Stiff competition drives product price cut by Wananchi group

By Fredrick Obura

The Wananchi Group has announced 25 per cent reduction in its Television, Internet, and Voice services in a latest move to shield its market share and offer better experience to subscribers.

The market is witnessing stiff competition with the company, once a dominant provider of Internet services.

It is facing competition from mobile phone companies who have taken on data business to improve their revenue.

Focus on data by Safaricom, Orange, Airtel, and yuMobile follows fierce competition in the segment that has seen drastic reduction in calling rates by more than half.

Firms such as Orange have intensified data market penetration efforts with the launch of 3G WI-Fi modem.

 Data products

The high-speed data product dubbed Domino is a plug and play device ideal for data users on the move. Running on Orange’s robust 3G network, the modem will be able to support up to five users, within a transmitting radius of 20 metres.

The modem’s tethered feature is ideal for a user with multiple data enabled devices.  

According to the Orange company Chief Executive Officer Mickael Ghossein, the new modem will improve the value proposition of Orange to its Small and Medium Enterprises market.

“This is a sector that contributes close to 20 per cent of the country’s GDP. Orange is therefore obliged to play its role to support this important sector with the provision of varied data connectivity options, dependent on the nature of their business and processes,” he said. In the pay television segment where Wananchi Group through its Zuku Triple Play arm is a major player, MultiChoice and a new entrant, StarTimes, promises competition with enhanced packages.

StarTimes is challenging the dominance of South Africa’s MultiChoice Ltd, owners of the DStv bouquet.

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