MultiChoice, recently released an independent socio-economic impact report via Accenture documenting its contribution to the Kenyan economy as part of creating shared value and long-term commitment to Kenya.
Accenture conducted the economic impact study outlining the $573.8M contribution MultiChoice Kenya has made directly and indirectly to the Kenyan GDP between the period 1 April 2015 - 31 March 2019.
"The report highlights the value created for the economy and society, the creative industry, adjacent industries and consumers. The report provides an overview of the impact that MultiChoice has on both internal and external stakeholders and places the company in the context of the entire Kenyan economy while demonstrating the success of the business over the years. This report also reveals the industry's potential across a number of government objectives such as the Creating Shared Value and playing a significant role in supporting the government's agenda," said Ruth Omondi the Ag. Finance Manager at MultiChoice Kenya.
The company's economic impact was evaluated through its records on procurement of goods and services in its supply chain and associated ripple effects through the economy. Accenture also measured MultiChoice Kenya's direct contribution to Kenyan GDP through the sum of its profits, wages and taxes paid in Kenya.
The key highlights in the report include:
Entertainment anytime, anywhere: Direct investments
MultiChoice's core business and the impact on employees and contractors, impact of training, taxes, regulatory fees, and digital entertainment platform has contributed a total Value of $219.3M to Kenya's economy over the period 1 April 2015 - 31 March 2019. A total 181 people are employed by MultiChoice with 69 training sessions conducted per annum. 12,423 hours of connected video content produced during the period. USD 17.5M has been paid in direct taxes while USD 69.6M has been paid in indirect taxes. 1.2M USD has been paid in regulatory fee contributions and up to USD 110.6M in GDP uplift from employment has been generated.
The most loved Kenya's storyteller: Investment in local content
MultiChoice's role in developing the local content industry through its local channels, SuperSport and infrastructure investments has contributed USD 138M over the period 1 April 2015 - 31 March 2019. $33.8M worth of content has been produced, acquired and commissioned. Out of this, 1,181 hours of content is commissioned locally with 5,092 hours contributing to acquired content. USD 1.2M has been spent on sponsorship of football tournaments. 200,000 lives have been impacted by jobs creation and household reach via Maisha Magic's investments in local content. A total USD 81.7Million in GDP uplift from employment generated has been generated over this period.
The Empowered Supply Chain: Contribution to the country via the supply chain
Between 1 April 2015 - 31 March 2019, the value injected throughout the value chain to distributors, installers and ancillary suppliers for the ongoing operations of MultiChoice including distribution of devices and transmission masts as well as ancillary suppliers amounts to USD 203.6Million. 189 agents and 413 installers have been engaged by Multichoice for selling decoders and completing installations. USD 34.2M has been invested for distributors and installers with USD 23.7M adjacent contribution from ancillary suppliers e.g. marketing call centers. A total USD 113.9M GDP uplift from employment engagement with USD 12.1M in subsidies has been borne on behalf of customers.
Enriching the lives of the Kenyan Community: MultiChoice's CSI initiatives and investments
The success of MultiChoice in making an impact to address specific social challenges has led to a total investment of USD 12.9M. USD 1.4M has been put into CSI spend. 400,000 lives have been impacted per year due to participation across various CSI activities. 22 MRCs implemented in schools over the period. USD300,000 spent on installation, training and equipment for MRC Centers and USD 0.2M in sponsorship spend on awards.
"We thank our customers for their continued support over the years. The success of our business is as a result of our customers loyalty and contribution. We continue to remain committed to our promise of enriching lives and delivering value to our customers by making great entertainment more accessible," said Ruth Omondi, Ag. Finance Manager MultiChoice Kenya.
Do you have a story that you think would interest our readers?