According to a recent study by Nasper, DStv had its clientele grow but only through their cheaper subscriptions. Subscribers grew by 11 per cent in the six months leading to September 2017.
But the company lost 11,500 premium subscribers in the same period; having lost 235,000 customers from the previous year.
The study shows that in a world where content is going digital, DStv is still trying to play catch up with the likes of Netflix, mobile operators.
For instance, Netflix was launched in 2016 but has since gained ground thanks to better internet connections and cheaper pricing.
Netflix’s premium subscription goes for Sh1224 while the same package on DStv goes for Sh7,900.
It has been argued that the only thing keeping the MultiChoice owned company afloat is its local sports broadcasting rights.
Global video streaming companies, South Africa CEO Calvo Mawela argued flourish because they ‘have significantly lower entry costs, massive scale and capital and huge content libraries.’
In Kenya, DStv is also facing competition from mobile operators such as Safaricom which is now offering Easy30 and Easy50 bundles exclusively available through the new Safaricom Digital Internet and TV Box and the Safaricom BIGBox and will serve as an alternative to the fixed Safaricom Home Fibre service.
“The new Easy Bundles have been designed with the needs of the modern Kenyan family in mind. In addition, the affordability of the Easy data bundles will supplement our nationwide 4G coverage ensuring that each home now has access to world-class, quality, high speed broadband,” said Safaricom’s strategy Director, Joseph Ogutu.
Also giving DStv a run for its money is ZUKU, Faiba.
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