5701x1251
Monday, 27 June 2022

Partner(s)

sponsor
5130x118

Good morning!

Dennis here!

Welcome to another week. I saw this tweet and just thought to share it with you.

But more seriously, Nigerians sure love a good tv. A new report shows that Nigerians are leading MultiChoice's subscription revenue.

Below are the tech stories and news you need to know to start your day, carefully curated by Technext.
5130x118

Summary of the news

  • Nigeria brought in the most subscription revenue for MultiChoice
  • A new report shows that TikTok is turning a generation of video addicts into a data goldmine
  • Podcasts revenue has increased by 72 plus per cent between 2020 and 2021
  • kenya's President rejects the ICT bill
5130x118

Nigeria leads Rest of Africa in MultiChoice subscription revenue

Technext Round1
Nigeria seems to be where the oil mine is for MultiChoice. Their report shows that the bulk of their subscription revenue growth was gotten from Nigeria.

Nairametrics reports:

Despite high inflation, fuel shortages and frequent electricity blackouts in Nigeria, South African-based pay-TV operator MultiChoice Group’s full-year 2022 results showed Nigeria leads the Rest of Africa (RoA) in the percentage of subscription revenue and y-o-y subscription growth.

In comparison with other African countries: Kenya, Zambia and Angola, Nigeria ranked first with y-o-y subscription growth of 11% and 43% of subscription revenue in full-year 2022.

Kenya in number 2 sport:

Kenya followed with a drop of 4% in y-o-y subscription growth and 9% growth in subscription revenue during the financial year. Zambia reported a drop of 3% in y-o-y subscription growth and 7% growth in subscription revenues in FY’2022, while Angola trailed with y-o-y subscription growth of 1% and 5% of subscription revenue in FY’2022.

Calvo Mawela, the CEO of MultiChoice Group, said:

Reduced losses in the Rest of Africa (RoA), a rebound in advertising revenues and a continued focus on cost containment enabled us to absorb the R1.1bn ($74.5 million) impact of a normalisation in content costs as live sport returned and we resumed our local content production post the COVID-19 lockdowns.

As a platform of choice, our group will look to further expand our entertainment ecosystem by identifying growth opportunities that leverage our scale and local capabilities.
5130x118

How TikTok is turning a generation of video addicts into a data goldmine

Amazon
There is so much of our data that social media companies have in their arsenal. And these companies have used them to curate our feed and grab our attention. None has been more successful than TikTok in recent years. TikTok seems to be winning the attention game, in part because it has younger users who are prone to spending longer hours on social media.

See below what John Naughton, a professor of the public understanding of technology writes for the Guardian UK on the subject.

Over the last couple of years it [TikTok] has been taking over the social media world, and all the other big platforms – and especially Facebook – seem hypnotised by it, much as rabbits are by the headlights of an oncoming lorry.

Why is this? It’s partly a matter of demographics: 57% of TikTok users are female; 43% are aged between 18 and 24; and only 3.4% are over 55 (and possibly wandered in to TikTok by mistake when they were looking for their true online home, which is now Facebook). You can tell that this hurts because in August 2020 Instagram (which is owned by Facebook/Meta) launched Reels, an editing tool that allowed users to create 15-second video clips and set them to music. Just like TikTok, in fact, only feebler.

TikTok can be a threat to social media giants like Facebook

The existential threat that TikTok poses to the social media giants, though, is not demographic: it’s about attention. As the Nobel economics laureate Herbert Simon pointed out decades ago, in a world where information (and entertainment) is abundant, the critical scarce resource becomes attention and Facebook/Meta et al are now locked in combat for that. Since attention is a finite resource (there are only so many hours in a day) competition between them has become a zero-sum game. The more attention one attracts, the less there is for the others.

And this is where TikTok seems to be winning hands down. Its users currently spend an average of 52 minutes a day on it and 90% of them visit the app more than once a day. According to Scott Galloway, a seasoned observer of the tech world, the average session lasts 11 minutes, which is enough time to watch 26 videos of about 25 seconds each. He tells an instructive story about what that might mean in practice.
5130x118

Podcasts revenue increased by 72% between 2020 and 2021

BitCoin
Podcasts are not dying anytime soon. Rebuking the predictions of analysts who thought that the pandemic would have a negative effect on it, they have come out the other side more successful than they went, with a 72% increase in revenue.

Scott Galloway, the clinical professor of marketing at the New York University's Stern School of Business, who gives opinions about tech on his blog writes:

When the pandemic shut down driving commutes, analysts predicted podcasts would be a casualty. But the opposite happened. During the loneliest era in our society’s history, people craved the contact only audio can provide.

Podcasting became the fastest growing sector of any U.S. media category, with revenue increasing 72% between 2020 and 2021.

Why did podcasts become attractive to advertisers?

Podcasts are attractive to advertisers in part because of the rise of the host-read. When the podcast host moves from the show’s content to reading the ads, it hacks our filters in a way that would require world-class creatives in another medium. Also, podcasting is affordable.

The collision of audio, streaming, and mobile offers low costs for creators and consumers — I can record my podcast from anywhere, my guests can call in from anywhere, and you can listen to it … anywhere.

Why are podcasts so successful?

Podcasting is also a more convenient medium than any visual format. It doesn’t require our full attention, so more of our day is available to podcasters. It’s not as easy to organize or sift through as print, but it’s far easier to access than video.

We may be in a golden age of television, but the average household spends more than 7 minutes a day deciding what to watch on their streaming platforms. If someone recommends a TV show, we must find out what platform it’s on, locate the app, track down the password, and then have an uninterrupted hour of screen time.

In contrast, a podcast is always a few clicks away. Ease of discovery enables the proliferation of new voices.
5130x118
IMG_2567
5130x118

kenya's President rejects the ICT bill

Netflix
Last week, President Uhuru Kenyatta rejected the highly contentious ICT Practitioners Bill. The announcement was made by Kenya’s ICT Cabinet Secretary, Joseph Mucheru, on Twitter.

Mucheru opposed the bill saying:

This ICT Bill is a private member’s bill. As a ministry, we continuously fought against this bill in its various forms.

TechCabal reports that earlier this month, Kenya’s 12th parliament passed the controversial 2020 proposal that seeks to regulate “anyone who employs technologies to collect, process, store or transfer information for a fee”.

Kenya’s parliament has faced a wave of criticism from the public since passing the bill, with over 15,000 people signing this Change.org petition to stop the bill. Notable government officials have also expressed their distaste for the bill.

Presidential candidate, Raila Odinga, who also opposed the bill said:

I find the move to regulate ICT practitioners impractical and counter-productive. It negates the goals and visions of the National ICT Policy and Digital Strategies.
5130x118

Latest in funding

5130x118

Other stories we are following

5130x118
Have a great day!
5701x1251
facebook twitter linkedin instagram youtube 
Email Marketing Powered by MailPoet