Business

April 1, 2017

Competition in DTH TV market brings out best in StarTimes

Competition in DTH TV market brings out best in StarTimes

By Moses Nosike

After Nigeria alongside other 119 member countries in 2006 signed up to the International Telecoms Union, ITU protocol to transit from Analogue to Digital broadcasting by 2015 in line with global trend, Nigeria gave itself a task of concluding transition by June 17, 2012, three years before deadline.

Having missed migration in 2012, government resorted to the main International Telecommunication Union,  ITU deadline of June 17, 2015 and quickly inaugurated a 14-man team tagged, ‘Digiteam Nigeria’. Again, skepticism from stakeholders in the process – the National Broadcasting Commission, NBC and the Broadcasters, few months after the inauguration, began to send signals that the process may still derail. Even though Nigeria has not been able to meet the deadline, some pay TV providers like StarTimes, have been able to launch digital TV into the market, waiting for the proper take-off of the switchover.

While speaking at the 6th African Digital TV Development Seminar in Beijing, the Minister of Information, Alhaji Lai Mohammed, said it is imperative for Africa to utilize the platform provided by digitalization to leapfrog into the future of technology.

He said that a successful transition would spin off benefits far beyond broadcasting, not just for Nigeria but for the entire African continent, adding that a timely and successful Digital Switch Over (DSO) would put many of the country’s youths to work, provide the platform for their creativity to blossom, ensure technology transfer and create opportunities far beyond what anyone can fathom at the moment.

Alhaji Mohammed said it was in realization of the far-reaching benefits of the DSO that African Ministers in charge of Information and Communication, who attended the forum,  agreed on the need for a continental synergy and the sharing of experiences in order to facilitate a successful switchover across the continent. He said a situation in which only two African nations have so far successfully digitalized their broadcast industry does not augur well for the continent.

This notwithstanding,  pay TV service is gradually revolutionizing the media industry in Nigeria. There has been a huge potential in pay TV considering that a few years ago, communication was not accessible to the extent that even getting a fixed line was difficult.

In 2010, pay TV was faced with rising cost and competition amidst deteriorating economic trends. The players in the industry had to constantly re-strategise  to ensure continual survival and profitability.

For the players in this industry, survival depends on their ability to develop new business models to enable them adapt to the ever changing demand of the consumer.

Multichoice is the oldest player in the industry. Despite the industry having very few players, it is notable that there have been some new entrants, like MyTV, Daarat, Consat, ACTV which is now comatose and a host of others just struggling to survive.

However, StarTimes, which claims to be the undisputable market leader in its DTT category,  insists that it is the fastest growing digital pay TV platform in Africa, and also pointed out that  its Direct-to-home, DTH offering called Dish TV is gaining serious mileage among subscribers and worming its way into the heart and homes of Nigerians with its innovative, affordable pricing and rich content.

Though not many are aware, StarTimes Dish TV, is built on dish satellite TV technology, boasting of many channels, including some on competitor(s) platform.

“For example, there are five top European football leagues that decide where football fans go for viewing – almost all on StarTimes Dish TV also called StarSat, which include Bundesliga, Serie A, French league, Chinese Super League and EPL (one match per weekend with repeats and highlights all as free extra for subscribers). Only La Liga is not on Dish TV”, the company said in a statement.

A cursory look at the activities of StarTimes alongside a competitor showed that the platform has many entertainment channels, with over seven Bollywood channels with language options. For its Nollywood channel, the platform boosts of  Iroko, Orisun Abd St  Yoruba and plenty series films, martial art and music channels.

Looking at analogy for clarity, Vanguard observed that Multichoice for example is also dish-based satellite product, as well as StarTimes Dish TV, Gotv which was launched to tackle StarTimes DTT entrant into the market is also  antenna based  satellite TV product.

With over 100 channels, StarTimes dish TV/ Starsat element show that  its DTT platform has about 90 channels. The Dish TV according to investigation revealed that it is sharper, has lesser local channels, can be affected by weather, its mobility is rigid, has three bouquets of  super, smart and Nova which costs between N3600, N2400 and N800 respectively, while there is a special bouquet for Indians and Chinese.

It was also observed that  the boosting time on StarTimes was faster than other competitors, another clear indication that StarTimes DTH was ahead of its rivals in the digitization process.

Speaking with some  subscribers in rural areas showed that signal strength in rural areas is stronger on the StarTimes DTH than that of its rivals.

Public Relations Manager of StarTimes, Mr. Israel Bolaji, said that StarSat/Dish TV is a digital satellite TV brand, offering a multitude of channels available in simple package choices for subscribers.

In essence, StarSat/Dish TV offers subscribers choice in their TV viewing at an affordable price through packages that are streamlined to suit their pockets and viewing preferences.

According to him, “the StarSat/Dish TV HD decoder boots faster than any of its kind when switched on with the best of Indian bouquet, Bollywood HD and NBA TV HD Channels. The StarSat HD Decoder costs are affordable which price includes the satellite dish, decoder and one month Subscription. Nigerians can enjoy a bumper promo package on StarSat/Dish TV”.

On channels, he said: “Our channels are rich with contents that have been carefully chosen to satisfy the peculiar needs of Nigerians. Our channels cut across all content categories to mention a few”.

A closer look at the decoders features showed that the StarTimes decoder has 10 HD Channels, prompt booting recovery, USB Port Affordable Price, More than 25 Audio Music Channels.

The company said it has a free after sales service within three months which was confirmed by Haruna  Isa who said he subscribed to StarTimes because of the Indian films.

The company boosts of 24 hours customer delivery system and standard installation exercise, a statement verified by another customer in Kaduna State, Yunusa Aremu.

“StarTimes which launched into the market in 2014 is doing well to challenge the DTH market”, said Joseph Omenuko, a StarTimes subscriber in Abuja.

On comparative advantage StarTime is claiming to have above competition is DTT technology said to be limited in terms of capital requirements to extend services deep into the rural areas. For instance, it would be quite exorbitant and almost impossible to lay cables to every nook and cranny of the country before rural dwellers could receive signals through DTT satellite TV model.

However, StarSAT provides opportunity to deliver signals to the farthest part of the land (including villages and remote areas) would further greatly enhance digital penetration and speed up the quest for migration from analog to digital broadcasting.