Sky news update: Sky have recently announced that their service NOW will in the near future offer entertainment services such as Netflix and LoveFilm.
Sky are one of the biggest operating firms within the UK. They offer a range of services such as broadband, telephony and pay-tv which is their biggest earner. They also own an online service called NOW TV. On Tuesday, 29th October 2013, Sky announced that they will be in the near future offering new entertainment services such as Netflix and Lovefilm on their NOW TV.
To gain access to the new channels customers will need to join a monthly pay as you go service which will be offered by Sky. The monthly pass will open the doors to ten of Sky's best known channels such as Sky 1, Fox and more. The pass will cost a flat fee of £4.99 a month, and customers who chose to join this service will not have to subscribe to any other of Sky's services, such as Sports or Movies.
This move shall launch Sky further into the online market which is forever growing. Never before has the firm allowed for any of their premier channels to be used without signing up with a full subscription. This could attract more potential customers to their main subscription services as it gives an insight into what customers would have access to.
The NOW TV streaming box has never before been sold to non-sky subscribers, however with this new change to the system non-sky customers will now have the ability to buy the box. The box comes equipped with Sport and Movie channels however these have only been available through monthly passes, which will be the same with Netflix and Lovefilm.
Platforms which already have NOW TV such as PlayStations and PCs will also include Sky on-demand when the monthly pass is activated on the console or computer. It is also rumoured that NOW TV will become available toe other services such as: smartphones, Xbox, tablets and smart TV's in the coming months.
By extending NOW TV to other platforms it will enable the company to widen their subscriber base, and make the maximum profit they can. Also by adding Netflix, Lovefilm and other entertainment services it creates incentive to trial the NOW TV service.
With the influx of customers predicted due to the new entertainment, more potential customers will be able to use and view Sky content. This will hopefully draw some new customers towards their pay-tv service they already provide. Overall these new additions to NOW TV promise to be economically beneficial for the firm.
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