AFRICAST 2016: Strategies for financing 70% local content consummated ahead Digitisation

By Muktar Tahir

There is no doubt, AFRICAST is one of the best platforms for stakeholders in Africa’s broadcasting circle to converge and exchange ideas on any broadcast puzzle under the sun. It could be on content creation or exploring the possibilities offered by the new and emerging technologies.
AFRICAST is a three-day biennial conference and exhibition as organised by the National Broadcasting Commission (NBC). Accordingly, this year’s convergence is no exception in terms of boisterousness obtainable in most market place of ideas as it was attended by stakeholders from Africa, America and Europe.

This year’s them ‘Digital Terrestial Broadcasting: Financing Quality Content’ is apt as the country is tilting towards the age of total migration into digital broadcast operation, especially also is the fact that the theme borders around local content generation for feeding the generality of audience.
Accordingly, the conference began with a ministerial verdict from the Honourable Minister of Information and culture, Alhaji Lai Muhammed who pointed out that already, the Federal Government has set a target to generate 70% local broadcast content as Nigeria prepares for the Digital Switch Over in June, 2017.
He also unveiled plans to create more jobs and earn one billion Dollars in annual revenue from the broadcast industry.
He said: “The digitisation of broadcasting offers Nigeria a lot of opportunities; the benefits are multifaceted and very far-reaching – in the areas of economics, politics, education, entertainment, science and technology and several others.
“Many have said that the impact of digitisation on television will be revolutionary and I cannot agree less.’’
Also speaking during the opening ceremony, the Chairman, Senate Committee on Information and National Orientation, Sen. Suleiman Adokwe, commended the National Broadcasting Commission (NBC) for hosting the forum.
He pledged the support of the National Assembly towards achieving the June 2017 deadline for transition to digital broadcasting.
Then came the Director General of the NBC, Mr. Modibo Kawu  who promised that content will be made a priority in the digital broadcasting project in the country because it holds the key to success in the digital era.

“One of the possibilities is that, we are going to have 70 per cent of content. So, we are going to have opportunity for young people to be part of the industry that will be monumental to global history. The Nigerian film industry is about 3rd in the world and we have not reached full potential in that area.”
“Apart from changing the face of broadcasting, for us in Nigeria, it has a strategic edge. Our country is a very young country. So, digital broadcasting will offer opportunities. That is why, what we are doing for Africast this year is very significant for the future. With it, we hope Africa will protect its place in the global arena,” he added.
In his paper presentation, Prof. Gerard Amenger Igyor titled: ‘Financing Quality Content for Public Broadcasting: Can we maintain the Status Quo in the Digital Sphere?’, regretted why advertising is still the major source of revenue to most broadcasters and therefore urged broadcasters to brace up to the challenges social media and other communications technologies are bringing to their doorstep.
He said: “In the evolution of the various sources of financing, advertising is a constant and to a lesser extent, so is payment for content; despite the many efforts to increase payments for Content, advertising revenues continue to dominate the income statement but this is seriously threatened in the Digital Era.

“With the vicious competitions from the social media and other communications technologies, entrance in the once traditional broadcasting terrain of video content, information dissemination and entertainment, it has become imperative for broadcasters to refocus and rejig the way they operative.”
However, during his presentation, Greg Odutayo identified some of the best options up for broadcasters’ grab in order to circumvent the threats by social media and other competitors.
“Essentially the content we produce MUST be tailored to specific consumers. The days of our NTA reaching out to 130M viewers are over. The audience in the digital era will not be watching TV channels. They will be watching programmes.
“Specific demographies will go for specific programmes that minister to them and watch it. They will watch what they want to watch on Channel A, they will then move on to channel B for some other content. Channels in the digital era will have to focus on specific target groups, Male or female, age groups, psychographics.
“The days of One-size fits all channels has no place in digitization. The days of belts are also over – sports belt, children’s belt, and news belt – that in itself is analogue thinking.”
Per Applequist on his part identified three very important ingredients to succeed in the pay TV market. “First of all, you need great content. Your customers are not just subscribers to your service but they are subscribing to the content you can offer them. The availability of free to air content in the market is also an important factor.

“A combination of FTA or rather, FTW and pay TV where subscribers are attracted to pay TV services through cross promotion, is usually a good approach. So sport events and tele-novellas are split between FTA and pay TV, “Applequist added.
He however said that with abundant FTA offerings of good content the potential market for pay TV is narrow, therefore balance between both is essential.
Rapping it up, one submission worthy of note is that of Chairman of the Digiteam, Engr. Edward Amana, who x-rayed the policy decisions taken by the government in the implementation of the transition from Analogue to Digital Terrestrial Television Broadcasting in Nigeria, as thus:
“There will be a separation of functions in the Broadcast industry: The Broadcaster will be responsible for the Content of the Broadcast while a Signal Distributor or Carrier will be responsible for the transmission of the signals to the viewers at home.
“3 signal distributors of carriers are to be licensed, one of which is to evolve from the transmission infrastructure of the Nigerian Television Authority- NTA
”The transmission standard shall be the DVB-T2 format with MPEG-4 AVC compression format.
“Set-Top-Boxes to enable existing Analogue Television receivers to continue receiving the Digital Transmission after the Switch Over Date will be manufactured in Nigeria,” Amana emphasized.

Tahir wrote from Abuja