Category: Special Report

  • BARC to set the tone for single TV measurement system

    BARC to set the tone for single TV measurement system

    Developing a new television audience rating system is a long, arduous and costly process. It has required as a prerequisite that the three major stakeholders – IBF, AAAI and ISA come together under one umbrella (BARC) and agree on a process acceptable to all three parties to ensure this major initiative is accepted by all stakeholders. The industry expects to be well along in implementing this new measurement system by the end of 2013.

    The goal of BARC is to bring about transparency in the measurement system, greater accuracy while maintaining cost efficiencies and more checks and balances by separating responsibilities in the measurement process as well as countering fraud through rigorous ground monitoring. The industry recognises that no sampling technique can be 100 per cent accurate but seeks to reduce the sampling error and overcome to the extent possible the laws of small samples.

    The first step in the process is to create a transparent establishment study from which the universe can be projected that will be owned by BARC and available to all stakeholders. To this end, an RFI has been issued and based on the responses, an RFP will follow. Once a firm is selected, approximate 350,000 to 450,000 households on a nationwide basis will participate in an extensive survey that will take 6 – 8 months to complete.

    The establishment survey will form the base for the required number of measurement homes which are likely to exceed 25,000 nationwide. Once the number is finalised, new RFPs will be issued to select a vendor for the measurement system, and vendors for data collection and analysis and reporting. Breaking apart these tasks amongst different vendors is expected to bring greater accountability and transparency and build the most robust audience measurement system in the world. Ongoing ground monitoring will ensure that the system is not compromised over time.

    Given the expense of setting up the system, the time required and the fact that all stakeholders buy into ‘BARC’, the industry expects the BARC measurement system will become the single measurement system in India. This is typical of worldwide audience measurement where generally a given market has only one accepted measurement currency.

  • Television Audience Measurement: What next?

    Television Audience Measurement: What next?

    Yesterday, BARC took a decisive step forward. Punit Goenka in his role as Chairman, BARC announced the issuance of a Request for Information or RFI from entities worldwide who might be interested in participating in the forthcoming Request for Proposal stage.

    While the television rating system in India has shown great durability and adaptiveness, the pace of growth and change in the television landscape has consistently outstripped it. BARC is premised on finding and adopting best-in-class tools, technologies and processes that will not just close the gap, but create a constantly evolving and, thus, future ready audience measurement infrastructure.

    Here are the challenges that the new system will be expected to meet and overcome.

    1. Comprehensiveness: Television reaches very nearly two-thirds of all households in India. As economic development continues apace and more people have discretionary income, entertainment and information start assuming increasing prominence in their scheme of things. A cable-connected television is, and will remain, the least expensive single-point source of meeting this need, and new consumers waste little time in acquiring it.

    The household is now exposed to content but also to advertising that becomes a potent driver of new demand for a range of previously unknown products and services. Over the last decade, almost 10 million new households have entered the television footprint every year and the number doesn’t appear to be slowing down yet. A comprehensive measurement system must be able to recognise these burgeoning television households and keep them in the sights of broadcasters, advertisers and advertising agencies.

    2. Accuracy: There has been talk over the years of making broadcasters more accountable for audience deliveries. A number of deals are done on the basis of cost-per-rating-point (CPRP) but broadcasters have, rightly, complained that fair valuation of their inventory would have to be based on cost-per-thousand (CPT) or, as the print media call it, the mille rate. The current system falls some ways short of being able to facilitate the change from CPRP to CPT. Marketeers and broadcasters are looking forward to a system where actual audience deliveries in a defined target audience can be accurately quantified so that accountability for audiences can be fixed and reciprocally paid for.

    3. Adaptiveness: We still talk of single television homes as being the dominant model in India. Apparently, we are oblivious of the emergence of second and third screens that are being used by the younger demographic for consuming what was previously available exclusively on the television in the family room. The emergence of the smartphone and more recently of new devices like tablets (or even more recently, the rather inelegantly named ‘phablets’) has placed new content consumption devices in the hands of millions of young consumers. Content is now available to be consumed not just at a location but while on the move. Just like cellular telephony transformed communication from locational to personal, these screens and a constantly improving wireless broadband infrastructure are transforming television. The imminent arrival of 4G and crashing tablet prices will place highly mobile content consumption devices in millions of hands. The audience measurement system must be able to capture such mobile content consumption and stay adaptive with every future transformation of the television environment.

    4. Auditability: Being owned and managed by BARC, a joint industry body (or JIB in the pro parlance), stakeholders will have audit rights over the system that can ask searching questions about every aspect of the process, thus ensuring its integrity and ethical standards. All the key stakeholders are represented within BARC and this will ensure that the system remains always true, fair and transparent.

    These are not challenges unique to India but are faced universally by every television audience measurement system. Responses to the RFI will unearth a great body of valuable knowledge that the BARC can use to start building a gold standard system in India.

    It is good to finally say this: BARC has BITE.

  • ‘Future bright for only right TV news players’ : ZNL CEO Barun Das

    ‘Future bright for only right TV news players’ : ZNL CEO Barun Das

    It’s the festival of lights. And for many the festival of noise courtesy exploding fireworks. In the hope of reducing the number of those belonging to the latter tribe, we, at indiantelevision.com, decided to put a display of firecracker articles for visitors this Diwali. We have had many top journalists reporting, analysing, over the many years of indiantelevision.com’s existence. The articles we are presenting are representative of some of the best writing on the business of cable and satellite television and media for which we have gained renown. Read on to get a flavour and taste of indiantelevision.com over the years from some of its finest writers. And have a happy and safe Diwali!

    (Written By Sibabrata Das in 2012. He continues to write on the cable TV industry)

     

    Subhash Chandra could end his long wait to expand his television news empire in the two main language segments of the business. After slimming Zee News Ltd’s (ZNL) balance sheet by demerging the regional-language entertainment channels from the bouquet in 2010, he is now planning to launch an English general news channel towards the exit quarter of the fiscal.

     

    The main reason behind the timing: digitisation in the four metros by 1 November. ZNL, which runs a clutch of seven news channels, has also grown to a turnover of Rs 3 billion while its Ebitda stands at Rs Rs 533.5 million for FY’12.

     

    Shepherding ZNL’s growth has been Barun Das, the chief executive of the company. His key strategy: staying profitable while being true to the identity of the fourth estate.

     

    Das, thus, took the bold step of cutting ad cut the commercial time of ZNL‘s flagship Hindi news channel, Zee News, by 30 per cent from April while upping the ad rates by 40 per cent. The move followed the change in positioning of Zee News as it shed trivial news content to differentiate itself. His belief: viewership for serious news and ad rates will rise in tandem.

     

    Das could possibly follow the Zee News model for the English news channel. He believes there is space for a less opinionated and more research-driven kind of reportage.

     

    He is optimistic about the future of TV news in India but cautions that “it is bright only for the right players”. He warns news broadcasters of not repeating the mistake of paying unrealistic carriage by masking it under placement fees in a digital environment.

     

    In an interview with Indiantelevision.com’s Sibabrata Das, the ZNL CEO also talks about the growth of regional news markets and the challenges that they face in each language space.

     

    Excerpts:

     

    Q. Will TV news broadcasters have to expand their bouquet to scale up revenues as growth engines of flagship news channels are aging across the sector?
    Yes, flagship channels are maturing in revenues. And it is difficult for established existing channels to post ad revenue growth beyond 10 per cent unless there is a repositioning or reinvention of the brand. Expanding the bouquet and strengthening it is key to a TV news broadcaster’s growth strategy.

     

    Q. Sources say ZNL is planning to launch an English-language general news channel towards the exit quarter of the fiscal. Are you waiting for digitisation to come into force in the four metros before you join the ring?
    We have been planning to launch an English general news channel for some time. The approval process is not yet formalised. Any launch plan will, however, be linked to digitisation as distribution cost will ease to a large extent with there being no capacity constraint on digital cable networks.

     

    Q. So ZNL is now in a position to take the load of a new channel that would consume large capital in the gestation period?
    After demerging the regional general entertainment channels from ZNL in 2010, we decided to consolidate before firming up big expansion plans. We did launch a few regional news channels just before the demerger, but then slowdown started biting the industry. Our focus was to stay profitable rather than build scale. Now that our balance sheet has grown in size and our turnover has touched Rs 3 billion, we are in a position to make heavy investments.

     

    Q. In the past interactions, you have always maintained that the prime business model that you follow is protecting the Ebitda margins. Will the English channel not erode the margins and make ZNL operate in the red for at least some years?
    We want to maintain the 18-20 per cent Ebitda margins. While growing in size, we have a guiding time target to return to those margins.

    ‘There are three-and-a-half English news channels. People may think it is a crowded space to be in, but we see it as an opportunity. With the kind of content that is being currently broadcast, we feel there is a lacuna and void for us to fill the gap and exist profitably. There is space for a less opinionated and more research-driven kind of reportage‘

     

    Q. But wouldn’t you require to make investments of Rs 3 billion over three years and wait for a longer break-even period?
    I wouldn’t like to comment on how much we plan to invest. But yes, the break even period of an English news channel is normally 4-5 years. But there is cash flow coming in before that. So it is not like we have to wait for that long to correct the Ebitda erosion. It is too early, though, for me to give a target date when we have not even launched. But there will be a significant drop in distribution payouts for all TV news broadcasters in a digitised environment. The other channels in the bouquet will also post growth. So it’s not red ink all over.

     

    Q. How much would you expect distribution expenses to fall for news broadcasters in a digitised environment?
    There is nothing set as a rule. But as per the former Trai chairman (JS Sarma), carriage should fall by 90 per cent. We are expecting a formalisation of that in a digitised environment.

     

    Q. That is a figure hard to digest. But when you launch your English channel, it is only the four metros (Delhi, Mumbai, Kolkata and Chennai) that would have digitised if the government sticks to the 31 October sunset deadline for analogue cable. How much of carriage payout is doled out by English news broadcasters to cable networks in these metros?
    It is tough to guess but it should be around 60-70 per cent of their distribution budgets. The focus of the English channels is the metros. Distribution expenses are bound to fall for these channels.

     

    Q. There are five English news channels jostling for a share in the Rs 5.5-6 billion ad market. So will it be a market share fight for you or there is scope for expanding the ad revenue size substantially?
    I don‘t know how you are coming to five English news channels. To my mind, there are three-and-a-half of them.

    People may think it is a crowded space to be in, but we see it as an opportunity. With the kind of content that is being currently broadcast, we feel there is a lacuna and void for us to fill the gap and exist profitably. The thumb rule in media, and even in TV news in every genre, is that the top three channels can be profitable. Even the fourth player can make money if run and managed efficiently.

     

    Q. ZNL weighed the option of consolidating the English TV news market and even looked at swallowing NewsX. Why did the deal fall through during the due diligence process?
    The buyout would have given us a lead time of at least six months as it is a running channel. But we did not find it a viable proposition.

     

    Q. ZNL cut the commercial time of its flagship Hindi news channel, Zee News, by 30 per cent from April while upping the ad rates by 40 per cent. The move followed the change in positioning of Zee News as it shed trivial news content to differentiate itself. So will the English channel follow the Zee News model of serious news?
    Most definitely. However, I can’t talk about the positioning and other specific details now. We will work out those operational details when we have finalised the launch plan. But from a personal point view, I think there is space for a less opinionated and more research-driven kind of reportage. There is scope for significant differentiation to model upon and we hope that will make an impact in the marketplace.

     

    Q. Flagship channel Zee News is not in the top three even after changing its positioning to a serious Hindi general news channel. Now that you have also reduced the ad time, how long do you think it will take to drive in more viewership?
    The success criteria for a media product should not be the viewership rankings. The business of TV news is primarily about profitability while being true to the identity of the fourth estate. I am sure that in both these counts Zee News channel has significant lead over its nearest competitors.

    However, viewership raking numbers is also important which I believe we should be able to improve in the near future. We have also started rolling out content initiatives. The strategy seems to be working for us at this stage, albeit a bit slower than what we had expected.

     

    Q. Will you also scale back on commercial time for your other six channels?
    There is no such plan. The other channels are not under so much of inventory pressure.

     

    Q. Are you revamping Zee Business and isn’t slowdown in the financial services sector going to affect the Hindi business news channel?
    Zee Business is one channel with which we have never stopped our revamping work. I think that our content team will come out with at least one game changing idea in every 15 days. It is possibly the most dynamic news channel.

    There is undoubtedly a pressure on airtime advertising. But we are doing events and sponsorship programmes to tide over this tight situation. Besides, it is a strong subscription-driven channel.

     

    Q. Akash Bangla, the Bengali infotainment channel where ZNL holds 18 per cent stake, is loss-making and you had to provide for Rs 166.7 million. Will ZNL exit from the JV as it runs a successful channel, 24 Ghanta, in that market?
    Akash Bangla channel and our joint venture for 24 Ghanta are two different arrangements. We made strategic investment in Akash Bangla channel in 2009 and given the current circumstances, we decided to provide for that funding. 24 Ghanta is a strong No. 1 Bengali news channel with strong financial performance as well.

    Bengal, after all, is a news hungry market. The advertising size for TV news is around Rs 1.20 billion, and growing.

     

    Q. Isn’t the Marathi TV news market a sharp contrast?
    Unlike the GEC space, the Marathi news market has not yet not grown as per its potential. There is a lot of news consumption happening in English and Hindi. In fact, the Marathi TV news market is half the size of the Bengali market. The potential, though, is very high and it should catch up to the Bengal market sooner or later. We have Zee 24 Taas and are pushing it aggressively.

     

    Q. Won’t the Andhra market be the toughest for ZNL to crack as it is flooded with news channels?
    While it is the largest TV news market in terms of ad revenue, it is a weird market too. There are many politically motivated channels in that market and are, therefore, not run as typical business outfits. Thus, it is a difficult market, but we do have specific plans for that too.

     

    The advertising size is pegged at Rs 1.40 billion, and growing. Zee 24 Ghantalu has not yet steadied in that market but we hope that our positioning as a non politically aligned channel should work .

     

    Q. How is Zee News UP faring?
    It is the No 1 channel there, though it is a small market with combined ad revenues of around Rs 300 million. However, we are on course with our break-even target.
     

    Covering social issues of the area is important. Being close to Delhi, national news channels are an important part of television viewing in that region. So there is need for content differentiation.

     

    Q. When will ZNL’s new channels turn profitable?
    There are only two of them under the new channels category. We expect them to turnaround next year.

     

    Q. What is the future of TV news channels in India?
    Extremely bright, but for the right players.

     

    Q. What do you mean by right players?
    One thing which had ailed news channels to my mind is that we have consistently converted potential revenue sources into our cost heads. That is one of the first mistakes to be classified and corrected if you want to be the right player in the market. As an example, carriage is one of the largest cost heads for TV news operations while subscription is a miniscule part of that.

     

    Q. Aren‘t the news channels themselves to blame for burdening themselves with such high carriage costs?
    Possibly, I tend to agree with that. However, it is a long discussion that we can have later. Bye!

     

    Q. Just one last related question. Won‘t news channels replace carriage with what can be termed as placement fee in an addressable digital environment?
    I wouldn‘t like to answer this question. However, in general at a philosophical level, repetition of any mistake is an offence.

  • Kids channels swing into high action

    Kids channels swing into high action

    After a flood of four channel launches in 2004, the kids genre has swung into big action with three new appearances last year and the announcement of Discovery to enter the segment this quarter.

    The battle isn‘t going to be easy as the advertising pie is pegged at Rs 2.4 billion in 2011, up from Rs 2 billion a year ago, and the licensing and merchandising market is still at its infancy in India.

    Broadcasters, however, are finding strategic value to occupy the space at a time when India is waking up to the government’s call of mandated digitisation.

    “Discovery Kids will offer Indian children the ideal combination of learning and entertainment. In light of the massive digitisation drive in India, we believe viewers will express their demand for such distinct television networks,” says Discovery Networks International president, CEO Mark Hollinger.

    Expanding its bouquet in the southern region, Sun TV Network launched Malayalam kids channel Kochu in 2011 TV to complete its entire cycle of covering the four languages. Sun had launched Chutti TV in Tamil (2007), Kushi TV in Telugu and Chintu TV in Kannada (2009).

    Maa TV Network launched Maa Junior in Telugu, its first channel in the kids space, while Viacom18 introduced Sonic to complement its other kids channel Nick. Maa Junior has since the beginning of the year transitioned into a GEC and has been rebranded as Maa Gold.

    “In 2011, two regional broadcasters launched language channels to expand their networks in the southern states of Andhra Pradesh and Kerala. The Viacom18 channel was more a segment strategy to complement Nick,” says a media analyst.

    Sonic targets children in the age group of 10-17 years with action, sitcoms and adventures. The movies cater mainly to teens.

    What is encouraging kids broadcasters is the rise in viewership. The overall genre is on a growth path due to channel launches, according to research agency TAM. The total share of the genre grew to 18 per cent among the 4-14-year-olds (C&S, All India), largely due to the growth in the universe of kids to 48 million in 2011, from 43 million a year ago.

    According to Sonic and Nick India EVP and GM Nina Elavia Jaipuria, the genre enjoys the loyalty of kids among the age group of 4-14
     despite competition from other genres and has been growing 7-10 per cent year-on-year.

    “Despite the fragmentation that has happened in the entertainment world, this is one genre which continues to garner GRPs and viewerships from kids. In 2011, we once again proved to ourselves that it is a genre that is being viewed by boys and girls in that age bracket,” she says.

    In her yearender column for Indiantelevision.com, Turner International India GM, Entertainment Networks South Asia Monica Tata wrote that the genre not only recorded growth but also saw the entrance of new channels like Sonic. “The kids’ genre grew in regional languages as well. In Tamil, for example, the share of Kids is higher than News. The continued investments in launching new channels and content prove that the kids’ entertainment space is a very viable market.”

    Even though the kids genre commands 6-7 per cent viewership share, the problem is on the revenue said. However, while traditional advertisers like food & beverages, personal care, and household products continue to be heavy spenders on the genre, non-traditional advertisers like automobiles, electronic devices, and insurance companies have started to take notice of the genre.

    “We did see a lot of non-traditional advertisers. We now have insurance companies who are talking to the 4-14 TG,” says Jaipuria.

    Hindustan Unilever and Cadbury India were top advertisers on the genre for both 2010 and 2011 in a list dominated by FMCGs and personal brands, TAM AdEx data shows. Interestingly, Maa Network and Sun TV, who operate channels in the genre, were among the top 10 advertisers in 2011.

    “There has been increasing awareness that kids now have a say in purchase decision-making that extends far beyond traditional categories. Today, around 63 per cent of parents involve their children in the decision making process. This is one of the main reasons that has attracted advertisers to kids’ channels in order to effectively target families,” says Turner South Asia network head ad sales Juhi Ravindranath.

    Agrees Walt Disney Television International India business head Vijay Subramaniam, “Brands understand the importance of engaging this TG because this is a very loyal base. It is important to realise that the kids of today will become the consumers of tomorrow. A lot of advertisers are now including kids channels in their advertising mix.

    L&M is another revenue stream the channels are betting big on. Disney, for instance, has inked a licensing deal with Mukesh Ambani-owned IPL franchise Mumbai Indians to launch co-branded merchandise products targeted at under-14 kids segment. The merchandise will be sold in around 5,000 Reliance retail outlets and will be also be promoted through the digital medium.

    But considering the number of channels in the genre and the ad revenues it attracts, is running a kids channel a viable proposition?

    Jaipuria feels it depends on the business models of the individual channels and whether or not they fill the need gap. “How the channels source content – whether it is a localised or is it sourced internationally – also plays a role in channels‘ viability. Although the gestation period for a kids channel maybe longer than other genres, it‘s about having an intelligent business model and having a right mix of content,” she avers.

    Jaipuria is also betting big on digitisation as it will make possible an increase in subscription revenues and bring down high carriage fees.

    Sun Group CEO Tony D‘Silva believes kids channels need to become more and more segmented as their needs keep changing as they grow up. “Right now most of the channels are targeted at 4-14 age groups,” he avers.

  • 2001-2010: Small screen touched lives in a big way

    The decade seems to have whizzed by. It almost seems like yesterday when the country‘s first television crorepati took home his Rs 1 crore cheque for excelling in KBC (Kaun Banega Crorepati) from its suave and sophisticated host Amitabh Bachchan.
    But  for television the past 10 years have packed in a lot of punch and gut-wrenching change. I will try and examine what are the 10 major trends that have characterised the past television decade. The list is not comprehensive and I am sure there are many other highlights others may want to add; but this is my effort.

    From competition to super competition: In the past decade, even a back-of-the-envelope calculation tells us that around 300-400 new channels have been launched, in almost every genre: news, religion, regional language, general entertainment channels (GECs), Hindi GECs, specialised city specific channels, youth channels, movie channels, alternate movie channels- you name it and you have it. Others are waiting to be launched: luxury channels, golf channels, cookery channels, and what have you.

    Concurrently, the advertising and subscription costs have not gone up in proportion. So channel managements have to innovate to be profitable, even as the costs have been rising. People retention is a major challenge for almost every player in the television space, because of the paucity of professionals. Because of the competition and the fact that programming executives are risk averse, most of the channels for a large part – have over the past decade – been following a single strategy: if one type of programme works well on a channel or in a network, the others follow and develop a similar one. Net result is that all the television channels almost look the same because of similarity of content. For most of them therefore, there is a battle on the ground level to increase their visibility and this has led to an escalation in distribution costs in terms of carriage and placement.

    The changing face of drama and soaps: At the beginning of the decade, were the saas bahu sagas on Star Plus, which focused on the interaction and travails of women in extended wealthy ethnic families. Shows like Kyuunki Saas Bhi Kabhi Bahu Thi, Kahaani Ghar Ghar Ki, Kasauti Zindagi Kay, Kahin To Hoga, ran for what seemed like ever and retaining their audiences despite. You had a rare CID, Astitva and Jassi Jaisi Koi Nahin which deviated from the beaten path. You also had comedies such as Kichdhi, Baa Bahu aur Baby, Office Office which sparkled and added to the audiences‘ mirth.

    Then with the arrival of Colors the focus shifted to social issue based rural shows – aka as social dramas – like Balika Vadhu, Na Aane is des… Laado and Uttaran. Almost every channel followed with similar shows. While Zee had Agle Janam Mohe…, Imagine TV came up with Devi, among many other programmes of similar ilk.

    Themes such as child marriage, female foeticide, women trafficking, the caste system, feudalism, farmers‘ suicide and superstition formed the thread of many a programme.

    Of course, comedies received a big boost thanks to Sab TV a channel from the Sony Entertainment Network which has a surfeit of comedies, and some comedy shows on Sony.

    The emergence of reality TV: Reality TV roared into the forefront in the past decade. The nation watched inmates in a house being cooped together in a home for around three months and their reactions to each other in that closed environment in Bigg Boss in its seasons. Celebrities and their tolerance to extreme tasks were tested in Khatron Ke Khiladi. Then, youth went around on a predefined route on bikes in MTV‘s Roadies. From the UTV stable emerged a show that shook the nation with its focus on infidelity in the form of Bindass‘ Emotional Atyachaar. Partners were discovered on TV and marriage took place on shows like Rakhi Ka Swaywamvar and Rahul Dulhaniya Le Jayega. Individuals bared their most hidden secrets to Rajiv Khandelwal in the popular Sach Ka Saamna. Past life regression was explored in Raaz Pichle Janam Ka. Talent hunts such as Sa Re Ga Ma Pa, Indian Idol, Nach Baliye, Jhalak Dikhla Ja, Dance India Dance added oodles of reality punch to enthrall Indian viewers.

    The debate over regulation: In the midst of all this, both industry and government continued to dither over regulation.

    Time and again, government raised an alarm that content was going out of hand in both the news and general entertainment spaces. News took the route of sensationalising and glorifying almost everything and tabloid television became the norm.

    News excesses became glaringly evident in the case of the coverage of the 26/11 terrorist attacks in Mumbai.The news industry responded by setting up the News Broadcasters‘ Association, the Broadcast Editors‘ Association, a code of ethics and programming, and also set up structures which allowed viewers to resort to a complain mechanism in case they felt that news was going beyond its brief.

    On  the general entertainment side, an attempt is being made to set up a programming code and ways of compliance to it by the Indian Broadcasters‘ Foundation. While there were moves afoot on the content front, the government pussyfooted its way into regulation on the distribution front.

    In the early part of the decade it mandated the spread of set-top boxes and conditional access systems as part of its digitalisation plans, but then it took no decision to further it to another 55 cities or monitor and further its spread in the four metros where it had ordered the cable operators to digitize. It restricted broadcasters from charging more than Rs 5 per channel to subscribers and hence kept the cable TV subscription prices for viewers in check.

    Even as the decade was towards its last leg, there was no clarity on whether selfregulation was what the industry would be governed by or was it co-regulation.

    The emergence of production houses: The demand for content led to the emergence of new production powerhouses. UTV Television, Synergy (now Big Synergy), Sagar Arts, Cinevistaas, Miditech, Creative Eye, Siddhant, DJs, Contiloe, Optymystix and Balaji Telefilms were the leaders at the start of the decade. The end of the decade had seen multinationals and more new Indian production houses adding to that list. Fremantle Media, Endemol, Zodiak (through SOL) belonged to the international list and was behind some of the real big productions. Amongst the newer indigenous ones who had forayed and made their mark included Directors Kut, Sphere Origin, Shakuntalam Telefilms, Walkwater Media, The Right Picture, Wizcraft, Cineyug, Playmate etc.

    At the same time, producers were forced to put their houses in order with the associations striking to raise their wages, limited hours of working, and more structured production cycles.

    The explosion in new talent: Talent costs spiralled out of reach as experienced actors started charging sky-high rates even as film actors, directors, producers hopped on to the television bandwagon. Producing cost-effectively meant that new talents had to be scouted and cast at lower rates. Hence, producers and channels worked closely with casting directors to find new faces, most of whom had next-door looks. Younger people were cast from colleges, from street corners and they went on to become big names.

    Sport as a grand television spectacle: Cheerleaders, belles and whistles, the involvement of filmstars in teams, the decade saw sports becoming a television spectacle like nothing else. Sports – read cricket – television was serious business in the seventies, eighties and even the nineties and meant for serious students of the game. But in an effort to broadbase the sport and make it appealing to women, female commentators were brought in whose clothes made the headlines.

    Then came the IPL 20-20 form of the sport which allowed industrialists and the Bollywood brigade to own teams in a quick-bite format of cricket. Big doses of entertainment were thrown in with lots of pomp, loud music, bands and scantilyclad girls waving from the sidelines, owner-actors and industrialists egging on their teams. And the nation took to it like no other form of entertainment.

    Meeting the needs of region-specific audiences: Thanks to its many languages, India is not an easy market, especially for the media owners. The decade saw a ballooning of regional language television with broadcast networks adding channels with content catering to local audiences of the state. The south has the Sun Network as the leader with languages catering to all the southern language states. Amongst the national players, Zee was a pioneer in this and today runs general entertainment television channels in Gujarati, Marathi, Telugu, Tamil, Kannada, Bengali, among others. The other networks are not far behind with Star, Sony, and even Viacom18 moving aggressively into the language space.

    The proliferation of news: News burgeoned through the decade with specialised general news channels, city-specific channels, business news channels and even entertainment news channels being launched. And the spate of news channels was not just in the national language, they proliferated in regional languages too.

    Close to 1,200 hours a  to 1,200 hours a day of news is churned out daily by the news channels. According to an estimate, around 600 channels have been licensed to uplink from India. Of this, a majority of the applications were for channels in the news space. So much has been the rush in the news television space that even a state such as Andhra Pradesh has about 15-16 news channels in Telugu.

    Along with channels news anchors have also emerged as stars of sorts. At times, they give their actor kin a run for celebritydom, having notched up huge fan followings for themselves.

    New distribution platforms: First, there was only Doordarshan. Then came cable TV in the nineties. The first decade of the new millennium has been characterised by the emergence of digital TV, mainly DTH TV homes. Of the 150 odd million TV homes, around 110 million have either a cable TV or DTH connection. Six platforms waging a cutthroat battle have resulted in extremely low subscriber costs with fees being as low as Rs 150. Cable TV has also been forced to keep its prices extremely low because of the competition from DTH. On the horizon are newer modes of broadcasting such as HDTV, IPTV and streaming of content over wireless broadband. Clearly, for customers there is a harvest of plenty in store.

     

  • Suvarna scripts a programming turnaround

    Star’s Kannada offering Suvarana is on a roll these days. The channel seems to be on the path to entrenching itself, at least for now, in the number two slot in the Kannada GEC space. The top three positions were for long occupied by the Sun Network’s Udaya TV, the number one player by far; Ramoji Rao’s ETV Kannada at No 2; and Zee Kannada, a relatively newer entrant at the third spot.

    “Suvarna stands for fresh entertainment. Call it fiction or non-fiction or any program for that matter; our approach is to offer differentiated and fresh concepts as programs,” says Suvarana business head Anup Chandrasekharan.

    The channel says that it is attempting through a planned strategy that it calls a ‘Threshold Strategy’ to grow its viewership by attracting the 15-24 age group, which did not consume Kannada television. “We decided that once we had the people to sample our offering through reality shows, we will ensure that stickiness prevails in the form of fiction,” reveals Chandrasekharan.

     

    “Our reality shows such as ‘Pyete Hidigir  Halli Lifu’ (PHHL), ‘Halli Hyda Pyeteg Banda’ (HHPB) ‘Pyete Mandi Kadige Bandru’ (PMKB) have helped bring in younger and newer audiences – the 15-24 year olds, to Kannada television. To our pleasant surprise we find that even the 25 plus age groups are glued to PMKB during the 8-9 pm time slot,” avers Chandrasekharan.

     

    “Also to  to attract the youngster, we have NGC programs with a Kannada voice over on air for an hour. We have brought in successful soaps such as ‘Lakumi’, a weekend comedy talk show ‘Maja with Sruja’, mythology shows like ‘Guru Raghvendra Vaibhava’, a weekend horror reality show ‘Shhh’, Tulu language shows, etc., into our programming mix,” informs Chandrasekharan.

    He adds: “To present soaps in a new light and form to Kannada viewers, we have set our own rules for producing. For example, the protagonist has to be in the age group of 15-25, she has to be new to the television. Similarly, new to TV yet experts as directors are introduced. Four out of the six soap directors are from cinema, and have made their debut on the small screen through Suvarna.”

    He clarifies that while reality shows have been bringing in the numbers for Suvarna, the effort has been to reduce the number of hours per week of reality programming. “Contrary to perception, we have only one daily reality show Monday to Friday during the 8-9 pm slot and one weekend horror reality show,” states Chandrasekharan.

    The channel experimented with fresh programming concepts such as the tribal theme series with PHHL in May this year. The show had 10 city girls experience 50 days of village life with one winner for the finale. It immediately followed that with HHPB wherein it took the reverse tack in the show. Eight tribal boys were mentored by eight city girls to find who amongst them survived the best in the city.

    The third and culminating sequel this year to the tribal theme is the currently on air PMKB which has 12 city bred Bangalore youngsters-young men and women in their twenties, to rough it out like tribal folk in a dense forest in Karnataka for 60 days. This is a first by any channel in a forest in India – other forest-theme programs have been shot abroad.

    Another first by the channel in the Kannada GEC space is that the grand finale episodes of the two completed tribal reality show sequels have been aired on a Sunday, with each final episode being over 14 hours in duration. This has helped the channel rake in huge mid week GRPs and a leading position for that period in the Kannada GEC space.

    For bringing in new audiences and to ensure viewership involvement and stickiness, the channel has initiated proceedings to help people indentify and associate themselves with the channel. It has started ‘Ladies Clubs’ in various towns and cities in the state.

    “We have started the Ladies Club initiative to involve audiences, to try and understand its pulse, to find out what is that they want,” explains Chandrasekharan.

    Membership to the Ladies Club has strict and special eligibility conditions. Chandrasekharan says the team has so far met and brainstormed with the Ladies Club members in three cities on weekends. To build continued loyalty, during meetings, Suvarna has also given an opportunity to some of the talented Ladies Club members to display any special skill sets they have on air.

    Suvarna has also focused on high intense innovative activities over print and outdoor to promote its soaps. Its religious story ‘Guru Raghavendra Vaibhava’ has been promoted through activities like projecting the episodes on a giant screen everyday between 6.30 pm and 9.30 pm at Mantralaya temple where thousands of devotees gather. The channel has distributed the Mantralaya Prasadam to 200,000 homes in 10 towns along with information on the show.

     

    Suvarna claims that it has set a record with the world‘s biggest friendship band as part of its initiative to promote the show ‘Classmates.’ ‘Classmates’ has friendship at schooldays as its core theme. It has also implemented classroom-to-classroom promotions in over 170 colleges in 10 towns.

    These efforts seem have borne rich fruit for the channel. TAM ratings furnished by the Suvarana management indicate that over almost four years (starting from calendar year 2007 to week 48 of the current year) viewership for the Kannada GEC space has shrunk. Suvarana has, however, managed to grow its own numbers by double digits year on year, bucking the overall negative trend.

     

     

    As per the chart above, Kannada CS 4+ viewership fell from 4147 in 2007 to 4079 in 2009 and to 4014 till the 48th week of this year, while Suvarna moved from the last position in 2007 with ratings of 84 to 251 GRPs (week 48 of 2010).

    Suvarana’s ten week average GRPs from September 2010 to November 2010 are 335. Thanks to the 14 hour long marathon grand finale on a Sunday of HHPB, the channel reached its peak GRPs for the year at 418.

    To quite an extent the channel has nibbled away numbers from Udaya, ETV, Zee and even Kasturi which stood at number four in 2008 just before Star took a controlling stake in Suvarana.

    In 2007, Udaya’s mean GRPs for the year stood at an unassailable 780. The following year they stood at 637, in 2009 at 545, and during the first 48 weeks of the current year, they were at 502. Comparable figures for ETV Kannada during the same period are 372, 283, 246 and 208 GRPs, while those of Zee Kannada are 85, 209, 194 and 169 GRPs. Kasturi’s figures for the same period are 107, 143, 107 and 96 GRPs.

    “The channel (Suvarana) has been producing quality serials and shows at very low cost. Its reality show cost per episode is one-tenth of what it would cost a national level channel to produce,” informs an industry source who has worked with the channel. The source further informs Indiantelevision.com, “This year the channel should turn the corner and show a very decent profit.”

    “From nowhere Suvarna has come up to a respectable position in the Kannada space,” adds a senior Bangalore-based media executive. “Its programming seems to be working well for it.”
     

  • GECs vow on Bolly-busters to up viewership

    From time immemorial movies have served as an extra value pack to general entertainment channels. While fiction remained the staple diet for the lot, movies dished up the programming lineup, especially on weekends, as an eagerly awaited dessert.

    The design was to attract additional viewership that went beyond the traditional eyeballs (target group), evidently flocking onto the respective channels to prey on their regular dose of fiction.

    While the trend continues even today, freshness and contribution from movies as a genre towards the Hindi GEC is significantly scaling up more effectively. Channels are pursuing hard to pocket big ticket movies and persistently locking in air-time for them within the smallest time-gap from their theatrical release. This means, for some, accessibility on TV could be just four weeks after the theatrical release while for a few the availability would be six-seven months post hitting the plexes.

    Take  for instance the Ranbir Kapoor-Katrina Kaif starrer Ajab Prem Ki Ghazab Kahani. Colors premiered the movie in December 2009, just a month after its theatrical release. The movie garnered a 7.45 TVR (C&S 4+, HSM), contributing 50.2 GRPs to the channel. On the other hand, Aamir Khan’s 3 Idiots was on Sony seven months after its release and was a table turner for the channel as it earned 91.8 GRPs (10.88 TVR) to make Sony the third Hindi GEC for that week.

    Says Viacom 18 CCO and head international business Gaurav Gandhi, “Big ticket movies always act as a differentiator to boost channel viewership while helping audiences at that point in time to sample other properties. Thus, it broad bases the typical GEC audience and draws in an entire family viewing.”

    Elaborating further, Star India EVP marketing and communications Anupam Vasudev says, “TV channels now-a-days aim to show movies earlier, shortening the window gap, because of the recency effect on the viewer‘s mind. And because it adds to the content variety, it plays a strategic role in fulfilling consumer requirements.”

    A complete change in the cost recovery model for movies has also accelerated the eagerness of channels to showcase such products within a shorter window span. Besides quoting huge satellite right prices for their movies, producers have found other avenues like home video and DTH to exploit and monetise their products; and the modes are available even if the movies have crashed or performed average at the box-office.

    “Since piracy is always at an all-time high, broadcasters think ‘why wait’ and ‘why not’ make the movies available to the audience as soon as they can!”, Gandhi adds.

    Consider this: average box office  office performers such as All The Best, De Dana Dan and Atithi Tum Kab Jaoge along with the box office disaster Veer managed to do favourably well on television with each grabbing an above 3 TVR.

    All The Best on Zee TV earned a 4.23 TVR during its premiere, fetching 25.2 GRPs for the channel; De Dana Dan on Star Plus got 3.97 TVR and 26.9 GRPs; Atithi Tum Kab Jaoge on Star Plus did 3.32 TVR and fetched 16.6 GRPs while Veer got a 3.55 TVR to earn 23.1 GRPs for the same.

     

    Top Bollywood Movies aired in GEC during 2010 in HSM Mkt
    Rank Channel Programme TVR% GRPs
    1. Sony Entertainment TV 3 Idiots 10.88 91.8
    2. Colors Ajab Prem ki Ghazab kKahani 7.45 50.5
    3. Zee TV All the Best 4.23 25.2
    4. Star Plus De Dana Dan 3.97 26.9
    5. Star Plus Wanted 3.95 27.5
    6. Star Plus Veer 3.55 23.1
    7. Star Plus Atithi Tum Kab Jaoge 3.32 16.6
    8. Star Plus Paa 2.85 19.4
    9. Colors Do Knot Disturb 2.45 13.1
    10. Zee TV Kambakkht Ishq 2.22 11.6
    11. Colors Toh Baat Pakki 2.2 9.4
    12. Sony Entertainment TV Dil Bole Hadippa 2.14 15.5
    13. Star Plus My Name is Khan 2.14 15.5
    14. Colors Kites 2.14 12.4
    15. Colors Whats your Raashee 1.37 10.5
    Source: TAM | TG: CS 4+ yrs | Period: Jan to July 2010

    “TV provides free viewing even to flop films. So people who chose not to pay high ticket prices at multiplexes for such movies will anyway watch the film on TV thereby upping the viewership base,” says a top media planner on conditions of anonymity.

    But does this mean that movie premieres, especially the big tickets, always pull in mass eyeballs? Not really. Industry players believe that the TV viewership success of a movie is the functionality of its content and the rigorous promotion that the channel performs. And therefore, a low marketing push for box office hits like My Name Is Khan (Star Plus) and Wanted (Star Plus) on TV did just average as they drew in 2.14 TVR and 3.95 TVR respectively.

     

     

     

    Top Bollywood Movies aired in GEC during 2010 in All India Market
    Rank Channel Programme TVR% GRPs
    1. Sony Entertainment TV 3 Idiots 8.55 72.1
    2. Colors Ajab Prem ki Ghazab kKahani 5.59 37.6
    3. Zee TV All the Best 3.16 18.9
    4. Star Plus De Dana Dan 2.96 20.0
    5. Star Plus Wanted 3.04 21.2
    6. Star Plus Veer 2.75 17.9
    7. Star Plus Atithi Tum Kab Jaoge 2.5 12.5
    8. Star Plus Paa 2.24 15.2
    9. Colors Do Knot Disturb 1.8 9.6
    10. Zee TV Kambakkht Ishq 1.65 8.6
    11. Colors Toh Baat Pakki 1.63 7.0
    12. Sony Entertainment TV Dil Bole Hadippa 1.68 12.2
    13. Star Plus My Name is Khan 1.74 12.6
    14. Colors Kites 1.61 9.3
    15. Colors Whats your Raashee 1.05 8.0
    Source: TAM | TG: CS 4+ yrs | Period: Jan to July 2010

     

    3 Idiots, on the other hand, went  through an aggressive marketing process. The movie certainly grabbed a historical share of the viewership in the Hindi GEC space but the push also came in from meticulous promotional initiatives. Sony devised strategic promotional activity with the cast of the film and infused it into the programming of the channel which helped in further driving up the viewership.

    Also, interestingly, as part of the promos, Sony offered viewers the chance to enter a competition to win one of the iconic chairs from the movie and the response received was the highest ever from any movie competition on the channel.

    Broadcasters affirm that, even though exorbitantly priced, movies can recover the prices paid by them if the products are promoted rightly so as to grab advertiser’s attention. This is because such premieres not only summon a spike for the channel, but is surely a boon for the advertisers too who associate with them. “When advertisers walk on board as sponsors, the deals include multi-week promotional campaigns on the channel’s other properties – fiction, non-fiction, events – exhibiting a visible sponsor label. Also, due to expanded viewership from such premieres, the advertisers get more exposure,” says Gandhi.

    Adds Filmy business head Rajeev Chakrabarti , ”Big ticket movies premiered on GEC channels are strategic programming spikes around which channels attempt to garner viewer and advertiser’s attention. The networks pay a very heavy price towards acquiring these titles and ultimately, the frequency and viability of such big-ticket ‘premieres’ need to justify the cost-to-reward ratio in line with the business objective.”

    The window-gap between a movie’s theatrical release and TV broadcast has also shortened because the maximum collection that it garners is within the first two-three weeks at the plexes.

    Says a media planner, “Eight years back, about 200-300 prints of a movie were circulated and it took about six months to complete full national coverage. But today with the advent of multiplexes, 500-1000 prints of movies are released and it takes just two-three weeks for theatrical recovery.”

    Talking about placements, Mediaedge:cia India MD T Gangadhar informs that movies are strategically placed for weekend viewing because GECs are frail on fiction during this part of the week.

    Zee TV marketing head Akash Chawla, however, believes that movies must be chosen on novelty factor and should only act as new-audience-attracters rather than GRP boosters.

    “The primary challenge for a Hindi GEC is to maintain consistency and not become dependable on movies. Putting up movies in the programming schedule to just get numbers without encashing them to generate maximum revenues is not part of our strategy,” he says.

     

  • Advertisers chase soccer World Cup

    A day to go to the Fifa World Cup and fans are already geared up to pump their lungs that would scream and pound to cheer their favourite teams.

    And to attract those fans, companies around the world are devising various strategies to build consumer connect.

    These range from apparel manufacturers, airlines and TV hardware companies to gaming and DTH service providers. Everybody wants a piece of the action which comes around just once in four years.

    However, there is a certain amount of caution in the market in terms of marketing spends as the economic downturn is just over. Also, not all Fifa partners are doing activation around the event.

    Products that will be the most active are youth centric and upper middle class brands that would be targeting the urban youth. This would be important as international footballers are treated almost on par with cricketers – at least in three states. There is, as expected, some amount of activation happening in Goa, Kerala and West Bengal where the interest for soccer is high.

    Percept India joint MD Shailendra Singh notes that male specific brands for the foreseeable future would be active. “This is because marketing ultimately has to justify some sort of RoI and products that are looking for a higher sale during this period would be the ones that would market extensively,” he says.

    Boon for ESPN Star Sports: Broadcast partner ESPN Star Sports is expected to clock an advertising revenue of Rs 1 billion from the Fifa World Cup.

    ESS has sold most of its inventory and has roped in sponsors that include Vodafone, Airtel, Nokia and Samsung.

    ESS MD RC Venkateish expects a 25 per cent growth in ratings this time around. “Last time the event managed an average TVR of 2.1. We also expect families to tune in besides males. That is because the soccer World Cup cuts across TGs,” he says.

    ESS‘ bullishness is shared by a Nielsen study. According to it, eight out of 10 Indians surveyed would follow the event live on television.

    While the ratings during Fifa World Cup in terms of absolute numbers may not go up by a lot, the sheer increase in the base will see larger audiences coming into the game. There has been a lot of coverage especially in newspapers which will drive people to ESS.

    Venkateish is confident that the boost in viewership for the soccer World Cup will have a positive carry over effect to other soccer events as well like the EPL once the World Cup gets over.

    TV companies get cracking: With the sporting extravaganza being on HD, television manufacturers are looking at boosting their sales of premium products. Brands like Samsung and LG who have a global exposure to the football platform through multiple fronts will be most active.

    Analysts say television sales could grow in the region of 15 per cent as consumers prefer to upgrade to better and bigger sets. In the key markets of West Bengal, Goa and Kerala sales can actually double.

    Sony Electronics, which is a Fifa partner, will focus on launching a full range of Bravia Full HD and LED 3D TVs. The 3D push is being done as it gives the consumer a new way of looking at soccer.

    Says Sony India MD Masaru Tamagawa, “We are focussing on the soccer crazy Kerala and West Bengal. We have introduced consumer promotions in West Bengal and Kerala wherein on purchase of every Bravia LCD TV above 26 inches, the consumer shall also be a recipient of Official Fifa Football replica. Our aim is to sell around 30,000 units in West Bengal region and around 10,000 units in Kerala.”

    Haier, meanwhile, has launched their Soccer Scheme in the form of the Haier ‘Free Kick offer‘. Haier India president Eric Braganza says that this is a scratch card scheme where on purchase of any LED/ LCD TV above 81 cms (except 32S9), a customer can win 100 per cent cash back or an Adidas track jacket with an autograph from its brand ambassador John Abraham, worth Rs 2290. In terms of new products, Haier has launched a range of 117 cm inch Full HD LED backlit TVs and 140 cm LCDs.

    Panasonic India is targeting a sales turnover of Rs 750 million from Kerala, West Bengal and Goa during the event. Panasonic‘s marketing manager sports and eco products Kunal Dua points out that the company, which is the primary sponsor of the Indian football team, has kicked off road shows to promote its products during the World Cup in Kochi, Kolkata and Goa.

    “Panasonic has introduced a unique ‘Panasonic Soccer Mania 2010‘ offer on their range of ‘Viera‘ Plasma TV and LCD TVs where the customers can get assured gifts. The aim is to maximise the wave of excitement and joy during the football seasons,” he says.

    The Merchandise Scene: On the merchandise front, adidas, Nike and Puma will be active.

    adidas will supply outfit and gear to 12 teams including Spain, Argentina, Germany and France while Nike is working with nine teams and Puma with six. adidas, in fact, is sponsoring the teams that play the opening match – Mexico and South Africa. These companies leverage on the iconic status of some of the footballers. It is likely that the winner of the event will be wearing gear from one of these companies.

    Nike is cashing in on Ronaldo as part of their ‘Write The Future‘ campaign. The company will benefit in a big way if Brazil win. Puma is outfitting defending champions Italy. Adidas, meanwhile, focussed on a three-city selection event in New Delhi, Mumbai and Chandigarh to select six students. They will be the official ‘adidas Fifa Fair Play Flag Bearer‘ at the 2010 Fifa World Cup in South Africa.

    More recently in Johannesburg, adidas launched The Quest with its interactive Fifa World Cup football campaign. Kicking off with a star-studded film, created in the style of a movie trailer, The Quest challenges fans from all over the world to sign up to a multi-platform digital innovation. Highlights include a Live Graphic Novel that combines live action and animation in an interactive experience that reacts as the tournament unfolds.

    Online marketplace eBay will be having some official Fifa Merchandise listed on eBay India from adidas which will be promoted on eBay. An eBay spokesperson says that this will mark the first time that eBay is promoting Fifa merchandise in India. The issue though is whether this entire buzz will translate into strong retail sales for jerseys, boots etc.

    adidas India MD Andreas Gellner says that he expects sales to multiply.

    Relay Worldwide India GM Mahesh Ranka, though, notes that companies need to get their price points right. “The fact that a jersey costs a few thousands of rupees means that a large section of fans are excluded. While merchandise will sell, it may not be significant. Also, the consumer today is very value conscious. He wants RoI on every rupee spent. Also, consumers are still facing difficult economic conditions due to inflation, home loan rates etc. Therefore, spending could be more discretionary compared with 2007 and 2008.”

    He also notes that Indians still have to grow in the merchandise realm. “We are happy following the sport, speaking and debating about it and probably have an expert comment or two. But when it comes to spending the greenbacks for the team, there has to be a good reason to do so, and for better value to prevail. Having said that, the EPL teams‘ Jerseys have sold in decent numbers – especially the bigger clubs like Man U and Chelsea.”

    Interestingly, DVDs around the event are not expected to fare as well. Collectibles are still to grow but a start should be made.

    As far as retail stores are concerned, Shoppers Stop and Landmark are rolling out Fifa-licensed merchandise. While Shoppers Stop and adidas are selling the official casual wear range, Landmark is focussing on non-apparel merchandise.

    Ranka adds that while the mood in the market is much better compared to 2006, it hasn‘t translated much in terms of marketing spends by companies. The economy has come around a full circle in last two years and even now people are being cautious of spending money on marketing.

    What is good for companies, though, is that there is more awareness about soccer. This has grown over the past four years with all the sports channels pushing it. In addition, the number of foot-balling icons has grown and the competition this time is more open. There are more than the usual two or three suspects. So the reach for the event will be much more compared to 2006.

    According to a recent study, Manchester United has close to 13 million fans in India, while Chelsea has close to nine million fans.

    In South Africa, meanwhile, the rush for merchandise related to the event is high. But there is a lot of counterfeit merchandise that is also being sold which is hurting the manufacturing industry. Fifa‘s official World Cup suppliers are losing thousands of dollars.

    Gaming: Another product category that will benefit is gaming. Zapak, for instance, expects millions of game plays for Power Soccer which is its MMOG launched last year.

    7Seas Technologies will launch two games, Soccer Ball and Soccer Tournament, to coincide with the event. Indiagames is distributing Electronic Arts‘ Fifa game on its portal and will also be doing activities with telecom operators to push the game.

    Says Indiagames COO Samir Bhangara, “Soccer games will see thrice as much activity during the one-month period that the World Cup is on. After that it will reduce to an extent but interest will still be there.”

    Globally, it is expected that 10 per cent of Internet users will play soccer related games.

    A sponsorship windfall for Fifa: The IEG Sponsorship Report says that the tournament has generated $1.6 billion between 2007 and 2010 as opposed to $584 million between 1999 and 2002.

    Fifa had introduced a three-tier sponsorship system with the levels being Fifa Partners, Fifa World Cup Sponsors and National Supporters. Partners received exclusive marketing assets and international rights to various Fifa activities including the World Cup and other competitions. FIFA‘s six partners are adidas, Coca-Cola, Emirates Airlines, Hyundai-Kia, Sony and Visa and they pay between $ 24 to 44 million every year.

    The eight companies, Anheuser-Busch InBev‘s Budweiser, BP Castrol, Continental tires, McDonald‘s, MTN, Mahindra Satyam, Seara and Yingli Solar, are at the World Cup Sponsor level and pay anywhere from $10 – $25 million in annual fees. These companies have acquired the rights to the event at a worldwide level and they also have chosen marketing assets, secondary media exposure and the assurance of category exclusivity.

    In India, in terms of Fifa‘s partners, one of the companies that is being aggressive is Castrol. In fact, the campaign is its largest ever consumer promotion activity being carried out in India. As part of its promotional activity, Castrol has a contest. It will fly 50 winners along with its brand ambassador John Abraham for World Cup matches.

    Another company that will have a big presence at the Fifa World Cup is Mahindra Satyam which is the IT services provider. To manage ticketing, accreditation, transport, materials management and overall event management, Fifa employees will be using a software solution developed by Mahindra Satyam.

    Team Valuations: The Spanish team is the most valuable with an estimated value of 565 million euros, according to Euromericas Sport Marketing and Gerardo Molina and Associates.

    Number two is Brazil, with an estimated value of 515 million euros. France is third, with an estimated value of 450 million euros, followed by England which is worth 440 million euros.

    The rankings calculate the market worth in terms of economic rights, or contract value, of the 25 players who have played most frequently for their teams during the qualifying round of the World Cup.

  • Denim Jeans Makers Looking for the perfect brand fit

    Daring, stupid, wild and innovative, are some of the campaigns that the biggest jeans brands in the country are currently running. In an attempt to connect with today‘s youth, wacky and out-of-the box below-the-line (BTL) marketing campaigns are being used, in an obvious bid to build brand connect and appeal to one‘s intellect (okay not really the latter).

    Spykar is encouraging youth to get creative with denim

     

    Take a look at what Levi‘s, Wrangler, Spykar, Diesel and Pepe‘s marketing teams are up to these days, and one will notice that brand building and brand positioning are the key focus area for them, as they attempt to build a loyal customer base amidst this ever changing market.

    Spykar Jeans currently has a contest running, “Denim regeneration,‘ which is specifically aimed towards fashion designing students, even though anyone who wants can participate. The basic objective of the contest is to make something out of your old denims. It could be clothes or accessories like wallets, bands etc. The top five winners get various prizes which include digital cameras, PSPs, etc. Also the winners will receive internships with the company. This contest is a part of the company‘s pan India brand building campaign, and it‘s being promoted in all the Spykar stores.
     

     
    Wrangler is sticking to its image of being rough, tough and wild, with its latest spring summer 2010 “Dirt Bike Denim” collection.

    Wrangler is targeting women to its macho wear

    Wrangler India marketing manager Anshul Chaturvedi feels, “The brand is associated with a rugged masculine image and is keen on cashing in on that. It is what differentiates Wrangler from others. While male customers are the prime focus, the brand is now trying to rope in more women customers.”

    The new dirt bike denim campaign focuses on the action, adventure and thrills of dirt bike and motorcar racing, with roughed up, greased and washed down denim jeans, and traditional biker shirts being a part of this new offering. While the posters and hoarding typically show a guy and his bike sporting the new Wrangler collection, there is of course a good looking biker girl by his side, showing off the latest in women‘s wear by Wrangler, which include racer back and off shoulder tees, molly fit jeans and much more.

    Wrangler‘s strategy for BTL marketing seems simple and time tested. It is strengthening its brand position by maintaining the brand‘s macho image across all its campaigns (the previous one being ‘forever wild‘), and even though the posters and hoardings of the cool jeans, nice bikes and hot girls are such a cliché, maybe they appeal to today‘s youth and their wild side.

     

     

    Diesel exploited “Be stupid” to create brand awareness and stand out from the rest of the pack

    Diesel jeans, which has tied up with Reliance Brands in India, probably has one of the wackiest BTL marketing campaigns ever seen in the country. “Be stupid” the Diesel campaign which was started before its first store even opened, was meant to create hype, curiosity and publicity. Celebrities sported the “Be stupid” tee shirts at social dos and in various public events. Be stupid merchandise and stickers along with tee shirts were distributed,

     

    Posters, store walls, flyers, and banners carried sayings like “Smart may have the brains but stupid have the balls,‘ “The stupid are the only ones carrying the banner of interesting”, “Smart may have the plans…but stupid has the stories” “Smart had one good idea…and that idea was stupid.”

    In fact, even the Mumbai marathon had wacky “be stupid” banners around, while there was even a “be stupid” party amongst other promotional activities done for this campaign. The Reliance brands marketing team felt “This campaign has been very well received. The teasers generated the right curiosity, the response has been really good and the campaign will continue as it is in line with the philosophy of the brand.”

    Levis is rewarding youth who have it through its “change the world” campaign

     
    Levi‘s current ‘Change your World‘ campaign is being done in order to celebrate its completion of 15 years in India, apart from further strengthening of its brand.

    The campaign includes three major initiatives. The first initiative is to identify 15 youngsters, through an online process, who embody the personality of Levi‘s and support them with fellowships of Rs 100,000 each. The second initiative is to identify a promising rock band for which the company will produce a music video featuring Priyanka Chopra. The band will also be given an opportunity of going on a three-city tour. And, the third initiative of this “Change the world” campaign is in association with Chevrolet and Apple, where the brand is giving customised Chevy Beats, iPhones, Mac Books and iPod Shuffles to youngsters who wear Levi‘s accessories.

    The campaign was launched on 9 April, across 40 cities in India and is expected to reach more than 25 million people. To create the required impact, over a 160 plus billboards, 80 plus bus shelters, 25 plus facades, multiplexes, 80 plus bus wraps, 100 plus cantilevers, 90 plus road medians, 70 plus kiosks, 40 plus Café Coffee Day outlets, 50 plus gantries, 80 plus unipoles and more than five mobile vans were used.

    For a better response the media were carefully mixed and balanced according to the city. In Mumbai a greater focus was on cantilevers whereas in Delhi it was on ambient media.

    Levi‘s India senior manager Vishal Bhalla said, “The Levi‘s change your world campaign is one that we are particularly excited about. I cannot overstate the stellar role that the team at Percept, led by Ovez, has played in amplifying the campaign, and giving it the scale and stature befitting such an initiative.” The over all outdoor and ambient spend by Levis on this campaign was approximately Rs 40 million.

    Pepe Jeans, is playing up its fashionable and stylish positioning

     
    The Pepe spring summer ‘10 collection introduces a contemporary and versatile range of highly trendy designs and the latest styles for the season. The collection is an ideal blend of high street elegance, eclectic bohemian styles and relaxed tomboy looks for women. For the men, the collection emphasises on high street fashion, classic summer and resort wear, promoting a more relaxed look and feel. To attract the appropriate target group and create visibility the outdoor medium is being used. The campaign is youth centric and its main objective is to introduce a larger than life image of the brand as well as serve the purpose of brand building.

    The outdoor campaign, executed by Moms, Madison‘s OOH division, principally focuses on Mumbai, Bangalore, Hyderabad, Pune, Jaipur, Cochin and Kolkata. Pepe Jeans has strategically chosen a cluster of sites on Mumbai‘s Mahim Causeway to create a larger than life impact in a high morning traffic area. Also, innovation has been carried out in their Bandra (in suburban Mumbai) hoardings to stand out, using a lighting technology which has been introduced to partially light them up; thus attempting to break the clutter and grab attention from the passer-by. Apart from this it has also used mobile vans, wherein Pepe Jeans brand ambassador Alexa Chung has been highlighted through a huge cut-out.

    “In India a very large audience falls under the age group 25 and 35 years respectively and that is the age group Pepe targets. The positioning has been consistently fashionable and stylish in terms of communication (advertising and promotions) and we planned to use the outdoor medium to be highly visible at all strategic location in the targeted cities,” says PJL Clothing India director Chetan Shah.

    Clearly, with the denim players sharply positioning and differentiating themselves and getting hyper on the promotion front, the jeans market will definitely expand further. And that is exactly what are they hoping will happen.
     

  • Sony Entertainment Television back on track

     

    Yes, the Hindi GEC space is witnessing the rule of the top three. But old-monk Sony Entertainment Television is racing quite hard to get into that inner ring that includes Colors, Zee TV and Star Plus.
    Sony has done the catch-up exercise with some of its old-running programmes gaining ground while a few of its overhauled prime-time shows have started delivering.

    According to the latest Tam data, Sony has earned 183 gross rating points (GRPs) for the week ended 7 November, up 23 points from the earlier week.

    Says Set business head Ajit Thakur, “We know that Sony is a stronger brand than what the numbers are showing and in the months to come we will push hard for faster growth.”
    Sony had relaunched on 26 May with a new slate of five dailies for the 8-11 pm time zone, donning the tagline, ‘Badal Rahe Hain Hum‘. The channel also lined up two weekend shows, one of which was the return of the big-ticket reality show Dus Ka Dum in season 2 with Salman Khan as the anchor. The revamp strategy also involved the axing of all its weekday prime time content except its age-old shows Boogie Woogie and CID.

    With the new line up, Sony‘s ratings shot to 97 points in week 22 from 78 in the previous week.

    Says a source in the company, “As we were back to our basics, we had to evaluate what was working for the channel and what was not. According to the research we have done, our old properties like CID, Boogie Woogie, Aahat and Dus Ka Dum had worked for us. Hence, step one was to bring these properties back.”

    Backing this statement is Tam data, which reveals that C.I.D., Boogie Woogie and Dus Ka Dum were the top contributors to the channel grades. The last five-week average TVR for C.I.D stands at 3.4, while Dus Ka Dum is at 2.1 and Boogie Woogie at 1.5.

    Though Sony did witness an upward swing instantly post relaunch, it wasn‘t a continuous upward drive. For the following weeks, the channel‘s GRPs dipped to 90 and 82 points for week 24 and 25 respectively.

    And then the tide turned and Sony crossed the 100-GRP mark to pocket 108 grades in week 27.

    As reality became the staple flavour for GECs this season, Sony decided to create the big property, Mujhe Iss Jungle Se Bachao, as part of its relaunch strategy. However, the property failed to perform.

    “Among the fiction shows, Rani Padmini and Palampur Express flopped and therefore they were axed immediately. The other two shows, Bhaskar Bharti and Ladies Special, was performing average for the channel and hence, some investments have been done around that,” says a senior executive in Sony on request of anonymity.

    Still believing in the power of reality, the channel went forward to launch its newest property, the Dance Premier League (DPL).

    “We realised that we had to strengthen some of our stuff quarter-by-quarter. Hence, we gave Boogie Woogie a break and got DPL. The property has done fantastic for us, not only in the form of garnering advertising revenues but in ratings growth. Beginning with a TVR of around 1, it has grown to an average 1.5,” the executive says.

    Meanwhile, to tighten its week-day fiction line up, the channel got on board Balaji Telefilms‘ Beyttaab Dil Kee Tamana Hain and Pyaar Ka Bandhan to firm up the 10-11 pm band. While the former has delivered an average TVR of 0.64 for the week, Pyaar Ka Bandhan has fetched 0.56 average TVR.

    “We are looking at a new fiction line up altogether. This week we launched Sukh By Chance in the 9 pm band and we will be launching two more shows in the next four weeks,” the executive elaborates.

    For the weekend, Boogie Woogie will come back next year while Sony will currently focus on DPL to increase the scale of the 8 pm slot.

    The next few weeks will tell how intense is Sony‘s recovery as it steps up the gas to put up more popular shows.