I refer to “Astro revises rates: Packages may cost from RM1 to RM15 more” (The Star, June 7 2011). According to its chief operating officer, Henry Tan, escalating global and local content costs and sports broadcast rights are among the reasons cited to justify the increase.
If I remember it correctly, the last price increase by Astro was back in 2009 where Sports package subscription increased by about RM12. I used to pay RM71.95 (inclusive of 5% government tax) last year for my Astro subscription which includes the Sports package. A check on Astro’s website shows that the cheapest package with Sports content will from July 11 onwards cost RM94.90 (exclusive of 6% government tax). That is a whopping 32% increase in subscription fees without even factoring in the 6% government tax!
Previously there were only 3 sports channel under its Sports package. But now they have a staggering 9 sports channel. Are having the 9 channels justify the increase of RM12 back in 2009? I think Astro can do much better in selecting its content if sports broadcast rights is cited as one of the reason.
If one goes through the Sports channels TV guide, one will notice that the channels are filled with ridiculous sporting shows. Among others yachting, snowboarding, sailing, equestrian, mountain bike, marathon, cheerleading and arm wrestling. Recently, I even came across spelling competition shown on ESPN (812). Since when spelling competition is even a sport? I wonder what’s the percentage of Astro subscribers who actually watch these sporting shows. While I acknowledge the rights of each individual to watch their favorite sporting shows, shouldn’t Astro focuses on sporting shows which suits the need of its mass subscribers rather than the minority to keep costs low? Concentrate on sporting events such as badminton, football, hockey, rugby, tennis, and athletics which are the general Malaysians interest. Get rid of the ridiculous sporting shows which only add up to your operating costs.
Having additional channels also does not justify the increase in price since having additional channels did not increase the content quality. While I fully support the inclusion of Astro Arena (801) as part of the Sports package to increase interest in Malaysian sports, the same can’t be said about ESPNews (818). The channel airs sports news 24 hours a day. Why do we need this channel when sports news are already aired by Eurosport News on Astro SuperSport (811) and Sportscenter on ESPN (812). Can Astro actually justify what is the percentage of Astro subscribers who watch this channel? Having Golf Channel (815) is also questionable. Is the interest for golf related shows that demanding in Malaysia that a dedicated channel is required? Besides having a dedicated Golf Channel, there are still Golf shows aired on Star Sports (813). One wonders why this is happening.
I think Astro can do better in selecting the contents especially for its Sports package to reduce the package price. What is important is the content quality, not quantity. Being in a monopolized industry, Astro should do its utmost best to keep costs low since the government and the people have shown tremendous supports to its growth. With the pressure of rising cost of living, the price increase comes at a bad time and it’s definitely unjustifiable.
1 comment:
If 40% of Astro subscribers temporary unsubscribe the services for 6 months, Astro will lose RM73 millions for 6 months. Example: Total of Astro Customers is 800000 households. 40% of 800000 = 320000 households. 320000 household subscribe for Family Package (minimum package). 320000 X RM38 = 12160000/month. 6 months X 12160000 =RM 72,960.000 (73 million). Try to think of it maybe this can work. Start from 11 July 2011 Astro subscription fee will increase from RM1 to RM15/month. Keep on paying or temporary terminate????.....
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