Recommendations for Growing VOD Platform Usage in African Markets

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Added on  2023/04/22

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This report provides recommendations for the growth of local Video on Demand (VOD) platforms in Africa, specifically focusing on the Kenyan market and using Viusasa as a case study. The report addresses key challenges such as high production costs, revenue model challenges, smartphone access, data costs, and the availability of content in local languages. Recommendations include reducing subscription rates, focusing on original content, adhering to domestic laws, conducting customer behavior research for content pricing, expanding payment gateways, improving customer service with online support, and developing effective financial management. The report emphasizes the importance of adapting to the economic realities of the target audience and providing high-quality, original content to attract and retain customers. The analysis also considers the competitive landscape and the external business environment, including political, economic, social, technological, legal, and environmental factors using the PESTLE model to identify opportunities and threats.
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Running head: RECOMMENDATIONS
RECOMMENDATIONS
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1RECOMMENDATIONS
Recommendations
It has been observed that the company has failed in the last years due to multiple factors.
The operational management and functioning have faced multiple challenges sue to the issues
arising internally and externally. Considering the issues faced by the company, it could be
suggested that the there are certain steps the company has to take which will ensure a smooth
functioning.
Firstly, it should try to reduce the subscription rate as the population targeted is
not capable of having access to this high cost entertainment programs. This has
also be critiqued that the application is only suited to the middle class people,
hence it is important to further reduce the cost.
It is also important to consider that the application will be having higher success
rate if the content being sold is original in nature. It is to be noted that people get
driven by the content that are different and original in nature. This will be helpful
in two ways, one it will be helpful for the new filmmakers to get a platform for
showcasing their talent, two, it will help the company to have external contract
and ultimately contributing to higher revenue generation.
Since there is criticism against this platform going against the economic laws of
VOD, it is suggested that the company should abide by the domestic laws of
Kenya.
It is also recommended that the company should make additional research and
development to find out what kind of content are to be charged from the people.
This will require further analysis of the customers behavior because it has been
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2RECOMMENDATIONS
found by previous research that people do not want to pay for the content that are
not original in nature. Since the band is structured in the similar designs followed
by Netflix, it is to be understood that people pay higher process due to the content
quality of the application. To have broader customer base it is important to create
videos and information that are being telecasted in the TV.
The application has limited number of payment gateways which might be a
limitation for some customers who want to use internet banking or other option.
Hence, the payment gateways should be more in number to provide the customers
with enough options for payment.
It should ensure better customer services in terms of an online support for the
customers who are facing certain technical issues while using the application.
Even though there is an option for making calls to the service provider, however it
is argued that there are not much support given to the customers in times of need.
An online chat support system is to be installed for the application to have higher
customer satisfaction.
According to the business today, it had been criticized that the producers have not
been paid in time even after the delivery of the content. At the managerial
decision making and the administrative functioning, there is a need to develop
effective financial management of the company since it will help the company to
have more number of producers and directors which can facilitate the creation of
original and creative content for the customers. It is yet to research on the issues
like effective management of financial matters in order to have better
management of the company and their application.
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