The Impact of Over-the-Top Television Services on Pay-Television Subscription Services in South Africa
Globally, developments and innovations in television technology, including the launch and growth of over-the-top television services (OTT TV), have affected traditional pay-TV operators’ ability to grow a subscriber base and retain existing customers. Despite attempts made by the Independent Communi...
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doaj-1d5f0b27cdb84f6bbbe36b841deb22422020-11-25T04:07:02ZengMDPI AGJournal of Open Innovation: Technology, Market and Complexity2199-85312020-11-01613913910.3390/joitmc6040139The Impact of Over-the-Top Television Services on Pay-Television Subscription Services in South AfricaNokuphiwa Udoakpan0Robertson Khan Tengeh1Graduate Centre for Management, Faculty of Business and Management Sciences, Cape Peninsula University of Technology, Cape Town 7535, South AfricaGraduate Centre for Management, Faculty of Business and Management Sciences, Cape Peninsula University of Technology, Cape Town 7535, South AfricaGlobally, developments and innovations in television technology, including the launch and growth of over-the-top television services (OTT TV), have affected traditional pay-TV operators’ ability to grow a subscriber base and retain existing customers. Despite attempts made by the Independent Communications Authority of South Africa (ICASA) to ascertain the impact of the OTT TV on pay-TV services, the results have remained inconclusive. In the absence of a comprehensive assessment and credible evidence, this paper sought to ascertain the impact that OTT TV services have on traditional pay-TV services in South Africa. A quantitative research method was adopted using a non-probability sampling technique for data collection. A total of 391 responses were collected utilising an online survey questionnaire and analysed using descriptive statistics on IBM<sup>®</sup> SPSS<sup>®</sup> version 26. The main findings of the study showed that OTT TV services are a complementary service to pay-TV services as opposed to a substitute. Low-income earners are using free/paid mobile applications to consume TV content, and for those who have neither OTT TV nor pay-TV services, free-to-air services are the preferred platform for TV consumption. This study benefits all stakeholders in digital media and business strategy, as well as marketing students.https://www.mdpi.com/2199-8531/6/4/139over-the-top television (OTT TV)Pay-TVcord-cuttingcord-shavingcord-nevers |
collection |
DOAJ |
language |
English |
format |
Article |
sources |
DOAJ |
author |
Nokuphiwa Udoakpan Robertson Khan Tengeh |
spellingShingle |
Nokuphiwa Udoakpan Robertson Khan Tengeh The Impact of Over-the-Top Television Services on Pay-Television Subscription Services in South Africa Journal of Open Innovation: Technology, Market and Complexity over-the-top television (OTT TV) Pay-TV cord-cutting cord-shaving cord-nevers |
author_facet |
Nokuphiwa Udoakpan Robertson Khan Tengeh |
author_sort |
Nokuphiwa Udoakpan |
title |
The Impact of Over-the-Top Television Services on Pay-Television Subscription Services in South Africa |
title_short |
The Impact of Over-the-Top Television Services on Pay-Television Subscription Services in South Africa |
title_full |
The Impact of Over-the-Top Television Services on Pay-Television Subscription Services in South Africa |
title_fullStr |
The Impact of Over-the-Top Television Services on Pay-Television Subscription Services in South Africa |
title_full_unstemmed |
The Impact of Over-the-Top Television Services on Pay-Television Subscription Services in South Africa |
title_sort |
impact of over-the-top television services on pay-television subscription services in south africa |
publisher |
MDPI AG |
series |
Journal of Open Innovation: Technology, Market and Complexity |
issn |
2199-8531 |
publishDate |
2020-11-01 |
description |
Globally, developments and innovations in television technology, including the launch and growth of over-the-top television services (OTT TV), have affected traditional pay-TV operators’ ability to grow a subscriber base and retain existing customers. Despite attempts made by the Independent Communications Authority of South Africa (ICASA) to ascertain the impact of the OTT TV on pay-TV services, the results have remained inconclusive. In the absence of a comprehensive assessment and credible evidence, this paper sought to ascertain the impact that OTT TV services have on traditional pay-TV services in South Africa. A quantitative research method was adopted using a non-probability sampling technique for data collection. A total of 391 responses were collected utilising an online survey questionnaire and analysed using descriptive statistics on IBM<sup>®</sup> SPSS<sup>®</sup> version 26. The main findings of the study showed that OTT TV services are a complementary service to pay-TV services as opposed to a substitute. Low-income earners are using free/paid mobile applications to consume TV content, and for those who have neither OTT TV nor pay-TV services, free-to-air services are the preferred platform for TV consumption. This study benefits all stakeholders in digital media and business strategy, as well as marketing students. |
topic |
over-the-top television (OTT TV) Pay-TV cord-cutting cord-shaving cord-nevers |
url |
https://www.mdpi.com/2199-8531/6/4/139 |
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