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MUMBAI: With 14 July 2003 , the date decided by the government for the final rollout of CAS (conditional access system) fast approaching, it was one of the most important issues discussed at ficci FRAMES 2003 . Is the cable industry upto the challenges of Set top boxes and addressability ? Will convergence occur? Were some of the issues that were delved into by the panel. |
| Set Discovery Pvt Ltd , president Shantonu Aditya traced the various steps that need to be taken in order to ensure proper and successful implementation of CAS . Highlighting the primary goals of CAS he said that CAS would improve general welfare of Indian consumer by increasing ability to choose affordable programming. It would also improve industry transparency: minimize under reporting, non-payment, arbitrary rate hikes. Along with the Government getting its rightful share of revenues , the broadcasters/MSOs too will get their rightful share of subscription revenue . Moreover , it would help maintain flexibility for technological advancements and upgrades.
Highlighting the Bill’s Main Provisions he said-
Throwing light on the opportunities associated with CAS he stated that , consumer would benefit as he would be able to ‘pick and choose’ channels of his choice and finally Content would get a chance to be KING . Similarly , each channel could demand its ‘true’ value in pricing to consumer . On reaching stable state penetration , revenues would go up for all constituents . Dwelling into the implementation of the plan and challenges associated with it he informed that – Government has constituted a Task force comprising of members from the Broadcasting , Cable and Consumer groups to oversee the progress on implementation .Also, the four metros have 6 million Cable homes . At least 3-4 million CA boxes need to be made available and interestingly, there are no domestic producers as yet . All boxes have to be imported . Also, production capacity of the manufacturers is a concern though all manufacturers claim readiness . MSOs / Operators need to place orders for STBs .Need for financing the boxes , till recovery is made from the consumer . Commenting on the technology he stated that – general consensus amongst MSOs was to prefer a Digital option . However , investments required in STBs and also up gradation of Headend equipment would need more investment by viewers as STBs would be expensive . But , he stated emphatically that it would offer better features and also less prone to piracy . On the issue of piracy and under declaration he commented that it was an issue of grave concern for all for all content providers and broadcasters. He stated that the action plan required was Other issues discussed by him include –
He summarized his discussion by saying that ” CAS if properly implemented would be a boon to all constituents . However , in the interim period we could expect considerable turmoil . Therefore , there is need for all constituents to work together closely to ensure successful implementation.” |
Tag: FRAMES 2003
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‘CAS if properly implemented would be a boon to all constituents’
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Industry told to get cracking on CAS
MUMBAI: It was a session that was keenly awaited and lived up to its billing as one of the highlights of FRAMES 2003. “Conditional Access Systems – a Mid-Term Review” confirmed two points. One is that despite all the humming and hawing from certain quarters, all the players are drawing up their own plans for life in a post-CAS rollout scenario. The other being that while there might be some addressability by mid-July, most players were looking at the year-end as providing a better picture of the contours of CAS
As far as the government’s take on a key issue exercising the industry, I&B joint secretary Rakesh Mohan more or less laid it out loud and clear, there had been enough talking on the issue. The government had done its bit by inviting as wide a level of opinion as was possible and it was after taking feedback from the industry that the six-month timeline had been arrived at, Mohan said.
Mohan also dismissed as unwarranted the contention that it was due to the government’s delay in clearly outlining the terms of reference for the basic tier that there was a delay happening as far as getting business plans off the ground were concerned. The government was only a facilitator in the process he stressed, while warning that it would be foolhardy on the part of the stakeholders in the business to try and stretch matters out any further.
Outside of that a very well represented group of panelists from all sections of the industry were in on the session chaired by indiantelevision.com CEO Anil Wanvari.
This is the gist of what came out of those discussions:
Shantonu Aditya, SET-Discovery Ltd, stressed that customers as well as industry people needed to be educated about the implications of CAS so as to make the transition smooth. ‘There is a need to create awareness among customers about their right to choose what they want to see and pay for that only, he said.Further emphasising on the rollout issue, Aditya said the availability of the boxes and cheap financing options available to the customer would make the transition faster. There are some issues related to the technology and quality, but it will be sorted out in phased manner. If CAS is implemented properly, it will definitely be a boon for the industry, as various issues which industry is facing acutely, will be to a great extent resolved. For that to happen successfully, all the constituents in the industry have to work closely, he urged. Talking on the post-CAS scenario, foresaw bundling of channels there also. Talking on the pricing issues he did not disclose any pricing strategy, but said that there would be differential pricing. All broadcasters would do the pricing depending on the demand in different territories, he said.
CASBAA CEO Simon Davies sounded very positive about the future of the industry in India. Pointing to the experience of other Asian countries like Japan, Thailand, Hong Kong and Singapore, he stated that India would ultimately get it right. He revealed that China, which is the largest pay TV market, is looking at India to work out how it would implement CAS.
The Delhi-based Cable Networks Association general secretary Rakesh Datta, speaking on behalf of last mile operators, said that consumer concerns were unfounded as India had the lowest cable subscription rates in the world. And pleading that it was the consumer who would lose out if as some were saying, CAS would make LMOs redundant, Datta said this needed top be resisted. LCOs represented the last line of defence against the vertically integrated monopolies (Zee and Star were what he was referring to).
Datta said that a fair price for the basic tier was Rs 180. According to Datta, whether the basic tier was priced at Rs 180 or even below Rs 100, there would be no difference to the consumer as the broadcasters would simply rework their pricing strategies accordingly.
Zee Group cable arm SitiCable’s boss Jawahar Goel clarified two points. There would be no question of any Zee bouquet channel turning FTA and secondly that he did not see DTH costing the consumer more than Rs 1,000 more than the upend cable package.
Hinduja TMT’s Ashok Mansukhani said his network was ready and waiting to roll out CAS. Mansukhani said that INCableNet would be ready to roll ahead of the 14 July deadline.
Hathway Cable’s K Jayaraman also alluded to what Aditya had said about the consumers needing to be educated about what CAS was all about.
Both Jayaraman and Mansukhani said some workable solutions would be devised for consumers who wished to migrate to other areas as regards what they were to do with the set top they had purchased.
Zee Turner CEO Sunil Khanna, meanwhile, said there would certainly be a cost attached to the STB that would have to be borne by the consumer and those that were advocating that it be underwritten by the industry were on a wrong track.
Khanna gave an impassioned plea that duties on STBs be reduced (as did Mansukhani earlier) and said this would actually lead to increased revenues for the government since the larger the number of boxes that the public purchased, there would be accruals in the form of huge increases in service, entertainment and income taxes.
Khanna said efforts needed to be made to make the transition as seamless as possible and for that all the stakeholders in the value chain, consumers, LMOs, MSOs, broadcasters and the regulatory authorities needed to be working in tandem rather than at cross purposes.
The session: Panel Discussion on Conditional Access System :A mid term review.
Moderator:Indiantelevision.com CEO Anil Wanvari
The speakers: I&B joint secretary Rakesh Mohan, SitiCable Network Ltd vice chairman Jawahar Goel, CASBAA CEO Simon Twiston Davies, Hinduja TMT Executive Vice President- Corporate Services Ashok Mansukhani, SET Discovery President Shantonu Aditya, Zee Turner CEO Sunil Khanna, Hathway Cable CEO K Jayaraman, Cable Network Association General Secretary Rakesh Dutta
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Live entertainment needs more government support
MUMBAI: Optimism and expectations of sustained growth of the live entertainment industry in India thrived at the session on “Live Entertainment and Shows: Engaging the audience” on the opening day of FRAMES 2003. The verdict was very clear – “It can only get better from what it is today!”
The common consensus during the course of discussions included points such as : (i) The government needs to set up the system of one window clearance for all kinds of licensing requirements; (ii) There is lacuna of infrastructure for huge live events; need for better stadiums (iii) Events have to be used innovatively to suit the marketers needs and create strong brand experiences.
The panelists on the session included Showtime Events India MD Michael Menezes, Fountainhead Events chairman Brian Tellis, Teamworks Films MD Sanjoy Roy, Publicis India Communications MD Bharat Dabholkar and the session was moderated by DNA Networks MD T Venkat Vardhan.
The session focused on the issues plaguing the event industry such as prohibitive entertainment taxes and other regulatory issues. It also advocated the need for building media brands through events.
While addressing the gathering, Showtime’s Menezes said: “The government should start off by stepping in and provide stimulus which could actually help grow the live entertainment industry. Taxes need to be brought down to a real level. We also need various incentives to develop and take Indian entertainment to international levels.
Menezes pointed out that the developed countries such as the US have more than 180 “live” events every year. “Live Entertainment is a huge revenue generator globally. For the marketer it makes sense to back events because entertainment can be a powerful tool,” he added.
Fountainhead’s Tellis reasoned: “More brands need to step out and create experiences. Basically, we may term them as events, but actually they are experiences. The experience of a brand is ultimately what the consumer looks for.. that is what compels a consumer to buy. In a cluttered and saturated market one thing that a brand needs to do is ‘behave differently’.”
Tellis said that in marketing terms an event is basically a “brand bubble”. “For event companies to survive and the market to grow, what needs to be done is working the other way round. We should create an event for a certain brand after understanding its communication needs rather than the conventional way of creating an event and then looking for brands to back them. Ultimately the basic purpose for doing an event is to use the event to felicitate strong emotional relations between the consumer and brand,” added Tellis.
Teamworks’ Roy who focused on developing the festivals culture in India said: “Internationally, festivals (whether they are film festivals or others) symbolise the place, the town or country they are held in.” He cited the example of the Edinburgh festival which rakes in millions of pounds annually. “A mixture of tourism, culture, heritage should be used to develop the festival culture in India,” added Roy.
Dabholkar, who is also a well-known theatre personality and has directed scores of successful plays in the past spoke on the state of theatre in India. Speaking in his inimitable style, Dabholkar had the audience in splits as he regaled the crowds with a couple of humourous anecdotes.
Dabholkar stressed on the need to “know your target group” before creating any kind of entertainment product.
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Government ‘will’ needed to curb piracy; enforce IPR
MUMBAI: The problem of piracy – be it in film or music – is growing day by day. One of the sessions at FRAMES 2003 “IPR & Legal: giving the owner his due” held during the latter half of the first day (14 March), dealt with the importance of intellectual property in a digital age and what needs to be done to protect it.
The government should develop the will and proactively tackle, curb piracy! This was the consensus of the panelists which included Motion Picture Association International VP Mike Ellis; Amarchand Mangaldas managing partner Pallavi Shroff; Federation of Film Producers’ Association (FIAPF) director general Valerie Lepine-Karnik and Pravin Anand.
While addressing the gathering, Motion Picture Association International VP Mike Ellis said, “Moviemaking is an inherently risky business. Contrary to popular belief that moviemaking (for our members) is always profitable, in actuality, only one in ten films ever retrieves its investment from domestic exhibition. In fact, four out of ten movies never recoup the original investment.”
Ellis pointed out that the industry lost US $3.5 billion last year and added that the Indian audio visual market lost $75 million. He also mentioned that 87 per cent of DVD s seized came from Asia. He said that the piracy level in India is at 60 per cent. This is a marginal increase from the 55 per cent a couple of years ago.
Blasting the pirates, Ellis further said: “These pirates, literally, are nothing but organised crime syndicates. They are opportunists who look for easy money and also risk friendly. Consider the example of a submerged tank which was used to smuggle 70,000 VCDs from one port to another.”
Other countries also face similar problems. Malaysia has a major problem with syndicates rapidly replicating. Government officials receive repeated death threats. “As far as tackling the menace is concerned, containment is the number one priority so that it doesn’t spill beyond all control. In countries where we have government support and effective enforcement like Hong Kong, we are starting to see progress in containing the problem,” Ellis said.
The second priority is reduction, which requires a multifaceted approach that requires an effective prosecution and expedient judicial process. Ellis however pointed out that this method is completely lacking in India. “It takes 13 years to get a result. There is need for education in India that everyone loses when piracy flourishes,” Ellis added.
Ellis pointed out that a DVD reward targeting source scheme had been launched a few days ago. He stressed that the Indian copyright law needed to be amended.
Another point that several other speakers made was that the punishment should be a strong deterrent. Ellis gave the example of the break point theory that was developed in Hong Kong whereby 50 raids were conducted everyday for several years in the city. In 1997 there were 1000 pirate shops. Today there are around 100.
In fact the project was so successful that the number of daily raids conducted has dropped to 35. Calculations were made as to how many times to raid a pirate and this would depend on factors such as the size of his business, value of his rental.
“The aim is to increase the pirates cost of doing the business to the level where the legitimate product can break in. After all if you don’t protect what you own you own nothing,” Ellis said.
Amarchand Mangaldas managing partner Pallavi Shroff gave some stark facts and figures about how the pirates are responsible for the rot setting in at the core of the entertainment industry. She provided the following statistics: “The film industry lost Rs 10 billion last year while the music business suffered to the tune of Rs 7 billion. In 1997, 947 cases were registered for music. In 2002, the number dropped to 578. Of these only 191 cases ended in conviction.”
Shroff also mentioned that Napster started the problem of online piracy with Peer to Peer file transfers. It was found guilty of both contribution infringement as well as vicarious infringement. The last one should be introduced in our country, she advocated.
Shroff further went on to add that KAZAA and Morpheus have created an even larger problem through their system of total anarchy. This means that a system is created that is so complicated that one cannot control it. It was pointed out that KAZAA was let off the hook on grounds that it did not know the illegal activities being conducted.
Shroff offered a solution by saying that a piracy fund should to be set up. She urged FICCI to think along those lines. Also technologists should work on anti piracy software although it was also pointed out by another speaker that as soon as this happens another software is developed to break the code.
Shroff stated that the industry should take the initiative on its own to persistently track down internet infringers and make sure they are prosecuted.
Another speaker Pravin Anand pointed out that through KAZAA and Morpheus 400,000 movies are downloaded a day. “Today, it takes 40 minutes but we are not far way from the time when it will take 40 seconds,” he warned.
One of the remedies Anand suggested was for statutory damages to be introduced in India. In the US, the amount is between US$ 50 – US$ 30,000 per infringement. If it is found to be willful then the amount can go up to US $150,000.
Another solution lies in the three layered technological sandwich. The first layer is a law the second layer is a lock like CDROM keys and the third layer is law, which says that breaking the lock is a punishable offense. One issue Anand mentioned which was still in the air was that Hollywood wanted software makers to include anti piracy technology on a mandatory basis. However Microsoft and Intel refused as the cost of software would increase
” Also, I feel that it is imperative that a copyright infringement be made non-bailable. The burden of proof must be shifted onto the accused. The judicial process should be swift as it was found through research that the biggest fear a pirate has is going to jail. Unfortunately, this fear exists largely in the mind due to the negligible conviction rate,” Anand added.
Anand drew attention to the fact that Ten Sports raised a big hue and cry in June 2002 when the signals for the soccer World Cup were stolen by unscrupulous operators. The Delhi High Court passed the John Doe order. This enabled the police the enter the premises of an operator where they were suspicious of wrong doing. A recording of the telecast was made as proof.
Federation of Film Producers’ Association (FIAPF) director general Valerie Lepine-Karnik said that public authorities in most countries were lackadaisical in tackling the problem. It is not high on their agenda. “Legislations like Trade related aspects of intellectual property (Trips) agreement are not enforced with the hoped for efficiency degree. There are different types of digital piracy. You can have the flea market in cyberspace. These are hard good sales on the net. Then there is downloading, streaming,. Now DVD circumvention tools are available which is DeCSS. This enables one to duplicate the disc,” Lepine-Karnik added.
“Another problem being faced is that there are rapid strides being made in the area of compression technology,” Lepine-Karnik added. One solution she gave was for companies to offer Internet business solutions. This refers to legitimate services which are already being provided by the likes of sightsound, ifilm, movielink.
In terms of laws for Europe Lepine-Karnik mentioned that the European Copyright Directive had been adopted in June 2002. There is also a proposal for an Enforcement European Directive to strengthen the fight against piracy!
Dollar rupee exchange rate: US$1 = Rs 47.66 -
I believe that every genre can work, says producer director Anand Mahendroo
We continue the countdown to FRAMES 2003 with an interview with producer director Anand Mahendroo, managing director of Advance Entertainment Network Ltd. At the convention, he will speak on ‘Television programming : Getting the right mix’.
The last year has seen a large number of big budget programmes being launched by all channels. Also, a lot of film personalites are set to launch their TV careers… Are the investments in these stars justified and will it reap returns for the channels?
Let me begin by saying that for any kind of television show, film or song to work, it is very important that it touches the audience. It has to move and motivate the audience! It has to be aesthetically qualitative…I believe that every genre can work… it is not genres or a big budget or the star that work, but what you do with all of them! As for big stars, if the format demands a big star, then yes, the investment in a star is justified. Like if you do Macbeth on TV, or The Far Pavilions … with an epic feel, then yes, a big star is justified… but in a daily soap, no … it is not justified.
Of course, big stars have their own draw, there is no denying that, but that alone will not guarantee a hit show. The stars should connect, touch the hearts of the audiences. The show should have certain humane qualities, certain aspirational qualities.
Like in Kaun Banega Crorpeati, the show was already successful internationally, the format was successful, the set was great but it was also what the show did with Amitabh Bachchan’s aura, his image, the warmth of his voice and his personality that got the viewers hooked.
If you are adding value to the star through innovation, identifying your audiences’ needs and adapting accordingly, then yes… the investments in stars are justified. I think what MAX has done with Mandira Bedi for the World Cup is great! It has very cleverly targeted the female viewers in the country by using a woman and her ignorance of the game in a unique manner. And I believe that many more women are watching cricket.
I can end by saying that the channels have to know the audiences they are targeting and fine tune their programming accordingly. Don’t try and please everybody.
What is the next stage of evolution in TV programming ?
Understanding the viewers’ aspirations and needs… identifying and adapting programming to that is the next stage of evolution. Genres are not important. What you do with the genre is!Like for example, let us once again look at KBC. Quiz shows were always targeted at school kids and the educated audiences. It needed somebody to say that it needs to be broad based…to understand that even a house wife and a ‘bania’ (grocer) would be interested in watching a quiz show, if it connects to him/her, to make a KBC. It had a range of exciting elements… drama, suspense, and rewards! And very cleverly, they started off the first episode with a housewife in a sari on the hot seat, answering simple questions to make a lot of real money. Instantly, housewives and everybody all over India connected with it.
In the future, the successful mixture is again what the channels will keep on trying… But ultimately, all genres will co exist.
What is going to drive viewership in the coming years?
Once again, innovation and quality will drive viewership… We cannot wish away the soaps…we cannot wish away the sitcoms…. The Law of Diminishing Returns applies to television programming as well.
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Indian cable TV industry is extremely dynamic, says Indiantelevision.com CEO
We continue the countdown to FRAMES 2003 with an interview with Indiantelevision.com founder and CEO Anil Wanvari. At the convention, he will moderate entire session on ‘Conditional Access System: A mid term review’.
Is the cable industry upto the challenges of Set Top Boxes and addresability?
The Indian cable TV industry is extremely dynamic, proactive, technologically savvy and has evolved to attain a high degree of service orientation even without the so-called sophistication that some of the international cable TV systems have.It has grown to the status of more than 48 million cable TV homes connected, and more passed, primarily through the private initiative of individuals who chose to become cable TV operators. They did not need foreign capital, nor did they need governmental aid or guidance.
In fact, cable TV operators are hemmed in by a very high rate of taxation in the shape of entertainment tax which various state governments levy on them. And yet they have managed to increase the bouquet of offerings they provide to viewers at a fraction of the cost that other viewers internationally would be paying in their countries. Rs 200-350 per month in cable TV charges is almost a fraction of what a bouquet of channels would cost in the US or even south-east Asia. Someday, 100 channels in India will end up costing cable TV viewers in the vicinity of Rs 1,700 a month.
Cable TV operators along with the MSOs have the werewithal to take the industry into the conditional access regime. 14 July is the deadline drawn up by the government to roll out CAS. Going by the cable TV operators track record, it may well meet it. But the other elements in the CAS chain – broadcasters, subscription management system software suppliers, set top box manufacturers, government etc – will also have to work in tandem with them for the rollout to happen on schedule.
Will convergence ever occur?
Convergence has already started to occur. What may take time to realise is Internet driven convergence. Telecom driven convergence is already upon us. Take Reliance Infocomm: you can watch promos of Sony Entertainment shows on the CDMA handsets, you can watch Aaj Tak news too. The picture quality needs improvement, but the point is we are watching television on a telephone handset.How will CAS redifine the role of the broadcaster, the MSO and the last mile operator ?
This will depend on the type of CAS regime that will come into play in the Indian market. Will it be HITS or will it be individual cable operator driven CAS? Both are likely to co-exist. The entire trade will be grappling with the evolution of CAS at least for another two to three years. Possibly even more.A greater degree of service orientation will come in amongst all the elements in the CAS chain, the entire trade will have to be nimble footed, many new commercial streams of revenue will become available. Both opportunities and threats are going to crop up. These will have to be dealt with, judiciously.
How do fora such as FRAMES help in developing / professionalising the business of entertainment in India ?
Frames works like a honey fount attracting many who go to make the many parts that constitute the entertainment business in India. Film, TV, Music, Animation, Theme Parks, gaming – executives and promoters operating in these areas come together and discuss issues around a business which is being projected as one of the fastest growing areas of even developed economies. The process of discussion, networking and information dissemination will but naturally have a gradual cumulative effect on helping the entertainment industry evolve further. -
People are watching films but in their drawing rooms, not in the cinema halls, says Mitra
Indiantelevision.com’s series of interviews with the speakers of next week’s FRAMES 2003 convention continues with Sa re ga ma Managing Director Abhik Mitra. Mitra will participate in the forum on The Business of Film Making – Agony and Ecstasy.
The business of film-making, distribution and exhibition has gained in volume and value. The process of corporatisation has already begun and this has improved the financing norms for the sector. There is some optimism despite the fact that the industry has just been through its worst in 2002. The industry is plagued by issues such as lack of creative acumen, piracy and other deterrents. How does one explain this contradiction? What is the true picture?
The real reason for optimism is that there is serious consumption in taking place India… some serious films viewing. And consumption can only grow in India in the years to come, there are no two ways about it. I believe that the entertainment industry will grow faster than any other industry in the next 5 years.At the same time, there are a lot of concerns. Firstly piracy. If you don’t have a strong domestic market then there is no sense just looking at exports. You have to be able to generate substantial revenues within the country itself.
Secondly, the actual costs of making a film has been artificially inflated, creative costs, actors costs, music costs everything needs to be re-looked at. The cost of talent has to come down significantly, for the movie business to be feasible.
When we say that a film has not worked, it does not mean that nobody has seen the film. It’s just that the revenues generated through ticket sales and other sources have not matched to the actual cost of making the film. There have been many instances of films which have cost much much more than what they should have cost.
Thirdly, creative scale There are so few people making making films, it has a cascading effect on the value chain. We need more people in the business. But then again, people will venture only if there is money in it.
You were part of Ficci Frames last year. What kind of changes have you seen in the business of film-making, in terms of professionalism, financing, transparency, distribution, promotions since then?
Oh, it has got better by the day. Ficci has played a lead role; it has provided a platform for the corporate to understand the modus operandi of the film fraternity and vice versa. There is a healthy interaction taking place.Do you believe that Indian cinema has the potential to emulate the recent success of the Chinese and other South Asian films? What kind of cinema can make that impact?
Absolutely! May be even more. The simple reason being that the film makers here think in English and understand the western world better than their Chinese or South Asian counterparts.Which export markets (apart from the US and the UK) should Indian film makers target?
I think Malaysia, Indonesia, Fiji, Australia, and may be Korea and Japan for certain films. But for a successful crossover, you need to look at other parameters and not just the language. It has to be a crossover in every sense.Do you think India has a standing in the global scenario notwithstanding the recent successes?
Of course.The year 2002 is perceived to be the worst year for the Indian film industry? What are the causes for this dismal status?
As mentioned earlier, piracy is the main problem. People are watching films but in their drawing rooms, not in the cinema hallsIs the government receptive to what the film industry needs?
At least the government is showing the interest, but it should help in fighting piracy. The piracy levels have to be brought down. Also the government has to bring down the entertainment taxes so that the common man starts going back to the theaters.Is the film business geared up to face the competition from television other entertainment channels and avenues?
I don’t really see TV as a serious competition. Like the rest of the world, films and TV co-exist exists happily in India. Of course the rampant piracy on cable TV is a serious problem, but I personally believe that if there is a well made film and an equally well made Kyunki Saas bhi kaabhi bahu thi people will watch both.What role does research play in judging consumer tastes? Should film makers and their creative teams take cognizance of the same?
Undoubtedly! But the Indian film makers have not done enough as yet.Do distributors play a role in ensuring the success of the films? Should they be involved in the initial stages?
Yes, they should. They should be part of discussions, they should know what is likely to work, the elements needed, the right product mix.What about the plethora of multiplexes that are coming up? Will they encourage the audiences to go and watch films? What kind of benefits should be given to multiplexes?
On the multiplexes front, a lot of benefits have already been given. But ticket prices are exorbitant! They have to come down for the common man to take his family to multiplexes. The entire costing and pricing of tickets at multiplexes has to be seriously re-looked at. There has to be a carrot approach in the pricing of tickets.Should film makers gear up in terms of innovative promotions and publicity? Should they employ marketing and communication consultants?
Yes they should. A lot of film makers recently have started using marketing/communication consultants. Kaante and Lagaan, are recent examples of well marketed movies. Even Raaz after its release, was well marketed.Are filmmakers exploiting the additional revenue streams such as in-film placements, DVD sales, offshore rights, Internet rights, merchandising?
Every day is a learning day. Indian film makers are gradually exploiting the additional revenue streams.Are the industry players able to source finance for their ventures? Why and why not? What more needs to be done?
We need more banks and financial institutions apart from IDBI to start financing movies and it has to done fast. Plus, the flexibility of interest rates needs to be worked on.
The lesser known film makers are charged more than well known film makers, it does not make sense. At the debt finance level, people do not understand the real business issues of film making. Everybody understands the glamour part of it but the real issues are sadly not looked at. -
Now’s the time for planning to bring big value into media plans, says Mindshare Fulcrum MD Vikram Sakhuja
We continue the countdown to FRAMES 2003 with an interview with Mindshare Fulcrum MD Vikram Sakhuja. At the convention, he will speak on ‘Advertising : How to make the rupee go further’.
With massive media fragmentation having set in, how can advertisers maximise their media buy?
Now’s the time for planning to bring big value into Media Plans. By clever targeting, one can beat fragmentation. Let me give you a big tip. By targeting heavy and moderate viewers of TV and leaving out light viewers, one can fight fragmentation very effectively.There’s a ton of saving in that for advertisers. The other way to combat fragmentation is being served on a platter by the government with CAS. Come July 14, if the government has its way, there will be three segments of TV viewers: non C&S (terrestrial), FTA and CAS. The fragmentation of the kind seen today will reduce for a big chunk of C&S.
What are the innovations one can expect in the future?
It would be pretty ordinary of me to predict the next great innovation. By definition, there is a creative leap involved in Innovations- one that doesn’t follow a time series. Having said that, I see too much media innovation these days around an attempt to break clutter via intrusive print positions / sizes or the nth cricket creepy crawler on screen.The way I would like to see innovation going is the good old fashioned method of starting with a brand communication and then finding a new way to use the channel/ medium to say that message as it intersects with the consumer.
What’s ahead as interactivity and multi platform opportunities seek significant roles?
I am not taking a forward position on Interactivity / Multi-Platform opportunities just as yet. Why do I say that? For interactivity to happen with critical mass, the vision would be to have enough fully wired houses (and eventually fully wireless houses) that have a common gateway that links up to everything from communication and entertainment to refrigerators and heating.For adoption to happen, I see three big issues: For technology to be adopted it has to be cheap, easy to understand / use and fast. The associate technologies also play a role. To that end, I see increasing adoption of individual platforms, but I don’t just as yet see a multi-platform opportunity happening fast.
The second issue is consumer based. This requires high disposable incomes plus a propensity to invest in technology related communication / entertainment. I see both being barriers to mass adoption. Third are the broadcast economics where I believe that there is a high entry cost especially in hardware, but also content. We are talking targeted homes here, and from a broadcaster’s standpoint, I see the investment being offset only by a long term pay back, and that too if the content is successfully syndicated.
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Quotient of entertainment being re-defined, believes Lulla
Indiantelevision.com’s series of interviews with the speakers of next week’s FRAMES 2003 convention continues with SET’s Executive VP Sunil Lulla briefly holding forth on the state of content and what we can expect from it.
Lulla will be part of the discussion panel which will debate on ‘Television Programming: Getting the right mix’.
The last year has seen a large number of big budget programmes being launched by all channels. Also, a lot of big film personalities are set to launch their TV careers. Are the investments in these stars justified? Will it reap returns for the channels?
Understanding viewers’ needs and the ability to tap into them is more important to the style, buzz value and pizzazz that big scale productions and stars may bring. A big personality is no sure shot to success. The TV industry has spawned many a talent, which is no less a household name and in equal footing too.Hence the ability to create the magic out of consumer understanding; the ability to weave magic around the art of story telling and the ability to break a format – will drive success better.
The lure of cable & satellite’s wide reach and growing popularity is an invitation for larger investment. It’s a natural extension for the movie industry. However, the rigour of the TV industry is quite different. Those who adapt successfully, will see the fruits of patience bear out.
What is the next stage of evolution in TV programming?
We should expect to see segmentation of General Entertainment needs. Reality – in the positive way of life can grow. Integration to other forms of communication and entertainment will grow. On the other hand – getting people to grip the edge of the seat, shed a tear, rip a rib with laughter will not change.We are seeing the way in which sports is becoming more entertaining; with the advent of so many news channels, we should see news becoming more entertaining. Hence, the category of general entertainment will see the quotient of entertainment being re-defined.
Hence, the extension of entertainment into reality and into other parts of our life, should be the next step.
What is going to drive viewership in the coming years?
There are no simple answers. Viewers are going to fragment and their tastes are going to evolve. Staying on the edge of understanding their needs will drive viewership. The extension of entertainment into their lives via telecom and reality – will drive viewership. India will not change dramatically, as large parts of India are yet to be exposed to cable and satellite TV as yet. The upscale modern part of India has a different set of needs and the sub urban parts of India may lag. On the whole, therefore, the ability to segment and differentiate will be a driving force. The quality of entertainment continues to change; the essence does not!