How owning a TV could increase household income
L:R: Group Executive, E-Business and Retail Products, First Bank of Nigeria, Mr. Chuma Ezirim; Group Head, Marketing and Corporate Communications, First Bank of Nigeria, Mrs. Folake Ani- Mummuney; Group Executive, Retail Banking Group, Lagos and West, (Representing the Deputy Managing Director, First Bank of Nigeria) Mr. Tunde Owolabi; Founder and CEO, Azuri Technologies Limited, Simon Bransfield- Garth; General Manager West Africa, Azuri Technologies Limited, Vera Nwanze; Group Executive, Treasury and Financial Institutions, First Bank of Nigeria, Mr. Ini Ebong; at the Azuri Technologies Limited and First Bank of Nigeria Partnership during the Press briefing held in Lagos.

Azuri Technologies in partnership with First Bank launched the sale of a solar-powered satellite television in Nigeria. Unlike regular TV sets, the TV has satellite reception embedded in it. The firm’s CEO, Simon Bransfield-Garth, was in Lagos and shed more light on the company’s operations in the country, as well as reasons behind its partnership with First Bank.

How it works

Customers would be able to make payments for their solar televisions through First Bank’s FirstMonie agent network, or from their mobile phones. After payments have been completed, all power generated is free of charge.

Operations in Nigeria

The company has been in Nigeria for about two years, and started an operation to deploy 20,000 lighting systems in the Northern part of Nigeria. The project was completed ahead of schedule, and the systems are currently in operation.

Synergies for both firms

Bransfield-Garth also highlighted the synergies both commpanies benefit from the partnership.

Within Nigeria, we all know that there are challenges. Rural consumers are difficult to reach, because they are a long way away from conventional electricity. Mobile money has also been slow to take off in Nigeria.

He continues

The partnership comprises co-branding and co-marketing, and importantly, a commitment to both companies to bring technology to consumers. It brings three things: energy inclusion, technology inclusion and financial inclusion.

Economic Impact of lighting systems 

The CEO also highlighted how households in rural communities benefit from owning a solar lighting system and TV.

One of the pieces of research we have been doing is to look at the economic impact of providing solar home systems. There is a lot of data that shows lighting systems have an economic impact on household income. In part, that’s because people don’t have to pay for candles, kerosene and phone charging fees.

He continues.

But actually, people put it to productive use. They keep their stores open late at night. They do agricultural processing in the evening, so they can be first to market. They charge their smart phones, so they can build out supply chains.

Owning a TV as well 

Owning a TV also seems to have a similar effect.

Deal book 300 x 250

Surprisingly, having a TV also has a positive impact on household income. When we rolled out TV, we didn’t really think there was going to be income enhancement. Surprisingly, we see between 10 and 35% increase in household income, in the first year the house gets a TV.  You may think that’s odd. The reason is two things and it comes down to these: information and aspiration.

He elaborates

From the information point of view,  individuals can access a whole range of services which provide help with how they run their lives. In East Africa, we have a partnership with shamba shape up, an agricultural programme on television, According to research data, Some 40% of viewers have improved their agricultural practices, as a result of things they see on TV.

It also changes aspirations. People say to me, “How does watching a Nollywood movie make you better off?” It does because it changes your perception. If you live in a village, it’s very difficult to have a view on the outside world. It’s very difficult to know about Uber, or that there is a website where you can check prices, and you’re not ripped off. Having access enables people to be part of that wider community.

 

Onome Ohwovoriole has a degree in Economics and Statistics from the University of Benin and prior to joining Nairametrics in December 2016 as Lead Analyst had stints in Publishing, Automobile Services, Entertainment and Leadership Training. He covers companies in the Nigerian corporate space, especially those listed on the Nigerian Stock Exchange (NSE). He also has a keen interest in new frontiers like Cryptocurrencies and Fintech. In his spare time, he loves to read books on finance, fiction as well as keep up with happenings in the world of international diplomacy. You can contact him via onome.ohwovoriole@nairametrics.com

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