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SUBSAHARAN AFRICA TV MARKET 9th May 2019 Follow us
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SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

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Page 1: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

SUBSAHARAN AFRICA TV MARKET

9th May 2019

Follow us

Page 2: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

Market-leading data and executive events

to understand the future of TV, Entertainment and Telecom

About us

Our analytics and online

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Page 3: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

Our market research in Africa

100+ Market KPIs

50+ countries

5 years forecast

Market Research on TV, OTT, Broadband & Mobile

Key indicators & analysis by operator & country

Quarterly statistics (subscribers, revenues, technologies)

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Page 4: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

46 COUNTRIES

1 BILLION INHABITANTS

215 MILLION HOUSEHOLDS

SUBSAHARAN COUNTRIES SPECIFICITIES

Nigeria

Ethiopia

DRC

South Africa

TanzaniaKenya

Other

countries

6 countries40 countries

POPULATION IN SSA2018 – %Total population

Source: Dataxis

200

0

Source: World Bank

43% ELECTRIFICATION RATE

40% URBAN POPULATION

COUNTRIES BY POPULATION2018 – Million inhabitants

Page 5: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

ECONOMIC DISPARITIES IN THE REGION

Nigeria

South

Africa

Angola

Other

countries

GDP IN SSA2017 current US Dollars

3 countries43 countries

POPULATION GDP

14% 2%

SSA IN THE WORLD%World penetration - 2018

Source: World Bank

Source: World Bank

Source: Dataxis

>10 000

0

COUNTRIES BY GDP PER CAPITA2017 – current US Dollars

Page 6: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

0

50

100

150

200

250

HOUSEHOLDS TV HOUSEHOLDS PAY TV HOUSEHOLDS

Mil

lio

ns

TV HOUSEHOLDS STRUCTURE

HOUSEHOLDS2018

TV PENETRATION%Total households - 2018

0

10

20

30

40

50

60

Mil

lio

ns

Households TOTAL TV HH

Among the 215 million households of the region, around 102 million have access to television in 2018. Even though the penetration is

progressing, reaching 42% in 2018 compared to 40% in 2017, television has not yet fully penetrated into subsaharan African homes.

215

102

30

Source: Dataxis Source: Dataxis

Page 7: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

FTA TV MARKET ON ITS EARLY STAGES

FTA HOUSEHOLDSNumber of households

0

5

10

15

20

2012 2013 2014 2015 2016 2017 2018

Mil

lio

ns

FTA Terrestrial packages Terrestrial FTA Digital

0

5

10

15

20

25

30

2012 2013 2014 2015 2016 2017 2018

Mil

lio

ns

FTA DTH packages DTH FTA Digital

FTA PACKAGESNumber of households

0

10

20

30

40

50

60

70

80

2013 2014 2015 2016 2017 2018

Mil

lio

ns

Terrestrial FTA Analogue Terrestrial FTA Digital DTH FTA Digital

Source: Dataxis Source: Dataxis

Households receiving exclusively free-to-air channels have been making up most of television households for many years, despite the FTA offers’

limitations in terms of number of channels and quality of content. This model could be revised with the adoption of DTH FTA platforms and the

DTT migration.

Page 8: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

DELAYED TRANSITION TO DIGITAL TELEVISION

DIGITAL SWITCHOVERNumber of households

0

5

10

15

20

25

30

35

40

45

2018 2019 2020 2021 2022 2023

Mil

lio

ns

Terrestrial FTA Analogue Terrestrial FTA Digital Terrestrial PTV Digital

13 mn

11 mn

39 mn

completed

ongoing

not started

Source: Dataxis Source: Dataxis

DSO STATUS BY COUNTRYDigital migration stage - 2018

Page 9: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

UNDER DEVELOPED FTA MARKET

0

0,2

0,4

0,6

0,8

1

1,2

2014 2015 2016 2017 2018

Bil

lio

ns

Total net TV advertising revenues TV Public funding

FTA BROADCASTERS REVENUESUS Dollars

Source: Dataxis

0,7% CAGR 2014-2018

44% GENERATED IN SOUTH AFRICA

19% PUBLIC FUNDING

FTA REVENUES KEY FIGURES2018

Page 10: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

30 MILLION PAY TV SUBSCRIBERS

PAY TV MARKET BY TECHNOLOGYNumber of subscribers

PAY TV MARKET BY COUNTRY2018 – number of subscribers – revenues in US Dollars

Pay TV penetration, although continuously increasing, only represents 30% of TV homes at the end of 2018. The growth could be driven by the

emergence of a young, digital oriented middle class.

Source: DataxisSource: Dataxis

0

5

10

15

20

25

2017 2018

Basic Cable DTT MMDS DTH IPTV OTT PTV

0

1

2

3

4

5

6

0

5

10

15

20

25

30

35

Bil

lio

ns

Mil

lio

ns

Subscribers Revenues

Page 11: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

0

1

2

3

4

5

6

2017 2018

Bil

lio

ns

DTH DTT IPTV Cable TV OTT PTV

A $4,8 BILLION MARKET

PAY TV REVENUES BY TECHNOLOGYUS Dollars

0

20

DTH ARPU IPTV ARPU MMDS ARPU OTT TV ARPU DTT ARPU Cable TV ARPU

2017 2018

PAY TV ARPU BY TECHNOLOGYUS Dollars

4,84,4

Although pay television operators’ ARPUs are globally decreasing, the revenues generated by television subscriptions are progressing and the

pay TV market recorded a 9% growth in 2018. Average amounts payed to receive premium content remain high for the region.

Source: Dataxis Source: Dataxis

Page 12: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

Multichoice Startimes Canal+ Zap Others

Canal+Multichoice Zap Startimes Others

HIGHLY CONCENTRATED MARKET

PAY TV SUBSCRIBERSMarket share by operator - 2018

PAY TV REVENUESMarket share by operator - 2018

Source: Dataxis

Source: Dataxis

Page 13: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

FIXED AND MOBILE CONNECTIVITY BOOM

FIXED BROADBAND EVOLUTIONNumber of subscribers

0

2

4

6

8

10

12

14

16

Q42014 Q42015 Q42016 Q42017 Q42018

Mil

lio

ns

Fttx internet subscribers xDSL subscribers

Fixed wireless broadband subscribers Cable internet subscribers

MOBILE BROADBAND EVOLUTIONNumber of subscribers

131

177

218

255

304

0

50

100

150

200

250

300

350

2014 2015 2016 2017 2018

Mil

lio

ns

3G subscribers 4G subscribers Mobile broadband

Broadband is forecasted to gain in availability and affordability in the coming years and this deployement would create the necessary conditions

for the spread of OTT content consumption.

Source: Dataxis Source: Dataxis

Page 14: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

SOUTH AFRICA BROADBAND MARKET SPECIFICITIES

11

2

4

9

0

1

2

3

4

5

6

7

8

9

10

Q42014 Q42015 Q42016 Q42017 Q42018

Mil

lio

ns

xDSL subscribers Fttx internet subscribers Total wired broadband

FIXED BROADBAND EVOLUTIONNumber of subscribers

OPEN ACCESS NETWORK MODELImplications for FTTx players

A serious boom in fixed connectivity has been observed in South Africa in the recent years: xDSL and fiber connections are increasing at a fast

pace. This surge benefits from South Africa’s specific model, encouraging open access networks.

Source: Dataxis

▪ PRIVATE LOCAL INITIATIVES

▪ REDUCE BARRIERS TO ENTRY FOR NEW ENTRANTS

▪ ENABLES TECHNOLOGY SHIFT FOR EXISTING PLAYERS

▪ ENCOURAGES LAUNCH OF ADVANCED SERVICES

▪ ENCOURAGES LAUNCH OF MULTIPLAY OFFERS

Page 15: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

BEGINNING OF PAY OTT CONTENT DISTRIBUTION

Showmax

Netflix

Iroko

Others

SVOD AND PAY STREAMING SERVICES%Market share by operator

A full develoment of the OTT market would imply in priority an improved connectivity both in terms of coverage and prices, increased payments

possibilities, and strong quality content.

▪ DATA AFFORDABILITY AND AVAILABILITY

▪ PAYMENT METHODS

▪ QUALITY CONTENT

▪ LONG TERM FUNDING

OTT EXPANSION KEY ISSUES

▪ DISTRIBUTION

▪ PIRACY

Source: Dataxis

Page 16: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

CONCLUSION - FORECASTS

0

50

100

150

200

250

300

350

2018 2019 2020 2021 2022 2023

Mil

lio

ns

FTA HOUSEHOLDS PAY TV HOUSEHOLDS HOUSEHOLDS STREAMING SERVICES

DTH

Terrestrial TV

TV FORECASTSNumber of households

TECHNOLOGY SPLIT FORECASTFTA AND PAY TV - 2023

Source: Dataxis Source: Dataxis

Page 17: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

DO NOT MISS NEXTV CEO AFRICA 2019!

14-15-16 May

+150 ATTENDEES

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Contact directly [email protected]

+ 230 5 908 0142

Cape Town

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Page 18: SUBSAHARAN AFRICA TV MARKET - dataxis.com · DTH DTT IPTV Cable TV OTT PTV. A $4,8 BILLION MARKET. PAY TV REVENUES BY TECHNOLOGY. US Dollars. 0 20 DTH ARPU IPTV ARPU MMDS ARPU OTT

THANK YOU FOR YOUR PARTICIPATION!

To access webinar’s recordings & presentation go to www.dataxis.com/webinars/

For any question about the webinar, do not hesitate to contact me :

Sa Eva Nébié

[email protected]

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