Monday, October 17, 2011

BREAKING. Subscribers told that the 2 separate bouquets of Vodacom's DStv Select pay TV offering will now be run directly by MultiChoice.


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I can reveal that just over 3 years since it was launched with big fanfare, that Vodacom's DStv Select pay TV service will now be run and administered directly by MultiChoice. It means that the exclusive pay TV agency agreement between Vodacom and MultiChoice has been quietly terminated.

Vodacom has been offering the sell-through DStv Select and DStv Select bouquets costing R148 per month. Now DStv Select 1 and DStv Select 2 will be directly administated by MultiChoice with Vodacom informing DStv Select subscribers in writing that ''from 1 October we will no longer offer the DStv Select product through Vodacom''.

Previously MultiChoice dealt with technical support queries for Vodacom's DStv Select 1 and Select 2 directly, but it was in essence a separate Vodacom product, sold and marketed by Vodacom to Vodacom and non-Vodcom customers. Now, in a surprise change, and not announced to the press, although subscribers are phoned individually, the full customer management and billing service for these bouquets will be directly managed by MultiChoice.

I'm told that DStv Select subscribers who are either subscribed to DStv Select 1 or DStv Select 2 are getting letters from Vodacom and are individually called by MultiChoice telling them about the change. DStv Select subscribers are told that Vodacom will no longer be responsible for working with, and dealing with DStv Select accounts, and that their company-client entry point will now be MultiChoice directly. From the perspective of the end-consumer and DStv Select subscriber nothing will really change, except that they will now be directly dealing with MultiChoice and getting their monthly account directly from MultiChoice, instead of from Vodacom.

In a copy of one of these letters that TV with Thinus has obtained, subscribers are informed that ''you will continue to receive the DStv Select bouquet as usual, and your channel line-up and subscription fee amount will not be affected by this change. However, as regards the billing arrangements you will receive your DStv Select statements directly from MultiChoice. To ensure your continued viewing pleasure, MultiChoice will be contacting you to assist with transferring your payment details.''

Vodacom introduced DStv Select as a cheaper bouquet with a smaller selection of channels in June 2007 as Vodacom formalised its entry into South Africa's broadcasting and multimedia market. Vodacom secured an exclusive pay TV agency agreement with MultiChoice and launched DStv Select 1 and DStv Select 2 in June 2007. At launch Vodacom said it expected ''strong growth'' for its DStv Select 1 and DStv Select 2 satellite TV bouquets.

DStv Select subscribers tell me no pressure has been put on them to upgrade to other DStv bouquets or packages like DStv Lite or DStv Compact. One told me that ''a friendly woman from MultiChoice was on the phone for me for almost half an hour this past week to explain everything to me. Vodacom also sent a letter saying MultiChoice is now going to send me the account from the end of the month.''

A call centre operator at Vodacom's helpline number under the DStv Select option told me very late on Sunday night that ''Vodacom has given it over to MultiChoice but don't worry nothing will actually change''.

Whether MultiChoice will now keep and promote DStv Select 1 and DStv Select 2 as actively-offered bouquets, or whether sign-up will be restricted and the existing subscriber base of these bouquets allowed to atrophy though natural attrition, is not immediately clear.

Media enquiries made to MultiChoice regarding DStv Select were not returned but were made late on Sunday night when TV with Thinus first became aware of this. UPDATE: MultiChoice has now responded and says 'MultiChoice and Vodacom have agreed that DStv Select will be managed by MutiChoice only.'

ALSO READ: MultiChoice on DStv Select changes: ''MultiChoice and Vodacom have agreed that DStv Select will be managed by MultiChoice only.''