DStv gets more subscribers, makes more money

Awesome - more customers should mean price reductions, right?
 
Weakness in rand
Ah yes the tried and tested excuse which is trotted out each year by Multichoice.Only problem is that the Rand has actually appreciated the past year..lol.
 
ajules said:
Weakness in rand
Ah yes the tried and tested excuse which is trotted out each year by Multichoice.Only problem is that the Rand has actually appreciated the past year..lol.
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My insurance is using that excuse for the almost R200 increase, I'm starting to look for a new firm.
 
WaxLyrical said:
Why don't they tell us how many premium customers they lost in the past year?
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Premium subscribers actually aren't their target market anymore, unfortunately this won't mean any decrease in the premium sub though.
 
Lupus said:
Premium subscribers actually aren't their target market anymore, unfortunately this won't mean any decrease in the premium sub though.
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It also explains why their premium customers are die hard loyalists who don't balk at the exhorbitant increases every year.
 
WaxLyrical said:
It also explains why their premium customers are die hard loyalists who don't balk at the exhorbitant increases every year.
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Well premium is the only place to get all the international stuff and sports so yeah they are a lot more loyal as the cheaper packages don't offer what they want.
 
ajules said:
Weakness in rand
Ah yes the tried and tested excuse which is trotted out each year by Multichoice.Only problem is that the Rand has actually appreciated the past year..lol.
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Yep, that was their excuse for a massive increase the previous year. So, logically premiums should be reducing this year with the rand strengthening by almost 16%, right!? No, why not? I'm tired of that little rip-off money-sucking scheme. I've discovered Netflix and shutting off DSTV.
 
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I predict they will come out with a web only app that will have access to a limited okish channels. This will have a seperate price and you won't need a cable box to watch it.
 
Well, they've already latched onto Showmax, which is why I got Netflix. I'm not sponsoring that multichoice monstrosity anymore. Pay for 1000 channels but only 2 or 3 worth watching, what a joke! But looks like there are more than enough suckers out there if they grew subscriber base by 200k last year. As for me, they can drive their Mercedes' on other people's money, not mine.
 
I wish we had a proper regulator for the Telecommunications sector to control pricing
Something on the lines of NERSA who Eskom have to get the okay for any pricing increases.

If ever we see the day of reliable fast unlimited, cheap internet, only then you see DSTV (Nascar) profits falling.
 
MrMag said:
I wish we had a proper regulator for the Telecommunications sector to control pricing
Something on the lines of NERSA who Eskom have to get the okay for any pricing increases.

If ever we see the day of reliable fast unlimited, cheap internet, only then you see DSTV (Nascar) profits falling.
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Communist much? Eskom doesn't have competition. Content providers do.

There are other ways to get content, competition was even allowed it that specific medium like TopTV and Telkom Media, some were just not good at their job (TopTV) and other never even got off the ground (Telkom Media) and even free ones (OpenView HD.

I propose they regulate your salary...
 
supersunbird said:
Communist much?
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Yes I agree, would much rather have unregulated industry, even if it means "winner-takes-all" leads to exorbitant prices. Multichoice charges exactly what it can get away with, which is a perfect free market principle. If people are prepared to pay, then Multichoice will charge (supply and demand) and at the moment more people demand the product. The only way we can stop runaway premiums is to vote with our wallets, ie reduce demand.

The irony is that Multichoice was lean and efficient and very good value about 10 years ago or whenever they started out, but since they muscled out the competition and grew into a huge bloated monopoly with people throwing money at them like sheep, they just milk it. Nothing wrong with it, as long as you have willing participants. I'm not and have removed myself from that feeding frenzy.
 
TB100 said:
Well, they've already latched onto Showmax, which is why I got Netflix. I'm not sponsoring that multichoice monstrosity anymore. Pay for 1000 channels but only 2 or 3 worth watching, what a joke! But looks like there are more than enough suckers out there if they grew subscriber base by 200k last year. As for me, they can drive their Mercedes' on other people's money, not mine.
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Just because you can't afford it doesn't mean it's expensive. Go take a look what a similar service cost overseas. R1k + easily without so much sport aswell. Also easy for them to latch onto Showmax since they belong to the same holding company. They have nothing to do with each other otherwise and are independent. You get people without Facebook accounts using Whatsapp even though they own WhatsApp it's run independently...
 
Oh I CAN afford it, I'm just NOT PREPARED to, because Multichoice is lying to us and there are other and MUCH cheaper alternatives. I got a little off-topic and carried away, the original discussion was regarding a steep increase with the weak Rand given as the reason and why there wasn't a reduction when the Rand strengthened again? I think what happened is that the increase was indeed due to the rand and multichoice braced for a backlash and cancelled subscriptions. When that didn't happen, they realised that people were able AND willing to pay the higher premiums, so they just kept ratcheting up from there. And that is where I have a problem. If you tell me one year that premiums will increase because of a weaker rand, then I'm prepared to ride it out with you, but then I expect you to be truthful and drop premiums again when the rand strengthens? You make a good point about Showmax, perhaps I'll reconsider that one - just not through Multichoice.
 
DSTV is not going to die anytime soon. Working up in rural Africa (various countries) and everyone there wants a decoder or two to be able to catch the football and keep the wives happy. Subs are also more expensive than here in SA.
 
I wonder where DSTV got those extra subscribers! As far as rugby goes, things are going from bad to worse if you look at the people going to the games! The only game people will go out to watch is when the Springboks are going to loose against the All Blacks at Newlands! It will be an All Blacks home game!
 
ThinkCentre said:
I wonder where DSTV got those extra subscribers! As far as rugby goes, things are going from bad to worse if you look at the people going to the games! The only game people will go out to watch is when the Springboks are going to loose against the All Blacks at Newlands! It will be an All Blacks home game!
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On the bouquets that don't have rugby...;)
 
Multichoice has us by the balls people and they know it. For those of us who like sport, there really isn't any alternative. I used to like Carte Blanche and was quite prepared to pay R400-500 for my premium subscription a few years ago just to watch that, but almost R900 for that and maybe the occasional 4 or 5 other channels; it's just not good value anymore. Some days I flicked through all the channels and couldn't find a single thing worth watching, many of which were just repeats. And then Multichoice did the unforgivable, asking me to soak up a huge increase because of the rand and then never bringing the relief when the rand recovered again.

Most people don't care (which is why Zuma is still in power) and just soak it up. I've read market research reports that people will even scrounge on groceries or other necessities, just to afford their DSTV. That is the power that multichoice has over us. I don't care if TV is more expensive in other countries or people up in Africa desperately want it, multichoice lied to us and I found a cheaper alternative (Netflix).

Let me explain in language that people will understand what multichoice did: You have a job right (if you're lucky). The economy goes into a recession and your company struggles financially, so they ask you to take a salary cut of 10% so that the company can survive and people don't get retrenched (OK i know this will never happen in South Africa, but it does in other countries like Japan - I was there). So you oblige and the next year the economy grows and the company is profitable again. But guess what, instead of giving you a 10% raise, they ask you for another 4% salary cut because there are many other people vying for jobs and labour is cheaper in other countries. Stuff them I hear you say!?
 
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