‘Free’ streaming service debuts in SA, partners with MTN

eMedia Holdings has launched a free streaming platform, eVOD (e-Video on Demand), in a three-year partnership with mobile telecommunications partner MTN.

The eVOD app will allow audiences to stream exclusive and locally produced shows and movies on Android and Apple devices at their own convenience and will offer a combination of free and paid-for content at the viewers’ discretion.

Latest statistics reveal that smart mobile penetration in South Africa is currently at 95%. According to Statista, about 22 million people are smartphone users, which makes up one third of the country’s population. This number is forecast to grow by more than five million by 2023.

Market penetration

“Although the market is very crowded, almost all these services focus on paid subscriptions,” says Jason Lobel, Senior Manager at Over-the-Top Video at MTN South Africa. “As such, overall penetration of streaming video services is still low when considering the number of active smartphones in the market.”

“eVOD is well positioned to capture this market by offering both a sizeable free tier as well as a premium content offering at an affordable subscription price.”

eMedia’s exclusive partnership with MTN will enable 32 million MTN users and other network subscribers to watch never seen before dramas and movies on any device at any time. Moreover, MTN customers who subscribe to eVOD will get 4GB of data free every month to enable them to stream their favourite dramas and movies. eMedia Group says this offer is extended to all MTN customers on both the free and subscription models of eVOD until January 31, 2022.

The eVOD subscription model is as follows:

• R5 per day, paid for with MTN airtime;
• R15 per week, paid for with MTN airtime or credit card; or
• R99 per month, paid for with MTN airtime, a credit card or through the App Store.

“Entertainment and viewing have evolved with on-demand video offerings and we are proud to partner with eMedia Investments to bring this exciting service to our market,” says Ernst Fonternel, chief digital officer at MTN SA.

“We share the same belief that everyone deserves the benefit of connectivity and entertainment of their choice. Our network and digital capabilities will ensure that South Africans get to see exclusive content their way, whenever they want to.”

Sneak previews

In addition to eVOD’s offer of exclusive content, the app provides a new feature which allows viewers to “fast forward” and watch episodes of local shows – such as Durban Gen, Imbewu, House of Zwide and Two Women – in advance.

“The fast-forward feature will provide a seven-day exclusive window on new series ahead of broadcast on TV. This means that eVOD subscribers get to watch new episodes of their favourite soapies seven days ahead of the broadcast on eTV,” says Lobel.

Unlike subscription-only services such as Netflix and Showmax, eVOD is the first streaming service in South Africa to allow audiences to stream without paying a monthly subscription fee and as such, does not consider itself a competitor against well-known and widely used streaming platforms.

“There is significant room for growth particularly on the mobile first segment,” says Lobel.

“We believe that free-led services will outperform subscription-only services in terms of user-adoption in the long-term,” he adds.

“This is based on lessons learnt from similar services launched in the rest of the world as well as traffic trends on MTN’s own network.”

“Approximately 500 000 MTN users stream content from Netflix every month. While this is a substantial number, it is small when compared to that of YouTube, [which has] over 14 million MTN customers streaming videos from their platform every month.”

Khalik Sherrif, CEO of eMedia Investments, says: “At eMedia we continually strive to add value to our loyal viewers with variety and choice of content.

“Over the years eMedia has constantly evolved its offering, from a single channel to a full satellite service, with 24-hour news and now a free ‘Over The Top’ platform. eVOD is a game-changer for us and our viewers, and we can now offer audiences access to exclusive viewing content where and when they want it.”

eVOD is available for download on its website and can also be downloaded from Google Play (Android) and iStore (Apple). MTN customers can download the phone app for free.

Palesa Mofokeng is a Moneyweb intern.