DStv installations in decline: installers

Various well-established satellite TV installers say that they have noticed a decrease in the number of new DStv installations particularly Gauteng and the Western Cape.

Some have also not been able to get their accreditation as an official DStv installer, with MultiChoice citing market saturation as the reason for holding back on the number of accreditations they allow in certain areas.

Asked to comment on the installers’ observations, MultiChoice said that they are not indicative of an overall decline in new installations.

MultiChoice added that they limit the number of accreditations in certain areas where there is an oversupply of installers. This is “to ensure that existing installers remain viable,” MultiChoice said.

It’s worth noting that in the latest interim financial results posted by Naspers for the six-months ended in September 2011, MultiChoice showed subscriber growth decline for the second 6-month period in a row.

The net subscriber additions for the 2011 interim period was also significantly lower than the growth shown during the 2008, 2009, and 2010 periods.

DStv SA subscriber growth: March 2009 - September 2011
DStv SA subscriber growth: Mar 2009 - Sep 2011

Naspers explained the decrease by saying that it is “challenging year-over-year comparison” because of the major growth MultiChoice saw during the FIFA World Cup in 2010.

According to the graph, DStv subscriber growth from April-September 2011 in South Africa was at around the same levels as they were between October 2009 and March 2010.

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DStv installations in decline: installers