DStv price offers good value for money — MultiChoice CEO

The price of DStv has been a hotly debated topic for many years, and MultiChoice CEO Calvo Mawela believes it gives good value for what people pay.

DStv is South Africa’s dominant pay-TV platform, providing millions of households with linear TV and streaming services.

Its packages offer subscribers a wide range of entertainment, including sports, movies, series, and reality shows.

Its SuperSport offering is widely seen as the best sports broadcasting service globally, with coverage of all major events.

Over the last year, SuperSport broadcast 34,490 live events, more than any other broadcaster in the world.

It offered extensive coverage of the Paris 2024 Olympic Games, EURO 2024, and the ICC T20 Men’s World Cup.

SuperSport delivered the most extensive broadcast of any broadcaster of the Olympic Games in Paris in 2024.

Its extensive rugby, soccer, cricket, and golf coverage is particularly appealing to South Africa’s sports-loving citizens.

Although SuperSport is DStv’s most valuable asset in ensuring its subscribers do not cut the cord, it is also a very expensive part of the service.

SuperSport pays billions to gain rights to all the major sporting events globally, which must be recovered through subscription prices.

So, although SuperSport’s excellent sports offering gives DStv a significant advantage over its competitors, it comes at the cost of higher prices.

DStv’s streaming packages start at R99 for a basic offering and increase to R699 for a premium service with a full sports offering.

The price of DStv Premium has been a hotly debated topic for years, with many consumers arguing that the price should be lower.

However, not everyone agrees. MultiChoice’s supporters cite international prices where a similar sports offering costs much more.

For example, Sky Sports, with a premier sports and TNT sports bundle, costs around R1,400, much more than DStv Premium.

MultiChoice CEO Calvo Mawela enters the debate

MultiChoice CEO Calvo Mawela entered the debate during an interview in November 2024, saying people are paying the right price considering the value DStv offers.

He gave the example of a South African family of four visiting the movies, which would cost around R500.

“DStv gives you a full range of entertainment for a month, and the price starts at far less than a single movie,” he said.

He added that there remains strong demand for DStv at the current price points, which resonates with South Africa.

However, despite the demand for DStv, high interest rates and poor economic growth have put pressure on South African households.

This has resulted in a decline in DStv subscriber numbers over the last year, which Mawela said they are actively addressing.

This is particularly true for the mid-market segment, where the debt versus disposable income ratio has risen significantly.

“Mid-market consumers have been hit hard by high interest rates and inflation, food price increases, and higher debt,” he said.

In this market segment, MultiChoice has responded by offering DStv bouquets at discounted prices. “This strategy is gaining momentum,” he said.

He added that the load-shedding reprieve has helped stabilise their subscriber base for entry-level packages and premium bouquets.

Mawela said they accept that some clients will unsubscribe or downgrade during economic downturns.

However, they are confident that DStv is priced at a level where these former clients will return when their financial situation improves.