Speaking at the MultiChoice Africa Content Showcase in Mauritius today September 2, 2015, MultiChoice CEO Tim Jacobs says the Pay-Per-View option is alot more expensive than what people perceive.
‘Pay-Per-View sounds attractive, but it’s actually a red herring. An easy example is the Mayweather/Pacquiao boxing match earlier this year. It sold on Pay-Per-View across the world in the USA at USD99 for 3-4 hours of viewing. Across the continent, subscribers pay less than that for DStv Premium for a whole month of viewing across all our channels and in this instance, that included that fight, which was broadcast on SuperSport. That’s the benefit of scale for us. If you segment sports, for example the EPL, the reality is that the cost of that is much higher than everyone thinks because you need to divide up those expensive rights between a much smaller viewing population, so the cost goes up exponentially’ he said.
He however gave a glimmer of hope that the Pay-Per-View is an option the company is looking into. In his words, ‘that doesn’t mean we’re not looking at Pay-Per-View as an option – we need to be flexible and we get a lot of requests for it. We’re watching consumer demand and looking at whether it’s economically viable. It’s not on the cards right now, though, but we do have a research team trying to work that out.
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