Nigerian
television stations are not airing the ongoing African Nations Cup due
to a stalemate between the Broadcasting Organisation of Nigeria and the
rights owners of the event. In this piece, Udeme Ekwere counts the gains and losses resulting from this impasse
Mr. Linus Eze operates a television viewing centre in Ikeja, Lagos where people gather to watch matches in European leagues.
Eze
makes about N10,000 anytime people gather to watch a European league
match. It can rise to as much as N30,000 when it is a UEFA Champions
League match.
But
the crisis over the airing of the ongoing 29th edition of the African
Cup of Nations in South Africa has brought some good fortune his way.
He
told our correspondent on Wednesday that Monday’s group match between
Nigeria and Burkina Faso swelled his purse, as he made over N120,000
from the large crowd that converged on his viewing centre.
He
said, “Our market is the European Champions League and other various
local leagues in Europe, especially the English Premier League and the
Spanish La Liga. The money we are making in the ongoing Nations Cup is
coming in as a big bonus we did not expect at all.
“
It is very fantastic. Because the games are two daily and people are
interested because of Team Nigeria, we charge N100 per head.
“I
have a big place that can take over 100 people but now I have had to
rent a canopy to create room for about 40 people outside. I still try to
control the situation to maintain order.
“For
Nigeria’s game, I made over N120,000 from tickets, food and drinks
because people came with their friends, relatives and even children to
watch the Super Eagles. This is a big boom for us. It might sound
selfish but the truth is I pray this crisis continues,” he said.
The
viewing centre operator is making a fortune from the fact that the
competition is not being aired by broadcast stations in Nigeria because
of stalled negotiations between the Broadcasting Organisation of Nigeria
and the France-based right owners of the event, SportFive.
Investigations
showed that SportFive, which has LC2 as media/marketing affiliate in
Africa, was asking for N1.6bn which BON argued was outrageous and
unacceptable.
Negotiations,
which started in October 2012 broke down last week and so no Nigerian
television station is currently broadcasting the matches.
Eze told our correspondent that he made over N200,000 in the first two days of the competition and for Nigeria’s game.
He
stressed that the amazing aspect of the turn of events was the fact
that nobody saw it coming, especially since the kind of blackout being
experienced on free-to-air stations has never happened before for a big
competition like the Nations Cup.
The story is the similar for Mr. Stephen Olaoye, who has his viewing centre in Dopemu, Agege. He charges N70 per head.
His
words, “I made over N70,000 the day Nigeria played against Burkina Faso
and the patronage has been doubled this period, because many people are
following the Nations Cup.
“I
actually thought the BON issue on rights would be resolved until I
observed the way people trooped in for the first match day on Saturday. I
actually charged N100 that day because people were watching EPL games
with the Nations Cup simultaneously.”
The
Nations Cup is just one week old and it is expected that the viewing
centres will remain the options for Nigerians without cable television
in their homes.
The
Secretary of BON, Mr. Segun Olaleye, told our correspondent that it was
sad that Nigerians could not watch the games on free-to-air television
stations.
Olaleye
said negotiations broke down because the right holders, SportFive, were
asking BON for over 60 per cent of the money paid to buy the rights
from the Confederation of African Football.
The
BON secretary said, “The situation is laughable and ridiculous. We
started negotiations last October and they insisted on €4.5m. We were
even ready to pay up to $2.5m but they did not agree. The time we had
left before the Nations Cup was less than a week when they became so
difficult. So even if we managed to buy the rights, we had so little
time to market it and make money for the investment.
“Good
enough, Nigerians are watching the games through Multichoice, which
bought the cable television rights. Now, the right owners too will have
the problem of not providing the content for Nigeria because some
advertisers a Nigerian audience.
“Again,
because the competition is Orange Nations Cup, our telecommunication
outfits cannot advertise. They also had international sponsors like Coca
Cola and Standard Bank. It also means Nigerian banks and Coca Cola
Nigeria will not be interested in the project. Our expectations on
advert revenue were restricted, so we cannot agree on a huge fee.”
Olaleye
said officials of SportFive called him on Wednesday to ask what could
be done for Nigeria and he told them the matter was closed.
“The
opening ceremony is gone and the first round of matches played. The
event is almost over and so we need to make a statement so that they
will not take us for a ride next time. This is exploitation and that was
why we did not agree to their terms.
“I
am happy that television owners in the country spoke with one voice and
we had the backing of the senate and even the government because the
minister was furious when we gave him all the figures and the
correspondences we exchanged with the right owners.”
However, there is another set of Nigerians in pains over the current impasse.
These
are the advertisers who had been waiting to use the Nations Cup window
to promote their products and other outfits that had plans to use the
AFCON broadcasts to package various programmes.
The
Chief Executive Officer, Hotsports, Mr. Taye Ige, said his outfit had
plans to stage a one-hour programme every evening for the duration of
the event and the current impasse has halted the plans.
He
said, “What the rights owners are asking for is very abnormal and the
position of BON is good so that next time Nigeria will be respected. I
am aware that the right owners will also lose with the way things are.
“Nigeria,
Egypt and South Africa are the major markets and Egypt did not qualify
for the tournament; which means the rights are only being marketed in
South Africa. Sixty seconds on NTA is about N500,000 and so we are doing
good broadcast business here, but we have to be wise in buying rights.
“What
amazes me is that in 2012, Hotsports concluded arrangements to buy the
rights for $2m and it was just because Nigeria failed to qualify that
made us to back out. How come it is now €4.5m? It has been over prized.”
An
official of an advert agency who preferred anonymity said, “It is very
sad. We have spent money to get people who prepared both radio and
television commercials for us and they were to be used during the games.
Now, we cannot use the commercials because the matches are not being
shown here.”
A sports analyst, Mr. Segun Agbede, told our correspondent that he was shocked about the development.
“I was ready for the event but was disappointed with the offer from the rights owners. One cannot blame BON.
“When
two elephants fight, it is the grass that suffers. Some analysts could
have made some money during this event but that has been botched. I
believe next time they will not over price their product,” Agbede said.
TalkOfNaija
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