Following the demise of Vidi, South Africa’s first subscription video on demand (SVOD) and online movie rental website earlier this year, a new SVOD service called JustFlicks is reported to have recently launched in the country with services priced at R1 a day.
South African IT website MyBroadband also reported that the company is listed on the WHOIS records as operated by wireless application service provider STS. STS took over the Vidi website when Times Media Group shut down the streaming service.
According to Statista, South African revenues in the SVOD sector are expected to hit $15m by the end of this year, with the average revenue per user currently standing at $15.5. Growing at a CAGR of nearly 35%, they are expected to hit over $50m by 2020.
Not only is Netflix entering this small but growing market, but other new services have also recently joined the fray including ShowMax, OnTapTV and more recently a start-up called Future TV that hopes to provide South African access to the world’s online streaming services through a TV decoder (ITWeb, January 2016).
Last November, South African digital entertainment company Discover Digital also announced that it was working with Broadpeak to power a white label OTT transactional video on demand (TVOD) and subscription video on demand (SVOD) offering for B2C and B2B applications.
Chris Read is a freelance journalist and an exclusive contributor to IP&TV News.