ITV

Category: Executive Dossier

  • “MullenLowe Lintas doesn’t need me”: R. Balki

    “MullenLowe Lintas doesn’t need me”: R. Balki

    MUMBAI: Within the creative industry, there are very few people who are fiercely protective of their art and at the same time put no airs on about it.  R. Balakrishnan is one such person. Be it as the outstanding filmmaker that he is often referred as, or as one of the brightest minds in the creative business, or as the chairman of one of the fastest growing creative agencies in the country — Balakrishnan, or R. Balki as he is called, has not only walked the untrodden road, he has created his own way, thereby making it easier for others to walk down the path that he first walked upon.

    Time and again, the industry has been taken aback by his bold stances — be it his raising an eyebrow at advertising industry awards event or taking chances at the box office with extremely unconventional stories. As a director, filmmaker, writer and creative genius, R. Balki refuses to be judged by others. However, as the chairman and CCO of Mullen Lowe Lintas Group, he feels happy when his team is more capable than him.

    In a candid chat with Indiantelevison.com’s Papri Das, Balki discusses what is keeping young talent from excelling in the industry, his goals for Mullen Lintas in five years and the question that is uppermost in most minds in the industry – Will Mullen Lowe Lintas return to Goafest next year? Excerpts of the interaction:

    Q1. Between being a director and a chairman of an advertising agency, you have donned many roles. Which role do you identify yourself the most with?

    A: I always call myself a writer first, and not any of these.

    Q2. How do you manage to juggle between these multiple roles and do justice to all of them?

    Luckily, I don’t have to balance as much these days, especially when it comes to Mullen Lowe Lintas. It used to be difficult when I did my first couple of movies, because I was shuttling back and forth. Then I took a long break from movies and actually focussed on making sure that the agency could run without me. It took about four or five years to really plan for the next generation; to build the next team with people who can make you irrelevant and dispensable. Today I am the happiest person in the world to say that I am not really needed.  It takes a lot of time to build a team of that calibre, that’s what I have done. I guess I am reaping the benefits of that now (chuckles).

    Q 3 What qualities did you look for in your next generation team before handing them the baton?

    A: You need people who want to do things differently. You need resilient people to match the kind of resilient business we are in. It is not about just getting an idea, but to get an idea day after day, especially when they are being scrapped and rejected. It is indeed a task.

    Secondly I think it is such a people business. You can’t do everything on your own. You have to add value to people’s lives so that they can add value to the relationship. I think anybody who doesn’t understand the sensitivity to deal with creative people will find it difficult to lead and be part of the team.

    Q 4: How hands-on are you now when it comes to decision making within the agency?

    I am part of the meetings, but not as frequently as before. I don’t need to be there 24×7 every day. There are lot of people doing brainstorming and our clients respect their vision and are running with that.

    Q5 How did the team react to the company’s decision to not participate in awards?

    A: Firstly, I got one thing clearly straight: As an agency what do we stand for? What do we believe in? Are we going to be worried about what the world says, are we going to be judged by the world’s parameters? Are we going to enter Cannes and all other awards? We took a stance which was contrary to most of the agencies. We told ourselves ‘No we are not doing any of that stuff. Our work will speak for itself.’ Which it did, though it took some time! We didn’t have media support. We didn’t do a lot of PR and definitely didn’t get coverage for things like award shows etc. We were never in the news. But our work was speaking louder than ever, and the business was growing phenomenally because clients were happy with the work. But to have a stance like that as an agency and to make sure that the team buys that stance wasn’t easy. Most youngsters who come in the industry say we want fame and acknowledgement. So it was a tough stance to take as an agency and have the team believe and support that stance.

    Q6. Retaining talent seems to be an issue of concern within agencies currently. How do you think the industry should address that?

    A: I think every creative agency should strive to empower its next generation. Things can’t stop with the who’s who of this generation. There is no merit in holding the knowledge and keeping the command. We need to create a system where more and more people need to benefit from it. For that you need leaders who have vision to ensure that the system works.

    Q7. When it comes to new business, do you focus on new account wins or is retaining old clients more important?

    A: You have to retain clients’, there is no question of priority. Normally you do that by doing good work for them, doing the correct work for any brand that you get. And the same logic applies to the new businesses. If you can do efficient and relevant work for a brand, it will definitely work with you. Gone are the days when you could get business without doing work. There was a time when people used to think that good work was ‘one’ of the things that an agency needs to do, apart from big talk on relationships. Not anymore! You can have a great relationship and maybe talk a little more about the work because of the relationship, but it can’t survive long on that without work.

    Q8 Mullen Lowe Lintas has been presented as a competitive agency? Where do you derive that competition from, if not through awards?

    When I say Mullen Lowe Lintas is competitive, we are talking about doing better work. I don’t believe I need a jury to tell me if I am good enough. If I know that my work is better than most, I am happy. People often tell me that that distances and alienates creatives and puts them in a bubble, but let me tell you, there is no bubble in advertising. You take criticism all the time because you criticise yourself the most.  99 percent of the time you are criticising yourself. It is the one percent of praise that you seek from yourself is the toughest thing to do.

    Q9. After the restructuring last year, how well is the two agency structure working for the group? How well is Mullen Lintas doing?

    A: Yes the restructuring has worked for us. We had the talent pool to sustain a two agency structure and it was the right decision as well. Unlike most restructuring, we actually shifted some of our businesses from Lowe Lintas to Mullen Lintas. I am happy with the performance it has shown in less than a year. I hope it will be as big as Lowe Lintas in about 5 years.

    Q10. Since your presence at the Goafest 2016, the industry is speculating about the chance that Mullen Lowe Lintas will participate in the festival next year. Is that true?

    A: No. I don’t think so, whether I am part of Mullen or not, the agency will not participate.

    Q11. What is your goal within Mullen Lowe Lintas Group?

    A: I believe every person’s goal should be to leave a place better than what they walked into. I feel I have done the same with Mullen Lowe Lintas. That’s my earnest wish, to leave the company a better place for young creatives and advertising geniuses.

  • “MullenLowe Lintas doesn’t need me”: R. Balki

    “MullenLowe Lintas doesn’t need me”: R. Balki

    MUMBAI: Within the creative industry, there are very few people who are fiercely protective of their art and at the same time put no airs on about it.  R. Balakrishnan is one such person. Be it as the outstanding filmmaker that he is often referred as, or as one of the brightest minds in the creative business, or as the chairman of one of the fastest growing creative agencies in the country — Balakrishnan, or R. Balki as he is called, has not only walked the untrodden road, he has created his own way, thereby making it easier for others to walk down the path that he first walked upon.

    Time and again, the industry has been taken aback by his bold stances — be it his raising an eyebrow at advertising industry awards event or taking chances at the box office with extremely unconventional stories. As a director, filmmaker, writer and creative genius, R. Balki refuses to be judged by others. However, as the chairman and CCO of Mullen Lowe Lintas Group, he feels happy when his team is more capable than him.

    In a candid chat with Indiantelevison.com’s Papri Das, Balki discusses what is keeping young talent from excelling in the industry, his goals for Mullen Lintas in five years and the question that is uppermost in most minds in the industry – Will Mullen Lowe Lintas return to Goafest next year? Excerpts of the interaction:

    Q1. Between being a director and a chairman of an advertising agency, you have donned many roles. Which role do you identify yourself the most with?

    A: I always call myself a writer first, and not any of these.

    Q2. How do you manage to juggle between these multiple roles and do justice to all of them?

    Luckily, I don’t have to balance as much these days, especially when it comes to Mullen Lowe Lintas. It used to be difficult when I did my first couple of movies, because I was shuttling back and forth. Then I took a long break from movies and actually focussed on making sure that the agency could run without me. It took about four or five years to really plan for the next generation; to build the next team with people who can make you irrelevant and dispensable. Today I am the happiest person in the world to say that I am not really needed.  It takes a lot of time to build a team of that calibre, that’s what I have done. I guess I am reaping the benefits of that now (chuckles).

    Q 3 What qualities did you look for in your next generation team before handing them the baton?

    A: You need people who want to do things differently. You need resilient people to match the kind of resilient business we are in. It is not about just getting an idea, but to get an idea day after day, especially when they are being scrapped and rejected. It is indeed a task.

    Secondly I think it is such a people business. You can’t do everything on your own. You have to add value to people’s lives so that they can add value to the relationship. I think anybody who doesn’t understand the sensitivity to deal with creative people will find it difficult to lead and be part of the team.

    Q 4: How hands-on are you now when it comes to decision making within the agency?

    I am part of the meetings, but not as frequently as before. I don’t need to be there 24×7 every day. There are lot of people doing brainstorming and our clients respect their vision and are running with that.

    Q5 How did the team react to the company’s decision to not participate in awards?

    A: Firstly, I got one thing clearly straight: As an agency what do we stand for? What do we believe in? Are we going to be worried about what the world says, are we going to be judged by the world’s parameters? Are we going to enter Cannes and all other awards? We took a stance which was contrary to most of the agencies. We told ourselves ‘No we are not doing any of that stuff. Our work will speak for itself.’ Which it did, though it took some time! We didn’t have media support. We didn’t do a lot of PR and definitely didn’t get coverage for things like award shows etc. We were never in the news. But our work was speaking louder than ever, and the business was growing phenomenally because clients were happy with the work. But to have a stance like that as an agency and to make sure that the team buys that stance wasn’t easy. Most youngsters who come in the industry say we want fame and acknowledgement. So it was a tough stance to take as an agency and have the team believe and support that stance.

    Q6. Retaining talent seems to be an issue of concern within agencies currently. How do you think the industry should address that?

    A: I think every creative agency should strive to empower its next generation. Things can’t stop with the who’s who of this generation. There is no merit in holding the knowledge and keeping the command. We need to create a system where more and more people need to benefit from it. For that you need leaders who have vision to ensure that the system works.

    Q7. When it comes to new business, do you focus on new account wins or is retaining old clients more important?

    A: You have to retain clients’, there is no question of priority. Normally you do that by doing good work for them, doing the correct work for any brand that you get. And the same logic applies to the new businesses. If you can do efficient and relevant work for a brand, it will definitely work with you. Gone are the days when you could get business without doing work. There was a time when people used to think that good work was ‘one’ of the things that an agency needs to do, apart from big talk on relationships. Not anymore! You can have a great relationship and maybe talk a little more about the work because of the relationship, but it can’t survive long on that without work.

    Q8 Mullen Lowe Lintas has been presented as a competitive agency? Where do you derive that competition from, if not through awards?

    When I say Mullen Lowe Lintas is competitive, we are talking about doing better work. I don’t believe I need a jury to tell me if I am good enough. If I know that my work is better than most, I am happy. People often tell me that that distances and alienates creatives and puts them in a bubble, but let me tell you, there is no bubble in advertising. You take criticism all the time because you criticise yourself the most.  99 percent of the time you are criticising yourself. It is the one percent of praise that you seek from yourself is the toughest thing to do.

    Q9. After the restructuring last year, how well is the two agency structure working for the group? How well is Mullen Lintas doing?

    A: Yes the restructuring has worked for us. We had the talent pool to sustain a two agency structure and it was the right decision as well. Unlike most restructuring, we actually shifted some of our businesses from Lowe Lintas to Mullen Lintas. I am happy with the performance it has shown in less than a year. I hope it will be as big as Lowe Lintas in about 5 years.

    Q10. Since your presence at the Goafest 2016, the industry is speculating about the chance that Mullen Lowe Lintas will participate in the festival next year. Is that true?

    A: No. I don’t think so, whether I am part of Mullen or not, the agency will not participate.

    Q11. What is your goal within Mullen Lowe Lintas Group?

    A: I believe every person’s goal should be to leave a place better than what they walked into. I feel I have done the same with Mullen Lowe Lintas. That’s my earnest wish, to leave the company a better place for young creatives and advertising geniuses.

  • “You will see us relooking at the entire IBN7 proposition in 3-4 months”: Avinash Kaul

    “You will see us relooking at the entire IBN7 proposition in 3-4 months”: Avinash Kaul

    MUMBAI: A visionary who has entered into the foray of vernacular journalism to make it recognised globally. He is a broadcast professional with a career spanning more than 17 years with an immense pool of knowledge in the large variety of roles in sales, marketing, finance, legal and general management.

    Geared up to provide a refreshing outlook to the channels under him, it is the chief executive officer at IBN News Network (CNN-IBN, IBN7, IBNLokmat) Avinash Kaul. He has worked across various genres including news, general entertainment, kids, movies and lifestyle in India. 

    From being a board member of the Media Research Users Council to a part of the technical committee for Broadcast Audience Research Council (BARC), he has witnessed every chapter of the broadcast industry. With many a feather in his cap, Kaul is now poised to take IBN Networks to newer heights with a prominent footprint in digital with the launch of various properties.

    In conversation with Indiantelevision.com’s Megha Parmar, Kaul sheds light on the revamps in the pipeline, importance of the ratings body, the tug of war between digital and linear television, DAS III roll out effects, and the way ahead for the entire IBN News Network. 

    Read on for excerpts:

    You are revamping CNN-IBN to CNN-News18 from 18th April onwards. What is the idea behind the change? 

    We are infusing a lot of energy and resources behind this relaunch. We have been in talks about this for 2 years and now we are finally ready. This is the first attempt of launching the entire channel. To give a sense of what we are looking at is that news channels over a decade or more have come under pressure. We are mainly focusing on two things – We are stationing more resources on-ground in terms of news gathering, making it far better to what we are terming as immersive journalism. 

    We are putting up a team of reporters who will go and cover in-depth all the multiple angles of each story and be far more immersive into every story that we pick. Reporters have always been the biggest strength of CNN-IBN as compared to all other networks. We are investing more and more into that strength which gives us far more ground presence not only in terms of the number of stories that we are able to collect but we will also follow the mantra of doing it efficiently. We will do justice to each story by putting the sources on ground to cover those stories very comprehensively. This will be a one of the major changes that will be a part of the revamp. 

    The second aspect is the way the discussion and debate space is shaping up. At present, the space has become purely slanging action. We have figured out how we can improve the quality of debates. The people who are in the panel and are discussing should be in order to what we are seeing across various other channels. We have got experts with Swapan Dasgupta, Vir Sanghvi, Ajay Bose, etc., to be our exclusive panellists and we will gradually add more as time passes by. 

    What other changes will we see in the channel? 

    There is a lot of emphasis in terms of change; there is a new news studio, new upgrade of all the back end technologies that we are using, etc. We had the opportunity of revamping and changing our product and making it ready for digital and we are trying to do it in the best way – from the workflow to how will we be available to cater to the digital ecosystem or the second screen. 

    From the people perspective, we have a team of anchors and reporters and we are looking at investing on them and building them over a period of years. Over time, you will also see us invest quite significantly over the weekends in addition to weekdays, something which has traditionally not been seen over a long time on news channels. We are looking at feature programming, some high quality content on weekends. In our new avatar we will be leveraging a lot more CNN content than earlier. A lot of CNN shows will be seen on CNN-News18 like the Fareed Zakharia show. We are also going to get trainers from CNN to our team in terms of news gathering, editorial staff, comprehensive training with the CNN experts.

    Will there be a change in terms of the editorial structure? Are you planning to strengthen the team with a more popular anchor?

    No, there is no significant change in the editorial structure. We now have people driving various aspects. We have hired Anuradha Sen Gupta and she will look after the entire news on weekends. We have Sudeep Mukhia who has joined us as editor for prime time specifically. We are putting more and more resources in each and every time band to improve our quality which you will not typically see in any other news channels where their resources are in short supply. We are looking at filling all those gaps. We have a different team of reporters, anchors, producers only focused on the primetime band. All of them will report to our managing editor Radhakrishnan Nair. The structure won’t change, but the emphasis on each and every aspect will be significantly better. 

    You already have an application for IBNLive. Will it also be revamped or will we see one more application being launched? 

    Yes. In its new avatar, IBNLive app will now be renamed as News18 and the website as News18.com. You will see a completely new layout and approach. We have this app which is going to get upgraded. We are trying to do everything one by one. What you will see on 18th is a completely new packaging for the channel, new music, logo, website, app, new prime-time, new faces, new formats, that’s what is going to happen. In a month’s time you will see a bigger upgrade, one which will be a radical shift from what we are doing now. It’s just a start. We will have lot more things coming in the next few months. Every month you will see some new launches unlike any other channel. 

    Is the logo designed internally or did you hire an agency? 

    It has been done in-house. 

    How do you plan to promote the re-branding? What is your marketing strategy?

    We have a lot of teasers and promos already on-air. Apart from that, you will see heavy promotions on social, network channels, outdoors, print, lot more trade activities, TV, radio, everything will be covered. Yes, there will be a significant focus on digital. 

    What are your plans for IBN7 and IBNLokmat? Will you revamp them? When will we see that happening? 

    We are currently working on CNN’s revamp. You will see us relooking at the entire IBN7 proposition in 3-4 months. That is also on the cards but we are looking at one thing at a time. 

    Is digital a revenue generating proposition for you at this stage or is it too early?

    It has started but it’s not really up there. The growth is picking up very significantly, which is good. We were among the first partners with Facebook when it started with videos. So we are also seeing monetisation having a good growth rate. A lot more interaction is happening and we are keeping a lot of content for such platforms. It’s not the same content that moves from television to digital. We will create separately new content for these platforms. 

    CNN-IBN is having a tough time when it comes to viewership. Are you revamping to change that?

    The revamping has to happen any which ways. It’s not a reflection of if we are going up or down. If you look at the data in the last two weeks, we were at the number 2 position. But that is not something which we looked at when it came to revamping. The work has been on since quite a few months and from that we are launching it all together. We had to get ready with all the pieces of editorial, packaging, etc., in place. It’s not reacting to any number that keeps changing from week to week. Yes, we will always be happy to be at the number one position, or if not that, at least securing ourselves at the second position.

    How important are ratings in the larger scheme of things for a news channel?

    It’s not about absolute weightage on numbers but it’s usually the relative position which holds some value. In the general scheme of things, the numbers are extremely small. It’s more to do with what’s your imagery and perception, what is the quality that you bring to the table. These are usually more important, especially in the case of English news channels. In the case of Hindi news, the ratings play a far more important role than just the imagery or good quality content.  

    Do you plan to strengthen your distribution?

    Of course we will strengthen distribution! We are launching our distribution footprint as well with this revamp. There are lot more activities that we are working on with rebranding and rebuilding a product. Distribution is a part of it.  

    What is the advertisers’ reaction to the revamp?

    The advertisers so far have been pretty enthusiastic about the entire thing. At the end of it, you are investing in a product today, not just for the first screen but also for the second screen. As I mentioned, we are doing so much not just for TV, but also for digital. All of these are opportunities that we now have. We are content for a news company and we deliver our content on both the screens depending where the people are and in what point of time. So if you are on your Facebook timeline, you will get to see news content there as well. It’s only a matter of time. You would see that once BARC starts rolling out digital data in 6-7 months from now, you will see all these efforts being fruitful. Soon you will realise that a lot more consumption will not happen on the first screen, but will happen on second screen from now onwards. 

    How is the advertising revenue shaping up? Is having only advertising a profitable proposition?  

    Advertising revenue keeps growing in phases, because at the end of the day, advertising revenue especially for an English news channel keeps increasing. Earlier, we had lot of banking financial institutions wherein a lot of advertising was happening. Then came in the wave of mobile operators and later came the wave of e-commerce companies. So there is something or other always happening in that particular phase. But until the economy revives fully, you will always see lot more stress coming in the business front. 

    On the other hand if you look at Hindi news, you will see lot more local advertisers, lot more FMCG products coming in, which typically you will not see on English news channels. Despite these transitions, you will have a great year. It’s a cyclical movement; until the general economy starts picking up, many of these things will continue to be ranged down in certain ways. The bulk of the growth that we are seeing today is happening on the entertainment space because no matter the economy, the FMCG space will continue to grow with a lot more advertising. 

    The reason for getting heavily into digital and second screens is one of the key reasons why we want to make sure that we are tapping into all forms of opportunities. It’s not only a question about advertising sales. We are trying to diversify as much as possible with multiple dimensions.

    Is digital gradually taking over the TV when it comes to news? What should the TV players be doing to keep the audience intact?

    No, so far digital has not taken over TV in the case of news. These are two types of media that we are talking about. One is the type of people that are already on the second screen but there are people who still have not bought a TV set. So, out of 240 odd million (24 crore) households in India, only 155 million (15.5 crore) have televisions. As a broadcaster, one cannot abandon one medium for the other. We will continue to do what we are doing on linear TV, and we will also look into investing into something which that is yet to explode, which is digital consumption. Currently, digital consumption is a small percentage of the overall base. It is TV which reaches out to 155 million (15.5 crore) households. Yes, there are 1 billion plus (100 crore) phones in the market, but only 15 per cent of these are smartphones. They cannot get a great quality of video content on them and replace linear TV. That is still few a years away. We are ready for whenever that happens.  

    What can we expect from you and your network? 

    You will see new enhanced high quality products for which we are trying to rope in the best global expertise to make a product of which all of us will be proud of. We will leave no stone unturned to deliver a high quality product for the consumers.  

    Viewership for Hindi News has declined from 3.7 per cent to 3 per cent as per the FICCI-KPMG 2016 report? Is it because of the change in ratings body?

    From the perspective of someone who has been very closely involved with TAM and someone who has been in the technical committee of BARC, what happens is when a body for measurement changes, it definitely leads to various other changes. BARC has included rural data, which is happening for the first time. All of this creates a substantially different way of looking at things. Many channels which earlier were not getting consumed, or did not have a clear focus towards rural, are now changing their operations. It’s too early to say whether things are declining or are going up. 

    At the end of the day, the number of people in absolute numbers consuming news is significantly high. It means today we are talking about 153 million (15.3 crore) households, all being measured by BARC. Till about week 40 of last year, we were only talking about 55 million (5.5 crore) households. So we have added 100 million (10 crore). They will obviously not be watching TV at the same level as earlier. But all the broadcasters are now working towards reaching out to more and more people daily and are changing content for more audiences that are coming up. The news genre overall has not seen a decline, whether it is TAM or BARC. What has happened is that the relative position has moved up or down. Once you get into rural, hyperlocal content plays an important role when it comes to audience measurement in the large sense. This can be seen in GECs where channels like Zee Anmol, Rishtey or Star Utsav that are coming up very significantly. And obviously since they are free to air in that zone, they will get that number of viewership. 

    After DAS phase III, do you think there can be an increase in subscription revenue?

    Subscription revenue has been on an upstream for us quite like for the other players. As the recognitions keep going higher, everything will fall in place, but then, currently digitisation has not completely happened. You do not have perfect addressability because tiering has not clearly happened. Once that happens, you will be able to access more people. The number of players has also got consolidated with every phase of digitization. But the true benefits are yet to come wherein the bulk of money that is coming from the ground is passed on to the hands of a broadcaster. Obviously this will provide a good balance between advertising and subscription money. But that still has not happened to such an extent as what was envisaged earlier.

  • “You will see us relooking at the entire IBN7 proposition in 3-4 months”: Avinash Kaul

    “You will see us relooking at the entire IBN7 proposition in 3-4 months”: Avinash Kaul

    MUMBAI: A visionary who has entered into the foray of vernacular journalism to make it recognised globally. He is a broadcast professional with a career spanning more than 17 years with an immense pool of knowledge in the large variety of roles in sales, marketing, finance, legal and general management.

    Geared up to provide a refreshing outlook to the channels under him, it is the chief executive officer at IBN News Network (CNN-IBN, IBN7, IBNLokmat) Avinash Kaul. He has worked across various genres including news, general entertainment, kids, movies and lifestyle in India. 

    From being a board member of the Media Research Users Council to a part of the technical committee for Broadcast Audience Research Council (BARC), he has witnessed every chapter of the broadcast industry. With many a feather in his cap, Kaul is now poised to take IBN Networks to newer heights with a prominent footprint in digital with the launch of various properties.

    In conversation with Indiantelevision.com’s Megha Parmar, Kaul sheds light on the revamps in the pipeline, importance of the ratings body, the tug of war between digital and linear television, DAS III roll out effects, and the way ahead for the entire IBN News Network. 

    Read on for excerpts:

    You are revamping CNN-IBN to CNN-News18 from 18th April onwards. What is the idea behind the change? 

    We are infusing a lot of energy and resources behind this relaunch. We have been in talks about this for 2 years and now we are finally ready. This is the first attempt of launching the entire channel. To give a sense of what we are looking at is that news channels over a decade or more have come under pressure. We are mainly focusing on two things – We are stationing more resources on-ground in terms of news gathering, making it far better to what we are terming as immersive journalism. 

    We are putting up a team of reporters who will go and cover in-depth all the multiple angles of each story and be far more immersive into every story that we pick. Reporters have always been the biggest strength of CNN-IBN as compared to all other networks. We are investing more and more into that strength which gives us far more ground presence not only in terms of the number of stories that we are able to collect but we will also follow the mantra of doing it efficiently. We will do justice to each story by putting the sources on ground to cover those stories very comprehensively. This will be a one of the major changes that will be a part of the revamp. 

    The second aspect is the way the discussion and debate space is shaping up. At present, the space has become purely slanging action. We have figured out how we can improve the quality of debates. The people who are in the panel and are discussing should be in order to what we are seeing across various other channels. We have got experts with Swapan Dasgupta, Vir Sanghvi, Ajay Bose, etc., to be our exclusive panellists and we will gradually add more as time passes by. 

    What other changes will we see in the channel? 

    There is a lot of emphasis in terms of change; there is a new news studio, new upgrade of all the back end technologies that we are using, etc. We had the opportunity of revamping and changing our product and making it ready for digital and we are trying to do it in the best way – from the workflow to how will we be available to cater to the digital ecosystem or the second screen. 

    From the people perspective, we have a team of anchors and reporters and we are looking at investing on them and building them over a period of years. Over time, you will also see us invest quite significantly over the weekends in addition to weekdays, something which has traditionally not been seen over a long time on news channels. We are looking at feature programming, some high quality content on weekends. In our new avatar we will be leveraging a lot more CNN content than earlier. A lot of CNN shows will be seen on CNN-News18 like the Fareed Zakharia show. We are also going to get trainers from CNN to our team in terms of news gathering, editorial staff, comprehensive training with the CNN experts.

    Will there be a change in terms of the editorial structure? Are you planning to strengthen the team with a more popular anchor?

    No, there is no significant change in the editorial structure. We now have people driving various aspects. We have hired Anuradha Sen Gupta and she will look after the entire news on weekends. We have Sudeep Mukhia who has joined us as editor for prime time specifically. We are putting more and more resources in each and every time band to improve our quality which you will not typically see in any other news channels where their resources are in short supply. We are looking at filling all those gaps. We have a different team of reporters, anchors, producers only focused on the primetime band. All of them will report to our managing editor Radhakrishnan Nair. The structure won’t change, but the emphasis on each and every aspect will be significantly better. 

    You already have an application for IBNLive. Will it also be revamped or will we see one more application being launched? 

    Yes. In its new avatar, IBNLive app will now be renamed as News18 and the website as News18.com. You will see a completely new layout and approach. We have this app which is going to get upgraded. We are trying to do everything one by one. What you will see on 18th is a completely new packaging for the channel, new music, logo, website, app, new prime-time, new faces, new formats, that’s what is going to happen. In a month’s time you will see a bigger upgrade, one which will be a radical shift from what we are doing now. It’s just a start. We will have lot more things coming in the next few months. Every month you will see some new launches unlike any other channel. 

    Is the logo designed internally or did you hire an agency? 

    It has been done in-house. 

    How do you plan to promote the re-branding? What is your marketing strategy?

    We have a lot of teasers and promos already on-air. Apart from that, you will see heavy promotions on social, network channels, outdoors, print, lot more trade activities, TV, radio, everything will be covered. Yes, there will be a significant focus on digital. 

    What are your plans for IBN7 and IBNLokmat? Will you revamp them? When will we see that happening? 

    We are currently working on CNN’s revamp. You will see us relooking at the entire IBN7 proposition in 3-4 months. That is also on the cards but we are looking at one thing at a time. 

    Is digital a revenue generating proposition for you at this stage or is it too early?

    It has started but it’s not really up there. The growth is picking up very significantly, which is good. We were among the first partners with Facebook when it started with videos. So we are also seeing monetisation having a good growth rate. A lot more interaction is happening and we are keeping a lot of content for such platforms. It’s not the same content that moves from television to digital. We will create separately new content for these platforms. 

    CNN-IBN is having a tough time when it comes to viewership. Are you revamping to change that?

    The revamping has to happen any which ways. It’s not a reflection of if we are going up or down. If you look at the data in the last two weeks, we were at the number 2 position. But that is not something which we looked at when it came to revamping. The work has been on since quite a few months and from that we are launching it all together. We had to get ready with all the pieces of editorial, packaging, etc., in place. It’s not reacting to any number that keeps changing from week to week. Yes, we will always be happy to be at the number one position, or if not that, at least securing ourselves at the second position.

    How important are ratings in the larger scheme of things for a news channel?

    It’s not about absolute weightage on numbers but it’s usually the relative position which holds some value. In the general scheme of things, the numbers are extremely small. It’s more to do with what’s your imagery and perception, what is the quality that you bring to the table. These are usually more important, especially in the case of English news channels. In the case of Hindi news, the ratings play a far more important role than just the imagery or good quality content.  

    Do you plan to strengthen your distribution?

    Of course we will strengthen distribution! We are launching our distribution footprint as well with this revamp. There are lot more activities that we are working on with rebranding and rebuilding a product. Distribution is a part of it.  

    What is the advertisers’ reaction to the revamp?

    The advertisers so far have been pretty enthusiastic about the entire thing. At the end of it, you are investing in a product today, not just for the first screen but also for the second screen. As I mentioned, we are doing so much not just for TV, but also for digital. All of these are opportunities that we now have. We are content for a news company and we deliver our content on both the screens depending where the people are and in what point of time. So if you are on your Facebook timeline, you will get to see news content there as well. It’s only a matter of time. You would see that once BARC starts rolling out digital data in 6-7 months from now, you will see all these efforts being fruitful. Soon you will realise that a lot more consumption will not happen on the first screen, but will happen on second screen from now onwards. 

    How is the advertising revenue shaping up? Is having only advertising a profitable proposition?  

    Advertising revenue keeps growing in phases, because at the end of the day, advertising revenue especially for an English news channel keeps increasing. Earlier, we had lot of banking financial institutions wherein a lot of advertising was happening. Then came in the wave of mobile operators and later came the wave of e-commerce companies. So there is something or other always happening in that particular phase. But until the economy revives fully, you will always see lot more stress coming in the business front. 

    On the other hand if you look at Hindi news, you will see lot more local advertisers, lot more FMCG products coming in, which typically you will not see on English news channels. Despite these transitions, you will have a great year. It’s a cyclical movement; until the general economy starts picking up, many of these things will continue to be ranged down in certain ways. The bulk of the growth that we are seeing today is happening on the entertainment space because no matter the economy, the FMCG space will continue to grow with a lot more advertising. 

    The reason for getting heavily into digital and second screens is one of the key reasons why we want to make sure that we are tapping into all forms of opportunities. It’s not only a question about advertising sales. We are trying to diversify as much as possible with multiple dimensions.

    Is digital gradually taking over the TV when it comes to news? What should the TV players be doing to keep the audience intact?

    No, so far digital has not taken over TV in the case of news. These are two types of media that we are talking about. One is the type of people that are already on the second screen but there are people who still have not bought a TV set. So, out of 240 odd million (24 crore) households in India, only 155 million (15.5 crore) have televisions. As a broadcaster, one cannot abandon one medium for the other. We will continue to do what we are doing on linear TV, and we will also look into investing into something which that is yet to explode, which is digital consumption. Currently, digital consumption is a small percentage of the overall base. It is TV which reaches out to 155 million (15.5 crore) households. Yes, there are 1 billion plus (100 crore) phones in the market, but only 15 per cent of these are smartphones. They cannot get a great quality of video content on them and replace linear TV. That is still few a years away. We are ready for whenever that happens.  

    What can we expect from you and your network? 

    You will see new enhanced high quality products for which we are trying to rope in the best global expertise to make a product of which all of us will be proud of. We will leave no stone unturned to deliver a high quality product for the consumers.  

    Viewership for Hindi News has declined from 3.7 per cent to 3 per cent as per the FICCI-KPMG 2016 report? Is it because of the change in ratings body?

    From the perspective of someone who has been very closely involved with TAM and someone who has been in the technical committee of BARC, what happens is when a body for measurement changes, it definitely leads to various other changes. BARC has included rural data, which is happening for the first time. All of this creates a substantially different way of looking at things. Many channels which earlier were not getting consumed, or did not have a clear focus towards rural, are now changing their operations. It’s too early to say whether things are declining or are going up. 

    At the end of the day, the number of people in absolute numbers consuming news is significantly high. It means today we are talking about 153 million (15.3 crore) households, all being measured by BARC. Till about week 40 of last year, we were only talking about 55 million (5.5 crore) households. So we have added 100 million (10 crore). They will obviously not be watching TV at the same level as earlier. But all the broadcasters are now working towards reaching out to more and more people daily and are changing content for more audiences that are coming up. The news genre overall has not seen a decline, whether it is TAM or BARC. What has happened is that the relative position has moved up or down. Once you get into rural, hyperlocal content plays an important role when it comes to audience measurement in the large sense. This can be seen in GECs where channels like Zee Anmol, Rishtey or Star Utsav that are coming up very significantly. And obviously since they are free to air in that zone, they will get that number of viewership. 

    After DAS phase III, do you think there can be an increase in subscription revenue?

    Subscription revenue has been on an upstream for us quite like for the other players. As the recognitions keep going higher, everything will fall in place, but then, currently digitisation has not completely happened. You do not have perfect addressability because tiering has not clearly happened. Once that happens, you will be able to access more people. The number of players has also got consolidated with every phase of digitization. But the true benefits are yet to come wherein the bulk of money that is coming from the ground is passed on to the hands of a broadcaster. Obviously this will provide a good balance between advertising and subscription money. But that still has not happened to such an extent as what was envisaged earlier.

  • Star India is one of the very few to get its design right: Kyoorius’ Rajesh Kejriwal

    Star India is one of the very few to get its design right: Kyoorius’ Rajesh Kejriwal

    At a time when content and disruption are mentioned in the same breath in every digitally charged summit, design often takes a backseat. It’s an open secret that several marketers, be they traditional or digital, neglect design. In fact, a couple of years ago the understanding of the subject or its importance in driving brands was practically not there.  Very little was done in the country to drive conversations around design and innovation.

    Things would have remained the same, were it not for Kyoorius, a one stop place that connects designers, brands, creatives and every stakeholder in between. Kyoorius founder and CEO Rajesh Kejriwal welcomed the change that his endeavour brought to the industry. Its flagship awards show, Kyoorius Creative Awards and design and innovation conference Kyoorius Designyatra have set benchmarks year after year. Now the Kyoorius Creative Awards is in its 3rd edition and has the likes of R. Balki, Kartik Sharma, and Fergus O’Hare on board as jury members, while Kyoorius Designyatra celebrated ten years during its last edition. Kyoorius has also expanded with a marketing and communication division with MELT, where it focuses on emerging technology and digital marketing.

    In a candid chat with indiantelevision.com’s Papri Das, Rajesh Kejriwal opens up on the state of design in the industry, what to expect from Kyoorius Creative Awards and MELT 2016 and how most of the media brands haven’t cracked the design code.

    Excerpts:

    Is there anything new that we can expect at MELT 2016?

    This year at MELT we will have 14 halls with parallel sessions. The content itself is massive compared to last year with almost 60 speakers on board. We don’t like to emulate the whole ‘panel’ system as that gives the audience an information overload with no real crux.

    We have reached out to GroupM, SAP, Kinetic and Happy Finish who we expected to participate in this year’s MELT in Delhi. Now that we have postponed MELT and we are likely to hold it in August, we are actually looking at two expo areas. One would be heavy on new  technology that might interest marketers such as Gear from Samsung etc., and the other would have the GroupMs’ and Genesis, etc., of the industry.

    Why was MELT 2016 postponed?

    In every event we do, we ensure that the content we put out is very strong. I have to hand it to the curation team that felt the content and line-up for MELT, which was scheduled earlier this year, didn’t match up to standards, and therefore we rescheduled it.

    What have been the game changers in the design and creative industry?

    Digital was no doubt the biggest game changer. From the Indian perspective, in the last five years, the major change has been the acceptance of design by corporate India as a strategic tool, not an aesthetic one.  It is not looked at with a fresh perspective by business leaders now. Consider this as an immense change in the mindset of people. This has led to designers being treated with a lot more respect and seriousness. Because it is only when you have good clients with big budgets can you work wonders for them. If you are paid peanuts there is only so much you can do.

    According to you, which brand in India has made the best use of design in recent times?

    In the FMCG sector, I would say Paperboat is a success story when it comes to brilliant use of design. Right from the material it uses for packaging, its layout and how it is branded, Paperbaot has paid attention to detail, not just in terms of looks, but what that look conveys to its consumers. I am glad to see a newcomer in the field understanding and using design creatively. Fastrack from Titan has always stayed ahead of the design curve. It has nailed it down perfectly well.

    Royal Enfield India is currently using design very strategically. Flipkart and Myntra too have done a good job. But these are all what I call the new Indian businesses.

    What about the media brands?

    When it comes to media and broadcaster channels, I feel all of them really need to redo their designs except for Star India. If you look at their packaging logo and interface from a visual perspective, Star has got it right. All the other broadcasters do not understand how important a cohesive language branding identity is. Design defines the DNA of a channel, and its identity. It surprises me that they don’t understand its importance, because some of these networks have global reach. One would expect them to see how international media use their design.

    If you look at the packaging, and everything, it doesn’t reflect the brand identity of the channels. If one were to take away all text and show the channel to us, I can tell which one Star is, but any other brand would be a hard guess, because the visual language is missing. It is sad because that is what binds the consumers to the brand. Being in a mass consumer industry, broadcasters should get their design right.

    There is a tendency amongst some media organisations to rebrand themselves, and while they are at it, they change it in parts and pieces. I would hear from them that they have changed their show packaging without changing their identity branding. I think that is the wrong way to go about it. Design can’t be done in bits and pieces.

    What according to you is going wrong with the design industry in India?

    Where most designs go wrong is when the company or CEO decides what design suits the company. Design isn’t an opinion, it’s a solution. The right design isn’t as per the CEO’s fancy, but as per the consumer needs.

    Let me tell you the difference between the old India and new India. For old India designers, you would go to them as a client and ask for a logo. They would show you a logo and tell you it’s the best for you as it was ‘fresh’. Has any client in the world has asked for a stale logo? It clearly means the designers created a good looking logo, and told a story to fit the logo with the company, whereas a good designer will find that story before designing the logo. A good designer will figure out the strategy, the positioning, the brand identity, the target group and manifest that into a design. New India does it the latter way. But there is still a lot of India stuck to the old ways.

    You initially were from the paper and printing industry. What made you take interest in the design and creative field?

    Predominantly we were paper merchants who would purchase paper manufactured in other markets, bring it to India, brand it and sell it here. One of the ways to fuel these purchases was to influence the decision makers, i. e., the creatives and designers. Designyatra was first thought of to reach out to our clients and start a design revolution in India.

    To fuel this design movement, we had to expose the industry prevalent in India to what was happening globally, and make them feel proud of being designers. To do away with the bureaucracy involved in the entire system, I decided to go with the non-profit format.  Suddenly from being a vendor to the industry I was their friend, so Designyatra and Kyoorius definitely helped my paper business.

    From being a promotional method to becoming the actual business; tell us how did Kyoorius evolve?

    It happened soon after the paper industry slid downhill, though it didn’t happen overnight. Gradually the entire set up changed. While being a business man it wasn’t too difficult for me, it was a difficult transition for Kyoorius. Earlier it acted as promotion for my paper business. Now when the model changed, Kyoorius had to be sustainable or profitable.

    When it really came down to making a difference in the industry, Kyoorius actually had to be profitable, not run up losses. It had to be actually profitable and use that profit to make a positive difference in the industry. So that transition from not caring whether it made money or not to making Kyoorius sustainable was the real challenge.

    How did you manage this transition?

    Prior to this realisation we didn’t have sponsors. When we decided to make it sustainable, one of the obvious means for any conference to be functional is to have a sponsor. So we looked for one. This wasn’t easy because no one believed in the design industry in 2008 and 2009. In those days if you did something in the advertising sphere, major broadcasters would easily come on board. But design was an offbeat road to travel on that only a small breed of people was interested in.

    We were lucky in 2011, we managed to get Zee to take cognizance of the fact that design was important for the industry and the country and that’s how it came on board. And since then, Zee has remained a partner for Kyoorius and signed on year after year. We also started looking at pricing the tickets right, something which we didn’t pay attention to earlier.

    Post transformation what is the current structure of Kyoorius now?

    Currently we have two sides to Kyoorius. One is the marketing and communication section where advertising, media and digital, social media and emerging technologies or MarTech is covered, and the second is the design and innovation side.

    These are the two broad headers under which we operate, mostly because if you have a capable team, you can’t have a single event a year to keep it occupied.

    What is your take on sponsorship for events?

    For the creative awards, we have Colors, HT, Rishtey Happy Finish and Kinetic. Apart from this we have supporting partners like Addikt.tv etc.

    If an award show has to sustainably exist for a long period of time, in an ideal scenario, 80 per cent of the revenue should come from the ticketed sales or entries in guest registration. In India it is actually the reverse. Sponsorship is between 70 to 80 per cent while the rest is maybe tickets or miscellaneous.

    In our case thankfully, we have struck a healthier ratio with 60 per cent from sponsorship and 40 per cent from ticket sales. I hope we can soon invert this ratio for Kyoorius Creative Awards, as we have done for Designyatra.

    MELT is a difficult IP when it comes to ticket sales as it will always be about partners. I can’t charge each person Rs 20,000, so the prices for MELT tickets will always be lower. Given the content we showcase in MELT, the budget can only be met through sponsors.

    Last year it was Rs 8,000, and this year we are planning to have another optional ticket without dinner included that will be sold for  much less. It’s for those newcomers in the industry or students who want to attend, but for whom budget is an issue.

  • Star India is one of the very few to get its design right: Kyoorius’ Rajesh Kejriwal

    Star India is one of the very few to get its design right: Kyoorius’ Rajesh Kejriwal

    At a time when content and disruption are mentioned in the same breath in every digitally charged summit, design often takes a backseat. It’s an open secret that several marketers, be they traditional or digital, neglect design. In fact, a couple of years ago the understanding of the subject or its importance in driving brands was practically not there.  Very little was done in the country to drive conversations around design and innovation.

    Things would have remained the same, were it not for Kyoorius, a one stop place that connects designers, brands, creatives and every stakeholder in between. Kyoorius founder and CEO Rajesh Kejriwal welcomed the change that his endeavour brought to the industry. Its flagship awards show, Kyoorius Creative Awards and design and innovation conference Kyoorius Designyatra have set benchmarks year after year. Now the Kyoorius Creative Awards is in its 3rd edition and has the likes of R. Balki, Kartik Sharma, and Fergus O’Hare on board as jury members, while Kyoorius Designyatra celebrated ten years during its last edition. Kyoorius has also expanded with a marketing and communication division with MELT, where it focuses on emerging technology and digital marketing.

    In a candid chat with indiantelevision.com’s Papri Das, Rajesh Kejriwal opens up on the state of design in the industry, what to expect from Kyoorius Creative Awards and MELT 2016 and how most of the media brands haven’t cracked the design code.

    Excerpts:

    Is there anything new that we can expect at MELT 2016?

    This year at MELT we will have 14 halls with parallel sessions. The content itself is massive compared to last year with almost 60 speakers on board. We don’t like to emulate the whole ‘panel’ system as that gives the audience an information overload with no real crux.

    We have reached out to GroupM, SAP, Kinetic and Happy Finish who we expected to participate in this year’s MELT in Delhi. Now that we have postponed MELT and we are likely to hold it in August, we are actually looking at two expo areas. One would be heavy on new  technology that might interest marketers such as Gear from Samsung etc., and the other would have the GroupMs’ and Genesis, etc., of the industry.

    Why was MELT 2016 postponed?

    In every event we do, we ensure that the content we put out is very strong. I have to hand it to the curation team that felt the content and line-up for MELT, which was scheduled earlier this year, didn’t match up to standards, and therefore we rescheduled it.

    What have been the game changers in the design and creative industry?

    Digital was no doubt the biggest game changer. From the Indian perspective, in the last five years, the major change has been the acceptance of design by corporate India as a strategic tool, not an aesthetic one.  It is not looked at with a fresh perspective by business leaders now. Consider this as an immense change in the mindset of people. This has led to designers being treated with a lot more respect and seriousness. Because it is only when you have good clients with big budgets can you work wonders for them. If you are paid peanuts there is only so much you can do.

    According to you, which brand in India has made the best use of design in recent times?

    In the FMCG sector, I would say Paperboat is a success story when it comes to brilliant use of design. Right from the material it uses for packaging, its layout and how it is branded, Paperbaot has paid attention to detail, not just in terms of looks, but what that look conveys to its consumers. I am glad to see a newcomer in the field understanding and using design creatively. Fastrack from Titan has always stayed ahead of the design curve. It has nailed it down perfectly well.

    Royal Enfield India is currently using design very strategically. Flipkart and Myntra too have done a good job. But these are all what I call the new Indian businesses.

    What about the media brands?

    When it comes to media and broadcaster channels, I feel all of them really need to redo their designs except for Star India. If you look at their packaging logo and interface from a visual perspective, Star has got it right. All the other broadcasters do not understand how important a cohesive language branding identity is. Design defines the DNA of a channel, and its identity. It surprises me that they don’t understand its importance, because some of these networks have global reach. One would expect them to see how international media use their design.

    If you look at the packaging, and everything, it doesn’t reflect the brand identity of the channels. If one were to take away all text and show the channel to us, I can tell which one Star is, but any other brand would be a hard guess, because the visual language is missing. It is sad because that is what binds the consumers to the brand. Being in a mass consumer industry, broadcasters should get their design right.

    There is a tendency amongst some media organisations to rebrand themselves, and while they are at it, they change it in parts and pieces. I would hear from them that they have changed their show packaging without changing their identity branding. I think that is the wrong way to go about it. Design can’t be done in bits and pieces.

    What according to you is going wrong with the design industry in India?

    Where most designs go wrong is when the company or CEO decides what design suits the company. Design isn’t an opinion, it’s a solution. The right design isn’t as per the CEO’s fancy, but as per the consumer needs.

    Let me tell you the difference between the old India and new India. For old India designers, you would go to them as a client and ask for a logo. They would show you a logo and tell you it’s the best for you as it was ‘fresh’. Has any client in the world has asked for a stale logo? It clearly means the designers created a good looking logo, and told a story to fit the logo with the company, whereas a good designer will find that story before designing the logo. A good designer will figure out the strategy, the positioning, the brand identity, the target group and manifest that into a design. New India does it the latter way. But there is still a lot of India stuck to the old ways.

    You initially were from the paper and printing industry. What made you take interest in the design and creative field?

    Predominantly we were paper merchants who would purchase paper manufactured in other markets, bring it to India, brand it and sell it here. One of the ways to fuel these purchases was to influence the decision makers, i. e., the creatives and designers. Designyatra was first thought of to reach out to our clients and start a design revolution in India.

    To fuel this design movement, we had to expose the industry prevalent in India to what was happening globally, and make them feel proud of being designers. To do away with the bureaucracy involved in the entire system, I decided to go with the non-profit format.  Suddenly from being a vendor to the industry I was their friend, so Designyatra and Kyoorius definitely helped my paper business.

    From being a promotional method to becoming the actual business; tell us how did Kyoorius evolve?

    It happened soon after the paper industry slid downhill, though it didn’t happen overnight. Gradually the entire set up changed. While being a business man it wasn’t too difficult for me, it was a difficult transition for Kyoorius. Earlier it acted as promotion for my paper business. Now when the model changed, Kyoorius had to be sustainable or profitable.

    When it really came down to making a difference in the industry, Kyoorius actually had to be profitable, not run up losses. It had to be actually profitable and use that profit to make a positive difference in the industry. So that transition from not caring whether it made money or not to making Kyoorius sustainable was the real challenge.

    How did you manage this transition?

    Prior to this realisation we didn’t have sponsors. When we decided to make it sustainable, one of the obvious means for any conference to be functional is to have a sponsor. So we looked for one. This wasn’t easy because no one believed in the design industry in 2008 and 2009. In those days if you did something in the advertising sphere, major broadcasters would easily come on board. But design was an offbeat road to travel on that only a small breed of people was interested in.

    We were lucky in 2011, we managed to get Zee to take cognizance of the fact that design was important for the industry and the country and that’s how it came on board. And since then, Zee has remained a partner for Kyoorius and signed on year after year. We also started looking at pricing the tickets right, something which we didn’t pay attention to earlier.

    Post transformation what is the current structure of Kyoorius now?

    Currently we have two sides to Kyoorius. One is the marketing and communication section where advertising, media and digital, social media and emerging technologies or MarTech is covered, and the second is the design and innovation side.

    These are the two broad headers under which we operate, mostly because if you have a capable team, you can’t have a single event a year to keep it occupied.

    What is your take on sponsorship for events?

    For the creative awards, we have Colors, HT, Rishtey Happy Finish and Kinetic. Apart from this we have supporting partners like Addikt.tv etc.

    If an award show has to sustainably exist for a long period of time, in an ideal scenario, 80 per cent of the revenue should come from the ticketed sales or entries in guest registration. In India it is actually the reverse. Sponsorship is between 70 to 80 per cent while the rest is maybe tickets or miscellaneous.

    In our case thankfully, we have struck a healthier ratio with 60 per cent from sponsorship and 40 per cent from ticket sales. I hope we can soon invert this ratio for Kyoorius Creative Awards, as we have done for Designyatra.

    MELT is a difficult IP when it comes to ticket sales as it will always be about partners. I can’t charge each person Rs 20,000, so the prices for MELT tickets will always be lower. Given the content we showcase in MELT, the budget can only be met through sponsors.

    Last year it was Rs 8,000, and this year we are planning to have another optional ticket without dinner included that will be sold for  much less. It’s for those newcomers in the industry or students who want to attend, but for whom budget is an issue.

  • “Our carriage bill is down 30-35%; subscription up 14-15%”: Nikhil Gandhi

    “Our carriage bill is down 30-35%; subscription up 14-15%”: Nikhil Gandhi

    2015 will be remembered as a memorable year for Disney India’s TV biz. The mouse house took its TV channel distribution in its own hands when it terminated its joint venture with the Viacom outfit Indiacast.  For several years it had experimented with other distribution partners like Sun Distribution Services to Star Den, both of which are non-existent now.

    A new venture Disney Media Networks was set up and media vet Nikhil Gandhi – who was responsibile for revenue and profitability across Disney India media channels comprising of youth channels – Bindass and kids channels – Disney Channel, Disney Junior, Disney XD and Hungama TV, movies channels – UTV Movies and UTV Action –  was given its charge.

    His challenge: to jiggle out distribution and subscription  revenues from India’s fragmented cable TV ecosystem, while keeping affiliate fees under control even as he ensured carriage of Disney India’s eight channel bouquet.

    Six months down the line, Gandhi seems to have done well, if one goes by this exclusive interview to indiantelevision.com’s Anirban Roy Choudhury.  He speaks about the challenges he has and continues to face, and why he is still optimistic.

    Excerpts: 


    How has the journey been so far? What made Disney decide to distribute its TV channels on its own?

    It has been a fabulous six months. The market has been receptive to whatever we are doing, which has been a major boost for us. We have been in the business for over 10 years now and we have been distributing through different partners. We started with Star, then we went to Sun and then to IndiaCast, following which we were on an agency relationship with them. Therefore we needed to take a call on what we really wanted to do.

    I think our network is one to reckon with. We have six per cent viewership share which is probably five or six times compared to the one following us. So we are the fifth largest broadcast network. That’s why we thought we could go out and take the business in our hands and see what we could do at the distribution level.

    One, it was also important to get our carriage fee bill down, which each  broadcaster is trying his level best to do. Two and the most important one was to get the subscription business in order. 

    What are the challenges that you faced and how did you counter them?

    We had to inform the ecosystem – the MSOs’ and the DTH players about Disney Media Networks, that we have eigh channels, we have very high premium brands. We had to tell them what we are and what value we could add to them. I think that at certain point after our initial efforts, they did realise that they had never seen Disney as an entity in its own right. They began to understand the value that we brought to the table in terms of packaging. They realised we were the leaders in kids and youth channels and we had a sizeable movie business. We were not just another bouquet, we were leaders of sorts. The challenge was to communicate that and the team did a fantastic job.

    I think that the deals that we have struck are our biggest achievement. We have reached very big milestones in the first year itself. To begin with we have got our carriage bill down by 30 to 35 per cent and at the same time we have taken our subscription revenue up 14 to 15 per cent and it happened after rounds of negotiations and discussions with our carriage partners.

    When you talk about distribution success, do you mean a pan India success or is it a particular market?

    It is a pan India success for us. We are distributed nationally. Our channels reach east, west, north and south. And that is because of the fantastic work done by our teams on ground. We got a fantastic bunch of talented people from across different fields. They have successfully communicated what really Disney Media Networks stands for, and most of the negotiations are done by them. So whenever we talk about success or numbers, it is pan India that we are talking about, and not a particular market.

    What is your opinion about the CPS model? If rolled out properly, will it enhance your subscription revenue?

    CPS is there…and yet it’s not there as a whole. In phases I and II, we know what is going on. Phases III and IV will take shape with time. It’s good that we’ve digitized, now what really matters is how it is being addressed, how the CAF is filled up and how it is packaged. 

    It is a great move forward, and as a broadcaster and content provider, we can only add value to the process by giving superior content and a brand which will enhance ARPUs.

    CPS will happen as the progression of packaging happens and the progression of addressability happens.

    The MSO-LCO equation needs to change and become more mature. Yes, the moves are very positive, but we are still not there, there are areas where we need some amount of investor players to come and change the game at least from a mind-set point of view. CPS will go up with ARPU going up.  And when there is a transparent system in place that enables addressability, subscription revenue will move up in the right direction.

    What is your opinion on the regulators stand so far?

    The regulators have been very pro industry, which is a great thing. We have seen how there was a hard stance when it came to the phase III deadline. So I think it’s a very bold move, because for them also, it’s about getting the industry which is so big in size organised and deriving the maximum out of it in terms of entertainment tax and other revenue generating propositions. And an organised platform is always more transparent, and transparency is the need of the hour for the industry. So I think the regulator’s stand so far has been immensely pro industry.

    Do you think content, if paid for in India, will grow?

    ARPUs’ have been flat for last 10 years. So obviously India is not paying for content, but the moot point is that India is capable of paying more. We, at Disney, are manufacturers; we are content providers. There are platforms and there are wholesalers and retailers involved.  It is the retailers and the wholesalers who need to drive the ARPU and there are many elements on which it all depends.

    At a pricing level we are restricted by the RIO model, and then on the ground level there is the LCO who by no means is interested as it might hurt him. I think to drive payment for content, the LCO – MSO equation needs to change, DTH needs to play its role and it all needs to happen in a collaborated manner.

    I think there is a need for standard pricing similar to any other industry. You buy toothpaste the price is the same everywhere.  In India there is a legacy involved in the way it has been run. The legacy needs to change. It is changing, we expected it to change fast, but it’s actually changing at a snail’s pace.

    Can the broadcasters not play a role in ensuring higher ARPU?

    Look at what the broadcasters are offering these days. Look at the quality of the content. It’s premium content created with superior sophistication. There are HD channels offering HD content. A few of them have rolled out 4K channels.

     So while ARPU has remained same over the last 10 years, the investment on content did not stop. It kept on going. New formats, acquisitions, new and bold ways of storytelling have been explored, and then there are the additions in the number of channels every year.

    Rs 300 for 50 channels 10 years ago, has now become 250 channels of superior quality for the same old price. We have witnessed a few ARPU movements at least in the metros with DTH and a few MSOs, but these are minuscule movements. The movements need to happen much faster because that’s where the motivation is. From a broadcaster’s point of view, there is nothing that we can do but play the game as per the nature of the business.

    You spoke about collaboration, recently we witnessed switching off of signals, what is your opinion on such acts?  

    Firstly, the switching off of services and disturbing the consumer at a fundamental level is very unfair, it should not happen. There could be differences on the negotiation table, but that by no means should disturb the end consumer. 

    The fact that the consumer is deprived of a service in itself is very sad.  I don’t subscribe to such negotiations. We have also gone through highs and lows in our negotiation process but, at the end of the day, you cannot starve your consumer of superior content, or any content for that matter, because the consumer has subscribed for it. The ecosystem is such that the business is dependent on ad sales, and that is why the switch offs’ happen.

    What should lead the business, subscription or ad revenue?

    Ad sales should be an icing on the cake, subscription revenue should steer the business. Look at the mature markets – subscription revenue is leading the business, the negotiations that happen there are at a different level.

    Fundamentally the broadcast business has to be a subscription led business. You can have an advertising-based play that we are seeing with the FTA’s and that’s majorly because of the huge population of our country and the market size and the reach that TV offers. But a premium pay channel creating original superior content needs to be pay first.

    What is your take on the growing OTT business?

    At the heart of the OTT ecosystem is bandwidth and the bandwidth needs to improve.  What will be interesting to see is if it becomes subscription based (SVOD) or advertising based video on demand (AVOD). 

    Now if you are providing superior content for an AVOD model you are not creating a great environment as such. It’s all about how you form the habit. Consumers who consume OTT content are paying about Rs 1,000 for data, and we tend to think that the same consumer will not pay for  content. This mentality is not a long term one, we need to think 10 years ahead and then take steps.

    Smart TVs are in place; people are talking about 8K.  There are great leaps in terms of technology, but if we don’t take the correct steps, we won’t be able to get value out of the OTT business.

    Will you make yourself available on OTT platforms? Star has Hotstar, SPN has Sony Liv, ZEE has a couple of them and Viacom is launching VOOT. Is Disney also looking towards launching an OTT platform?

    Anywhere where consumption is there, we will make ourselves present. That’s the way forward for us. We do have plans, but we are at a very nascent stage as far as OTT is concerned. As a linear service we will be available on all OTT platforms, but when it comes to launching our own venture we will evaluate when the time is right.

    Where are you generating more subscription revenue from, DTH or cable?

    DTH has a slight edge over cable when it comes to our subscription revenue. We are gradually moving towards level contributions from both the platforms. Now with DAS phase III, I think the headroom for growth is massive in the case of cable. At this stage I think that DTH, given its organised and transparent nature, has the edge.

    Is it the bouquet mode of distribution that you are looking at, at this stage?

    Most of our deals are all bouquet offerings, if there is any platform that requires a youth offering or kids offering or a movie offering, such deals happen at a very high CPS price and we create those packages. We are there on a la carte as an offering, but there is a very small set of consumers who subscribe to the service. So it’s largely all bouquet.

    What is it that Disney Media Networks is looking for in the foreseeable future?

    I have mandated the team in Disney that the subscription business needs to overtake the ad sales business over the next three years’  and that will change the entire ecosystem. An MSO cannot then threaten me with a switch off and that’s what we are targeting. We were at about 65:35 ratio, now we have become 60:40 so we are moving towards that direction. Over time the target is to make it 40:60 or 30:70 for that matter.

     

  • “Our carriage bill is down 30-35%; subscription up 14-15%”: Nikhil Gandhi

    “Our carriage bill is down 30-35%; subscription up 14-15%”: Nikhil Gandhi

    2015 will be remembered as a memorable year for Disney India’s TV biz. The mouse house took its TV channel distribution in its own hands when it terminated its joint venture with the Viacom outfit Indiacast.  For several years it had experimented with other distribution partners like Sun Distribution Services to Star Den, both of which are non-existent now.

    A new venture Disney Media Networks was set up and media vet Nikhil Gandhi – who was responsibile for revenue and profitability across Disney India media channels comprising of youth channels – Bindass and kids channels – Disney Channel, Disney Junior, Disney XD and Hungama TV, movies channels – UTV Movies and UTV Action –  was given its charge.

    His challenge: to jiggle out distribution and subscription  revenues from India’s fragmented cable TV ecosystem, while keeping affiliate fees under control even as he ensured carriage of Disney India’s eight channel bouquet.

    Six months down the line, Gandhi seems to have done well, if one goes by this exclusive interview to indiantelevision.com’s Anirban Roy Choudhury.  He speaks about the challenges he has and continues to face, and why he is still optimistic.

    Excerpts: 


    How has the journey been so far? What made Disney decide to distribute its TV channels on its own?

    It has been a fabulous six months. The market has been receptive to whatever we are doing, which has been a major boost for us. We have been in the business for over 10 years now and we have been distributing through different partners. We started with Star, then we went to Sun and then to IndiaCast, following which we were on an agency relationship with them. Therefore we needed to take a call on what we really wanted to do.

    I think our network is one to reckon with. We have six per cent viewership share which is probably five or six times compared to the one following us. So we are the fifth largest broadcast network. That’s why we thought we could go out and take the business in our hands and see what we could do at the distribution level.

    One, it was also important to get our carriage fee bill down, which each  broadcaster is trying his level best to do. Two and the most important one was to get the subscription business in order. 

    What are the challenges that you faced and how did you counter them?

    We had to inform the ecosystem – the MSOs’ and the DTH players about Disney Media Networks, that we have eigh channels, we have very high premium brands. We had to tell them what we are and what value we could add to them. I think that at certain point after our initial efforts, they did realise that they had never seen Disney as an entity in its own right. They began to understand the value that we brought to the table in terms of packaging. They realised we were the leaders in kids and youth channels and we had a sizeable movie business. We were not just another bouquet, we were leaders of sorts. The challenge was to communicate that and the team did a fantastic job.

    I think that the deals that we have struck are our biggest achievement. We have reached very big milestones in the first year itself. To begin with we have got our carriage bill down by 30 to 35 per cent and at the same time we have taken our subscription revenue up 14 to 15 per cent and it happened after rounds of negotiations and discussions with our carriage partners.

    When you talk about distribution success, do you mean a pan India success or is it a particular market?

    It is a pan India success for us. We are distributed nationally. Our channels reach east, west, north and south. And that is because of the fantastic work done by our teams on ground. We got a fantastic bunch of talented people from across different fields. They have successfully communicated what really Disney Media Networks stands for, and most of the negotiations are done by them. So whenever we talk about success or numbers, it is pan India that we are talking about, and not a particular market.

    What is your opinion about the CPS model? If rolled out properly, will it enhance your subscription revenue?

    CPS is there…and yet it’s not there as a whole. In phases I and II, we know what is going on. Phases III and IV will take shape with time. It’s good that we’ve digitized, now what really matters is how it is being addressed, how the CAF is filled up and how it is packaged. 

    It is a great move forward, and as a broadcaster and content provider, we can only add value to the process by giving superior content and a brand which will enhance ARPUs.

    CPS will happen as the progression of packaging happens and the progression of addressability happens.

    The MSO-LCO equation needs to change and become more mature. Yes, the moves are very positive, but we are still not there, there are areas where we need some amount of investor players to come and change the game at least from a mind-set point of view. CPS will go up with ARPU going up.  And when there is a transparent system in place that enables addressability, subscription revenue will move up in the right direction.

    What is your opinion on the regulators stand so far?

    The regulators have been very pro industry, which is a great thing. We have seen how there was a hard stance when it came to the phase III deadline. So I think it’s a very bold move, because for them also, it’s about getting the industry which is so big in size organised and deriving the maximum out of it in terms of entertainment tax and other revenue generating propositions. And an organised platform is always more transparent, and transparency is the need of the hour for the industry. So I think the regulator’s stand so far has been immensely pro industry.

    Do you think content, if paid for in India, will grow?

    ARPUs’ have been flat for last 10 years. So obviously India is not paying for content, but the moot point is that India is capable of paying more. We, at Disney, are manufacturers; we are content providers. There are platforms and there are wholesalers and retailers involved.  It is the retailers and the wholesalers who need to drive the ARPU and there are many elements on which it all depends.

    At a pricing level we are restricted by the RIO model, and then on the ground level there is the LCO who by no means is interested as it might hurt him. I think to drive payment for content, the LCO – MSO equation needs to change, DTH needs to play its role and it all needs to happen in a collaborated manner.

    I think there is a need for standard pricing similar to any other industry. You buy toothpaste the price is the same everywhere.  In India there is a legacy involved in the way it has been run. The legacy needs to change. It is changing, we expected it to change fast, but it’s actually changing at a snail’s pace.

    Can the broadcasters not play a role in ensuring higher ARPU?

    Look at what the broadcasters are offering these days. Look at the quality of the content. It’s premium content created with superior sophistication. There are HD channels offering HD content. A few of them have rolled out 4K channels.

     So while ARPU has remained same over the last 10 years, the investment on content did not stop. It kept on going. New formats, acquisitions, new and bold ways of storytelling have been explored, and then there are the additions in the number of channels every year.

    Rs 300 for 50 channels 10 years ago, has now become 250 channels of superior quality for the same old price. We have witnessed a few ARPU movements at least in the metros with DTH and a few MSOs, but these are minuscule movements. The movements need to happen much faster because that’s where the motivation is. From a broadcaster’s point of view, there is nothing that we can do but play the game as per the nature of the business.

    You spoke about collaboration, recently we witnessed switching off of signals, what is your opinion on such acts?  

    Firstly, the switching off of services and disturbing the consumer at a fundamental level is very unfair, it should not happen. There could be differences on the negotiation table, but that by no means should disturb the end consumer. 

    The fact that the consumer is deprived of a service in itself is very sad.  I don’t subscribe to such negotiations. We have also gone through highs and lows in our negotiation process but, at the end of the day, you cannot starve your consumer of superior content, or any content for that matter, because the consumer has subscribed for it. The ecosystem is such that the business is dependent on ad sales, and that is why the switch offs’ happen.

    What should lead the business, subscription or ad revenue?

    Ad sales should be an icing on the cake, subscription revenue should steer the business. Look at the mature markets – subscription revenue is leading the business, the negotiations that happen there are at a different level.

    Fundamentally the broadcast business has to be a subscription led business. You can have an advertising-based play that we are seeing with the FTA’s and that’s majorly because of the huge population of our country and the market size and the reach that TV offers. But a premium pay channel creating original superior content needs to be pay first.

    What is your take on the growing OTT business?

    At the heart of the OTT ecosystem is bandwidth and the bandwidth needs to improve.  What will be interesting to see is if it becomes subscription based (SVOD) or advertising based video on demand (AVOD). 

    Now if you are providing superior content for an AVOD model you are not creating a great environment as such. It’s all about how you form the habit. Consumers who consume OTT content are paying about Rs 1,000 for data, and we tend to think that the same consumer will not pay for  content. This mentality is not a long term one, we need to think 10 years ahead and then take steps.

    Smart TVs are in place; people are talking about 8K.  There are great leaps in terms of technology, but if we don’t take the correct steps, we won’t be able to get value out of the OTT business.

    Will you make yourself available on OTT platforms? Star has Hotstar, SPN has Sony Liv, ZEE has a couple of them and Viacom is launching VOOT. Is Disney also looking towards launching an OTT platform?

    Anywhere where consumption is there, we will make ourselves present. That’s the way forward for us. We do have plans, but we are at a very nascent stage as far as OTT is concerned. As a linear service we will be available on all OTT platforms, but when it comes to launching our own venture we will evaluate when the time is right.

    Where are you generating more subscription revenue from, DTH or cable?

    DTH has a slight edge over cable when it comes to our subscription revenue. We are gradually moving towards level contributions from both the platforms. Now with DAS phase III, I think the headroom for growth is massive in the case of cable. At this stage I think that DTH, given its organised and transparent nature, has the edge.

    Is it the bouquet mode of distribution that you are looking at, at this stage?

    Most of our deals are all bouquet offerings, if there is any platform that requires a youth offering or kids offering or a movie offering, such deals happen at a very high CPS price and we create those packages. We are there on a la carte as an offering, but there is a very small set of consumers who subscribe to the service. So it’s largely all bouquet.

    What is it that Disney Media Networks is looking for in the foreseeable future?

    I have mandated the team in Disney that the subscription business needs to overtake the ad sales business over the next three years’  and that will change the entire ecosystem. An MSO cannot then threaten me with a switch off and that’s what we are targeting. We were at about 65:35 ratio, now we have become 60:40 so we are moving towards that direction. Over time the target is to make it 40:60 or 30:70 for that matter.

     

  • TS Panesar: We see ARPU growing by at least 30 per cent.

    TS Panesar: We see ARPU growing by at least 30 per cent.

    With an aim to redefine, transform business dynamics and further strengthen the role of the local cable operator (LCO) in the distribution chain, Hathway has launched a special initiative – Hathway Connect. Launched in Bangalore on 28 January, Hathway Connect is designed to make the lives of LCOs easy and convenient by providing technology and support through a dedicated online portal, which will have detailed features that will allow the LCO to run his business efficiently and effectively, in turn, offering better quality and high standard customer experience. In a tete-a-tete  Hathway Cable and Datacom Limited president-video business  T S Panesar speaks on the launch of its new portal  for LCOs ‘Hathway Connect’ and how it will shape the business in the coming days:

    Q:   What’s the idea behind Hathway Connect?

    TSP:  Digital technology is driving our lives, the whole world is moving towards technology enabled delivery and consumption. The cable TV industry in India is also moving towards complete digitization. Keeping in mind the changed environment, it is important for us to ensure that our entire cable TV distribution chain is technologically oriented and upgraded to keep with the current trends. We want our LCO partners to be empowered and be strengthened with technology to grow further and keep pace with the demands of the consumers.  Overall, the objective is to offer a value proposition to the customers and give them a best-in-class experience.

    Q:  How do you think it’s different and how will it impact the LCOs?

    TSP:  The entire distribution chain in cable still works heavily on a B2B model with almost 90 per cent of the business taking place through the local cable operator. Until now, there has been no real initiative to strengthen the LCOs’ business, provide them with tools to bring a change in operations and improve customer service. Hathway Connect is a breakthrough approach where we are building technology through a dedicated portal to give the LCO a window to compete with the consumer driven DTH business. It’s time that we recognize the role of the LCO in the cable value chain, the country’s geography is vast and it’s through the LCO, that customers get to watch the best entertainment and information on TV. We cannot deny this reality and hence, as a responsible market leader, we have taken the mantle of upgrading and enhancing the LCO as an entity and providing him full access to control his business through technology. We are confident that it will have a positive impact on LCOs and customers as well as prove to be a game changer in the cable industry.

    Q:   What are the key aspects of the Hathway Connect initiative?

    TSP:   More than just a portal, Hathway Connect is a transformational initiativeand a detailed foray into empowering our LCO partners and the business overall through technology. With this dedicated portal, the LCO will have a host of powerful features that will make his life easy and convenient. Some of the key aspects that the portal offers to the LCO are online activation of new customers (E-CAF), package management, account balance management including integration with Bill desk, customer prepaid option, sending customized notifications to subscribers, specialized LCO helpdesk, Self-care through mobile APP amongst many others, which will help them to upgrade operations, create efficient and seamless processes, aid in effective monitoring, improve customer service and build a more robust business down-the-line. Sitting in his office, the LCO can now control his operations with just a click, manage his entire customer base with utmost ease, thus, reducing operational costs. The E-KYC is technology mandate of TRAI and Hathway is the first MSO to comply and launch it to digitally store consumer data. Further, the LCO has the access to handle his customers with all possible data points, tools and incentives and communication which will enhance the standard of services to customers.

    Q:  How do you envision the LCO in the digital regime?

    TSP:  Since the advent of cable TV in India, the LCO has been the driving force in building this industry brick by brick over the past decade and a half. LCOs connect the length and breadth of the country in a way that even DTH cannot match. The LCOs interaction with consumers on a one-to-one level and the personal experience he offers goes a long way back which makes him the heart of our business. Despite several questions raised on the existence of the LCO post digitization regime and his role diminishing forward, he continues to be that vital cog for MSOs in covering the wide geography of the country and would be even more critical in DAS 3 and 4 implementation, which would cover the interiors and heartland of India. The LCO will continue to exist and grow and our endeavour is to support and strengthen them with technology.

    Q:   How are you marketing this new initiative to the LCO fraternity?

    TSP:  We are promoting ‘Hathway Connect’ in a big way across our LCO partners. A dedicated portal has been developed and aesthetically designed in sync with our corporate brand look with enhanced features available for usage. To orient the LCOs, we are doing orientation sessions and welcome initiatives to introduce the programme to them in the most effective manner. In addition, training sessions on the portal and various features are being conducted on one-on-one level. We launched Hathway Connect in Bangalore on 28 January 2016 amidst a gathering of top LCOs and the portal was made Live on 1 February. Going forward, we are planning to roll-out Hathway Connect in the western region on 1 April followed by rest of the regions to make a Pan-India impact.

    Q:   Do you think the LCO is ready for this change?

    TSP:  There is no option but to embrace technology and adopt it in the best possible manner. The environment around us is changing rapidly and becoming competitive. Cable has been in existence since the last decade and half and has pioneered this industry. Today, DTH poses a challenge built mainly on cutting-edge technology and superior customer service, however, cable with its vast geographical strength and connect with the last mile has a big advantage which is still not explore to the fullest. The LCO has to realise his strength and we as pioneers in the business have taken this step to change their mind set, approach and give them the solution to become more competitive.

    Let’s not forget, consumer demands are increasing, they are more informed and smart and technology and quality has to be top notch. If we need to be competitive and grow, change is required. We, at Hathway, have transformed our business significantly over the past couple of years which has taken us ahead of competition. It’s time for our LCO partners to upgrade and change to strengthen themselves.

    Q:  How do you see Cable growth in the coming year and how much of a role will ‘Hathway Connect’ play in this?

    TSP:  As I mentioned earlier, today as one of the leading MSO and broadband company, we reach over 1.2 crore cable subscribers with a digital base of over 96 lakh and 30 lakh broadband homes passed. Our business has evolved manifold and the kind of steps that we have taken in the last one year has clearly taken us notches ahead of competition, be it initiatives for implementing DAS, packaging foray and now Hathway Connect. Cable TV has the potential to grow profitably, provided the industry upgrades with technology to make processes and operations easy and convenient. We have always taken risks and introduced new steps to grow the revenue pie, Hathway Connect is also a big step in that direction.

    Today, the LCO is our biggest asset and if we can transform them, there is a robust business ahead of us and we see ARPU growing by at least 30 per cent.

  • TS Panesar: We see ARPU growing by at least 30 per cent.

    TS Panesar: We see ARPU growing by at least 30 per cent.

    With an aim to redefine, transform business dynamics and further strengthen the role of the local cable operator (LCO) in the distribution chain, Hathway has launched a special initiative – Hathway Connect. Launched in Bangalore on 28 January, Hathway Connect is designed to make the lives of LCOs easy and convenient by providing technology and support through a dedicated online portal, which will have detailed features that will allow the LCO to run his business efficiently and effectively, in turn, offering better quality and high standard customer experience. In a tete-a-tete  Hathway Cable and Datacom Limited president-video business  T S Panesar speaks on the launch of its new portal  for LCOs ‘Hathway Connect’ and how it will shape the business in the coming days:

    Q:   What’s the idea behind Hathway Connect?

    TSP:  Digital technology is driving our lives, the whole world is moving towards technology enabled delivery and consumption. The cable TV industry in India is also moving towards complete digitization. Keeping in mind the changed environment, it is important for us to ensure that our entire cable TV distribution chain is technologically oriented and upgraded to keep with the current trends. We want our LCO partners to be empowered and be strengthened with technology to grow further and keep pace with the demands of the consumers.  Overall, the objective is to offer a value proposition to the customers and give them a best-in-class experience.

    Q:  How do you think it’s different and how will it impact the LCOs?

    TSP:  The entire distribution chain in cable still works heavily on a B2B model with almost 90 per cent of the business taking place through the local cable operator. Until now, there has been no real initiative to strengthen the LCOs’ business, provide them with tools to bring a change in operations and improve customer service. Hathway Connect is a breakthrough approach where we are building technology through a dedicated portal to give the LCO a window to compete with the consumer driven DTH business. It’s time that we recognize the role of the LCO in the cable value chain, the country’s geography is vast and it’s through the LCO, that customers get to watch the best entertainment and information on TV. We cannot deny this reality and hence, as a responsible market leader, we have taken the mantle of upgrading and enhancing the LCO as an entity and providing him full access to control his business through technology. We are confident that it will have a positive impact on LCOs and customers as well as prove to be a game changer in the cable industry.

    Q:   What are the key aspects of the Hathway Connect initiative?

    TSP:   More than just a portal, Hathway Connect is a transformational initiativeand a detailed foray into empowering our LCO partners and the business overall through technology. With this dedicated portal, the LCO will have a host of powerful features that will make his life easy and convenient. Some of the key aspects that the portal offers to the LCO are online activation of new customers (E-CAF), package management, account balance management including integration with Bill desk, customer prepaid option, sending customized notifications to subscribers, specialized LCO helpdesk, Self-care through mobile APP amongst many others, which will help them to upgrade operations, create efficient and seamless processes, aid in effective monitoring, improve customer service and build a more robust business down-the-line. Sitting in his office, the LCO can now control his operations with just a click, manage his entire customer base with utmost ease, thus, reducing operational costs. The E-KYC is technology mandate of TRAI and Hathway is the first MSO to comply and launch it to digitally store consumer data. Further, the LCO has the access to handle his customers with all possible data points, tools and incentives and communication which will enhance the standard of services to customers.

    Q:  How do you envision the LCO in the digital regime?

    TSP:  Since the advent of cable TV in India, the LCO has been the driving force in building this industry brick by brick over the past decade and a half. LCOs connect the length and breadth of the country in a way that even DTH cannot match. The LCOs interaction with consumers on a one-to-one level and the personal experience he offers goes a long way back which makes him the heart of our business. Despite several questions raised on the existence of the LCO post digitization regime and his role diminishing forward, he continues to be that vital cog for MSOs in covering the wide geography of the country and would be even more critical in DAS 3 and 4 implementation, which would cover the interiors and heartland of India. The LCO will continue to exist and grow and our endeavour is to support and strengthen them with technology.

    Q:   How are you marketing this new initiative to the LCO fraternity?

    TSP:  We are promoting ‘Hathway Connect’ in a big way across our LCO partners. A dedicated portal has been developed and aesthetically designed in sync with our corporate brand look with enhanced features available for usage. To orient the LCOs, we are doing orientation sessions and welcome initiatives to introduce the programme to them in the most effective manner. In addition, training sessions on the portal and various features are being conducted on one-on-one level. We launched Hathway Connect in Bangalore on 28 January 2016 amidst a gathering of top LCOs and the portal was made Live on 1 February. Going forward, we are planning to roll-out Hathway Connect in the western region on 1 April followed by rest of the regions to make a Pan-India impact.

    Q:   Do you think the LCO is ready for this change?

    TSP:  There is no option but to embrace technology and adopt it in the best possible manner. The environment around us is changing rapidly and becoming competitive. Cable has been in existence since the last decade and half and has pioneered this industry. Today, DTH poses a challenge built mainly on cutting-edge technology and superior customer service, however, cable with its vast geographical strength and connect with the last mile has a big advantage which is still not explore to the fullest. The LCO has to realise his strength and we as pioneers in the business have taken this step to change their mind set, approach and give them the solution to become more competitive.

    Let’s not forget, consumer demands are increasing, they are more informed and smart and technology and quality has to be top notch. If we need to be competitive and grow, change is required. We, at Hathway, have transformed our business significantly over the past couple of years which has taken us ahead of competition. It’s time for our LCO partners to upgrade and change to strengthen themselves.

    Q:  How do you see Cable growth in the coming year and how much of a role will ‘Hathway Connect’ play in this?

    TSP:  As I mentioned earlier, today as one of the leading MSO and broadband company, we reach over 1.2 crore cable subscribers with a digital base of over 96 lakh and 30 lakh broadband homes passed. Our business has evolved manifold and the kind of steps that we have taken in the last one year has clearly taken us notches ahead of competition, be it initiatives for implementing DAS, packaging foray and now Hathway Connect. Cable TV has the potential to grow profitably, provided the industry upgrades with technology to make processes and operations easy and convenient. We have always taken risks and introduced new steps to grow the revenue pie, Hathway Connect is also a big step in that direction.

    Today, the LCO is our biggest asset and if we can transform them, there is a robust business ahead of us and we see ARPU growing by at least 30 per cent.