Broadband users more loyal, study suggests
Sun, 01/26/2003 - 7:00pm
Roger Brown

Narrowband/dial-up Internet subscribers in the U.S. are nearly three times more likely to switch from their current Internet service provider than broadband subscribers, according to new consumer research from Leichtman Research Group Inc.

Seventeen percent of narrowband subscribers say that they are likely to switch from their service in the next six months, compared to just 6 percent of broadband subscribers. These findings are based on a survey of 1,250 households throughout the United States in areas where cable television is available, and are part of a research study, Understanding Disconnects, Downgrades and Upgrades.

Other findings conclude the following:

One-third of online households in areas where cable is available now subscribe to broadband Internet service.

27 percent of current narrowband subscribers are interested in getting broadband, and half of this group would be likely to subscribe to broadband if it cost $30 per month.

66 percent of broadband subscribers rate their satisfaction with their ISP between 8 and 10 (on a 1-to-10 scale, with 10 being "extremely satisfied"), while 52 percent of narrowband subscribers rate their satisfaction with their ISP between 8 and 10.

Only 35 percent of narrowband subscribers who are interested in getting broadband rate their satisfaction with their ISP between 8 and 10.

Just 11 percent of those interested in getting broadband say that they would most likely choose their current ISP for broadband service.

"While narrowband subscribers will remain the majority of online users for the next few years, narrowband ISPs are faced with the challenge of retaining subscribers who might want to upgrade to broadband, or downgrade to lower cost narrowband alternatives," said Bruce Leichtman, president and principal analyst for Leichtman Research Group.

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