DTT migration: lessons from an African perspective

But, there are critical lessons to be learned if they are to overcome the red tape, flawed policies and all sorts of hazards.

DTT, the new frontier

Speaking this week at the Africa Media and Broadcasting 2010 Congress in Johannesburg, Ghana-born Joe Frans, Next Generation Broadcasting (NGB) Africa president, said: "Whether we like it or not, DTT migration will happen, and this is the right time.

"This is a new frontier. Although we don't know where it will take us, it is a technology that will be directed at the mass consumer market. It is a dominant market with big players, so we will need to cooperate."

Frans said that while DTT will offer an unending list of benefits, such as allowing for additional channels, new profitable business models, local focus to stimulate local content and local production industry, it will also create many problems for those who will fail to understand its value chain changes.

He said: "Do it locally, with local partners. Do it right and with the right technology. Be aware of cheap technology."

Scramble in African countries

In line with the recommendations of the International Telecommunications Union (ITU), every country in the planet should switch to DTT by 2015. Since then, there has been a scramble in many African countries to meet this deadline, but some of them said they need more time, clear policies and more financial clout to embark on such a daring exercise.

Sweden-based Frans had this advice for operators: "Do it assiduously, with the right process. The government might say policy will be ready in a year's time, and you plan around this timeframe and you are told later that the policy will only be ready after two years.

"Don't give up. You need to be resilient. Africa is a tedious terrain, so be patient. You need to stay put. You need to do it according to the policies and frameworks of the country, don't push policy."

Affordability matters

Unpacking what he called the '10 commandments of a successful DTT', Frans said affordability must be the name of the game in this project. "Affordability matters. You need to ensure that you have a price that is affordable to your customers.

"Balance between price and content, safeguard production quality, find the perfect balance between international and local content. The challenges for pay TV is to bring quality programmes that people are willing to pay. You say content is king but I say relevant content is supreme.

"You need to know your customers. Communicate and engage with them. Find out what they want. Research is critical in this regard. Just because the people live in rural areas doesn't mean they don't care or don't want quality programmes."

He also urged operators to control their costs and avoid buying what he called 'outrageously' expensive rights. "If you are creating content for a group of customers, make sure they will afford it. Also control your churn.

"Don't forget that you are here to sell. A continuous sale process means you have the right product to deliver to the customers. Figure out the way to add values to create new revenue streams."