GOtv cuts prices to ward off competition

THE entry of newest digital Pay TV channels StarTimes Media has prompted rival GOtv to reduce its prices as competition hots up in the market. GOtv has announced price changes slashing the price of its monthly subscription bouquet by 16.8 per cent from the previous Sh720 to Sh599 effective immediately.
The price of its bundle package which includes three months subscription and a decoder has been reduced by 10.9 per cent to Sh4,900 from Sh5,500. “With this kind of pricing, GOtv has perfectly positioned itself as a leader in the digital arena and thus, will play a pivotal role towards accelerating Kenya’s digital migration process by end of 2012,” said GOtv General Manager, Felix Kyengo.
Kyengo noted that GOtv, a subsidiary of pay tv market leader DSTV, aims to deliver digital television entertainment on the advanced DVB-T2 network. The government has recently removed taxes on decoders to make them more affordable and speed up migration from analogue to digital TV usage.
The digital signal provides for better picture and sound quality than analogue. It also offers multiple programming, through multi-casting, and provides for interactive capabilities. GOtv which is currently only available in Mombasa, Nairobi and Kisumu broadcasts a mix of subscription and free to air channels such as Africa Magic World, Africa Magic Swahili, Select Sport, One Gospel, E! Entertainment, Channel O, eTV Africa and local channels such as KBC, NTV, KTN, Citizen TV.
Startimes Media, Chinese firm, launched its services late July after one month of testing increasing variety for local viewers. Another firm targeting this growing market, Smart TV collapsed soon after preliminary broadcasts due to challenges associated with the capital intensive business.