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The MultiChoice (DStv, GOtv) BIGGEST Survival Game in Nigeria

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As predicted when I wrote that MultiChoice’s DSTV and GoTv could simply abandon European football rights in Nigeria, the satellite TV company is moving in that direction: “DSTV’s parent company is considering not to renew its premiership and UEFA Champions League broadcast rights when they expire”. The deteriorated naira value and the fact that DSTV cannot increase rates even as its raw material price is increasing are reasons noted. If MultiChoice follows that path, and does not renew, Nigerians may now depend on NTA, the national TV station, and the government for this luxury product. 

MultiChoice seems to have been caught up in a difficult situation, the DSTV’s parent company is considering not to renew its premiership and UEFA Champions League broadcast rights when they expire.

ThisDay reported on Thursday that a source from the satellite TV company revealed how financial losses are forcing it to make the difficult decision not to renew for the 2021/22 football season.

The development was attributed to Nigerian business environment that has yielded low patronage, which does not make up for the cost of broadcast rights which the company said is exorbitant. Moreover, the free fall of naira against the dollar is said to have compounded the situation.

ThisDay quoted the source as saying: “It is becoming impossible to maintain many of these sports rights, especially the EPL, for Nigeria. The recent fall of the naira against the dollar has equally not helped matters.

“Rights for the African continent used to be bought singly, but this changed in 2007 when a competitor, backed by the federal government, forced the EPL to excise Nigeria from the rest of Africa. Now, the cost of the rights for Nigeria has risen to almost the same with the rest of the continent put together, while the number of subscribers in Nigeria is only about one quarter of the rest of the continent.”

Once NTA makes it tender to Europeans, it will notice one thing: the cost of this product has been rising: “The cost of English Premier League broadcast rights has risen almost 8% to 9.2 billion pounds ($12 billion) for the next three seasons”. If you make it a direct correlation, it simply means that DStv should be increasing costs by 8% over the next few years. But in Nigeria, even though naira is losing value to the euro or pounds sterling, DStv is expected to freeze its rates. That does not make sense! 

Technically, unless MutiChoice has changed its business charter to non-profit, it has no business in Nigeria. When you add the new muted plan to force it to license its expensive London luxury product to local players, at Umuahia rate, you will understand the outcome. Yes, MultiChoice will abandon Nigeria and will not renew its EPL rights unless Nigeria allows it to increase rates, to compensate for increasing cost of the raw material and naira deterioration.

Hello Kano Pillars & Enyimba! Yes, local sports teams are still there.

The statistic depicts the revenue from the Premier League television broadcasting rights from 1992 to 2019. From 2013 to 2016 the Premier League generated over 3 billion pounds in revenue from its marketing of TV broadcasting rights per year. (source: statista)

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With (1) rising cost of EPL license, (2) deteriorating value of the naira, (3) government interference in pricing and (4) a detached-from-reality expectation by customers for the company to offer PAYG, it is quite probable that the numbers no longer stack up and the company wants to quit. It may well be that the only option of watching EPL in Nigeria is via streaming on pirate websites and over expensive and sub-optimal connections. Good luck to all the viewers.

MultiChoice’s DSTV Considers Dropping EPL and UEFA Rights in Nigeria As Loss and Pressure Mount from Government

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DSTv court

MultiChoice seems to have been caught up in a difficult situation, the DSTV’s parent company is considering not to renew its premiership and UEFA Champions League broadcast rights when they expire.

ThisDay reported on Thursday that a source from the satellite TV company revealed how financial losses are forcing it to make the difficult decision not to renew for the 2021/22 football season.

The development was attributed to Nigerian business environment that has yielded low patronage, which does not make up for the cost of broadcast rights which the company said is exorbitant. Moreover, the free fall of naira against the dollar is said to have compounded the situation.

ThisDay quoted the source as saying: “It is becoming impossible to maintain many of these sports rights, especially the EPL, for Nigeria. The recent fall of the naira against the dollar has equally not helped matters.

“Rights for the African continent used to be bought singly, but this changed in 2007 when a competitor, backed by the federal government, forced the EPL to excise Nigeria from the rest of Africa. Now, the cost of the rights for Nigeria has risen to almost the same with the rest of the continent put together, while the number of subscribers in Nigeria is only about one quarter of the rest of the continent.”

Based on this statement, the DSTV has been operating on loss when it comes to football broadcast in Nigeria. The cost of rights for the EPL and UEFA Champions League is about $250 million and €100 million respectively. Paying the huge sum while making less every season has become a burden that MultiChoice needs to shed itself of to stay in business.

Among the factors that have contributed to the loss are the low cost of subscription by Nigerians for EPL and UEFA Champions League matches, and the number of subscribers onboard the football packages. The source said the cost of subscription in Nigeria is below par with other African countries, forcing MultiChoice to consider not renewing the rights for the sake of its survival.

“The cost of subscription in Nigeria continues to lag behind what is paid in the rest of Africa, especially in the face of the falling value of the naira. The company is approaching a situation in which it may be forced to choose between continuing to broadcast the EPL and its business survival,” the source told ThisDay.

While the development has been blamed on the cost of broadcast rights, Nigerian government’s meddlesomeness with the broadcast industry cannot be ignored.

On June 1, DSTV introduced new charges that will reflect the current realities of the situation, but the House of Representatives rejected the move and ordered them to reverse the charges citing COVID-19.

The chairman of the House Ad-hoc Committee on broadcasting, Unyime Idem said the increased charges are unacceptable in the face of COVID-19 pandemic and ordered DSTV to halt every plan they have for increment until further notice.

The Committee also asked the DSTV to implement pay-per-view that Nigerians have been praying for a long time. “We have already made the decision on pay as you go,” Idem told NBC acting chairman Armstrong Idachaba. “We are not here to negotiate; we are only here to inform you of our decision so that you can go and implement it.”

The Committee has been investigating the excesses of the satellite broadcasting company and expressed regret that Nigerians are bitterly complaining about their charges.

“I am sure you must have been hearing of the yearnings of Nigerians for years now, who are the subscribers to these services that they are not happy with the current services they are getting from the providers.

“They have been crying on a daily basis that they are not satisfied with the services they are getting from the providers in terms of high charges, price hike and, most importantly, considering what is obtainable in other countries of the world, that is pay-per-view offer that other countries are giving to their subscribers,” Idem said.

Apart from the issues of charges, the House Committee and the Ministry of Information and Culture have been bent on killing the right of exclusivity in the broadcasting industry. They said it has encouraged monopoly which has favored the DSTV and resulted in the untimely death of many satellite TVs of Nigerian origin that couldn’t compete.

Responding to the Committee’s queries, Idachaba acknowledged what DSTV had said, that Nigerians pay lower than others in other African countries.

Experts have urged the Nigerian government to cease interfering in broadcasting industry business, and allow market forces to determine the growth of the industry.

In less than ten years, three satellite TVS have come and gone in Nigeria: HiTV, TSTV and recently Kwese’. It appears that the DSTV is trying to avoid sharing the same fate.

On Dr. Anu Adepoju and Her Unjustifiable Risk-Taking Clients

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Dr. Anuoluwapo Adepoju, popularly known as Dr. Anu, Dr. Anu Fella or Sisi Anu, the founder of Med Contour Cosmetic Surgery Clinic, Lekki Lagos, was arrested on Wednesday, 1st July, 2020. Her arrest was announced by the Federal Competition and Consumer Protection Commission (FCCPC) on Friday 3rd July, 2020. Dr. Anu was arrested for failing to comply with the FCCPC requirements in an ongoing investigation into some allegations that accused her of practicing cosmetic surgery without proper certification. She was alleged to have failed to provide all the necessary information that would aid the investigation. FCCPC stated that it is suspicious that Dr. Anu carries out illegal activities in her clinic. As it is now, FCCPC has sealed up Med Contour Clinic until further notice.

Dr. Anu is an “uncertified” cosmetic surgeon that owns and runs Med Contour Cosmetic Clinic. She and her services have been social media controversial topics for some time now. The first time I heard about her was sometime in 2019, when one of her patients, Late Nneka Onwuzuligbo, an ex-beauty queen, died from complications that resulted from the liposuction that Dr. Anu performed on her at Med Contour Clinic. Rumour had it then that Dr. Anu fled the country to avoid arrests. It was said that the relatives of Nneka reported her to FCCPC and the commission summoned her to provide documents that certify her to perform cosmetic surgery in the country.

The second time I heard about Dr. Anu was in April this year, when a social media user, with the Instagram handle, Omohtee, cried out about the severe pain she was passing through after undergoing hip reduction surgery in Med Contour. Medical practitioners on social media used that period to educate Nigerians on the dangers of botched cosmetic surgeries, which are common consequences of undergoing plastic surgeries in the hands of quacks. It then turned out that Dr. Anu is not a cosmetic surgeon. She is just a general practitioner, who was said to have graduated from UNILAG/LUTH in 2016/2017. Some quarters even claimed that she opened the clinic while still undergoing her one year internship. These may be termed as hearsay, but the fact remains that Dr. Anu is not a qualified cosmetic surgeon.

The question on our lips should then be, why do Nigerians still patronise her? Or more generally, why do Nigerians patronise quack doctors?

You may be surprised to find out that many Nigerians will still patronise Med Contour Clinic if FCCPC reopens it today. Not only will they patronise the clinic, they will still insist that Dr. Anu performs the surgery on them. Sometimes, it is proper to say that “Nigerians no dey hear word”.

Let’s leave Dr. Anu’s matter for now and ask ourselves why Nigerians patronise quacks.

The reasons why Nigerians patronise quacks, even when they know that they’re quacks, are too numerous to be mentioned. Someone once told me he doesn’t have money for hospitals but I told him that we have General Hospitals and functional Primary Health Centres, where he can pay close to nothing to see qualified doctors. Another person told me that some quacks have the gift of healing and that once you tell them your problem, whatever drugs they recommended for you are sure to work. Of course we also have those that are ignorant and call an ordinary chemist attendant “doctor” and take prescriptions from him. Like I said, the reasons are too many to be mentioned in this piece.

But none of those reasons can hold water in the case of Dr. Anu and her clients. People that don’t have the financial capabilities do not go for cosmetic surgeries. So the case of low income is ruled out. So why do Nigerians still risk patronising Dr. Anu despite knowing that she isn’t qualified to handle such an operation?

A cosmetic surgeon must be a specialist, who passed through several years of training under the supervision of another specialist before he or she is certified. Entrusting your life into the hands of a young lady that just obtained her MBBS, to perform such an operation is a risk that has no justification. Hopefully, Med Contour Clinic will be under lock until Dr. Anu is ready to employ or partner with a specialist that will handle cosmetic surgeries in the clinic. Other than that, more sad news will continue to emanate from her clinic.

Stop hunting, Start farming 

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Stop hunting, Start farming 

 Your advertisement either sells or sucks 

Pick me, pick me. 

This is a tagline for an old popular infomercial by chivita where the orange fruits were screaming at the plucker for a chance to be harvested! 

I guess the orange fruits didn’t know they were about to be killed for human consumption. 

Chivita was making a great impression on the viewers, they showed you a field, and how the very best of the fruits were plucked and hereby processed to the fruit juice you bought. 

This was a well thought out commercial. 

Did you see this advert on TV when you were a bit younger? let me know in the comment section. 

If you’re wondering how this affects your business, you’re about to find out. Stay glued. 

Every Advertisement does two things to your prospect: Hunt or Farm

Let me explain what I mean by hunting and farming

  1. Hunting: This is when an advertisement is going for the kill from the onset. 

Just like our forefathers usually do when they go to the forest, taking an animal back to the tribe was the goal they didn’t care who reared the animal they killed. 

We couldn’t blame them anyway, they had to survive. 

How would you feel, if you had a sales agent come to you without greeting or an introduction and says ‘Buy this white shirt now’… Sounds ridiculous right? 

Well, that’s exactly how your advertisement may be sounding when a reader is going through it. 

I’m sure you can already think of 1 or 2 advertisements that sound exactly like this. They come across as too salesy, they’re just here to make a profit, nothing more, nothing less. 

Hunting passes a message of desperation to your prospects, which makes them more likely to underprice your product and subsequently devalue your product. 

After all, you shouldn’t push your product on them if it really has value. 

  1. Farming: Allow me to brief you on how plants are cultivated on a farm. Corn is an example in this instance. 

The soil is tilled, the seed is buried underground, the soil is regularly watered and weeds are taken away from the surrounding of the maize until it grows big enough to be harvested usually 3 to 4 months. 

Now I agree with you, you may not have this amount of time on your hand to persuade a prospect, but there is an equally good strategy for you to use in an advertisement to cultivate your reader.  

It is called the AIDA formula

A – Your advert must ATTRACT prospect

I – your advert must INTEREST prospect 

D- your advert must create a DESIRE In your prospect 

A- your advert must cause the prospect to take ACTION 

This formula helps you get your desired response from your readers, this formula works whether it is used in articles, podcasts, video, etc. 

Our Attention span is evolving by the day, you have a few seconds to grab your audience’s attention and get them to take your desired action. 

When used creatively, the AIDA formula will help you grab your audience’s attention and help you convert them to clients with ease. 

The Mobilization of Nigeria – Mobile Payment Growth Plot

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Naira

The mobilization of a nation. People are investing on checkout pages with links to make payment. Yes, great websites! But here is the deal: Nigeria is going mobile when it comes to money. Interestingly, despite the setback OPay recently suffered, its remaining payment business is a potent enterprise in Nigeria.

Data source: NIBSS

 

OPay Other Businesses Fail