Determinants of Consumer Choice between Pay Television and Streaming Services in South Africa

Abstract

The swift growth of streaming video-on-demand (SVOD) platforms has fundamentally disrupted the traditional pay television (pay TV) market in South Africa. This study examines the determinants of consumer choice between pay TV and SVOD, namely: content variety and exclusivity; convenience and usability; habit and social influence. A quantitative, cross-sectional survey was administered to 272 South African consumers. Multiple regression analysis and partial least squares structural equation modelling (PLS-SEM) were used to analyse the data collected from 272 respondents. The measurement model revealed acceptable construct reliability and convergent validity. The results converge across both analytical methods and indicate that SVOD services are primary viewing platforms for many respondents, although a substantial proportion of households subscribe to both pay TV and SVOD platforms. Nevertheless, statistical analysis demonstrates that frequently cited determinants such as content variety and exclusivity; convenience and usability; habit and social influence do not significantly account for consumer choice within the sampled population. Further, the findings suggest that the South African television market has entered the stage of maturity where traditional adoption drivers have become a baseline expectation rather than differentiating factor. Consequently, consumer decisions may be substantially influenced by structural factors such as ecosystem partnerships, content rights strategies, and bundled service offerings. Based on the key results, it is recommended that media firms shift strategic focus toward ecosystem-level competition, exclusive content rights, telecommunications bundling, and household-level subscription management