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MultiChoice Shocks Market: DStv Decoders Halved, Free Upgrades!

Published 6 days ago3 minute read
MultiChoice Shocks Market: DStv Decoders Halved, Free Upgrades!

MultiChoice Nigeria has implemented a significant price reduction for its decoders, slashing the cost by 50% from ₦20,000 to ₦10,000. This strategic move is part of the PayTV operator’s comprehensive effort to counteract a recent decline in its subscriber base and regain customer loyalty. The South African-based company also announced an attractive incentive for its existing and returning customers: a free upgrade to a new DStv package tier. This upgrade will be automatically applied as soon as customers settle their current subscriptions in full, with the offer valid from June 16 to July 31, 2025.

Dubbed the "We’ve Got You" offer, this initiative is strategically designed to retain active customers in a fiercely competitive market, which includes global streaming giants like Netflix and YouTube. Beyond competition, MultiChoice stated that the initiative is also a direct response to the prevailing economic challenges in Nigeria, acknowledging the significant decrease in Nigerians' purchasing power. The company aims to reposition DStv as a platform delivering daily value, thereby encouraging content discovery across a broad spectrum of genres, from movies and drama to kids’ programming and news, moving beyond its traditional association primarily with football content.

The urgency behind these initiatives is highlighted by MultiChoice Group's latest financial results for the year ended March 31, 2025, which revealed a substantial decline of 1.2 million active subscribers, bringing the total to 14.5 million. Over the past two years, MultiChoice has experienced a cumulative loss of 2.8 million subscribers. Furthermore, the company faced a significant financial setback of $576.5 million (R10.2 billion) attributed to the depreciation of various African currencies against the US dollar. MultiChoice attributed this overall downturn to a confluence of factors, including severe macroeconomic pressures, the widespread issue of rampant piracy, intense competition from international streaming platforms, and considerable investments made into its own streaming service, Showmax.

In their financial statement to investors, MultiChoice acknowledged "ongoing broad-based pressure across the group’s entire customer base," despite some improvement compared to FY24 trends. The company specifically cited "unprecedented headwinds" and "significant financial disruption" affecting economies, corporates, and consumers across sub-Saharan Africa over the last two financial years. Structural industry changes within video entertainment, such as the proliferation of piracy, the rise of streaming services, and the increasing influence of social media, have all materially impacted its overall performance.

The Nigerian market has played a particularly critical role in MultiChoice's subscriber woes, accounting for a staggering 77% of the total subscriber loss recorded across its Rest of Africa (RoA) operations between 2023 and 2025. This subscriber decline in Nigeria occurred despite (or perhaps due to) MultiChoice having raised its subscription fees three times within a two-year period in the market. These increments took place in April 2023, November 2023, and the latest in April 2024, which became effective on May 1. For instance, the cost of the DStv Compact bouquet increased from ₦15,700 to ₦19,000. MultiChoice cited several factors for the subscriber loss in Nigeria, including high inflation, frequent power grid collapses, and persistent fuel scarcity.

John Ugbe, CEO of MultiChoice Nigeria, reinforced the company's commitment, stating that the "We Got You" campaign aims to ensure customers feel appreciated and have access to premium entertainment daily. He emphasized that the initiative is about making diverse content more accessible and showcasing DStv’s appeal to a wider audience, beyond just football enthusiasts, ensuring there is "something for everyone."

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