M-Net CEO Yolisa Phahle has revealed that DStv is looking at giving subscribers the option of choosing and paying for the specific TV channels they want.
CapeTalk’s Bruce Whitfield interviewed Phahle on The Money Show as part of M-Net’s 30th anniversary celebrations.
“That’s something DStv are looking into at the moment because more and more we hear this is something that consumers are asking for,” said Phahle in response to a question about having to purchase channel bouquets.
She said it was a challenge for the company to work out if consumers will end up paying more if they select their own channels, though.
If this was the case, “people may be unhappy” as they could pay more for three channels than they would for 100 channels.
“The fact of the matter is people are asking the questions and somehow we have to find a way to give people what they want,” said Phahle.
She said the segmented bouquets currently on offer allow for cross-subsidisation, but it is their responsibility to give subscribers what they want.
More expensive to pick your own channels
MultiChoice has previously stated that bundling channels into packages gave subscribers the benefits of economies of scale.
MyBroadband surveys into entertainment preferences have shown that multiple subscribers want the option to pick a SuperSport-only package, for example.
But MultiChoice said the view that fewer channels would be cheaper is incorrect.
“We understand that some of our customers are of the view that they’d save money if they could choose a genre-specific package like sport, or put together their own package with only the channels they want. Unfortunately, this view is incorrect,” said MultiChoice.
It said content rights were “extremely expensive” and its business model was structured on the basis of a number of predetermined packages.
“In this way, we are able to offer customers a wide range of channels, with the variety they seek, at various price points which are attractive and affordable to a variety of potential customers.”