Broadcaster to launch themed channels for football, golf and cricket, with cheapest package costing ?18 a month
Sky is scrapping its numbered sports channels and replacing them with themed offerings focused on specific sports – led by football, golf and cricket – as it combats falling viewer numbers with a branding revamp and a cheaper viewing package.
The retirement of Sky Sports 1,2,3,4 and 5 and the introduction of a new package two-thirds cheaper than current prices represents a major shakeup of the strategy that has made Rupert Murdoch’s Sky a pay-TV powerhouse.
The new offering will result in the launch of themed channels, like Sky’s existing dedicated Formula One channel, for its top-flight sports including football – which will get two channels – golf and cricket. A new channel, Sky Sports Arena, will host other content including rugby and tennis.
A key part of the strategy is that it will let Sky entice new pay-TV subscribers reluctant to fork out up to ?49.50 for its cheapest sports package. The new strategy will allow Sky to charge ?18 for its cheapest package – although the whole Sky Sports bundle will remain a costly option.
The cost of sports rights has spiralled in recent years with Sky paying ?4.2bn in its latest Premier League TV deal – 83% more than the previous deal and almost ?11m per game – while viewing has dropped significantly.
Some analysts ascribe this drop to the rise in popularity of cheaper streaming services, such as Netflix and Amazon, which with prices starting at?8 a month may be creating an expectation among consumers that pay-TV should be cheaper.
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