This morning, Techweez published a story that Standard Group will purchase 50% of Bamba TV. Here is a breakdown of the deal
The Standard Group Limited, owner of KTN is acquiring a 50% equity stake in Lancia Digital Broadcasting, the owner of Bamba TV for Kshs. 300 Million ($3 Million)
KTN will leverage on Bamba’s multichannel platform and reach across the country. KTN (Home Channel) and KTN News will now be available on the Bamba TV bouquet and there will be opportunity to schedule some of Bamba’s programming on the KTN channels. In essence, now Bamba TV will be a part of the KTN and Standard Group family.
KTN has so far invested $3 million (Ksh 300 million) in acquiring a 50% stake in Bamba TV - in both equipment and cash.
WHAT IT MEANS FOR YOU
Development of new content formats aimed at meeting audience needs as well as bring new watching habits where viewing opportunities are not dictated by time and channels but by viewer preference. In addition, KTN recently signed a Sports deal to showcase the English Premier League in Kenya. This deal not only allows for the airing of this content across board but means there we can expect more of this content to be brought to the Bamba TV platform.
Advertisers looking for increase in Return on Investment (ROI) are at an advantage. The partnership means target audiences will be reached effectively. With Bamba, KTN now has the ability to align programming to target markets. It will be possible to air floating ads on Bamba TV across different channels available thus meeting the needs of the advertisers.
WHAT IT MEANS FOR BAMBA
According to a Poll by GeoPoll in December to assess the penetration of set top boxes in Kenya, 71% of Kenyans who own TV sets owned a set top box. This is an increase from 63% who owned a set top box in July 2015. Nairobi leads with 79% of those with television sets owning a set top box. Most of those who own set top boxes pay the monthly access fee at 70% with only 30% of owners using a preferring the free-to-air channels. This new partnership will offer Bamba TV the much needed traction to compete with GOtv with 41% of the market followed by StarTimes with 24% of the market share.