• Saturday, May 25, 2024
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BusinessDay

Nigerians to pay more for DSTV as MultiChoice up prices, again

Wanted: Ministry of Multichoice and government palliatives for Nigeria

Nigerians will have to pay more for cable TV as MultiChoice implements another price increase for its DStv and GOtv services.

This is the company’s first price increase in 2024, but it marks its third in almost a year. It attributed the latest increase, effective May 1, 2024, to increased operational expenses.

With the latest price hike, the DStv Premium package increased by 25.42 percent to 37,000 from 29,500. Similarly, the DStv Compact+ has risen by 26.26 percent to N25,000 from N19,800, while the Compact package increased by 25.6 percent to N15,700 from N12,500.

Other packages, including Confam, have increased to N9,300 from N7,400; Yanga has risen to N5,100 from N4,200, and Padi has increased to N3,600 from N2,950.

Meanwhile, subscribers on the GOtv Supa+ package will now pay N15,700 against N12,500; the Supa package has increased to N9,600 from N7,600; and Max subscribers will now pay N7,200 from N5,700.

Also, the GOtv Jolli package price will increase to N4,850 from N3,950, while the prices of the GOtv Jinja and GOtv Lite will rise from N2,700 to N3,300 and from N1,300 to N1,575, respectively.

Read also: MultiChoice chairman leaves as takeover talks thicken

About a year ago, the company increased the prices of its DStv and GOtv packages in response to Nigeria’s rising inflation. The company noted that the increase was due to the various economic challenges impacting its business operations. In November 2023, MultiChoice further hiked the prices of DStv and GOtv packages.

Record-high inflation, reaching 33.2 percent in March 2024, and the naira’s devaluation have forced many companies to adjust prices. This trend began in 2023 and has continued in 2024.

Examples include Nigerian Breweries Plc, which raised prices twice between February and March 2024 because of rising production costs. Similarly, Guinness Nigeria Plc and International Breweries Plc announced an upward increase in the prices of their beer, malt, and other products in March. Netflix also recently reviewed its prices in the country to “respond to local market changes.”

The combined effect of inflation, devaluation, and high energy costs is squeezing businesses while weakening Nigerians’ purchasing power.

“The economy is becoming smaller in dollar terms, resulting in lower per capita income. This could suggest that the market is now less attractive,” Temitope Omosuyi, investment strategy manager at Afrinvest Limited, told BusinessDay recently.

Following its 2023 slip from Africa’s largest economy, Nigeria’s position is projected to fall further to fourth place due to a series of currency devaluations, International Monetary Fund forecasts.