BT is offering top-flight sport that includes Premier League and FA Cup football, Europa League and Premiership rugby at prices on average 78% cheaper than the cost of Sky.
However, Sky has hit back, insisting it is “playing in a different league” to its new rival, pointing to the “quality and variety” of the sports content that it offers to pubs.
Following its launch last week, BT claims nearly half of all Britain’s pubs and clubs are showing free-to-air sport, and the majority would like to show Premier League football but say Sky is too expensive. BT believes its package will mean that more pubs will be able to afford to show premium sports without having to change their customer offer.
Bruce Cuthbert, BT Sport’s director of commercial customers, said the company had ambitious targets for signing up pubs and was committed to providing licensees with the right support, which would “be more than just banners and posters”.
“We will be looking at the assets we have and how we can make them work for pubs, what will help licensees get people through the door, and how they
go about communicating with customers,” he added.
“This is about providing choice and competition for pubs and we are going to market with a rate card we are confident in.”
A Sky spokesman played down the price differential between the two broadcasters. “We wouldn’t expect a channel like BT Sport to be anything but cheaper than Sky Sports. But talk of undercutting is a bit like saying that a packet of crisps undercuts a three-course pub lunch.
“Sky Sports is playing in a different league. For commercial customers, that breadth and depth of live sport that Sky Sports offers is key. While some might choose to take an add-on service, it’s hard to see BT Sport as an attractive alternative to existing customers.”
Sky is set to announce its pricing for next year in the coming weeks. Insiders insisted that BT’s announcement would have no bearing on its deal for pubs, and pointed to the pricing flexibility and added benefits, such as free Wi-Fi, that it offers to outlets.
The British Beer & Pub Association welcomed the launch of BT Sport, saying more competition in the sector is good news for pubs.
Chief executive Brigid Simmonds said: “Sky has had an effective monopoly, and although there was a welcome price freeze last year, it had been preceded by huge price rises.
“With pubs the natural home of big-screen sport, this has been damaging, and has come on top of other huge cost pressures in the sector. Pubs will certainly look closely at BT’s pub offer," she said.