Quote from Smith Umweni on June 11, 2024, 10:36 PM

 

Last month, the owners of DStv, Multichoice, raised prices in Nigeria, infuriating a section of their subscribers. But what is the price difference between Nigeria and other African markets?

Just last week, reports stated that "the Competition and Consumer Protection Tribunal fined Multichoice Nigeria N150 million for challenging the court’s jurisdiction and ordered the company to provide Nigerians with a one-month free subscription on DStv and GOtv"

Comparative Analysis of DStv Prices Across Africa

Let's take a look at DStv prices in selected African markets in US dollars:

Package	Nigeria	Sierra Leone	Ghana	Liberia	Benin	Ivory Coast	Senegal	South Africa	Eswatini	Kenya	Uganda	Zambia
Premium	27.41	52.17	47.92	54.55	82	82	82	49.4	51.86	78.0	76.93	53.97
Compact Plus	18.52	30.43	31.71	31.82	53	53	53	33.0	34.75	48.0	45.10	34.97
Compact	11.63	19.13	21.14	20	25	25	25	25.0	26.20	27.0	29.18	23.19
Confam	6.89	0	10.57	11.82	0	0	0	17.5	0.00	14.9	18.30	15.58
Yanga	3.78	11.3	5.64	6.36	19	19	19	7.4	18.71	9.7	11.94	8.36
Padi	2.67	6.09	3.17	0	12	12	12	1.5	8.29	5.2	4.24	5.32

All prices are in USD. Source: DStv website.

Analysis

From the table above, we can see that:

1. Premium Package: Nigeria’s Premium Package is significantly cheaper compared to other countries. For example, subscribers in Ghana and Sierra Leone pay nearly double.
2. Compact Plus Package: Again, Nigeria's price is relatively lower compared to other markets, with prices in Ghana and Liberia being almost double.
3. Compact Package: Similar to the previous packages, Nigeria offers one of the lowest rates.
4. Confam and Yanga Packages: These packages are unique to certain markets, but the general trend shows Nigeria offering lower prices.

Conclusion

The data suggests that DStv prices in Nigeria are comparatively lower than in many other African countries. This raises questions about the justification for the recent price hike and the tribunal’s intervention. While Nigerian subscribers feel the pinch of the price increase, the comparative analysis shows that they are still paying less for DStv services compared to many of their African counterparts.

I have heard reports of Nigerian DStv decoders being used in other West African countries due to the lower subscription rate compared to those countries.

The perception of being overcharged might stem from economic conditions and purchasing power (made worse by the subsidy removal and the floating of the Naira), which vary significantly across the continent. Nonetheless, MultiChoice’s pricing strategy and the tribunal’s decision will likely continue to be a topic of discussion among stakeholders and consumers.

As the company navigates this issue, it will be interesting to see how they balance their business needs with customer expectations.