Broadcasting
Pay-Per-View: Cases For, Against DStv & Multichoice
By peter oluka
Multichoice has received a lot of tongue-lashing from the Nigerian subscribers, chiefly for DStv and GOtv’s inability to offer per-pay-view subscription to them over the years.
The cries have reached high heavens since TSTV, the new ‘beautiful bride’ in town, launched into the market promising a per-pay-consume subscription plan.
But, Multichoice has at different fora explained that Nigeria’s economy is not ripe for pay-per-view, because it is an expensive form of payment to the customers
Damilola Faustino, a freelance content developer in an article titled, ‘Breaking DSTV’s monopoly on PayTv in Nigeria’, once argued that a monopoly many Nigerians have struggled to understand or entrepreneurs have battled to break is that of DSTV. “It has, so far, defied nearly all competitions to dominate the PayTv industry in Nigeria.
“We can all recall how HiTV made a cameo attempt at shattering the monopoly. HiTV came like a thief in night, wrestle the rights to broadcast not only the English Premier League (EPL), which has a fanatical following in Nigeria, but also, the English FA, the UEFA champions League, and Europa Cup but in the morning; HiTv had crashed. HiTv which signed to air these matches for 4 years between 2007 and 2011; could not sustain the payment and competition, thus, lost the rights and was liquidated. Sad”, he wrote.
Faustino continues, “In the interim, the loss of the right to broadcast these matches jilted DSTV. It seemed like they went to restrategize and when it was time, they regained the rights to broadcast matches in Europe’s top leagues.
“It must be stated that regardless of the fact that DSTV lost the rights to broadcast the EPL, many Nigerians didn’t dispose-off their decoders. This is because DSTV has other interesting content besides football.
“This has been the trend since DSTV’s entry 22 years ago. It has won every competition. Take the entry of Startimes into Nigeria. It slashed the price of PayTv to make it affordable to especially low-income earners. There is no doubt that PayTv from China has their own market-share”.
But, DSTV responded by rolling out GOtv in 2011. The undeniable truth is that if you cannot afford DSTV, you can buy GOtv and still enjoy the same programming. Other PayTv that didn’t bother to take on DSTV include-DaarSat, Continental Satellite Limited Consat, and MyTV among others. They are arguably satisfied with their little share of the market.
Nevertheless, it is wrong if we describe DSTV’s domination of the PayTv industry in Nigeria as a monopoly. This is because the PayTv market has been made a level playing field since the deregulation of the broadcast industry in 1992. Hence, anyone can venture into the business. DSTV shouldn’t be faulted if they turn out to be the best and almost every Nigerian patronize them.
“This said”, Faustino opined “DSTV’s monopoly has made the PayTv channel somewhat arrogant especially when it comes to its subscriptions. Nigerians have complained about DSTV’s price regime and others have gone to court to challenge it. There are some services like access to Showmax by DSTV PVR subscribers enjoyed in South Africa, the home country of DSTV but, nothing has changed so far. Nigeria is a free market economy. No court nor regulatory body can tell DSTV how to run its business.
“Therefore, instead of focusing on the narrative of breaking DSTV’s monopoly, prospective entrepreneurs should simply pay attention to how to better DSTV in terms of content, and subscription.
“In addition, their efforts will be futile if they don’t hijack the rights to air the matches of major European leagues.
“It should strike a strong cord that the only time DSTV’s market dominance was threatened was when HiTv usurped the broadcast rights of the EPL. It was unexpected and within months, the number of households who own HiTv jumped significantly.
“Currently, DSTV has the right to broadcast the EPL between 2016 and 2019. This right cost the PayTv Company a whopping sum of 296 million pounds to show live EPL matches across Nigeria and sub-Saharan Africa. For the 2013 to 2016 season, DSTV paid 205 million pounds. This means to win the rights, your pocket must be deep and have some powerful investors. Obviously, we can probably conclude that it will be difficult to break DSTV’s.
“However, if we dwell on this, prospective entrepreneurs may not be interested in the PayTv industry in Nigeria.
“DSTV should not be too comfortable as internet penetration continues to grow in Nigeria. Many Nigerians now own mobile phones and if data prices become more affordable, Nigerians will be able to watch live European matches on the internet. There will be less reliance on DSTV for watching the EPL”.
Now Enters TSTV
TSTV which stands for Telcom Satellite TV, is here in Nigeria to battle with DSTV. It launched last Sunday in Abuja with a promise to offer ‘Pay-As-You-Consume’ plan “which every other operator said was not possible in Nigeria before now.
“Pay-As-You-Consume” plan already praised for its simplicity will allow subscribers of TSTV pay for only programmes watched.
Bright Echefu, managing director of TSTV, during the signing of the multi-transponder agreement with their ABS partner disclosed that their services would offer viewers the experience of HD and SD video, internet services, broadband, TV and radio at a very affordable rate.
Hear him, “what makes the project unique is that it would start with 100 channels of local, regional and international in Yoruba, Igbo Hausa, Ghanaian, Sierra Leonean, Liberian Languages among others. It would also provide news, entertainment, education content”.
He argued that TSTV has the right content and premium product to satisfy the growing demand of Nigeria. “It would assist ABS take Nollywood and Sport to great height. Their sport channels is the bomb! EPL, La liga and Champion League is amazing!”
What Does Multichoice Think About All this
Multichoice strongly holds the view that Nigeria’s economy is not ripe for pay-per-view. Well, our stand is that we are not going to offer pay-per-view. One of the reasons we are not going to do it is because it is an expensive form of payment to the customers.
Speaking to Nigeria CommunicationsWeek recently, Mr. Martin Mabutho, general manager, Marketing and Sales, MultiChoice Nigeria explained how it works: “pay-per-view is normally used when a special event is being broadcast. I will give you example of the boxing bout of Floyd Mayweather vs Conor McGregor; that we viewed to our subscribers at no additional cost.
“In America where pay-per-view facility is being offered, people paid $100, only for the fight. The next day if you don’t have subscription, you don’t see anything. For that reason, we don’t think it is a viable thing for us to do. We don’t believe that our market and can handle that”.
Warning:
While the price war is ragging, both DSTV/GOtv and TSTV should not be too comfortable as internet penetration continues to grow in Nigeria. Many Nigerians now own mobile phones and if data prices become more affordable, Nigerians will be able to watch live European matches on the internet. There will be less reliance on pay tv for watching the EPL.
A multimedia and live streaming platform pushing this frontier is Kwese sports owned by Econet Wireless. It signed a deal to broadcast the EPL across sub-Saharan Africa on a Free-To-Air basis for three seasons beginning from the 2016/2017 season. With this, Nigerians can watch the EPL for free as far as they have access to the internet.
Why it is generally believed DSTV has ‘monopolized’ the market due to its awesome content and owning the EPL right, however, TSTV with its drive to break the monopoly should not go the HiTv way. Perhaps, the best way to go now is live streaming which is becoming popular by the day.
Multichoice Nigeria, leading pay TV operator, has again increased the subscriptions for its DStv and GOtv packages by at least 25 per cent .
ohn Ugbe,
Multichoice announced the increase in tarrifs in a message sent to subscribers on Wednesday and said that the new regime will be effective May 1.
The company stated this in the statement signed by John Ugbe, chief executive officer was titled, ‘Price Adjustment on DStv and GOtv Packages.’
The pay-TV firm cited the rise in the cost of business operations as the rationale behind the price increase.
The company said, “We understand the impact this change may have on you – our valued customer, but the rise in the cost of business operations, has led us to make this difficult decision.
“It remains our mission to provide the best entertainment and viewing experience to you and are committed to continue to deliver high-quality content and unparalleled service. So, from Wednesday, 1 May 2024, the price adjustment will take effect.”
With the review, customers on the DStv Premium package will see their monthly subscription fee increase to N37,000 starting from May 1, marking a 25.4% rise from the current N29,500.
Also, price of the Compact+ bouquet has been raised to N25,000 from N19,800 per month, reflecting a 26.2% increment.
DStv has also announced that subscribers on its Compact bouquet will now pay N15,700, up from the current N12,500, representing a 25.6% increase.
Meanwhile, those on the Confam package will face a 25.6% hike as their monthly subscription rises to N9,300 from N7,400.
Under the new pricing structure, viewers on the DStv Yanga bouquet will be charged N5,100 for their monthly subscription, marking a 21.43% increase over the current N4,200 fee.
Multichoice has announced price increases across its GOtv packages. Customers on the Supa Plus package will now pay N15,700, marking a 25.6% rise from the current price of N12,500. Similarly, the Supa bouquet will see its price increase to N9,600 from the current N7,600.
For the GOtv Max subscription, the new price is N7,200, up from N5,700, while the Jolli package will now cost N4,850, compared to the current price of N3,950. Multichoice has also adjusted the price of its lowest GOtv package, Jinja, which will now be N3,300 monthly instead of the current N2,700.
Broadcasting
Alleged $500m wasteful investments: I stand by my words, Heineken Lokpobiri dares Wabote
Sen. Heineken Lokpobiri, Hon Minister Of State For Petroleum Resources have reiterated that he stands by his statement at The Petroleum Club’s quarterly event in Lagos, that NCDMB wasted over $500 million of the industry’s fund in equity investments in private establishments and in loans that are now non-performing.
The minster while reacting to recent media statement by SIMBI Wabote, former executive secretary to the Nigerian Content Monitoring and Development Board, NCDMB, dismissed as blatant lies from the pit of hell, claims that his office requested for increase on NCDMB budget by N30 billion for the office of the Minister.
In a statement signed by the Nneamaka Okafor ,SA Media and Communication, Minister Of State For Petroleum Resources(Oil),the minister noted that ‘’Our position is that he who alleges must prove same. So, if Mr. Wabote has proof of such conversation, he is challenged to provide same.
‘’Secondly the Minister has no aide called Blackson. All his aides were duly selected in line with extant laws and have documents to that effect.
According to the statement ‘’The Minister in his capacity as chairman of the Governing Council stands by his statement at The Petroleum Club’s quarterly event in Lagos, and as journalists I welcome you to visit the places mentioned to verify the allegations for yourself.
‘’Thirdly, the said Atlantic Refinery was supposed to be built in Mr Wabote’s home town, he should show Nigerians where that refinery is.
‘’Fourthly, the Brass Fertilizer and Petrochemical company was also paid for, you are welcomed to also visit the site to verify the facts for yourself.
The statement noted that Investigations are ongoing and the truth will surely come to light and monies belonging to the generality of Nigerians will be recovered for Nigerians.
‘’Let me add that these revelations are not new, they were first made during an investigative hearing of the House of representative committee on local content. Again the records are there and you are welcome to verify these facts.
‘’The Minister has never been part of any budgeting process of any parastatal under the Ministry, you are welcomed to visit these agencies to verify for yourself.
‘’Finally, the Minister’s office is run with a budget superintended by the permanent secretary and so one will wonder, how the Minister will ask another entity to make provisions for the budget of his Office. The Minister has an impeccable record from his time as Minister of Agric and will continue to stand for the truth.
The Minister and Indeed the Chairman of the Governing Council of the NCDMB will not abdicate his responsibility to please anyone. He has a responsibility to ensure that, that which belongs to Nigerians is judiciously used for Nigerians
‘’I have had course to read Mr Wabote’s release and every one can see that he is still nursing the wounds of being replaced even after spending seven years at the Board. At best, this is a clear case of when you fight corruption, corruption will fight back.
It would be recalled that the Minister at at an event in vowed to recoup alleged investments worth over $500m made by the Nigerian Content Monitoring and Development Board (NCDMB).
However, The erstwhile Executive Secretary of the NCDMB, Engr.Simbi Wabote had earlier debunked the Minister’s statement describing it as reckless.
Wabote challenged the Minister to visit the sites of the projects the agency invested in while accusing the Minister of playing politics.
“The HMSPR-Oil is implored to visit the construction sites to avail himself of facts on ground. He should also check the MPR archives of the strategic plan to diversify oil and gas development clusters in the Niger Delta using Bonny Island, Brass Island, Onne, Ogidigben, Ibom, etc. Perhaps, this will cure his aversion to any developmental initiative in Brass Island and the Niger Delta in general.” Wabote said.
Broadcasting
Techy Accountants in partnership with ACCA Host AccounTech Summit to Empower Finance Professionals
The AccounTech Summit, hosted by The Techy Accountant in partnership with the Association of Chartered Certified Accountants (ACCA), is a groundbreaking event designed to navigate the evolving landscape of the finance industry in the digital era.
Recognizing the critical need for finance professionals to adapt to technological advancements and emerging trends, this summit is a driving force for innovation, transformation, and progress.
The event is set to take place as follows:
Date: August 15th, 2024,
Location: Radisson Blu Anchorage Hotel in Lagos, Victoria Island, Nigeria.
Time: 9:00 A.M
The summit aims to celebrate achievements in the finance sector, support entrepreneurship ventures, and enlighten participants on industry challenges and opportunities. With a focus on bridging the employability gap and promoting high-quality skill development in finance, the summit aims to address the evolving landscape of the industry in the digital age.
Over the past six years, The Techy Accountant has graduated over 1000 finance professionals and trained more than 5000 individuals worldwide.
Event Highlights
The one-day event will bring together over 200 attendees, including finance professionals, entrepreneurs, policymakers, academics, and Techies.
Attendees can expect a day of immersive learning and collaboration, culminating in an award and grant ceremony. Event Highlights include keynote sessions, interactive workshops, panel discussions, and networking opportunities, all centred around the theme “Emerging Tech in Accounting & Finance – A Game Changer.”
Commenting on the summit, Mrs. Toyin Olufon, Founder of The Techy Accountant stated, “We believe in equipping finance professionals with the skills needed to thrive in a rapidly changing industry”.
Commenting on the collaboration, Mopelola Jatto, CFA, Regional Head, ACCA Nigeria remarked, “Partnering with The Techy Accountant underscores our commitment to fostering innovation and driving excellence in the finance profession. Together, we aim to equip professionals with the skills and knowledge required to thrive in the digital age.”
TO REGISTER, VISIT: https://thetechyaccountant.org/event/the-techy-accountants-account-tech-summit-2024
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