|
|
 |
|
Viewing report
|
|
|
|
Australian Broadband Price Wars: The impact on ADSL Service Pricing
Telsyte, May 2004, Pages: 42
The new report, “Australian Broadband Price Wars: The Impact on ADSL Service Pricing” covers the range of ADSL service tariffs available to both residential and business clients in April 2004. The report analyses the changes in prices that have occurred as the result of the recently initiated ADSL price war, which commenced in February 2004. Overall, the report shows that ADSL prices have decreased between the start of the Broadband price war (Feb 2004) and April 2004. On average, the median price of an SME ADSL plan has decreased by 17.22%, while the median price of a residential ADSL plan has decreased by 0.79%.
In April 2004, 256 Kbps/64 Kbps services were the most widely advertised ADSL residential plans. Despite intense competition for this type of service, and low advertised monthly prices, the actual monthly costs for these services vary enormously. The pricing information in the report for April 2004 shows that while the base price for a 256 Kbps/64 Kbps residential ADSL service starts at $19.95 including GST, once you add a typical 500 MB of monthly usage the lowest monthly cost was $29.95 including GST, with the average price being $73.30 including GST per month. For exactly the same service and usage, the highest cost plan (base price, plus excess usage fees) in the market was $519.95 including GST per month.
This comprehensive report makes it very easy for anybody to quickly see the range of ADSL pricing available in the market, and to determine whether they are paying too much. It can also be used by organisations looking to build a business case for migrating their networks to broadband technologies.The report shows a broad range of typical tariffs. Metropolitan and Regional pricing tables are included. Residential and SME ADSL plans are analysed separately. Pricing tables show monthly costs by Industry Low, Median, Average, Trim Mean, and Highest monthly price for each ADSL service.
Among other things, the report looks at how Industry Low, Median and High ADSL Retail prices have changed as a result of the Broadband price wars across the Residential and SME sectors in Metro and Regional areas.
The impact of recent price changes was examined by comparing ADSL Industry Prices at the end of April 2003 to those observed in our February 2004 'Broadband Internet Service Pricing Report', which includes pricing of ADSL services just prior to the price cuts. We have segmented our analysis into Metro and Regional area pricing for the Residential and SME markets. Since usage patterns are highly variable, this report analyses pricing for three monthly usage patterns for each of the market segments (Residential and SME market).
The usage patterns modelled for the Residential market are 500 Megabytes (MB), 1,000 MB and 3,000 MB downloads across a variety of access speeds. The usage patterns modelled for the SME Market are 500 MB, 2500 MB and 5000 MB downloads across a variety of access speeds.
The report also analyses the pricing of baseline Monthly Charges excluding extra usage fees (i.e. looking at access charges only).
Pricing for each category is derived from the lowest cost plan (tariff) from each service provider that best fits a customer's access speed requirements. The lowest cost plan was used because new broadband customers, particularly in the residential segment, tend to choose the lowest cost plan — at least until they determine other requirements, often as the result of receiving large bills for excess MB usage charges.
Access speeds covered in this report include:
- 256 Kbps / 64 Kbps
- 512 Kbps / 128 Kbps
- 1500 Kbps / 256 Kbps
In order to observe the change in Retail ADSL Industry prices due to the Broadband price wars, Pricing and Percentage differentials between April 2004 and February 2004 Industry Low, Median and High price points were analysed. Pricing and Percentage differentials for Residential/Metro, Residential/Regional, SME/Metro and SME/Regional ADSL Services across data speeds of 256 Kbps/64 Kbps, 512 Kbps/128 Kbps and 1500 Kbps/256 Kbps, as well as downloads of 500, 1,000 and 3,000 MB downloads for the Residential sector and downloads of 500, 2,500 and 5,000 MB for the SME sector, are included in the report.
The pricing presented in this benchmark report represents market rates for ADSL Internet services provided by a range of Australian ISPs. In order for any figure to be listed in this report, we require a minimum of 10 samples from a minimum of three carriers/service providers. We do note, however, that most Broadband Internet prices measured in this report contain 100 or more pricing samples from over 60 service providers.
Customers who bought this item also bought
February 2004 Edition: Australian Industry Profile Broadband Internet Service Pricing
Broadband Price Wars — The Impact On ADSL Services One Year Later
The October 2004 Edition of Australian Industry Profile: Wireless Broadband Service Pricing
The February 2004 Edition: Analysis of Historical Industry Pricing Trends for Broadband Internet Services
Australia - Broadband - ADSL - Overview and Statistics
SME Banking in Australia 2004
2007 Australia - Residential, Business, Government and Regional Markets
Australia - Telecoms Industry - Statistics and Forecasts
Australian Wireless Broadband Pricing Study
2008 Australia - Internet, Broadband and Convergence Statistics (tables only)
Australia - The Emerging FttH Market
Household products in Australia to 2011
|
|
|
|
