Game on: MultiChoice eyes standalone sports packages to stop the viewer bleed
MultiChoice is facing significant financial challenges amid a decline in active subscribers.
Image: Karen Sandison/Independent Newspapers
MultiChoice is considering the possibility of separating its flagship SuperSport channels from its broader DStv packages.
The company has seen a steady drop in inactive linear subscribers in recent years. According to its latest annual reports, MultiChoice has lost a staggering 2.8 million active linear subscribers over the past two financial years.
"The South African economy saw some signs of potential improvement in the current year as inflation eased, and the South African Reserve Bank started lowering interest rates," the group noted in its annual report.
"However, high unemployment, low economic growth and the ongoing effect of load reductions have meant that the South African consumer remains under significant financial pressure, which is negatively affecting businesses like MultiChoice that provides discretionary products and services".
Despite this, SuperSport has shown strong growth and engagement, with increased viewership for major sports events including cricket, rugby, football, and MMA.
According to the group's CEO, Calvo Mawela, they are considering new stand-alone sports packages as part of their strategy to adapt to changing viewer habits.
'As part of our product offering, we have always had this project that we ran every year where we look at our packaging structures, similar to what Sky did some years back where they had a basic package, they had a sports package on the side (and) they had a general entertainment package on the side,' Mawela said according to Reuters.
'We've accelerated that project in terms of getting us to finalise which direction we're going to take in this financial year. But yes, we are considering all options as part of a broader product offering going forward.'
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