Digital Pay TV, commercially viable in Ghana - Willson Arthur - CEO Skyy Digital Group
This week Africa Business Communities speak to Wilson Arthur, Chief Executive Officer (CEO), of Skyy Digital Group.
The first Ghanaian private pay television provider, Skyy Digital TV is set to be the fastest growing television outlet in Ghana.
Tell us about Skyy Digital Group
“We started Media business with Skyy Power fm with partners – Adwoa Amofah (wife) and elder brother Kennedy Arthur in Takoradi in October 1997 from a 3 bedroom rented flat. In five years time, Skyy brand grew into a multimedia brand with Skyy Power fm in Takoradi, Skyy Focus monthly newspaper and Ashh 1001.1fm in Kumasi which we sold to Kencity Media in 2005. We also went into leisure Industry by setting up Skyy Beach Haven Resort at the Sekondi fishing Habour by the Atlantic Ocean. More significantly, we moved into Skyy house Offices and studio complex at 19/20 West Fijai to celebrate our 5th Anniversary. We went into TV in 2004 November with a four channel MMDS channels. We went into TV to satisfy the need for a local TV service that champions the course of Western Region. We chose MMDS Technology so we could offer multiple channels. This was against the backdrop that previous MMDS TV services had not been commercially viable – Frontomfrom had collapsed in Kumasi so was TV Agoro managed by Ohene Ntow. Crystal TV in Kumasi was stagnant so was Cable Gold in Tema. But skyy TV was very successful and commercially viable. We had over 75,000 MMDS antennas installed by January 2008. The Ghana National communication Authority informed us that they would not renew our MMDS License because TV in Ghana was going digital. We took advantage to swap our MMDS frequencies for Digital authorizations to set up Ghana and Africa’s first Digital Terrestrial TV distribution and broadcasting Infrastructure using microwaves and DVB-T transmission system. In addition, we engineered 100 creative channel bouquet including five custom Channels packaged in house. Skyy digital service was launched in Feb. 2008. This include Ghana’s version of C –Span, Channel D and a regional TV service – Skyy One that broadcast exclusive local content to specific regions. Skyy Plus was launched two months ago – offering 22 plus premium TV Channels on Mpeg4 decoder at $100 per month subscription. This is a commercial collaboration between Wilsad support Limited and New Generation Broadcasting operating in Ghana under the brand name, Smart TV.”
What is the core business of the holding company of the skyy media group, Wilsad Support Limited?
“The core business of Wilsad Sopport Limited is multimedia media solutions. We have Skyy Power Fm (Western Region), Skyy digital TV and Skyy DTT Infrastructure service nationwide, Skyy Focus newspaper and soon Prime 89.1fm, Accra (in partnership with PRIMETIME Investments Ltd).”
Do you plan to expand service into other regions, such as West Africa? If so, when do you expect this to get underway?
“Skyy digital Liberia has FM and Free to air TV license as well as digital TV DTT and Pay TV license and we are on course to begin service before end of the year. Our plan is to connect the rest of the manor river states before end of 2012.”
What impact has Skyy Digital TV has made in Ghana so far?
“With Africa’s and Ghana’s first 500km DTT infrastructure, networking the five major commercial cities of Ghana serving world class blend of local and foreign value digital TV value content to well over one million eyeballs and still counting, Skyy Digital brand has pioneered Africa’s digital TV migration in style. More significantly, it is 10000% owned by Wilsad support Limited, a Ghanaian local investment.”
Speculations were ripe that the introduction of MultiTV would weaken Skyy Digital TV's in the market, how true was that?
“Of course with Multi offering 100 or more free multiple TV service in addition to the fifteen analogue free to air TV Channels on the market impacts on the demand for pay Tv service. Multi had the added advantage of six sister FM stations promotional support and the financial muscle to afford EUFA Champions league and other premium content. Yes, Skyy digital would certainly have sold more without Multi TV in the market. But their free satellite TV model will be tested over time because Advertising money for TV in Ghana is not enough and then again DVB-T is the digital format the nation has adopted and not satellite technology. In a nutshell, Skyy digital is the strategic investment.”
How is your subscriber's loyalty?
“We have a free to air bouquet and a pay service bouquet. We are doing fine with subscriber loyalty but there is room for improvement. It is very clear premium Live sports Content is the driver of Subscriber loyalty in Ghana. This explains why we have teamed with New Generation Broadcast to create Skyy Plus. The Sky is the limit when it comes to Skyy Plus.”
Is digital Pay TV market in Ghana an extreme competitive business?
“Yes but the real competition is coming from the analogue free to air TV service providers and of course Multi TV.”
What sort of content do you develop?
“Transformational knowledge content and providing free platform for issue based current affairs dialogue that is shaping our development. We have knowledge TV, Channels D and Skyy One doing that. Then we have Fiesta Music Channels that celebrates our music – a 10000% Ghana Music channel that airs clean Music videos and Musical events for free. It’s a free to air channel. We package a foreign Music Channel we call MW (Music World) and the best Children’s Channel in Ghana called Planet Kids that combines content from Smile of a Child TV and locally produced Content. We also package our own Movie Channel called Cinimax.”
Give us examples of new initiative that has been developed in-house and that has become a successful reality, from drawing board to production line.
“The Channel D featuring Knowledge TV is a major success. We just won the Civil Society of Ghana Media of the Year (200100) Award. Other massive hits include our Youth TV programme called Young Adultz which airs live on Saturdays 4:30pm, Kwame ne Kwame reality show which airs on Saturday’s 8:30am – 9:00am et al.”
Are there any further developments or Orbit projects you'd like to comment on?
“I have a 20acre land ready for Ghana’s Movie and Media University as well as production complex in oil rich Western Region of Ghana. We are interested in genuine investors.”
What message would you wish to pass across for investors who wish to invest in the sector?
“Ghana may not have the population but it is certainly the door to the African Market. If it is from or works in Ghana, it will be accepted Africa-wide. Ghana is the place to be. We are open to genuine investors to complete our nationwide DTT infrastructure and the Media and Movie University Project.”
This article was originally posted on West Africa Business Communities
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