South African pay-TV provider, MultiChoice, is facing a mass exodus of subscribers as affordable broadband and the popularity of online streaming services increase across the country. The company’s latest annual report, for the year ending March 31, 2024, reveals that active DStv subscribers in South Africa have declined from 8 million to 7.6 million in the past year.
While South Africa contributes to almost half of MultiChoice’s subscriber base, it accounts for 60% of the company’s total revenue, making it a crucial market for financial sustainability. The decline in subscribers has significantly affected the pay-TV giant, which recorded a loss of R4.1 billion, rendering the company “technically insolvent,” as reported by Daily Investor.
All segments of DStv’s subscriber base have seen a downturn, with DStv Premium declining by 8%, mid-market by 9%, and mass market by 1% year-on-year. Despite these challenges, MultiChoice cited reasons such as economic pressure, high living costs, and prolonged power outages as factors contributing to its dwindling subscriber base.
However, the rapid expansion of affordable, uncapped fibre services across South Africa has played a key role in subscribers abandoning DStv. Companies like Vumatel and Herotel have expanded fibre networks, even in middle- and lower-income areas, leading many households to switch to online streaming services.
Read Also: Over 12 Million First Bank Customers Stranded as Digital Platforms Collapse
The availability of a wide range of streaming options—often free—has worsened DStv’s woes. Although MultiChoice attempted to counter the trend by bundling broadband access and launching streaming packages, these efforts have not gained the traction the company hoped for.
Adding to MultiChoice’s challenges, Telkom is set to launch a content aggregating platform bundling popular services like Netflix, Amazon Prime, and Disney+. This will allow subscribers to access multiple streaming services with a single subscription, presenting further competition to DStv’s offerings.
With entertainment shifting from satellite to online streaming, MultiChoice is now facing the reality of an existential threat posed by over-the-top (OTT) streaming services. Unless it can solidify its presence as a major player in the streaming industry through services like Showmax and DStv Stream, the company will continue to face significant challenges.
Read Also: MultiChoice Increases Prices Due to Nigeria’s Rising Inflation
Below is how we can help you promote your event, organization and products/services . This is the best you can get from this global platform of over decades experience.
PACKAGE:
First Leg: Full page Promotional package showcasing your Invitation Card, Banner/Flex, 3 different Photographs and brief of the coming event. Also your picture/Name will be the headline News in digivation blog(Pre-Event)
Second Leg: Full Page Promotional package of the event showcasing 5 different photographs plus short audio/visual clip of the event. Also org. picture/Name will be the headline news our blog(Post-Event).
Rate: N150,000 Only For Both Pre and Post Events. (Rate is only Applicable during the Promotional Period)
For further inquiries, contact the undersigned:
Hilary Damissah (Editor)
Mojisola Alabi ( business Development)
Email: digivationtv@gmail.com
Chief Imo Ukwa(Advert Consultant) 08063779938
