Naspers loses subscribers as DStv annual price increases negatively impact the media giant


Naspers, the African tech giant and parent company for MultiChoice recently published its financial results for the year ended 31 March 2016.

Under its video entertainment segment which covers services like DStv and GOtv Naspers registered a loss of 228,000 subscribers in Sub-Saharan Africa. According to Naspers this decline was attributed to,

substantial price increases to offset the impact of currency declines plus weaker consumer sentiment.


MultiChoice has previously instituted an annual increase on its DStv bouquets as a way of dealing with currency fluctuations. However, this practice has been criticised especially since the service is already viewed as being expensive.

The loss of subscribers has however led to a re-evaluation of its strategies. Naspers has said that it will manage and absorb any costs on its own as a way of reducing the price increases for subscribers.

Together with a content review plan for its lower to mid-price segments, Naspers hopes these changes will encourage growth.

Some of the changes have already been carried out with content favourites like English football being added to cheaper bouquets and a selective application of price increases which meant that DStv Zimbabwe subscribers weren’t subjected to another increase this year.

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