In Colombia, Pay TV penetration reaches 60%

Wednesday, February 19th, 2014 
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BB-Business Bureau determines that in Colombia there are 7.75 million Pay TV Subscribers. This represents a 13% increase of subscribers from December 2012 until December 2013, and a 3% increment related to Pay TV Penetration in the country for the same period.

We have to say that the amount of total subscribers BB BUSINESS BUREAU determines is higher than the figures which Telecommunications Authorities in Colombia declares: according ANTV (National Television Authority), Colombia presents 4.9 million of households with Pay TV. These differences with BB´s estimations are due to Piracy and Underreporting, which are identified as part of their audits, and the inclusion of marginal localities which are not considered by the Official Organisms.

“Our estimations are based on Households and not on individuals; we do research in 592 towns, which represent the 89.5% of total Households in the country. This way, we determine a 60% of Pay TV penetration. However, if we only consider the main cities where Ratings are measured (22 in total), penetration reaches 86%”, Tomás Gennari explains, Business Intelligence Director.

Nowadays, 1.48 million subscribers have DTH service (20% of the market). On the other hand, the share of Digital subscribers reaches 37% (2.48 million of households).

Regarding the competitive scene, BB-BUSINESS BUREAU presents a Ranking with the TOP 5 main players in Colombia: Claro has the 37% of Market Share, UNE a little more than 16%, DIRECTV 15%, Global TV 8% and Movistar a 5% of share. Related the commercial offer in the country, the basic fee weighted value is near to USD 20.25.

Related to Industry irregularities, their analysts conclude that more than 1,19 million of Households access to Pay TV service illegaly, while the amount of not reported subscribers is 891 thousand.

Viewing to the future, BB forecasts that, by the year 2017, the penetration in Colombia will be 72.7%, which will be translated in 10.35 million of Households with Pay TV. The CAGR (Compound Annual Growth Rate) for 2013-2017 period will be almost 6%.

“So important is this market for us, that we have decided to have our own Operating Base with headquarters in Bogotá”, comments Horacio Gennari, Company´s president. “I still remember when, in early 2000, we started auditing this wonderful country. In that moment, everyone said that there were more than 2 million subscribers. Our Company was the first one to announce that there were no less than 4.5 million. Time gave us the reason”, concludes Gennari.