Why can't Sky call a spade, a spade??

[StephenSky]

Got a delightful email from Sky this morning with the opening gambit:

"At Sky, we’re always striving to bring you a better experience..."

After reading the usual blurb, the reason for the email is to inform, the price of Sky Signature is going UP £4/month (£48/year) a 12% increase, and Superfast BroadBand UP £3/month (£36/year) a 10% increase, a total INCREASE of £84/year.

Now, inflation in UK is running at just 3%

Why can't Sky simply state on their email,

"Dear valued customer, thi is notification of our usual annual price hike which is far above inflation, but we're sure you can afford it. Thank you for your continued support"

[Mark39]

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@StephenSky wrote:

Got a delightful email from Sky this morning with the opening gambit:

"At Sky, we’re always striving to bring you a better experience..."

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You can probably blame Sky's marketing department for that - trying to soften the impact of the subscription increase. I suspect most people see through it straight away!

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@StephenSky wrote:

After reading the usual blurb, the reason for the email is to inform, the price of Sky Signature is going UP £4/month (£48/year) a 12% increase, and Superfast BroadBand UP £3/month (£36/year) a 10% increase, a total INCREASE of £84/year.

Now, inflation in UK is running at just 3%

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Sky calculate the percentage increase on the list price, not the discounted price you're paying. That's because everybody's discount is different.They say the average increase in list price across all their services is about 6%. 

Of course, for you and me, we're interested only in how much extra we're going to pay.

It's all best taken with a pinch of salt.

[PandJ2020]

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@StephenSky wrote:

Now, inflation in UK is running at just 3%

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...but they only have one shot at an increase.  They just don't take a snapshot of the current inflation rate.

It's a factor of what it's been and where it's heading (which appears to be up again).

And like almost all other providers the increase will be above inflation...  For those choosing OfCom's option of pounds and pence it's very high too.

[TimmyBGood]

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@StephenSky wrote:

Now, inflation in UK is running at just 3%

Why can't Sky simply state on their email,

"Dear valued customer, thi is notification of our usual annual price hike which is far above inflation, but we're sure you can afford it. Thank you for your continued support"

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https://www.skygroup.sky/article/An-update-on-our-tv-and-broadband-prices 

[StephenSky]

I may be more sympathetic to that corporate speak when they stop charging us £9/month (£108/year) for HD LOL They may as well charge foir 'colour'! 🤣

[PandJ2020]

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@StephenSky wrote:

I may be more sympathetic to that corporate speak when they stop charging us £9/month (£108/year) for HD LOL They may as well charge foir 'colour'! 🤣

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Many 'save' £108 by not subscribing to it...

[Mark39]

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@StephenSky wrote:

I may be more sympathetic to that corporate speak when they stop charging us £9/month (£108/year) for HD LOL They may as well charge foir 'colour'! 🤣

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If they did, they'd only add it on to the other parts of your bill, so it wouldn't make any difference.

[StephenSky]

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@PandJ2020 wrote:

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@StephenSky wrote:

I may be more sympathetic to that corporate speak when they stop charging us £9/month (£108/year) for HD LOL They may as well charge foir 'colour'! 🤣

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Many 'save' £108 by not subscribing to it... I remember years ago paying £10/month for the facility of 'live pause' when it was first introduced LOL

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I would too, if many channels now weren't HD only...

[Cazanne23]

I think its disgusting the prices are going up.  What is the point of a contract if they can put prices up, but the consumer can't do anything about it while under contract.  Its not just Sky, the mobile phone companies fleece us too. 

[PandJ2020]

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@Cazanne23 wrote:

What is the point of a contract if they can put prices up

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Because those contracts explicitly state prices may change.

[Mark39]

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@Cazanne23 wrote:

I think its disgusting the prices are going up.  What is the point of a contract if they can put prices up, but the consumer can't do anything about it while under contract.  Its not just Sky, the mobile phone companies fleece us too. 

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It shouldn't be a surprise. The contract with Sky that you agreed to explains how they can increase prices. You signed up to it.

[StephenSky]

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@Mark39 wrote:

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@Cazanne23 wrote:

I think its disgusting the prices are going up.  What is the point of a contract if they can put prices up, but the consumer can't do anything about it while under contract.  Its not just Sky, the mobile phone companies fleece us too. 

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It shouldn't be a surprise. The contract with Sky that you agreed to explains how they can increase prices. You signed up to it.

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In the same way that the End User Agreement of FaceBook allows them to use your personal data to provide a 'personalised' experience 🤣 Though most never read the hours worth of print before hitting the 'accept' button!

[MarkGoldsmith]

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@Cazanne23 wrote:

I think its disgusting the prices are going up.  What is the point of a contract if they can put prices up, but the consumer can't do anything about it while under contract.  Its not just Sky, the mobile phone companies fleece us too. 

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That's inevitable in industries where minimum term contracts are longer than 12 months. A providers costs to provide a service will increase over your subscription term therefore the provider has to have the provision to do an annual price rise.

The only way that would change is if regulators only allowed a maximum 12 month minimum term, but the end result of that would be higher prices over that 12 months than you would have got over an 18 or 24 month contract.

Its the way the economy works, inflation means prices go up which tends to lead to wage rises which leads to more price rises. Some companies don't get affected by higher inflation rates immediately therefore the drag in some industries of higher inflation levels can take longer to be passed on to price rises. 

[Covers1]

I called yesterday to discuss the recent notification of my bill increasing by £9 per month. The agent said that he had taken many calls on this subject and that the increase was not due to Sky but because of the UK Government? So basically a lie ...  there is no  recent legislation that has caused my bill to be increased it is purely Sky wanting to make more money. 

[PandJ2020]

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@Covers1 wrote:

... but because of the UK Government? 

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Could be a reference to the forthcoming NI changes?