ott in africa overcome challenges and maximise success

How to fail -‐ Lesson 1

Ignore OTT

1. Ignore this

2010

1. Ignore this too (it’s just another graph)

1. Ignore this orange one as well

0%

10%

20%

30%

40%

50%

60%

Stream movies Stream TV Prefer live TV

DeloiIe April 2015 – independent study of 2,076 consumers in USA. 8 years aSer TV networks started streaming seriously.

A bit more from DeloiIe

But, they’re Americans …

1. Also ignore this

•  By 2017 service revenues from the sale of mobile broadband will exceed all expenditure on all media.

•  Government receives windfalls from selling spectrum

•  Mobile will win!

Cartoon by Dominic Burbidge


Wait

Lesson 2 – Wait for the market to be ready

•  Create lots of PowerPoints, use lots of clipart of different devices to illustrate convergence and write business cases and proposals

•  But do nothing, in case you make a mistake


•  Explain that – “Africa is different” – There isn’t any money & people don’t have bank accounts – Data costs are too high – Viewers don’t want to pay for content


Rwanda has made leaps and bounds with regards to its internet infrastructure…

But, they’re Rwandans…


Africa Outside Africa

457% annual growth in Africa in 2014

$5 pm

But, they’re Nigerians…


Let the engineers build it all themselves

Lesson 3 – Build it all yourselves

•  Buy lots of equipment •  Hire lots of developers, and project managers •  Build a custom solufon, just for you •  Once you’ve built it, it’s finished •  Collect the money •  …. Except, things keep changing!

Lesson 3 – Build it all yourselves

•  Or ignore me, and take advantage of – Exisfng plaiorms – Exisfng payment systems – Exisfng Content Delivery Networks – Exisfng subscriber management systems – and get to market quickly … and evolve


Avoid partnerships

4. Avoid partnerships

4. Avoid partnerships

•  These companies have got it all wrong: – Vodafone + Iroko in Ghana

•  6,000 movies if you sign up to fixed broadband

– Zantel + local content producers in Zanzibar – MTN Côte d’Ivoire + Summview (OTT plaiorm) – Vidi + Vodacom for payments in South Africa – Tigo + Iroko in Rwanda – All broadcasters in UK + all major telcos


Assume you and your team know it all

5. Assume you and your team know it all

•  You are playing in an internafonal market – Your compeftors are not just African – Sweden’s MTG is behind Iroko – France’s TF1 is behind Afrostream – 5% of South Africa internet users access Neilix1 – Youtube and Facebook

•  But whatever you do, don’t learn from outside of Africa because you are different

1 GlobalWebIndex Jan 2015


•  Broadcast survey indicates – Lack of understanding – Lack of trained staff

•  So, if you want to fail: – don’t invest in training – don’t look at what works elsewhere & – do ignore universal rules e.g.


Data from Conviva, Q1 2015

1.  Ignore OTT 2.  Wait for the market to be ready 3.  Build everything yourself 4.  Don’t partner 5.  Assume there’s nothing more to learn

How to fail – exec summary

Or if you want to succeed ..

•  Focus on: •  Your Audience – Broadcast to them wherever they are

•  Your Brand – Don’t get submerged below a plaiorm’s brand

•  Your Content – Keep creafng great local content to reinforce your brand to your audience – its where the value is

1.  Know the OTT market 2.  Start now, understand your audience and

then get beIer 3.  Use the best systems that already exist 4.  Partner 5.  Train your team

How to win – exec summary

Jukwa.com – strategic consultants for OTT

•  Quesfons? •  [email protected] •  LinkedIn ‘Philip Haggar’ –  Readiness audit –  Strategic planning –  Training –  Supplier recommendafons –  Launch plan, monitor, evolve ..

ott in africa overcome challenges and maximise success

Data & Analytics