Impact of Showmax Entertainment on Data Subscription

CHAPTER ONE

INTRODUCTION

Background of the Study

Globally, traditional media consumption is progressively being displaced by the digital paradigm throughout the world. Telecommunication has grown to be seen as a vital component of human beings because to its long historical origins and emphasis on interpersonal interactions. According to Yan (2017), while both conventional and digital media provide a one-way interaction in many aspects, digital media provides viewers with an edge over other viewers since the person determines what to watch, when to watch it, and where to watch it. Viewers in traditional media, on the other hand, do not have this amount of control.

Côté and Allahar (2016) argued in their study that this shift is the result of improved connection, higher internet speed, bigger data capacity, and many other similar components as a result of telecom company rivalry, which provides access to the internet to a rising number of individuals every day. As a result, of everything that is being watched all around the world, there is one online streaming service that is at the very top of the list in terms of overall data consumption. According to Sandvine, a company that specializes in bandwidth management, streaming services like ShowMax and Netflix account for more than 15% of global internet traffic (Cullen 2018). This appears to be an undeniable reality, considering the increasing number of individuals who view movies and download movies from these entertainment websites on a daily basis. An online streaming service (OSS) is a sort of on-demand entertainment that can be accessed through the internet and includes television shows, movies, and other forms of media. These services offer a cheaper alternative to the on-demand services offered by cable and satellite television. Showmax is an online subscription video on demand (SVOD) service that has only recently launched in South Africa. It focuses on local content and ties with mobile carriers as part of its localization strategy, which it leverages to compete with other firms’ current video-on-demand services. It appears that exposing young people to ShowMax entertainment has a substantial influence on how they spend their life. According to Chidex (2017), individuals may gain a true understanding of a certain group of people’s food, music, language, religion, and way of life through viewing entertainment that originated in other civilizations or is made by authors who have a deep link with a foreign culture. However, in order to use these services, some form of payment is required, either on a pay-per-view or subscription basis.

Statement of the Problem

In recent times, data subscription to improve online video streaming has prompted telecommunications providers that provide data to expand their offerings in Nigeria. The telecommunications (telecom) market, according to Vourliasr (2016), is a subset of the information and communication technology sector. The market is largely concerned with the operation and provision of infrastructure for the transmission of voice, data, text, and video. In Nigeria, on the other hand, ShowMax viewership is expanding, as both young and elderly tend to prefer it over cable TV. This increase in ShowMax entertainment consumption has necessarily affected telecom firms’ sales, profitability, and growth. According to Jose (2015), there has been a considerable growth in the usage of data services given by telecom operators since the introduction of Netflix Naija, hence enhancing their profitability.

Although various studies on the profitability of telecommunication firms have been undertaken, little or no attention has been devoted to the influence of ShowMax entertainment on data subscription. Upon this premise, this study seeks to examine the  impact  of  ShowMax  entertainment on data subscription.

Objective of the Study

The broad objective of this study is to examine the impact  of  ShowMax  entertainment on data subscription. Other specific objectives includes:

i.          To investigate the extent at which average Nigeria stream online videos via ShowMax  .

ii.        To investigate whether the desire to stream Showmax videos  influences data subscription.

iii.      To ascertain extent at which Nigerians subscribe  data due  to ShowMax videos online.

iv.      To determine whether  subscription influenced by  ShowMax videos  will enhance data consumption and profitability of telecommunication companies.

Research Questions

i.          What is the extent at which average Nigeria stream online videos via ShowMax?

ii.        Does  the desire to stream Showmax videos  influences data subscription?

iii.      What is the extent at which Nigerians subscribe  data due  to ShowMax videos online?

iv.      Is data subscription due to ShowMax videos influences data consumption and profitability of telecommunication companies?

 Significance of the Study

There are divergent theories on the future of cable television. The outcome of this  will find a mutually beneficial outcome for all involved parties. With some direction, producers and distributors have an opportunity to last for generations. This issue is applicable not only because of its timeliness, but also because of the many lives that rely on the continued success of telecommunication industry.findings of the study will enlighten cable companies of the need to create more channels for nonfiction and reality shows as this will give them larger market share in the entertainment industry. Additionally, subsequent researchers will use it as literature review. This means that, other students who may decide to conduct studies in this area will have the opportunity to use this study as available literature that can be subjected to critical review. Invariably, the result of the study contributes immensely to the body of academic knowledge with regards to the influence of Showmax entertainment.

Scope of the Study

The scope of this study borders on the impact  of  ShowMax  entertainment on data subscription. The study further discussed  the extent at which average Nigeria stream online videos via ShowMax and  whether  subscription influenced by  ShowMax videos  will enhance data consumption and profitability of telecommunication companies. The study is however delimited to ShowMax viewers in Lagos State.

Limitation of the Study

During the process of carrying out this study, the researcher was confronted with a number of obstacles, some of which were limitations pertaining to time and finances, as well as difficulties pertaining to language and the attitudes of the respondents. Nevertheless, the researchers were able to overcome these obstacles in order to guarantee the success of this investigation.

In addition, the case study approach that was used in the research presented the investigator with a number of difficulties, such as the chance of making erroneous judgments and being subject to prejudice. In spite of this, the investigator was successful in overcoming the difficulties by adhering to the broad principles of respect for processes, justice, fairness, impartiality in observation and recording, and the weighing of evidence.

 Definition Of Terms

Entertainment

The action of providing or being provided with amusement or enjoyment.

Online Streaming Service

Online streaming service (OSS) can be described as demanding online entertainment source for TV shows, movies and other media.

SHOWMAX

Showmax is an online subscription video on demand (SVOD) service which launched in South Africa on 19 August 2015.