STARZ PLAY and United Electronics Company (eXtra) have signed a strategic partnership confirming eXtra as STARZ PLAY’s sole agent and distributor across Saudi Arabia in the electronics retail sector. The agreement was signed last week and will be implemented from mid-March, giving eXtra the sole rights to distribute and sell STARZ PLAY’s subscription and services across the Kingdom.
Through this new agreement, STARZ PLAY subscribers in Saudi will be able to signup for the service via all eXtra’s 40 branches in 24 cities, as well as the extra.com portal, making it much easier for residents to purchase STARZ PLAY’s 6- or 12- month plans. These will also be offered as a bundle deal with the purchase of selected eXtra products.
Commenting on the agreement, Mohammed Jalal, CEO of the United Electronics Company eXtra, said: "We are thrilled to add STARZ PLAY to eXtra’s family of products and services, and highlight the role of the company which extends beyond product offerings to include solutions, services and content as well. It’s no secret that the content sector is witnessing a demand from all segments of the society, which necessitates us to conclude such a strategic agreement with an upcoming new player that is expected to become a leader in the streaming video on-demand service.”
"The signing of the agreement coincides with the announcement last month of eXtra’s 2017 records, which exceeded the expectations of analysts. eXtra closed the past year with positive results with profits surpassing 140 million riyals. In addition to this, 2017 year resulted in an increase of the company’s market share which exceeded 24% from the year before (2016), despite the decline of the retail market in electronics in Saudi Arabia by more than 10% of 2016 compared to 2017.” Jalal added.
“With MENA’s streaming industry on a dynamic growth, our new strategic partnership with eXtra will further strengthen our position as the leading service provider in the region,” says Maaz Sheikh, CEO and Co-Founder of STARZ PLAY. “According to a recent study by IHS Markit, the growth of online video subscriptions is predicted to rise by 64.2% in 2022, with STARZ PLAY holding 24% of the OTT market share. Saudi Arabia boasts the highest percentage of STARZ PLAY sign-ups in MENA, and through this new and exciting partnership, we look forward to being able to service the region even better.”
eXtra has held similar strategic alliances in the past that strengthened the company's leadership position in Saudi Arabia in particular, as well as in the region as a whole.