THE DATA IS IN, AND THINGS ARE NOT LOOKING GOOD FOR SA TELEVISION
The data is in, and itâs official: things are not looking good for South African television.Â
The latest MAPS data overview from the Market Research Foundation shows a massive decline in television viewership over the past two years: In Q1 2021, 72% of respondents claimed to have tuned into a TV channel in the past week, while in Q3 2023, only 54% said they had. And this is only expected to grow, with loadshedding anticipated to make its comeback as the country enters its post-election era and settles into winter.Â
In parallel to this, streaming is growing â and FAST. According to the Broadcast Research Council of SA, almost a third of TV viewing now happens online. An estimated eight million South Africans now have access to a plethora of streaming services. But which is the most popular among Gen Z?Â
âWhile YouTube doesnât serve premium broadcast content, it does have scale, says Leslie Adams, Sales Director at streaming experts Reach Africa.Â
âGoogleâs advertising resources indicate that in YouTube has around 25.1 million users, which is largely thanks to its advertising video on demand (AVOD) model, where viewers can watch for free in exchange for having their viewing interrupted now and then by a few ads.âÂ
And who is driving the shift to streaming? According to the MAPS data, itâs Gen Z (42%) followed by Millennials (41%), with Boomers only making up around 4%. And, as expected, Gen Zâs viewing happens mainly on mobile.Â
This evolution away from traditional TV makes sense, says Adams, when you consider that more so than any previous generation, Gen Z’s life is lived on demand. âIf they want something to eat, they can order a takeaway via Uber Eats with a simple tap. If they want to listen to music, Spotify will not only find them the exact song they’re after but will also curate playlists for them based on their demonstrated preferences.âÂ
And when they want to watch something, there are now over 30 streaming services available locally, which they can toggle between to their heartâs content on any device of their choosing, earning them the title of âNetfickle.âÂ
To understand the mindset of Gen Zs and younger Millennials, you need to consider the context, says Adams. âThis generation grew up during the most optimistic time in SA’s history; they were born after apartheid, the much-loved Nelson Mandela was president, and SA had just won the Rugby World Cup. It was SAâs golden years; a time of joy, consolidation and celebration.âÂ
But then they discovered hardship. âThey saw a recession, State Capture, a pandemic, several wars, the cost of living crisis, and a host of other challenges. They know real depression. They’ve seen how easy it is to lose everything you’ve worked hard for.Â
âAnd so they prioritise happiness and experiences over stability. They might not prioritise owning property; they may prefer renting and rather spending their money on something that brings them status and joy now. They want experiences over luxury items; fulfilment over stability; they believe there are multiple ways â not only one way.âÂ
Adams says that it is this growing up with life on demand that has steered them firmly away from the âappointment viewingâ offered by linear TV. âGone are the times when the household would plan the day around watching a show that airs at a certain time â Gen Z has never really known this reality, having grown up in a world powered by the internet.Â
âThey wonât wait till 7pm to watch the news or catch the morning papers â they will scan a news site immediately when they want to know something. And those that are doing well understand this â most of Disneyâs new releases now happen on its Disney + app at the same time that they appear on cinema, for example.âÂ
Adams says that âfreeâ is driving this shift. âWith the rise of AVOD and hybrid streaming services such as Viu â which has a huge youth viewing contingent and features SAâs biggest shows such as Skeem Saam and Uzalo â paid TV has naturally become the biggest victim of streaming.
âFree TV is still doing well, with SABC 1 being the countryâs most-watched channel, followed by E-tv, SABC 2 and SABC 3. However, what weâre now seeing more and more â especially among younger SA viewers â is âplatform stackingâ. They might glance at the TV when it is on in the household and be pulled into a show, but their viewing is mainly happening online via streaming platforms such as Viu, at their convenience.
âAnd donât believe the myth that expensive data is a barrier to entry; Gen Z has found a way around this, and best believe they are getting their content.
âThere is no doubt that the streaming landscape is the space to watch right now, and it will be interesting to see how it evolves over the coming months,â adds Adams.