 100+ users aware of home speed (253). Note: right hand side of chart excludes those who said they didn t know to what speed they would upgrade/downgrade 45

46 46 Impact of price increase for respondents who already said they were planning to move to this speed service in the next 12 months 72% 28% Total Yes - it would make me move sooner No - I woud move when I had originally intended Q22. You said earlier that you are planning to move to this speed service in the next 12 months. Would this price increase per month affect the timing of your move? Base: All respondents planning to move service in the next 12 months (193) 46

47 Responses to increase in price of all superfast services PROMOTING CHOICE SECURING STANDARDS PREVENTING HARM 47

48 48 Response to a price increase of 1.50/ 2.50 per month % 3% 14% 20% 16% 19% 6% 9% 7% 3% 2% 1% 1% 13% 3% Do nothing faster slower Use mobile internet instead satellite Give up internet altogether Other Don't know Certainty of given response: Certain to Very likely Fairly Likely Don't know Q26. Now we'd like you to imagine that the price offered by providers for all superfast services increased by [ 1.50/ 2.50] per month. These are services with an advertised download speed of 30 or more. As before, the prices offered by all providers for standard services (i.e. less than 30 ) would remain the same. What would you do in this instance? Base: All Sample A around 38 / / users (739) 48

49 49 Response to a price increase of 3.00/ 4.00 per month % 3% 1 17% 12% 22% 7% 10% 4% 8% 3% 2% 1% 1% 14% Do nothing faster slower Use mobile internet instead satellite Give up internet altogether Other Don't know Certainty of given response: Certain to Very likely Fairly Likely Don't know Q26. Now we'd like you to imagine that the price offered by providers for all superfast services increased by [ 3/ 4] per month. These are services with an advertised download speed of 30 or more. As before, the prices offered by all providers for standard services (i.e. less than 30 ) would remain the same. What would you do in this instance? Base: All Sample B around 38 / / users (776) 49

50 50 Speed most likely to move to in event of 2.50 and 4.00 price increase 50+ * 26% 29% 18% 21% 3% 3% 2% 0% 0% 1% 1% 0% 0% 0% 0% a different speed a higher speed Downgrade to around 17 Downgrade to around 38 Downgrade to around 52 Downgrade to around 76 Downgrade to around 100 Downgrade to around Q28. And what speed service would you be most likely to move to? Base: All Sample A / users (491) (491) / All Sample B / users (513) Note: right hand side chart excludes those who said they didn t know to what speed they would upgrade/downgrade. *Respondents with a speed of 38 were not asked which speed they would downgrade to as it was assumed this would have to be around

51 Responses to increase in price of all services faster than 38 PROMOTING CHOICE SECURING STANDARDS PREVENTING HARM 51

52 52 Response to a price increase of 2.50 per month % 6% 14% 17% 16% 19% 8% 8% 4% 1% 1% 1% 14% Do nothing faster slower Use mobile internet instead satellite Give up internet altogether Other Don't know Certainty of given response: Certain to Very likely Fairly Likely Don't know Q23. Now we d like you to imagine that the price offered by all providers for all speeds faster than 38 increased by 2.50 per month not just the price of the speed you are currently on. As before the prices offered by all providers for a 38 service, and all slower services, would remain the same. What would you do in this instance? Base: All Sample A / users (491) 52

53 53 Response to a price increase of 4 per month % 3% 16% 22% 1 7% 11% 13% 12% 10% 4% 3% 2% 1% 2% Do nothing faster slower Use mobile internet instead satellite Give up internet altogether Other Don't know Certainty of given response: Certain to Very likely Fairly Likely Don't know Q23. Now we d like you to imagine that the price offered by all providers for all speeds faster than 38 increased by 4 per month not just the price of the speed you are currently on. As before the prices offered by all providers for a 38 service, and all slower services, would remain the same. What would you do in this instance? Base: All Sample B / users (513) 53

54 54 Speed most likely to move to in event of 2.50/ 4 price increase % 27% 19% 22% 1% 3% 6% 0% 0% 1% 1% 1% 0% 0% 0% a different speed a higher speed Downgrade to around 17 Downgrade to around 38 Downgrade to around Downgrade to around 76 Downgrade to around 100 Downgrade to around 200 Q25. And what speed service would you be most likely to move to? Base: All Sample A / users (491) / All Sample B / users (513) Note: right hand side of chart excludes those who said they didn t know to what speed they would upgrade/downgrade 54