“mobile data usage and revenues are growing strongly in ... 2015...dstv subscriber base in africa...

“Mobile data usage and revenues are growing

strongly in Africa, and at a significantly faster

rate than voice revenues, albeit from a fairly low

base. Annual mobile data revenues on the

continent are expected to rise from US$8.53

billion in 2012 to US$23.16 billion in 2018. Data

accounted for 14.3% of mobile service revenues in

Africa in 2012 but will account for 26.8% in 2018”

Source: Informa Telecoms & Media

2

Smart phone penetration is on the increase, thereby

encouraging consumption of mobile data

Mobile Data is becoming more affordable and

accessible

The market is increasingly demanding for local

content

Sub-Saharan Africa has been the world’s fastest-

growing mobile region over the last five years and is

forecast to continue to lead global growth through

2020 --- GSMA Intelligence Report

INTRODUCTION

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NIGERIA, MOBILE SERVICE USAGE, CONSUMER SURVEY 2013

4

HOW ENTERTAINMENT WILL DRIVE BROADBAND

Video

Music

Gaming

Social Networking

Streaming

Instant Messaging

Mobile Applications

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HOW ENTERTAINMENT WILL DRIVE BROADBAND ---MOVIES & FILMS

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Increase in localized movie content, very little are currently

consumed by broadband

On an annual basis, there are between 1000 and 2000 new

productions, with as many as 200 new productions per month

The Nigerian film industry is worth NG₦853.9 billion (US$5.1

billion) as at 2014**

In 2008, UNESCO described Nollywood as the second-largest film

industry after India’s Bollywood in output and the second-largest

employer of labour in Nigeria***

Motion pictures, sound recording and music production are

collectively now worth billions of pounds, and constitute 1.4% of the

country’s £307bn GDP, according to the Nigeria Bureau of

Statistics.

Sources:

* Nollywood Babylon

** Liston, Enjoli (10 April 2014). "Hello Nollywood: how Nigeria became Africa's biggest economy overnight". The

Guardian Newspaper. The Guardian. Retrieved 12 April 2014

***Clayton, Jonathan (3 April 2010). "Nollywood success puts Nigeria’s film industry in regional spotlight". The

Times. Retrieved 3 April 2010.

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HOW ENTERTAINMENT WILL DRIVE BROADBAND --- THE NIGERIA MUSIC INDUSTRY

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The music business continues to expand into new markets and create new business models, attracting more users to digital music services and bringing artists to a wider global audience

In 2014, the industry’s global digital revenues increased by 6.9 per cent to US$6.85 billion. For the first time, the industry derived the same proportion of revenues from digital channels (46%) as physical format sales (46%) (http://www.ifpi.org/facts-and-stats.php )

The Nigerian music industry produces an average of 550 albums of different types of music annually

An estimated 1,200 concerts and musical shows take place every year and account for a combined annual turnover of US$105.5 million

In 2008, the industry had 30 million legal record sales with a value of just over US$9.3 million while concerts and music shows generated an annual turnover of US$105.5 million

Nigeria’s entertainment and media revenues will reach an estimated US$8.5bn in 2018, more than doubling from the 2013 figure of US$4.0bn at a CAGR of 16.1%

There is an increased consumption of local content by Nigerians and Africans in recent times – this is in terms of music, fashion and many others

A report by PriceWaterHouseCoopers has estimated that “Nigeria’s entertainment and media industries’ revenues will grow at a compound annual growth rate (CAGR) of 16.1 per cent from $4 billion in 2013 to an $8.5 billion in 2018.”

HOW ENTERTAINMENT WILL DRIVE BROADBAND --- MUSIC

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http://www.ifpi.org/facts-and-stats.php






The industry is becoming less reliant on income from physical format sales

In 2013, 7.4bn songs were streamed in the UK, doubling the previous year's total of 3.7bn (Source: https://www.bpi.co.uk/)

Streaming subscription services are currently worth £103m, an equivalence of 10% of the overall value of the UK music market (Source: https://www.bpi.co.uk/)

Revenues from advertising-supported streaming services, such as YouTube and Vevo, are also growing — up 38.6 per cent in 2014 (http://www.ifpi.org/facts-and-stats.php)

An estimated 41 million people paid for music subscription services in 2014, five times the level of eight million people in 2010 (http://www.ifpi.org/facts-and-stats.php )

"Digital music consumption continues its robust growth, with On-Demand streaming up 54% over last year and 164 billion song streams being played in 2014 ," - David Bakula, SVP Industry Insights, Nielsen Entertainment.

HOW ENTERTAINMENT WILL DRIVE BROADBAND - MUSIC &VIDEO STREAMING

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https://www.bpi.co.uk/

















Popular Content Genres

Religious

Entertainment (Movies & TV Series)

Sports (Football)

DSTV subscriber base in Africa :

5.6 million subscribers to 6.7 million

between 2012 & 2013

(Naspers)

DSTV subscriber growth rate:

over 1.1 million per year.

(Naspers)


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$72

$81 $81 $82 $81 $79

$72

DStv premium package

price

$50 $51

$52 $52 $48

DStv Compact Plus

package price

$31 $31 $32 $32

$30

$32 $32

DStv Compact package

price

13


HOW ENTERTAINMENT WILL DRIVE BROADBAND --- GAMING

14


Source: www.statista.com 15

Source: www.statista.com


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There are 100+ million U.S. mobile gamers (almost 1/3 of the nation’s population) 3

The mobile gaming industry is predicted to reach $54 billion by 20157

Mobile games are the most popular App Category1

93% of app downloaders who pay for an app, pay for a mobile gaming app

70-80% of all mobile downloads are games4

Time spent on tablets playing games has overtaken time spent watching videos,

listening to music, and reading magazines2

Highest percentage of mobile games are played in the bedroom2

Online Multiplayer Gaming is a naturally competitive and self-sustaining eco-

system that motivates and drives itself

52% of gamers play for more than one hour a day2

53% of smartphone owners play mobile games daily2

66% of tablet owners play social games daily2

People spend an average of 7.8 hours a month gaming on their phones2


Sources:

1. Socialnomics – “Social Gaming Infographic: 81 Million Play Each Day + More Stats”

2. Wired – “Mobile Kills the Console But Advances the Gaming Industry”

3. iQU – “Mobile Game Stats You Need To Know: Infographic”

4. DigitalBuzz – “Infographic: Mobile Gaming Statistics 2011”

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HOW ENTERTAINMENT WILL DRIVE BROADBAND --- SOCIAL NETWORKING

Top Social Websites in Africa

Facebook,

Youtube

Wikipedia

Instagram

Eskimi

Twitter

SnapChat

Blacbberry Messenger

Whatsapp

WeChat

Linkedin

GooglePlay

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The top place in each country, for most-visited domains, is almost exclusively reserved for Facebook or Google. Facebook is four times as prevalent in the top spot of most accessed domain for African Opera Mini users, with 41 top placements, compared to Google's 9 places

Other international domains, including Wikipedia, Yahoo! and YouTube, are also up there in the top-ten lists of African Opera Mini users.

Local websites are, to a lesser degree, represented in the top-ten lists for each country. A closer look at these sites shows some interesting differences in the various countries. For example, Botswana has educational sites such as Botswana Educational Council very highly ranked, presumably to check enrollment and grades. Other countries, one being Libya, have local lifestyle sites like Sedty high on the most-visited lists.


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Before now, people often go out or invite friends to be ‘social’.

‘Social has recently gone digital and at a much higher speed.

Social is now the top Internet activity: Americans spend an average of 37 minutes daily on social media, a higher time-spend than any other major Internet activity, including email.

Social-mobile rules: About 60% of social media time is spent not on desktop computers but on smartphones and tablets.

Opera mini

Compresses data to 90% to save consumer costs and improve browsing experience.

267 million unique subscribers as at April 2014.

177 billion pages served.


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Accessibility to local content

Ease of payments

Cost of data

Quality of data

Data availability & access

Access to data enabled devices

Piracy

Regulations

Power supply issues

CONCLUSION

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“mobile data usage and revenues are growing strongly in ... 2015...dstv subscriber base in africa...

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