A consumer rights advocacy group, Save the Consumers, has launched a scathing attack on MultiChoice Nigeria over its recent 21 percent price increase on DStv and GOtv subscriptions, which took effect on March 1, 2025.
The group described the hike as exploitative, discriminatory, and a blatant disregard for Nigerian consumers, particularly in light of the company’s decision to slash prices by up to 38 percent for its South African subscribers.
This latest backlash against MultiChoice adds credence to a growing perception that Nigerians are quick to protest against multinational corporations, particularly when it comes to pricing and service delivery. While local businesses and essential goods suppliers have significantly increased costs amid rising inflation and economic hardship, few consumer advocacy groups have taken up the fight against these domestic price surges with the same intensity.
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The development has also put regulatory authorities and legal bodies on high alert, with MultiChoice now facing regulatory scrutiny and legal action over its tariff hike. The Federal Competition and Consumer Protection Commission (FCCPC), which had earlier directed MultiChoice to halt all price increases pending an ongoing investigation, is under pressure to act decisively.
In a statement condemning MultiChoice’s action, Executive Director of Save the Consumers, Dr. Aliyu Ilias, accused the company of ignoring regulatory directives and treating Nigerian subscribers unfairly compared to their South African counterparts.
“Coming less than a year after the May 2024 price hike in Nigeria, this new increase openly defies a directive from the FCCPC to suspend all price adjustments pending the conclusion of ongoing investigations. It reflects MultiChoice’s clear disregard for both Nigerian consumers and regulatory authority,” he said.
Dr. Ilias argued that MultiChoice’s justification for the price hike—economic difficulties in Nigeria—was inconsistent, given that the company lowered fees in South Africa and even introduced additional content and features to enhance consumer experience.
“In South Africa, MultiChoice has lowered fees on various products, added new channels, and introduced features that improve the user experience, all while acknowledging the financial pressures faced by South African households. Yet, in Nigeria, the same company claims that economic difficulties justify higher tariffs,” he added.
The South Africa-Nigeria Comparison: A Dismissed Argument?
Some observers have pushed back against the NGO’s comparison of MultiChoice’s pricing strategies in Nigeria and South Africa. Many have noted that the economic environments of both countries are vastly different, making direct price comparisons misleading.
South Africa’s economy, while facing challenges, operates within a more stable macroeconomic framework compared to Nigeria, which has been grappling with currency devaluation, inflation, and worsening economic headwinds.
South Africa has a much more stable exchange rate, lower inflation, and different regulatory frameworks, leading many to conclude that it is unrealistic to expect MultiChoice to apply the same pricing model in both markets.
Even within Nigeria, businesses across all sectors have been forced to increase prices due to escalating costs. From food prices to transportation, utilities, and household essentials, almost every service and product has seen sharp price surges.
Why Are Nigerians Protesting MultiChoice but Not Food Prices?
This raises a critical question: Why are Nigerians protesting against MultiChoice but not mobilizing against the increase in the cost of goods and services, particularly food?
Over the past year, food prices have skyrocketed, with staple items like rice, bread, and tomatoes more than tripling in cost. The cost of transportation, healthcare, and education has similarly risen, yet there have been no large-scale protests against these issues.
A common explanation is that MultiChoice operates in an industry where consumers have historically felt exploited, due to its dominance in the pay-TV market. Many Nigerians perceive the company as taking advantage of limited competition to set prices arbitrarily, unlike the food industry, where price fluctuations are often attributed to external economic factors beyond retailers’ control.
MultiChoice’s Defense
MultiChoice has defended its decision, citing rising operational costs, currency fluctuations, and inflationary pressures in Nigeria. The company maintains that it is not alone in increasing prices, as nearly every business operating in Nigeria has been forced to adjust pricing to stay afloat.
The company also pointed out that despite the price hike, Nigerians still have access to a variety of packages at different price points, ensuring affordability for a broad consumer base.
However, Save the Consumers insists that the increase is unjustifiable and has called for regulatory intervention to prevent future price hikes. The NGO has urged the FCCPC and the National Broadcasting Commission (NBC) to:
- Investigate MultiChoice’s pricing model and determine whether its tariff structure is anti-competitive.
- Enforce consumer protection laws to prevent monopolistic practices.
- Introduce new policies to encourage competition in the pay-TV sector and break MultiChoice’s dominance.
Additionally, consumer advocacy groups are urging Nigerians to explore alternative streaming platforms as a means of protesting what they describe as MultiChoice’s exploitative pricing policies.