MultiChoice mulls weekly subscriptions, sports channel unbundling amid subscriber drop

PayTV operator MultiChoice Group is considering launching a weekly subscription model in Nigeria and other African markets as part of a broader strategy to make its services more flexible and responsive to evolving customer needs.

This follows the launch of a pilot scheme in Uganda, which could be extended continent-wide within the next three to six months if proven successful.

In an interview with South Africa’s Sunday Times, MultiChoice Group CEO Calvo Mawela confirmed that the company began testing the weekly payment option in Uganda seven weeks ago. The goal, he said, is to better align subscription payments with the income flow patterns of customers, especially in countries where people earn on a daily or weekly basis.

“It’s a big change, and we think when people are struggling, as we have seen, offering them weekly passes will help — in the same way prepaid mobile services changed the telecoms industry,” Mawela explained.

The proposed model would mark a significant shift for MultiChoice, whose traditional monthly subscription model has been under pressure due to economic headwinds, especially in high-revenue markets like Nigeria and South Africa.

Beyond weekly billing, Mawela acknowledged growing customer demands for more personalized content offerings. While ruling out a fully à la carte option where users pick every individual channel, he revealed that MultiChoice is exploring a hybrid model.

This would involve a base package, with customers able to add specific channels as needed, potentially enhancing both value perception and customer satisfaction.

“We continue to assess how to improve our packaging structures. Similar to what Sky implemented years ago, we are looking at options like base entertainment bundles with the option to bolt on sports or other genres,” Mawela said.

One of the most notable considerations is the potential unbundling of sports channels into a separate, standalone package—a move that could help retain price-sensitive subscribers who may not consume sports content.

Mawela confirmed that the company has long had an internal project reviewing its product offering and pricing structure annually, and that sports packaging is part of that ongoing review.

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“This is not new for us. Every year, we revisit how our products are structured to see how best to serve our diverse customer base,” he added.

MultiChoice’s latest financial results for the year ending March 31, 2025, offer a snapshot of both recovery and lingering challenges. The group reported a net profit of R2.02 billion, a dramatic reversal from the R2.52 billion loss posted the previous year. The return to profitability was largely due to the sale of a 60% stake in its insurance business to Sanlam in November 2024.

However, overall group revenue fell by 9% year-on-year, mainly due to an 11% decline in subscription revenue. While the South African market showed marginal growth with revenue climbing to R41.73 billion, its Rest of Africa (RoA) operations—including Nigeria—and the Showmax streaming platform struggled.

The Rest of Africa segment has experienced a significant subscriber decline, losing 1.8 million customers over two years, bringing the total from 9.3 million in 2023 to 7.5 million in 2025. Nigeria alone accounted for a staggering 77% of this drop, shedding 1.4 million subscribers within the same period.

The steep losses in Nigeria have been linked to a combination of macroeconomic instability, currency devaluation, rising inflation, and subscription affordability issues.

With pressure mounting on its traditional subscription model, MultiChoice appears determined to recalibrate its approach to content delivery and pricing. The pilot weekly billing option, if successful in Uganda, could help restore growth in high-risk markets like Nigeria, where economic constraints have sharply affected pay-TV uptake.

Industry analysts suggest that greater flexibility, whether in billing frequency or content bundling, may be key to reversing subscriber attrition and maintaining MultiChoice’s dominance in Africa’s increasingly competitive digital entertainment landscape.