Assignment Document

Campions LeagueEuropa LeagueBundesliga (German Football)Series

Pages:

Preview:


  • "Campions LeagueEuropa LeagueBundesliga (German Football)Series A (Italian Football)MLS (American Soccer)Ligue 1 (French Football)Scottish Premier League and Championship Premiership RugbyNBA BasketballMajor League BaseballUFCMoto GPNascar(all of the..

Preview Container:


  • "Campions LeagueEuropa LeagueBundesliga (German Football)Series A (Italian Football)MLS (American Soccer)Ligue 1 (French Football)Scottish Premier League and Championship Premiership RugbyNBA BasketballMajor League BaseballUFCMoto GPNascar(all of the above information taken from uswitch (2015), BT Sport (BT, 2015) and SkySports (2015)Sky's portfolio of content, events and channels is more extensive than that of BT (uswitch,2015), again we reference the particular strength of the Premier League rights which Skyhold 75% (Ofcorn, 2015); according to °foam's report on the Sports broadcasting segment ofPay TV (2015) consumers do value access to a range of sports and that aggregating a diverserange of sports content together can increase the attractiveness of a particular Fay TVoffering, however they consider that the most important driver of consumer subscriptiondecisions is the supply of the key sports content that is. Premier league rights (Ofcam, 2015). This provides evidence that Sky holds corn pelitive strength over BT due to ownership of themajority of the key content.Customer Base Sky have achieved their highest customer growth for 11 years in the past 12 months byadding 506'000 new customers, this is complemented by reducing their churn (the rate ofcustomers leaving) to 9 8%. An 11 year low (Sky, 2015), BT added 140'000 new TVcustomers in the past year (BT, 2015), This better customer growth represents a strength overBT for Sky.InnovationSky says their ability to innovate across multiple technologies allows them to providecustomers with the very best viewing experience wherever and whenever they want (Sky,2015). Sky's history of innovation is recognised by the industry, evidence of this is providedby the Press Guild honouring Sky for 25 years of innovation in the television industry in theSpring of 2015 (Sky, 2015), The judges commented that the award was presented to Sky for25 years of constant and continuing innovation that has transformed the UK televisionbusiness (& beyond), innovation including; multi-channel satellite TV, subscription TV:UK's first 24hr news, sports and arts channels, High Definition TV, the Sky+ box. 3D TV,live drama & innovative original commissioning, Sky Go, Sky On-Demand, NOW TV alongwith other new ways of connecting television and viewers (Sky, 2015)WeaknessesPricing As Sky Sports only competition (Ofcom, 2015) BT attempts to differentiate itself through cost, its isfree to all BT Broadband Customers (BT. 2015), whereas Sky Sports customers face a monthlycharge of E21 per month, this is a premium that is required over and above the necessary base SkyTV subscription (Sky, 2015).BT Sports pricing strategy appears to form part of a wider strategy to prevent itscustomers from defecting to Sky and taking their telephone and broadband accounts with them(BBC, 2013), as both Sky and BT offer so called Triple Play Packages which encompassTelephone, Broadband and Digital TVOpportunitiesAccording to Wilson & Gilligan (2005) organisations can find opportunities by identifyingenvironmental trends with positive outcomes that offer scope for higher levels of performance ifpursued effectively (Wilson & Gilligan, 2005), The PEST EL analysis of Sky provided with AppendixI identified a growing trend of TVE (TV Everywhere), a strategy of moving viewing from the primaryscreen to secondary screens such as Personal Computers, Tablets and Smartphones, through internetand mobile enabled services, a tandem trend is time-shifted viewing, that is viewing on recordingdevices such as Sky+ box, or accessing content via on demand services (VVI PO, 2015). in their2015 annual report Sky have identified this trend as ripe for exploitation, and committed to invest tomake it easier for their customers to access and consume content (Sky, 2015), Sky report that 9 million oftheir 12 million customers have chosen to connect their boxes to the Internet, to open up a range of OnDemand and Catch-up services (Sky, 2015). Sky say that their strength in innovation allows theopportunity to be exploited through enabling them to meet their customers growing desire for theflexibility to consume content on their own terms, both in and out of the home (Sky, 2015), this isimportant in terms of strategy, as put within the SWOT introduction a strength without opportunity is oflittle strategic value (Wilson & Gilligan, 2005), Innovation in internet enabled services allows Sky the potential to distribute its content more widely, tapping into new pockets of demand andcreating the potential for new revenue, particularly through transactional services, for examplethrough Sky's NOVV TV, platform an Internet based OTT (Overthe-top) TV service consumerscan by a pass to access Sky Sports content, Sky have seen a near trebling of Sky Sports passessold in the year, with around a third of NOW TV customers buying a sports pass every month(Sky, 2015), The NOW TV platform has been developed for and is targeted at people who like Skycontent, but want to consume it in a different way (Sky, 2015), this along with TVE services is themarket and segment opportunity that should be exploited by Sky due to the potential to usethese services to unlock new headroom for customer growth (Sky, 2015)ThreatsThe threat is from the competition in the form of BT Sport as the only other holder of key content inthe form of premier league rights (Ofcom, 2015) BT Sport viewing is up 15%, and their customersbase has grown by 140'000 in the past 1 months (BT, 2015)As detailed within the opportunities section above Sky see their innovation as a key strength thatallows them to exploit market and segment opportunities, BT also regard innovation as key totheir brand, reporting that the Internet is important to them as 59% of UK adults used videostreaming services in the past year (BT, 2015).BT are a threat to Sky on two main fronts;1) Content- BT are positioning their TV offering around its BT Sports Channels as the Key content(BT, 2015) a viable strategy, as the analysis with Appendix I & II has detailed, the key content ofpremier League matches stands out as the most important content for consumer subscriptiondecisions in Pay TV (Ofcom, 2015), Whilst BT Sport only hold 25% of the Premier League rights,they also hold exclusive rights to UEFA Champions League, Europa League, and FA Cup, andare manipulating this to their advantage by positioning their marketing around the amount of "

Why US?

Because we aim to spread high-quality education or digital products, thus our services are used worldwide.
Few Reasons to Build Trust with Students.

128+

Countries

24x7

Hours of Working

89.2 %

Customer Retention

9521+

Experts Team

7+

Years of Business

9,67,789 +

Solved Problems

Search Solved Classroom Assignments & Textbook Solutions

A huge collection of quality study resources. More than 18,98,789 solved problems, classroom assignments, textbooks solutions.

Scroll to Top