Broadband services offerings have moved into a period of consolidation, with gradual rather than dramatic changes to both pricing and service features.

Based on an analysis current and past updates of Teligen's Fixed Broadband Price Benchmarking Service, we have observed relatively small shifts in the areas of price, download speeds and service bundling, with the majority of activity happening at the higher service end, e.g. higher speeds of standard and bundled services.

Pricing for lower speed services have remained relatively static, while higher speed (30 Mb/s and above) standalone and bundled services have fallen by 3.5% on average over the last quarter. This less dynamic shift compared to services such as mobile, for example, is in line with what we would expect - subscribers to fixed broadband services, especially when they include add-on services such as phone and television, are unlikely to change provider on a frequent or regular basis, due to the nature of the service. Providers recognise this, and have reflected this in their approach to pricing.

Rollout of higher-speed services, too, is a gradual process - average advertised download speeds have increased by less the 1.5 Mb/s since March 2012, and one which is more evident when looking at changes over the course of a year, or even longer.

Going forwards, we expect to see a continuation of current trends, with gradual, rather than dramatic shifts in both pricing and service features.

A more detailed analysis of these developments is available for free download.