The Astro And It'S SWOT Analysis

Strength

Astro have strong variety of broadcast service offer to their customer. One of it is Astro Pay-TV, it offer customers access to 188 channels broadcast without the need of connection internet but using his own broadcast satellite. Aside from Pay-TV, Astro also provide a non-subscription freemium service called NJOI Now. NJOI Now is an over-the-top (OTT) service that gives customer complete and free access to a selection of TV channels. This means that customer can watch the channel of their preference on every smart gadget their owned.

Unlike other OTT offerings which a subscription service for longer term access , NJOI Now is totally a free service by offering free access to local news, education, entertainment and sports.Besides variety of service, Intellectual Property (IP) creation and ownership are priorities focus of Astro in order to increase creation which best and Asian-centric content, across multiple genres. These helped to increase viewership and household penetration for further commercial benefits.

Weakness

Due to OTT do not need a licence to operate in Malaysia, they are not required to be part of the Content policy which conditions state in the Communications and Multimedia Act 1998 (CMA) for licensed broadcasters in Malaysia.

Get quality help now

writer-Charlotte

Verified writer

Proficient in: Swot Analysis

4.7 (348)

“ Amazing as always, gave her a week to finish a big assignment and came through way ahead of time. ”

+84 relevant experts are online

Hire writer

Since Astro is a licensed broadcaster, therefor Astro is governed by the CMA which does not enjoy the same freedom and stand-alone OTT like Netflix. For instance, under the Social Regulation part of the CMA, a licensee is prohibited from the provision of content that is “indecent, obscene, false, menacing or offensive in character with intent to annoy, abuse, threaten or harass any person”.

These have limited Astro in term of capacity in offering different genres of program or show. Astro seeks level playing field against OTT players.

Satellite tend to affect by heavy rain due to a phenomenon called Rain Fade. Rain fade refers primarily to the absorption of a microwave radio frequency (RF) signal by atmospheric rain which are especially prevalent at frequencies. Therefore, Astro signal most likely will be interrupted during rainy days which affect customer experience.

Threat

In this ease of digital information era, digital transformation of content consumption is one of threat for Astro. This is because the need for viewing it from a local provider is decrease as more people have can accessing content through the internet whenever they want. For example, YouTube is one of media that gain access of Malaysian viewer. Assuming the choices of media available continue increase then the competition for the attention of audience will be much greater for Astro in the future.

Besides the decline of Pay-TV industries, as viewers have more options for entertainment due to the availability of the internet, the demand for Pay-TV might drop significantly in the future. This because customer tend not to pay for content when they can get it for free or cheaper on internet. On the other hand, if latest vehicles is offering media system with internet connectivity then the radio broadcasting industry might be affected as well.

Opportunities

Astro Tribe, a mobile-first regional OTT streaming app launched in Indonesia and Philippines. The main Feature of Tribe is its promise of an up-to-date content experience in variety genres tailored for each market especially millennials. Since first launch, Tribe has recorded over 1 million registered subscribers for IDR 25,000 (about RM 7.80) per month in Indonesia and the Philippines. Tribe Indonesia library currently includes not just local and oversea show but also live coverage on sporting events such as BWF’s badminton tournaments which some other OTT player not offer.

Recommendation

Currently over 65% of all Malay consumers, the Malaynnials is the biggest consumer segment in Astro. With such a large consumer base, therefor Astro need to put effort in target millennials market. As this generation continues to mature, Astro will need to meet their evolving needs and situations to effectively market to them. In fact, millennials is the most desired demographic for original content-streaming. Therefore, Astro is recommend to introduce Astro Tribe in Malaysia market which capable in offer different original content-streaming like they did in Indonesia and Philippines.

Another recommendation is change in programme segmentation feature, since average millennials behaviour of view content are watching in short bursts here and there throughout their day, or switching between content on different devices like smartphone, tablet and laptop. Therefor Astro is recommend to offer their program to be broken up into segments that can be watched and then paused or stopped until later, then picked up again for the next segment continuing the story for millennial viewers.

Millennials most likely love organization that are more transparent organization. Therefore, Astro can attract them by sharing general behind-the-scenes information about what Astro is working on and ask them to provide feedback on each service in order to further improvement. For example, create short clips and share high-quality photos of how a process of program run on social media so they can relate to and connect with Astro.

In this Internet and social media era, millennials are all about sharing their status with others. Therefore, Astro cannot just focus on how to create positive experience for this group of market. Astro is recommend to create a positive and shareable experience that can be social sharing among them. In other words mean Astro is recommend to provide them a platform to spread the word about their service. For example, a specific forum for each program or TV show Astro offer. In fact, millennials nowadays who owned a smart phone most likely discovered brands from someone else following, tweeting or liking information on social media.

Last, having a good design user interface is a bonus for targeting millennials. Therefore, Astro is recommend to redesign it TV user interface system instead of text-based but also visual platform on their system. Simply put, if Astro doesn’t make a good first impression, millennials will most likely quickly move on to the next platform that grabs their attention.