After partnering on a few tactical campaigns, Ignition Group identified several challenges in MultiChoice’s decoder distribution model.
How Ignition Group supported Multichoice
MultiChoice’s market was limited to customers purchasing decoders upfront.
Their distribution partners were limited to retailers who were selling decoders face-to-face.
These retailers had no presence in rural areas – leading to potential subscribers being unable to purchase decoders.
These offers also excluded installation vouchers – resulting in customers having to pay an additional amount for installation.
Seeing these challenges, Ignition Group put forward a solution – to finance a deal with customers where decoders and installation fees can be paid off over a period of 24 months, thus capitalising on our national outbound calling capabilities.
We utilised our logistic capabilities to deliver decoders to customers’ front doors – along with arranging and managing the installation process. Through our data analytics and ability to profile the intended target market – we were able to reach a more diverse audience, convert more leads to sales, and facilitate the collection of billing payments.
Finance: We financed a deal where decoders and installation can be paid off over 24 months.
Outbound calling capabilities: We capitalise on our national outbound calling capabilities.
Data analysis: We analyse data to profile the target market.
Logistics capabilities: We utilise our logistic capabilities to deliver decoders to customers’ front doors.
Installation: We arrange and manage the installation process.
Billing and collection: We bill and collect customer payments.
Subsequently, MultiChoice has replicated the model designed by Ignition Group and launched its own internal offer, which is now sold in conjunction with Ignition Group’s deal.
At the moment, Ignition is MultiChoice’s biggest distributor of Explora Decoders.
Since our inception, we have invested in R650 million worth of MultiChoice stock purchases – and have become the 2nd biggest distributor of Decoders overall.
Over 285 000 decoders were sold, and subscription value generated in excess of R1,1 billion.
For the past 12 months, we have sold 60 000 PVR decoders – which includes
15 000 Ultra Exploras and 45 000 3A/3B Exploras.
Over the last year, IG also spent R100 million on MultiChoice stock.
And, due to the overall success of the partnership, the campaign has created employment for more than 250 full time employees.