ITV

Tag: DTH

  • Government issues watered down concept note on Broadcast Bill, seeks feedback

    Government issues watered down concept note on Broadcast Bill, seeks feedback

    NEW DELHI: The government has put out a watered-down version of the much-reviled draft Broadcast Bill for feedback from all stakeholders.

    Seemingly fazed by all-round criticism, the draft Bill put on the information and broadcasting ministry website has no mention of some draconian clauses.

    For example, a clause on government taking over broadcast services in times of war and national calamity has been done away with.

    In the draft Bill put on the ministry website — mib.nic.in —- a certain cap on number of consumers broadcast network service providers (MSOs, cable operators and DTH platform) can have nationally has also been quietly done away with, in sharp contrast to a draft that had been circulated by the government in June.

    A clause which stated in an earlier draft that no broadcast network service provider shall have more than the prescribed share of consumers/subscribers in a city or state subject to the overall ceiling of 15 per cent for the whole country doesn’t find a place in the draft put out by the government today.

    Some of the powers of the Broadcast Regulatory Authority of India too have been clipped in the new draft.

    What’s more, the government has put the entire draft Bill on the website of I&B ministry, in itself an historic action of sorts.

    A key point worth noting here is that this action (of making the contents public) by the I&B ministry means that the Bill currently stands as having been withdrawn. This is because once a ministry refers a decision to the Cabinet, it is covered by the Official Secrets Act, and the only way it can be brought into the public domain is to withdraw it formally.

    The move comes a few days ahead of a meeting that the ministry called with the industry on various aspects of media.

    The meeting has been scheduled for the evening of 14 August, which also happens to be the eve of India’s Independence Day.
    Though the move is being seen as an attempt to blunt criticism on lack of transparency on the part of government while formulating an important policy, a section of the industry has been caught by surprise by its timing.

    “Considering it’s going to be a long weekend, starting Friday (11 August) evening with holidays on 15 and 16 August, the government has given too short a time to revert with serious feedback,” a broadcaster exclaimed.

    However, to be fair to the government, it has also given the general public and industry about 30 days to formally lodge objections and suggestions relating to the draft Broadcast Bill, which when leaked in the media end-June (Indiantelevision.com also got hold of its contents), created an all-round furore.

    The concept note on the Bill states that it seeks to achieve the following:

    (i) To provide legislative sanction retroactively to government guidelines on various regulatory aspects such as television channels’ uplinking/downlinking, private FM Radio and community radio, DTH, Teleport, etc.

    (ii) To set up a new Broadcasting Regulatory Authority of India and delegate the regulatory functions presently being performed by the ministry of I&B to this new authority.

    (iii) To incorporate the provisions of the existing Cable Television Networks Regulation Act in the new legislation through appropriate repeal and savings clauses and provide for licensing of cable operators.

    (iv) To make enabling provisions in areas like cross-media restrictions, minimum searching of local content for all TV channels and their obligations towards social service messages.

  • Cable, DTH locked in ad war

    Cable, DTH locked in ad war

    MUMBAI: The ad war between direct-to-home (DTH) service providers and cable TV operators has started. Soon after Dish TV ran a full page campaign on print asking viewers to stop watching cable TV, operators have retaliated with the tagline “Cable TV – Service at your doorstep.”

    The most obvious attack is on pricing. Dish TV, the ad says, offers all channels without the Star bouquet at Rs 300 per month. After adding up the 10 per cent licence fee and taxes (entertainment and service), the monthly bill in Mumbai will work out to Rs 412. Then there is the hardware and rental cost for the set-top boxes (STBs) which have to be paid in advance. Besides, there are no discounts for multi-TV homes, the ad states.

    Cable prices in the conditional access system (CAS) areas, on the other hand, will begin from Rs 77 per month for the free-to-air (FTA) channels. The pricing for the pay channels is yet to be decided as broadcasters have to fix the rates. As for the set-top boxes, the early bird offer is Rs 2000. “With judicial intervention and government regulation now being brought in place, you too will reap benefits of CAS once it takes off from 1 January,” the ad says.

    Regarding service, cable TV has run even on days of calamities. Most of the consumer complaints are pricing related issues which are linked to pay channel hikes. “Cable networks also provide internet service. How come you never faced price related issues when dealing with the same cable network,” the ad states.

    The cable TV industry is “geared to usher in a new digital cable revolution with over 140 channels, radio services, games and on screen electronic programme guides.”

    The cablewallah may have finally woken up to the competition from alternate digital distribution platforms. The battle, as they say, is just beginning.

  • ‘Our aim is to give history a more broad based appeal, which is why we are focussing on entertainment’ : Nikhil Mirchandani – The History Channel India MD

    ‘Our aim is to give history a more broad based appeal, which is why we are focussing on entertainment’ : Nikhil Mirchandani – The History Channel India MD

    Live the Story! With the aim of competing better in the English entertainment space The History Channel is pursuing a new strategic direction in India. The aim is to spread the appeal of the channel to more viewers and increase the stickiness level through a variety of shows. These include television movies, documentaries, mini series and long running series.

     

    Indiantelevision.com’s Ashwin Pinto caught up with The History Channel India MD Nikhil Mirchandani to find out about the plans and what lies in store.

     

    Excerpts:

    Could you talk about The History Channel’s new direction?

    I would like to point out that we have not changed our positioning. We own the theme of history and will continue to do so. Our aim is to give history a more broad based appeal, which is why we are focussing on entertainment. Over the last three years we did a few things that set the stage for what we are trying to do today.

     

    We established our positioning of history that no other channel has. History is our middle name so to speak.

     

    In a scenario of over 300 channels distribution is very important. We are the 16th best distributed channel in the country. We managed to do that since we are a part of the Star family.

     

    We established a loyal viewer and advertiser base. We have also marketed ourselves well like getting Diana Hayden to host Biography. Moving towards entertainment is the next logical stage of evolution in our product lifecycle. Our aim is to attract more viewers and advertisers.

    In what way has the programming strategy been embellished?

    We begin our primetime with factual content at 8 pm. Then there are drama series at 9 pm There will be classic product from our library at 10 pm. At 11 pm there will be a thriller band. On the weekends you have a television movie on Friday at 9 pm For example Hitler The Rise of Evil.

     

    There will also be a combination of fact and fiction. For instance you could see a biography of Marilyn Monroe followed by a drama or a television movie. We are also targeting women in the afternoon with programming that we are confident will appeal to them.

     

    The primetime moves from a youngish factual content to drama to thriller. That evolution of our programming blocks is logical.

    According to research how do viewers perceive the channel?

    Viewers perceive us as a well respected credible authority on the subject of history. They have constantly expected that of us and we will not dilute that offering. They find us interesting as we deal with personalities like Hitler, Helen of Troy.

     

    The great thing about the History Channel is that it is not restricted by formats. That is not the case with a movie channel that focuses on blockbusters. If they deviate one immediately notices that. Our only concern is whether the story is historically relevant. I would say that English movie channels are undifferentiated from each other.

     

    We have a wide basket from the lifestyle genre, to thrillers to even perhaps stories on 9/11. It will be in terms of formats. By this I mean documentaries, movies, series, one off biopics, long series. The topics have also grown. We will also showcase concerts like Woodstock. History is never going to be the same again and we take advantage of that.
    ‘The new stories we are telling are universal. Also with our dubbing initiative in Hindi we see the appeal spreading beyond the current TG that we have‘

    Is it fair to say that the audience has become more sophisticated and demanding in the last three years as their exposure has grown?

    They have more options today. A time will come not far from today when they will have options to choose how they watch content whether it is through cable or IPTV or DTH. He will also have the choice of when he wants to watch it. The environment is also getting more sophisticated in terms of addressability.

    What is the viewer mix like on the channel?

    It is pretty equally distributed between male and female. While our core audience is male-female SEC A, B 25-44 Metros and mini Metros we do realise that there are viewers coming in from other demographics.

     

    The new stories we are telling are universal. Also with our dubbing initiative in Hindi we see the appeal spreading beyond the current TG that we have. Having said that our acquisition and scheduling strategy is governed by the SEC A,B TG in the Metro cities.

    To what extent have acquisition costs gone up?

    Significantly! The drama content are all epic big budget productions. We will leave no stone unturned.

     

    Over a million dollars has been invested in the acquisitions and also on dubbing and marketing activities.

    Could you talk about the strategy The History Channel has followed to debunk the theory that history is boring and staid?

    We have done focus groups to find out what our viewers think. We tested the entertainment initiative out. Previously they might think that history is boring and what they remember from school as in being a textbook, black and white.

     

    However when we shown them our content where history is brought to life then they want to immerse themselves in the story, the cultural setting. Production values also help a lot. One viewer even told us that our television movie Spartacus reminded him of Gladiator. Their minds open up and their imagination works overtime. It becomes a great story that they want to know more about which they may have only read about previously.

    Apart from Biography which of your other shows have proven to be popular?

    Conspiracy, Crusades, Secret Agents, Breaking Vegas were appreciated. The last one was about MIT graduates who cracked the codes in Vegas and made history. They were able to fool the casinos. That is what I mean by becoming more broad based. This is about the glamour of Las Vegas and not dull black and white.
    ‘We think that we should be close to the English movies and English entertainment space. This is between 0.4 – 0.6% of the total C&S viewership‘

    What are the major property acquisitions that have been made in the past couple of months?

    There are many. There is Marilyn and Me. There is Nero, Augustus, Saint Peter. We have formed alliances with BBC, Disney, Granada, Universal, Warner Bros.

    There are two major media events coming up. One is the release of the film The Da Vinci Code. The other is the Fifa World Cup. Will you be showcasing any specials around these two events?

    In June you will see interstitial on the World Cup. June will a Rome month. We will debut the show Rome: Engineering an Empire. This is to coincide with the film release with Tom Hanks. For Fifa there will be short form programming like biographies.

    What targets have been set in terms of viewership?

    We think that we should be close to the English movies and English entertainment space. This is between 0.4 – 0.6 per cent of the total C&S viewership. Our dubbing will help here.

    Who does the dubbing for you?

    UTV does the work for us. Drama dubbing is more difficult than documentary. There is a lot more dialogue, emotion involved with fiction shows. The drama has to be put forth succinctly.

     

    When you dub emotions the talent involved needs to be far better We already offer a parallel feed. In the North and West regions we find that a lot of people prefer the Hindi feed. But down South they would rather have English.

    One challenge for the English entertainment genre is to create a 360-degree environment. This means interacting with the consumer through other mediums besides on air. What plans does The History Channel have in this regard?

    As I pointed out earlier when we exposed out content in our focus groups their minds opened up. This showed us that we need to constantly expose our content to viewers at different outlets. They need to sample us more. So we will use the Star network.

     

    Cinema halls will be important as an audio visual medium best brings out our offerings. We will also use Internet auditoriums. Here you can download links and watch clips, promos. This lets people touch and feel us. This will help us break the myth that history cannot be entertaining.

     

    We are looking to have a presence in malls as they have high footfalls. We also realise that History Channel aficionados also watch movies and read books. So we are trying to tap into them at bookstores and DVD rental libraries. We are looking to expose our content through them through posters.

    Is The History Channel taking a cue from the success NGC has had with its mission property in terms of on ground initiatives?

    We are exploring available opportunities. It wouldn’t be fair though to compare the History Channel to NGC as the content is different.

    Is The History Channel looking to localise? Kindly elaborate.

    We will shortly be airing a show on the Mughals. Next year is the 150th anniversary of the 1857 uprising. We will be doing something around that. We have in the past aired biographies on Gandhi. We constantly talk to production houses to do work. This will unfold over the next couple of years.

    Are you planning initiatives like maybe school and college contact programmes to create awareness about your product?

    This will depend on the show. Most of our audience as I mentioned earlier is in the 25-44 age bracket. If however there is a property that demands that we go to a school then we will.

     

    For example if ninth class students are reading about Mein Kamph or are studying about Hitler then it makes sense for us to show themHitler the Rise Of Evil. That will give them a perspective. As Mein Kamph was written by Hitler a complete perspective is not present. This I am sure will make the subject more exciting for them.

    On the advertising front how is The History Channel being sold to clients? What targets have been set?

    We are looking to double our revenues in the next fiscal. We have a transparent rate card. We are looking to allow the advertiser to pick and choose the content he wants to be associated with. This marks a change in how television channels are sold.

     

    It is not clubbed with NGC. The History Channel has a separate dedicated team and they have their own set of targets. Nokia, L’Oreal, Samsung are some of our major clients. We have received positive feedback from them on our new initiatives.
  • Zee scrip gains following TDSAT verdict

    Zee scrip gains following TDSAT verdict

    MUMBAI: Sector regulator TDSAT’s direction to Star India, to make available all its channels to Dish TV, today boosted Zee Telefilms’ fortunes on the bourses.

    The Zee Tele scrip recorded a gain of 5.49 per cent on the Bombay Stock Exchange (BSE), up by Rs 13.70 to close at Rs 269.70, after hitting an intra-day high of Rs 272.15 early on.

    At the National Stock Exchange (NSE), Zee went up by Rs 14.05, to close at Rs 269.85. The prices have almost touched Zee’s 52 week high of Rs 273.9 (BSE) and Rs 274.85 (NSE). This is the highest level the scrip has reached in the last one month.

    BSE saw Zee Telefilms recording a volume trade of 1,709,876, while, at the NSE the volume traded stood at 1,978,618.

    In an order passed this morning, TDSAT, while directing the sector regulator to set a benchmark for channel prices for DTH services, said that Star channels should be available to Dish TV at half the price at which they are available to cable operators. The reason for this, according to TDSAT, is that DTH is an addressable system where loss of revenue down the value chain is negligible if not zero.

  • If transponder space unavailable on Insat-4B, Sun might opt for Measat3

    If transponder space unavailable on Insat-4B, Sun might opt for Measat3

    MUMBAI: A day after the unfortunate failure of the GSLV-F02 launch rocket carrying the Insat-4C communication satellite, it is not just India’s space establishment that has been forced to relook its plans.

    For Kalanithi Maran’s southern broadcast network Sun Group, the mishap could well mean that the launch of its direct-to-home (DTH) service sees a change of satellite operator. Sun TV had booked seven high-power Ku-band transponders, six for DTH and one for DSNG (digital satellite news gathering), of the total 12 carried by the Indian Space Research Organisation’s Insat-4C.

    The big question now is this: If Isro is not able to provide Ku-band transponder space for his DTH venture Sun Direct, will Maran opt for an alternative satellite like Malaysia’s soon-to-be-launched Measat-3?

    Maran already has a running relationship with Measat’s parent company Astro, having stitched a deal last year for a $25 million joint venture to originate, aggregate and distribute television programming and channels for a global audience. Measat Broadcast Network Systems is a subsidiary of Astro company which has a 20-year exclusive licence for DTH transmission in Malaysia.

    Measat has scheduled a September launch for the Measat-3 satellite. The satellite will be shot into space atop a Proton rocket from the Baikonur Cosmodrome in Kazakhstan. Measat-3 will have 24 Ku-band transponders and has been designed to provide capability for data services and DTH applications in Malaysia, Indonesia, India and China.

    Maran, however, says he has got intimation from Isro that he will be provided with Ku-band transponders at the earliest. “Isro has assured us of providing alternate transponders to meet our DTH requirements. We have not made any request to Isro for taking space on Measat-3. We were, in any case, looking at a time frame between October-November,” the Sun Group promoter tells Indiantelevision.com.

    Has Maran been told which satellite will provide him the Ku-band transponders? “We will know from Isro in three to four days,” he says.

    For DTH providers who want to operate from foreign satellites, Isro will have to provide the approval and lease it out for them. Dish TV, for instance, is on NSS-6 with Isro’s backing as required by regulatory norms.

    For Isro’s commercial arm Antrix Corporation, hiring of foreign transponder space for a short time could be a possibility. There is a precedence of this having happened in the past.

    According to a report in Hindu Businessline, when Insat-2D failed, Isro bought transponder space on an Arabsat satellite. Isro has also provided temporary leases on Thaicom, GE-Americom, and even now on NSS, Businessline reported.

    At the moment though, Isro has not received any fresh proposal from Maran’s DTH company, Sun Direct TV, to lease out a satellite for them. Says Isro contract management and legal services director SB Iyer, “Sun has not asked us for a foreign satellite yet. The failure of Insat-4C is a brief setback which has put us behind 4-6 months. But we are recasting our programme by which we can accelerate the Ku-band capacity growth. We may be putting up larger satellites to boost the capacity.”

    So will Sun get space on Insat-4B, which is meant for Doordarshan’s DTH service like DD Direct Plus? “We haven’t taken any decision yet. DD, which is on NSS-6, has a low requirement,” says Iyer. Sun has asked up to eight transponders for its DTH service.

    Even if Sun gets Insat-4B, the launch of the satellite is expected to take place early next year. The commercial operations can, thus, commence only by the first quarter of next fiscal. “We have the flexibility to accommodate Sun. It is too early to comment on the steps we are going to take,” says Iyer.

  • Tata Sky earmarks Rs 1.5 billion for marketing of service

    Tata Sky earmarks Rs 1.5 billion for marketing of service

    MUMBAI: Tata Sky, an 80:20 direct-to-home (DTH) joint venture between the Tata’s and Star Group, is moving ahead step by step towards a launch, the date for which is still being closely guarded by the company.

    While most of the money is now riding on an August-September commercial kick-off, the latest on the Tata Sky front is that it has earmarked approximately Rs 1.5 billion for marketing the DTH service across all platforms, traditional and non-traditional. From pilot MDU (multi-dwelling unit) projects in some cities of India to educating an average Indian about the advantages of a DTH service supported by the Tatas and Star, the game plan covers the full gamut.

    Tata Sky sources reveal that a major part of the Rs 1.5 billion marketing budget is likely to be spent during the festival season in India, starting late September and lasting till Christmas-New Year, when consumers have a tendency to splurge on goodies.

    Meanwhile, apart from Zee Turner family of channels, most other major TV channels are almost sure of finding a berth on the Tata Sky platform from day one of launch. Apart from the news channels, the likes of Times Now and Disney are already part of the test signals, people in the know say.

    It needs noting however, that except for ESPN Star Sports, no other broadcaster (and that includes the Star Network channels) have signed commercial agreements wth Tata Sky as yet.

    ESPN Star Sports, a joint venture between Disney and News Corp in Asia managing the two sports channels, have also to take a call on whether to bring in a new interactive sports channel, or confine the interactive aspects to the two existing channels. “We are still weighing all options,” a Singapore-based source in ESS said.

    Zee channels’ appearance on Tata Sky, meanwhile, would depend on how soon (or how late) Star comes to an agreement with Dish TV, now that Discovery-Sony One Alliance has come aboard country’s first DTH platform.

  • Dish TV: Scaling up on numbers & value proposition

    Zee Telefilms chairman Subhash Chandra is on a roll. The resurgence of flagship Hindi entertainment channel Zee TV has come after years of slippage since Kaun Banega Crorepati catapulted Star plus into leadership position.

    But this is not just about Zee TV‘s prime time assault on Star Plus; it is also about how Chandra has streamlined his media empire to give it the right focus, resources and value. His announcement on 29 March: Zee Telefilms will be de-merged into four separate entities. While cable business will come under Wire and Wireless India Ltd (WWIL), Dish TV will handle the DTH operations. News and regional channels are being consolidated in Zee News Ltd. Under the umbrella of Zee Telefilms will be the newly launched Zee Sports.

    The “sum total of the parts” concept ignited the scrip which, once hovering around Rs 130-150 in mid-2005, has breached the 200-mark and closed today at Rs 222.

    In the second of a four-part series, Indiantelevision.com takes an in-depth look into the de-merged DTH business of Zee Telefilms.

    The battle for supremacy between News Corp chairman Rupert Murdoch and Subhash Chandra will be extended to the DTH arena this year. The commercial launch of Tata Sky, a 80:20 joint venture between Tata Group and Star (now expected to happen only some time in August-September), will see a hell of a scramble for subscribers with focus on pricing, quality of service, value-added services and marketing.

    Chandra‘s gameplan is to build a sizeable early lead before the fight for share in the market takes shape. Having launched Dish TV over two years back, he has already snapped up 1.15 million DTH subscribers. And he expects to mop up an additional one million by the end of this fiscal.

    Even before Tata Sky can settle down and get its products out of the door, Chandra is in a hurry to launch an array of value-added services. Movie-on-demand is already available and soon to launch is gaming and interactivity. The idea is to fill up the product portfolio as quickly as possible.

    Working on the content side, he has recently stitched a deal with SET-Discovery to offer a bouquet of 12 channels on his platform. Star‘s channels should also come on board, perhaps closer to launch of Tata Sky. Armed with full content, Dish TV will be able to aggressively target more urban and upscale subscribers in the course of the year.

    The DTH operations has already consumed a net expense of Rs 3.8 billion. A further investment of Rs 2.5 billion has been lined up over a two-year period, mainly to subsidise the set-top boxes (STBs). “But we are sitting on a dynamic model and if Tata Sky and us are aggressively competing on pricing, there is a possibility of the subsidy amount further increasing. It is a factor of what strategies we adopt to develop our subscriber base,” says Essel Group CEO of corporate strategy Rajiv Garg.

    Placing his bets on both cable and DTH, Chandra ensured that he started operations much before Murdoch could jump over the regulatory hurdles. The strategy was in place: mobilise the cable dark and rural subscribers, offer them a basic bandwidth of channels, tie up content as they come, drive in volumes and command clout.

    The start was slow. Then came the “dish-har-chhat-par” (a dish on every rooftop) pricing scheme of Rs 3,990 (almost halving the hardware prices and subscription fees for a year) last April and the market in specific territories just opened up.

    Targeting DD Direct‘s customers, Dish TV also announced a “Dish Freedom Package” plan in January. This offers viewers 40 channels in digital quality without charging any monthly subscription fee, but they had to make a one-time investment of Rs 2,690 in a digi box. Clearly, the strategy was to get into a different segment of customers and slowly entice them to upgrade to the other packages.

    Dish TV‘s subscriber base grew and by the end of FY06 it touched close to one million. Almost 70 per cent of the consumers came from the cable dry and smaller towns, but it suited Chandra to an extent by giving him a headstart over Murdoch. As he also has presence in cable TV, his muscle in the distribution business has grown.

    A fallout of this model, though: low ARPUs (average revenue per user). While revenue from DTH operations stood at Rs 818 million for FY06, net loss was at Rs 790 million on the back of subsidies and marketing expenses. The ARPU by the end of the year was hovering around Rs 190.

    The task this year will, thus, be to drive up the ARPUs to at least Rs 250. The content tie up with Sony and later Star will help achieve this. After the deal with SET-Discovery, Dish TV has increased the price of its basic tier by Rs 38. “By providing the first year subscription for free, Dish TV‘s financials don‘t reflect the paying capacity of the subscribers. But if consumers decide to continue with the service after this period, the incremental subscription revenues from the DTH venture would be sizeable. The problem will arise if they decide to drop out at the time of renewal,” says an analyst.

    Dish TV is also banking on value-added services (VAS) to realise more from subscribers. Says Garg, “Beginning 1 September, VAS will be accounted for separately from the ARPUs. We expect VAS to average Rs 40 per subscriber. Since this will be for a stretch of seven months, the average during the fiscal will work out to Rs 22-23,” says Garg.

    Dish TV‘s revenue projections look healthy. For FY07, the target is fixed at Rs 3.2 billion on a subscriber base of 2.4 million and an ARPU of Rs 250. And in FY08, the turnover is expected to touch Rs 8 billion as subscribers rise to 3.15 million and ARPU to Rs 310.

    An analyst at a trading firm is optimistic about Dish TV‘s growth. “Even after the launch of Tata Sky, the DTH market is large enough to provide space for growth to the two service providers,” he says.

    Dish TV, however, will continue to be in a net loss situation this fiscal. According to a report on Zee by a brokering firm, Dish TV‘s net loss will be Rs 368.4 million while subscribers are expected to grow to 2.07 million and revenue to Rs 3.29 billion on an ARPU of Rs 250. But the picture changes completely in FY08 and the operations become profitable, says the firm.

    The situation, though, is completely fluid and a lot will depend on how Tata Sky prices its services. DTH takeoff will also have to factor in the responses from the cable TV industry and the entry of other DTH operators like Anil Ambani‘s Reliance with its Blue magic offering and Kalanithi Maran‘s Sun Group with Sun Direct.

    So far, Chandra has been clever not to alienate the cable TV operators but play safe on both the platforms. Tata Sky, on the other hand, has drawn hostility from the operators with its MDU (multi-dwelling unit) technology in high-rise residential buildings.

    Prices could plummet if competition intensifies, putting profitability under threat. Tata Sky, in fact, has indicated a monthly subscription price of Rs 250 for all the Hindi channels and an upper-end fee of Rs 550, according to a dealer. It is also expected to subsidise heavily the hardware costs. “The pricing is very tentative at this stage and executives from Tata Sky will have a meeting with the dealers closer to date of launch,” he adds. Tata Sky CEO Vikram Kaushik was not available for comment.

    For an infant business venture, DTH operators may not worry about profitability at such an early stage. Their main concern will be to allow the market to expand, acquire customers, keep them locked over a longer period, and then make them pay more for various services. Volumes is what all of them will be hunting for.

    Dish TV‘s pricing strategy so far has reflected this line of thinking. It has promoted the DTH service packages with a lock-in period bundled along with the initial subscription. Says Garg, “The bulk of the subscription selling has been on the business of this bundle which includes a subsidy element. Subscription revenue, thus, starts typically one year after the creation of the subscriber relationship. So you would see these one million subscribers in FY06 gradually come into the subscription fold during this year.”

    Chandra, meanwhile, is sprucing up the distribution network. Dish TV recently tied up with HCL Infosystems for a five-year partnership to utilise the IT major‘s distribution and service support across the country. While Dish TV will immediately double its distribution reach with this tie-up, the alliance will enable HCL Infosystems to offer digital entertainment services as part of its digital lifestyle portfolio.

    Dish TV has also addressed another problem: how to increase offerings by accommodating more channels per transponder. It has recently tied up with Scopus Video Networks, a provider of digital video networking products. Having taken seven transponders on NSS-6, Dish TV can pack up to 150 channels using this compression technology.

    “Scopus‘ product line will help us achieve very high satellite utilisation and bring down costs on a per channel basis. We plan to implement this better compression technology within a month. We will be able to increase our capacity to 150 channels,” says Essel Group director of technology Amitabh Kumar.

    For pursuing plans of offering 200 channels, Dish TV has booked more transponders on NSS. Even when DD Direct Plus, Doordarshan‘s free DTH service, migrates from NSS-6 to Insat 4B, Dish TV will face no space crunch. “We can bunch all the DD channels into one transponder. We have also requested for more transponders on NSS-6 which will be available during the course of the year for us,” says Kumar. Dish TV currently offers 110 channels in addition to the 33 channels of DD Direct Plus which are also available to its consumers.

    So ahead of the skirmish, Chandra has strengthened his armoury. Sure enough, the war for DTH subscribers is about to begin and escalate.

  • DTH wins over digital CAS – Starcom study

    Will I get fewer eyeballs for my advertising? Do I need to increase my budget to reach the same number of people through Television? Is my media plan going to become inefficient?These are just a few of the questions that a lot of Marketing Managers are asking their media agencies in the face of frequent announcements and subsequent postponements of the much awaited CAS rollout in Mumbai, Delhi and Kolkata.

    While there has been a lot of debate on how CAS will affect the Cable industry or the Advertiser, no one thought of talking to the consumer

    To understand the impact that CAS will have on the TV viewing habits of consumers, Starcom Worldwide commissioned a consumer research in these 3 metros, Chennai having already implemented CAS in 2003. This is the second wave of this research with the first one having been done in the 4 metros in 2003 when CAS was announced for the first time. This research was done among decision makers from SEC A,B & C households and has thrown up quite a few insights that can help marketers in understanding consumer perceptions and responses to CAS. Starcom also followed up with an analysis of ORG retail offtake data to understand what volumes of various categories are likely to get affected by CAS. We present here some of the key findings of the CAS research and a synopsis of the sales analysis.

    • A majority of the Consumers not willing to opt for CAS immediately
      In spite of the strength and popularity of Cable TV, only 30% consumers are willing to opt for CAS within 3 months of launch with Mumbai leading the pack at 53%.
      DTH more popular than CAS
      DTH awareness is 70% compared to only 51% for CAS
    • We attribute this to the advertising done by Dish TV over the last few months since launch and is likely to go up further with the entry of other players in this segment.
    • Most want to buy the Set Top Box outright rather than rent it
      Banks, who may have thought about financing Cable Operators for Set Top might have to shelve their plans since a vast majority (70%) of consumers prefer to buy the STB outright.
    • Compared to 2003 consumers willing to pay a higher amount for the STB
      Good news for cable operators is that the amount people are willing to spend for the STB is 30% higher than the amount they were willing to pay in 2003.
      Consumers willing to pay to watch channels of their choice and the perception is that Cable cost will come down post the implementation of CAS
    • 60% of consumers believe that they will be able to watch only channels of their choice and are willing to pay for those rather than being charged for 100 channels out of which they watch only 20. They also believe that CAS will actually bring down their monthly subscription from an average of Rs 202 to RS 162 with the drop being highest in Mumbai while Kolkata is not impacted at all.

    Most people want to take a wait and watch approach and they will wait till there is enough indication that CAS is here to stay and they see enough of their peers converting in the first few weeks. Once the initial seeding takes place CAS penetration might start growing exponentially.

    Finally what is the implication of the CAS rollout on sales. The following chart demonstrates the methodology followed to arrive at the percentage of sales that are likely to get impacted.

    The affected volumes likely to be: Soaps targeted at the lower SECs : 1.1%
    Metro focused Ketchup : 6% Private Insurance Companies : 10%

    While most FMCG marketers can breathe easy, the ones who sell premium products/brands and are dependant on South Mumbai, South Delhi and the Municipal areas of Kolkata should have contingency plans in place But even for most of such marketers, the impact will not be more than 10% to 15%.

     

  • Roller coaster ride on Reality TV this June

    Roller coaster ride on Reality TV this June

    New Delhi, June 1, 2006: Throughout June a series of exciting and gripping shows will be premiered on Reality TV – a 24-hour entertainment channel that showcases programmes on real people with true stories. The interesting line-up for the month includes shows like The Great Shark Hunt, The Repossessors, Video Vigilantes, Cheaters Series 4, Daring Capers, Dr G Medical Examiner and Patient Files.

    Reality TV has been captivating audiences worldwide through an eclectic mix of real life programmes that portray myriad experiences, feats, idiosyncrasies, aspirations and sentiments. Each programme captures events as they actually happened.

    Announcing the new shows, Flecka Picardo, Marketing Manager of Reality TV – Asia, said, “It has been Reality TV’s conscious attempt to provide meaningful, real life entertainment filled programmes to our Indian viewers. We are confident that these new programmes will further strengthen the position of the channel in India and will be appreciated by our viewers.”

    The Great Shark Hunt documents the struggle for regulation of the shark meat industry in order to maintain the shark population. The programme promises an extensive new footage of sharks in their natural habitat.

    The Repossessors will take you to the front lines of the ongoing war between car lenders and delinquent debtors. Witness firsthand behind-the-scenes planning and successful execution of a wide variety of auto repossessions. Follow a variety of other repo men from different parts of the country as they prepare for and carry out their high stakes missions. Surveillance, hidden cameras, disguises, extensive planning, sheer instinct and sometimes partnering with Federal Marshals are all a part of the process of devising the perfect hit.

    Video Vigilantes is a show that showcases curtain twitching into the 21st Century. The camcorder revolution has taken Neighbourhood Watch to new extreme levels. From shopping kerb crawlers and drug dealers to nabbing knicker thieves and randy rozzers, video vigilantism is rife and it’s here to stay.

    Reality TV Channel continues with some of its popular programmes like Cheaters Series 4, Daring Capers, Dr G Medical Examiner and Patient Files in June.

    Cheaters, a popular part of the Reality TV schedule continues with new episodes in June, with presenter Joy Greco uncovering yet more infidelity. Cheaters follows Joey and his team of private investigators as they sneak their way into suspects’ houses and plant surveillance cameras to keep a beady eye on what the mice get up to when the cat’s away. Discretion and tact are never allowed to get in the way of a good catfight on this show, and Grand’s clients are always shown the steamy evidence against their naughtier halves before being led by the crew to confront them.

    Enticingly dangerous and devilishly clever: Daring Capers involves con artists to cat burglars, who tiptoe through the high-stakes world of the cunning crooks who mastermind the world’s most daring capers. Daring Capers reveals a rogue’s gallery of bank robbers, art thieves and debonair con artists who tried to steal their way to wealth through brilliant ploys and slick transactions.

    One of America’s most respected and charismatic forensic pathologists, Dr. Jan Garavaglia takes viewers on an unprecedented look behind-the scenes at the world of science, mystery and justice in Dr G: Medical Examiner. Each one-hour episode will include actual, in-depth examinations and autopsies, as well as the exploration and investigative filed work conducted by Dr. G and her team at the Orange-Osceola County Medical Examiner’s office in Florida. With extraordinary 24/7 access to the medical investigators, the morgue staff, Dr. G reveals the intimate, inner workings of an extraordinary forensic pathology lab. This gripping medical series is currently number-one in prime time for Discovery Health. Audiences can’t seem to get enough!

    Patient Files is a dramatic documentary series that explores the world of an emerging generation of medical pioneers and their patients. The stories are set in North America’s renowned Sunnybrook & Women’s College Hospital — one of the first hospitals in the world geared towards the research and treatment of women’s health. Each episode will feature patients as they make critical journeys from illness and treatment to recovery – all at the hands of courageous and compassionate medical teams dedicated to women’s medicine. It will portray the challenges patients and medical professionals face in receiving and delivering care differently. The series will draw audiences into the dramatic stories of women facing everything from cardiovascular disease to cervical cancer; from high-risk pregnancy to facial reconstruction and more.

    About Reality TV
    Reality TV is an entertainment channel that tells stories of real people in real life situations and events as they actually happened. Reality TV is successfully reaching all corners of the globe providing thrills, spills and unbeatable round-the-clock entertainment 365 days a year. Zone Vision’s Reality TV channel was first launched in Europe in late 1999 and has gained distribution in more than 120 territories in just four years. The most significant recent launches were in the UK, where the channel is now available to more than 8 million cable and satellite subscribers and consistently rates in the top 50 channels in a 300+ channel market, and in the US where the channel launched in December 2003 on the Dish Network satellite platform. Worldwide, Reality TV is now broadcast in 16 different languages and is available to over 35 million subscribers.

    Reality TV has a viewership of over 15 million Indian households across the country. The channel is distributed by Zee Turner and is also available on the DTH platform, Dish TV.

    About Zone Vision Networks
    Based in London, Zone Vision Networks is a leading international broadcaster and distributor of thematic television channels. The company was founded in 1991 and today has 18 offices and studios throughout Europe, the United States, Asia and Latin America.

    In addition to its operating group in London and international headquarters in Amsterdam, Zone Vision also has 18 regional offices. With over 250 specialist personnel, the company’s commitment to understanding and addressing the unique business needs of international broadcasting is unparalleled. Activities conducted by the Group include channel creation and management, channel representation and program sales.

    Zone Vision Networks owns and operates four thematic channels: Reality TV, Europa Europa, Romantica and Club, which are broadcast in over 125 countries in 18 languages, with over 135 million paying subscribers. ZVN are also equity affiliates in the studio blockbuster movie entertainment channel, Showtime (Turkey). In addition, Zone Vision has a successful channel representation business and currently represents over 30 international channels from such companies as Discovery, Viacom, Turner, Hallmark and Eurosport, managing over 60 million subscribers. Zone Vision also has a program distribution business and continues to acquire formats, series and specials from leading producers around the world.

    Zone Vision Networks is 87.5% owned by chellomedia, a division of UnitedGlobalCom, Inc. (“UGC”) (NASDAQ: UCOMA).
     
  • Star One plans revival in Mumbai

    Star One plans revival in Mumbai

    MUMBAI: After striking a truce with Mumbai’s cable operators and gaining prime band occupancy on their networks, Star One is making all efforts to regain lost ground.

    In order to refresh the memories of the Mumbai viewer, Star One has slotted a series of marathons and re-cap episodes of its key properties including The Great Indian Laughter Challenge Dwitiya (TGILCD), India Calling, D.O.N, Yeh Dil Chahe More and Kya Hoga Nimmo Ka.

    “Due to a disagreement with the cable trade in Mumbai, we were absent from the prime band. It crippled the channel’s growth in a big way. Now we have reached a settlement and are back on the prime band. Mumbai has always been an important market for the channel, delivering almost 30 per cent of the Hindi Speaking Market (HSM) ratings. Now we look forward to regaining our position,” states Star India EVP marketing Ajay Vidyasagar.

    Speaking on the impact that Mumbai’s absence from the picture made on the newly launched shows such as Kya Hoga… and Heart Beat, Vidyasagar says, “Those brands didn’t get an opportunity to connect with the Mumbai viewers.” On the revival of the channel, he counts on TGILCD to play a key role. “This property will be the lead vehicle for us to drive audiences in Mumbai back to the channel.”

    On the marketing and promotion front, the channel will be triggering a multimedia campaign covering print, radio, outdoors and internet. “We will begin with a print campaign tomorrow (1 June) leading up to the finals of TGILCD. This will be followed by a series of radio activities. Celebrities such as Hrithik Roshan and Diya Mirza will also come on board for promotions. We are planning extensive ground events to promote TGILCD,” says Vidyasagar.

    On the latest introduction Heart Beat not figuring in the recap exercise, Vidyasagar explains, “It is a bit tough to get into a wild bunch of repeats. We don’t want to offer an over dose of the strategy.”

    When queried on the fate of those upcoming shows including Sixer, which were put on hold post the cable disturbance, Vidyasagar said they were put on hold due to creative reasons. “There weren’t too many shows, which we put on hold. Yes, due to certain creative reasons, we have delayed certain shows. It will require certain time to recraft those shows,” he says.

    As already reported by Indiantelevision.com, Star One was pushed into the hyper band since January as Star India was asking for an increase in payout from cable TV operators. Star was blamed by the association of distributors and last mile operators in Mumbai for forcing the second bouquet comprising channels like Star One and Walt Disney on cable operators.

    Opposition was also against Tata Sky, in which Star is a 20 per cent joint venture partner, for approaching housing societies with the proposal of offering residents a central dish antenna through which it could connect individual installations and offer direct-to-home (DTH) service.