Showmax slashes prices with Capitec deal

MultiChoice has announced a partnership with Capitec that is launching with 50% discounts on Showmax subscription vouchers.

Capitec will sell vouchers in its banking app for Showmax’s three individual subscription plans: Showmax Entertainment, Showmax Entertainment Mobile, and Showmax Premier League.

Showmax usually charges R99 per month for its Entertainment all devices package. It is R49 through the Capitec app.

Similarly, Showmax Entertainment Mobile is R22 per month, and Showmax Premier League is R34 per month through the Capitec app. These usually sell for R45 and R69, respectively.

“We want to make entertainment available anywhere and anytime at very affordable rates. We’ve partnered with Showmax to disrupt the entertainment landscape and create value to our clients,” said Capitec group executive for strategic initiatives Henk Lourens.

Lourens promised that this Showmax deal was just the beginning of its plans.

Showmax confirmed that vouchers bought through the Capitec app are redeemable by anyone.

Therefore, Capitec customers can buy discounted Showmax vouchers for friends, family, and anyone else if they so wished.

The companies did not say how long the discounted pricing would remain available.

Showmax recently increased the pricing across its Entertainment plans. Its all-device Entertainment plan went from R89 to R99 per month, and its mobile plan went from R39 to R45.

Showmax Premier League remained R69 per month.

The company said it was ending the promotional it introduced after relaunching its platform in February.

MultiChoice has said that it aims to achieve trading profit break-even for Showmax in its 2027 financial year.

Showmax package	Standard price	Capitec app price
Showmax Entertainment	R99	R45
Showmax Entertainment Mobile	R45	R22
Showmax Premier League	R69	R34

The pay-TV operator is also targeting revenue of $1 billion (R18 billion) for Showmax by its 2028 financial year-end.

To generate this revenue, Showmax will need to have around 16 million active subscribers who pay an average of R99 per month.

This is no mean feat. Digital TV Research predicted that the total number of video streaming subscribers in Africa will only be 15.6 million users by 2028.

MultiChoice disagrees with this forecast. It said it expects video streaming uptake to undergo exponential growth in Africa.

MultiChoice is so bullish that it is aiming to increase its total subscriber base, including Showmax and DStv subscribers, to 50 million users in 2028.

For Showmax alone, the company has indicated that it aims to have 25 million subscribers on the platform by 2028.

Based on this forecast, Showmax would need to grow its subscriber base by around 100% a year until 2028.

To achieve its targets, Showmax is focusing on acquiring and producing local content in the regions it operates.

During the past year, it ramped up its local content alongside M-Net, Mzansi Magic, Africa Magic, and Maisha Magic.

The streaming service released 59 original movies and TV series in South Africa, Nigeria, Kenya and Ghana.

Popular shows that drove viewership included Tracking Thabo Bester, Koek, The Mommy Club, Youngins, Red Ink, Adulting, Outlaws, and its Real Housewives shows.