MultiChoice risks losing subscribers over another tariff hike

• NANS serves firm seven-day notice to reverse decisionFOLLOWING the announcement on Tuesday of a tariff hike on both DStv and GOtv services by the parent company, MultiChoice, subscribers in Nigeria have kicked and called for a boycott of the services in the country.

This is even as the National Association of Nigerian Students (NANS), South-west Zone, has given MultiChoice Nigeria, a seven-day ultimatum to reverse the planned hike or face sanctions.

MultiChoice had announced an upward review of the costs of its DStv and GOtv packages by 17 per cent, in text messages sent to subscribers. It stated that the new rates would take effect on May 1, 2023, explaining that rising costs of business operations were the reason behind the increase. The 2023 hike is coming barely a year, when the prices were reviewed upward by the firm.

While NANS has issued its warning, subscribers have kicked against the hike with calls for a total boycott of both DStv and GOtv services.

A 2019 securities filing report revealed that MultiChoice has 13.9 million subscribers, across Africa. Of this, The Guardian gathered that the Nigerian arm controls over 40 per cent.

Going by the threats from some of these subscribers, who vet their anger on social media and other platforms, a possible cut is expected in a number of DStv and GOtv users in the country.

On Twitter, a user with the handle, @Mathosky61, wrote: “I wish Nigerians could #boycottDSTV and #boycottGOtv. Ninety per cent of our daily activities are spent at work. We only watch TV at night or some weekends. Why should we be mandated to ascribe to this fraud initiated by MultiChoice. I say No to the DStv and GOtv price hike.”

Another user with the handle @Onemanwifskillz, wrote: “I won’t like the price increase is inconvenient for me as a DStv subscriber, but it is rather untrue to claim that customers have not been receiving entertaining content. Even GOtv customers get to see a variety of sports, entertainment, news and kids content for as low as N4150.”

For Fakayode Julius, blogging via @f_mjulius, “I woke up this morning only to see that DStv is planning to increase the price again. Who did we offend in this country? After football, this cable company is not useful to me and they want to price us to the teeth. Where is the consumer protection agency?

While asking what the Nigerian government is doing to rescue its citizens, a user @El_frinmy, wrote: “What is the Nigerian Government doing about the price from DStv? This is the second time in two years. I think it’s time a competitor comes in.
This is ridiculous!”

Meanwhile, NANS, in a statement, signed by its Coordinator, Adejuwon Olatunji, Deputy Coordinator, Alao John, and Public Relations Officer, Opeoluwa Awoyinfa, opposed the subscription hike, saying that the South African company was bringing hardship on, and extorting Nigerians, without considering their standard of living.

It also noted that tariffs should be charged on a “pay as you view” basis.

The NANS remarked: “Today, we are aware that MultiChoice Digital Satellite has increased its tariffs without considering the standard of living of Nigerians. We have also waited for a long time to see if this same company will dance to the music of Nigerians who have been clamouring for a ‘pay-as-you-view’ tariff, but the reverse is the case.

“This is the time to call on the National Broadcasting Commission to go back to the Commission’s act to regulate the ownership, activities and operations of Direct Broadcast Satellite Service Providers. DSTV is one of the leading direct-to-home service providers in Nigeria since its inception of operation as far back as 1995 and has also made a lot of profit with over 25 million subscribers, which is the largest market for its operations.

“We want the Federal Government to stampede their proposed plan in tariffs increment and also force them to implement the pay-as-you-view system. We are aware that DSTV operates a system of pay-as-you-go tariffs in other countries,” NANS declared.

It stated that Nigeria constitutes over 45 per cent of DStv global market share, and therefore called on President Muhammadu Buhari, and the Minister of Communication to “break the sporting right of MultiChoice” and provide an alternative service provider in the country, so that “Nigerians can stop being exploited daily.”

Giving the ultimatum, NANS stressed: “We hereby give seven days ultimatum to MultiChoice Digital Satellite Television to reverse the plan of increasing the tariffs and also yield to the call of Nigerians by implementing pay-as-you-view tariffs, or else, we shall be left with no other option but to lock up all offices of DStv until our demands are met which is the mind of all Nigerians.”