Multichoice, the company that owns DStv and GOtv, has stated that a new price bundle would go into effect on November 6 – this might mean more suffering for Nigerians.
This occurs at a time when Nigerians are still battling the fallout from the elimination of gasoline subsidies, the rising cost of living, the depreciating value of the Naira, currency issues, and general unrest.
MultiChoice is raising its prices for the third time in 2023 with this new hike, which takes effect on Monday. The increase is almost twenty percent.
“On Monday, November 6, 2023, we will adjust our prices across all our packages on DStv and GOtv,” Multichoice stated in a letter dated November 1 that the company sent to partners and that The Guardian was able to view yesterday.
“We recognize the potential effects this challenge may have on our esteemed clients and associates, but the escalation in the expenses associated with conducting business has compelled us to make this arduous choice.”
“We are dedicated to continuing to provide our valued customers with the best entertainment and viewing experience possible, as well as the highest caliber content and unmatched customer service.”
In fact, the price of the DStv Premium bouquet increased from N24,500 to N29,500 in the revised pricing list; similarly, the price of the Compact+, Compact, and Confam packages decreased from N16,600 to N19,800, N10,500 to N12,500, and N6,200 to N7,400, respectively.
Supa+ went from N10,500 to N12,500 for GOtv users; Supa went from N6400 to N7,600; Max went from N4850 to N5,700; and Jolli went from N3,300 to N3,950, among other changes.
Speaking anonymously, a MultiChoice representative neither confirmed nor refuted the impending tariff increase. “I cannot say yes or no to the plan,” she murmured. However, you are aware of the state of affairs in Nigeria, where there are no signs of a slowdown in the rising cost of doing business.
On the other hand, a few users said that MultiChoice had sent them an SMS on Wednesday informing them of the impending rise in subscription costs.
MultiChoice said that it produced N277 billion (ZAR9.1 billion) in subscriptions at the end of its financial year on March 31, 2023, while citing the increase in the cost of doing business in Nigeria.
Inferentially, the company’s revenue increased by 29% over the N177.5 billion (ZAR7.1 billion) it brought in the year before. This made a substantial contribution to the Multichoice Group’s 7% overall sales growth, or ZAR59.1 billion.
“Despite Nigeria’s liquidity constraints, the group was able to extract $235 million (FY22:$240m) at an average rate of NGN684:$ (FY22: NGN553:USD) during the year,” the statement from the firm read. ZAR1.9 billion (FY22: ZAR2.3 billion) in cash kept in Nigeria is still vulnerable to depreciating currency exchange rates.
MultiChoice Group reported its 2022 annual results. The company added 900,000 90-day active members, bringing its total number of subscribers to 21.8 million, a five percent year-over-year (YoY) rise. Nine million homes (41%) in South Africa and 12.8 million households (59%) in the Rest of Africa make up the 90-day subscriber base.
Concurrently, Sina Bilesanmi, President of the Association of Telephone, Cable TV and Internet Subscribers of Nigeria (ATCIS), has urged Nigerian subscribers to boycott both DStv and GOtv, emphasizing that the increase is exploitative in character.
In an interview with The Guardian, he said that the operators in Nigeria will raise prices for the fourth time in 2023.
“It’s unbelievable that this is taking place right now. Since there is now no other option, the brand is only taking advantage of the Nigerian market! I’m going to use every Nigerian I know to boycott GOtv as well as DStv. In addition, I urge the National Assembly and President Tinubu to intervene and protect Nigerians from this exploitation,” he said.
He claims that when ACTIS met with President Tinubu in August, he told them that we should give him more time and requested that he intervene by requesting that these operators offer Pay Per View to their clients. However, I believe that the nation as a whole ought to unite against MultiChoice’s exploitation at this point.
He said that the group had addressed over 20 letters to Multichoice on Pay Per View and other industry issues since 2020, but had pretended not to receive them.
