You have to appreciate that the sponsoring is less about advertising in a blatent way, and more about the name of the sponsor entering the subconscious. I don't watch Big Brother and millions don't, but those that do will know of another ISP by the end of the show (it's over several weeks).
So then when people look around they'll think of the ones they know of, and probably look first at the ones they've heard most recently. The taste (or lack of taste) is secondary. Most people switch off at breaktime anyway, but they'll be back in time for..."Sponsored by Plusnet."
Can't remember the show(s) offhand, but there were several with "Sponsored by Cadbury's". Some detective show iirc (my gf watches a lot of telly compred to me). I don't drink hot chocolate, but if I did, Cadbury's would be in the subconscious, unless I had a preferred alternative.
I wouldn't think it will make a loss. At worst it will maintain churn rates, probably reduce them and at best increase the customer base. It's a gamble though. If the BB house folk are boring, viewing figures will tumble and exposure will drop. Even worse, folk switch off to BB and associate PN with a negative viewing experience.
© Camieabz 2002-2011
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Scottish Labour politician: “The SNP are on a very dangerous tack. What they are doing is trying to build up a situation in Scotland where the services are manifestly better than south of the border in a number of areas.”
Interviewer: ”Is that a bad thing?”
Scottish Labour politician: “No, but they are doing it deliberately.”