Tag: Hindi

  • Multiplexes take Rs 450 million hit

    Multiplexes have taken a Rs 450 million knock since the producers began to stop supply of their fresh slate of movies from 4 April.

    The pinch is particularly felt hard by the top six plex operators who account for three-fourth of the 850 screens across the country, according to information gathered by Indiantelevision.com.

    In this research article, Indiantelevision.com estimates the revenue loss to climb to Rs 850-900 million if the strike continues for a month.

    Analysis

    Let us examine the impact in revenue caused due to different occupancy rates due to the movie release embargo. The big six namely Big Cinemas, PVR, Inox, Cinemax, Fame Cinemas and Fun Cinemas themselves constitute about three- fourth of the total number of screens. While there are more than 11,000 single-screen cinemas across the country, the multiplexes contribute to well over 50 per cent of the revenue generated.

    The occupancy rates are expected to be significantly different in the multiplexes with major Hindi films not being released. According to Fun Cinemas COO Vishal Kapur, screens are currently operating at around 15 per cent occupancy.

    The table below shows the number of seats, revenue per-show and revenue per-day generated by all multiplex screens in the country at the given occupancy rates. The occupancy rates have been considered between 10 and 60 per cent across all screens in the country.

    Note that in the above table, the average number of seats per screen in a multiplex is taken to be 230 and the total number of screens has been taken at 850. The average price of a movie ticket has been considered to be a conservative Rs 125. Additional losses would include loss in sales in food and beverages at the counters which is estimated to be around Rs 35 per-seat. The total loss, thus, incurred per-seat per-show would amount to Rs 160.

    A 10 per cent occupancy rate causes a difference of around Rs 15 million per day across all the 850 screens in the country. During normal times, screens may operate between 15 to 50 per cent occupancy depending on the movies showing at the time, says marketing head of Inox Harshavardhan Gangurde.

    Thus if we take a figure of 35 per cent to represent the occupancy rates of multiplex screens at any time of the year, in the current scenario there could well be a difference of 20 per cent in average occupancy rates.

    As is evident from the table, the multiplexes earn Rs 30 million less per day from ticket sales and food counters. Per week, this amounts to a loss of Rs 210 million in revenue, taking all multiplex screens into account. This figure does not include additional sources of revenue from vehicle parking and other such ancillary sources. However, the IPL may well have tempered the losses as it has the potential to lower the occupancy rates in the multiplexes.

    The big six hit the most

    The top six multiplexes took the biggest hit in revenue losses, as is evident from the table below.

    IPL impact on movies

    Many believe that the IPL is one of the main reasons for bringing a halt to the release of Hindi movies. The IPL took the country by storm in 2008 and is believed to have eaten away significantly into box-office collections. Industry observers believe that this is the right time to hold movies from releasing in multiplexes as it would in any case lead to significant losses. Movies released during the IPL in 2008 (from 18 April to 1 June) include Sirf, Tashan, Anamika, Mr. White Mr. Black, Pranali, Jimmy, Bhootnath, Jannat, Don Muthuswami, Dhoom Dhadaka and Ghatothkach. Clearly, most movies released were not big-budget movies. The only significant movies released during this time were Tashan, Jannat and Bhootnath. Jannat was the only movie which did reasonably well while the others had nothing much to write about.

    This year, during the IPL season, producers have decided not to jump into the fray at all. The IPL has provided the perfect time and opportunity to broker a deal with multiplex owners.

     

    Conclusion

    There could be a 20 per cent loss in occupancy rates if the United Producers and Distributors Forum stays put in not releasing new movies till a settlement is reached. From our calculations, this difference in occupancy rates would amount to revenue losses of Rs 850-900 million per month in multiplexes. This figure is much lesser than Rs 1-1.5 billion per month as is being claimed by some industry sources.

    The IPL has provided the perfect time for producers and distributors to settle the issue with multiplex owners. This issue had been simmering for a while ever since the release of Fanaa by Yash Raj movies way back in 2006. A sensible resolution of this issue hopefully would be reached during this time which would serve the best interests of either party for a good period of time.

  • A Question of Balance

    The public have an insatiable curiosity to know everything. Except what is worth knowing. Journalism, conscious of this, and having tradesman-like habits, supplies their demands.

    – Oscar Wilde (1854 – 1900)

     

    The great playwright passed away over a hundred years back, but the essence of the statement is being much debated in India. With reason.

     

    Over the last few months, a section of the news channels have been showcasing content that one would’ve never quite expected to see on an offering that’s supposed to air news and current affairs.

    Purists are aghast, but many in the business see nothing wrong.

     

    With peculiar Indian curiosity to know about the minutest detail of the lives of the others, the appetite and consumption of news is on its growling pounce. News channels – at least a section of them – satiate the curiosity which derives voyeuristic pleasure from gossip and rumours.

     

    Because it is this cacophony of subjects of coverage that offers something for everyone, that is driving up not just the ratings, but also revenues for Hindi news channels. And while there are those who wonder when the Hindi news engine will start to lose its steam, most are in agreement that it is not going to be any time soon.

     

    The statistics though are telling. The advertising revenue of the new segment in the fiscal year 2006-07 is Rs 9.8 billion. In FY 08 it has touched Rs 12 billion and expected to grow to Rs 14.5 billion by the fiscal end.

     

    According to industry research body Tam, in the January-June 2008 period, 54.2 per cent of the content on Hindi news channels was not news. And among English channels, the number is 38.4. This evidently seemed to help the ad volume. As per Tam Adex, ad volume growth in Hindi and English news channels which stood at 47,449 seconds in 2006 jumped to 62,173 in 2007. In the six-months period from January to June, it has already clocked 36,398 seconds.

     

     

    The share of ad volumes of news channels in the overall TV advertising pie has been growing steadily. It went up 16 per cent in 2007 from 15 per cent in 2006. Says MCCS CEO Ashok Ventaramani, “The advertising revenue of the market has been growing with a CAGR of 18 per cent since the last five years.”

     

    There is no doubt that advertising is the fuel that drives the satellite boom and India’s burgeoning news channels trade.

     

    The consumption of news too has increased. From 6.9 per cent in 2006, the Hindi news genre has surged to 7.4 per cent to end-2007 (Tam, c&s, HSM, 15+). In the first half of 2008, it is well-placed at 7 per cent as compared to 32 per cent covered by the Hindi entertainment channels (GECs).

    Rank Top Advertisers in 2007
    1 Hindustan Unilever Ltd
    2 Bharti Airtel Ltd
    3 Tata Teleservices
    4 Paras Pharmaceuticals Ltd
    5 Tata Motors Ltd
    6 Homeshop18
    7 Reliance Communications Ltd
    8 Bharat Sanchar Nigam Ltd
    9 Coca Cola India Ltd
    10 Emami Limited
    Source:Tam

    With the genre of the TV news consumption getting expanded, the advertising trend has also changed in a short span of two years. In 2006, the top advertisers rooster which was ruled by categories like car/jeep, corporate (brand image), social advertisements, suiting, hosiery and pan masala or gutkha no longer feature in it . The top categories in 2007 and 2008 have been replaced by categories like cellular services, internet and SMS services.
     

     

    In 2008, direct-to-home (DTH) service and real estate are the unique categories that feature in the top advertisers. Advertisers like Biswanath Hosiery which topped the list in 2006 have been replaced by cellular services like Reliance Communication, Vodafane Essar in 2007 and 2008. In the first half of 2008, the top five advertisers slots are filled up by cellular services.

    Rank Top Advertisers in 2008 (H1)
    1 Reliance Communications Ltd
    2 Vodafone Essar Ltd
    3 Hindustan Unilever Ltd
    4 Bharti Airtel Ltd
    5 Bharat Sanchar Nigam Ltd
    6 Reckitt Benckiser (India) Ltd
    7 British Broadcasting Corporation
    8 Life Insurance Corporation of India
    9 Tata Teleservices
    10 Idea Cellular Ltd
    Source:Tam

    The entry of a new set of viewers is attributed as the reason for newer categories of advertisers mostly targeting mostly to Sec A and Sec B. They have higher purchasing power, making them more attractive clients for advertisers. As per Tam, 51 per cent of news channels viewers are from 35+ years, 28 per cent comes from 15-24 years and the rest 22 per cent are from 25-34 years.

     

     

    What’s on the menu?

     

    To a large extent, revenue flows determine how content is produced, packaged and put on airwaves by news channels. This leads to a permanent tension between the journalistic and commercial imperatives of media entities and affects the very nature of news programming.

     

    According to Tam, from January to June in 2008, Hindi news channel have covered 45.8 per cent of news bulletin followed by reviews and reports (15.8 per cent), religious and devotional stories (9.9 per cent), cricket match (9.2), action and thriller (4.9 per cent), comedies (4.1 per cent), film based magazines (2.6 per cent).

    English news channels have covered 61.6 per cent news and bulletins, reviews and reports (8 per cent), film based magazines (7 per cent), cricket matches (6.8 per cent) and comedies (1 per cent).

     

    In various Hindi news channels, cricket has been featured differently in Ye Cricket Kuch Kehta Hain (Aaj Tak), Nach Le Cricket (Aaj Tak), Disco Cricket (Star News) while Khali has seen a variety of presentations like Khali Ki Khalbali, Khali Karega Khatma and Khali Sae Bali. Gods blessed the news channels in shows like Zinda Hain Rawan, Sabko Mil Gaye Ram and Kaise Dekhe Ram.

     

    Star News claims that in the week ending 1 March, 41 per cent of the content in its channel was news bulletin while the rest was religious, crime and cricket-centric stories. Religious stories were 8 per cent while sports reviews, comedies, business shows, crime and thrillers were 7 per cent each. Cricket-based shows grabbed 10 per cent while film shows managed 1 per cent of the entire content pie.

     

    Times Now editor-in-chief Arnab Goswami scoffs at the suggestion that viewers go away if channel don’t go strong on soft stories. He cites the example of the Khali episode. “Times Now did not devout a single second to Khali, yet we did not lose out on viewers and market share.”

     

     

    News channels are realising this fast enough. Recently, Zee Group chairman Subhash Chandra announced that his channel is bringing news back in its original form . With the new positioning of ‘Zara Socheye’, Zee News promises to shun stories on godmen and superstitions.

     

    Says Zee News CEO Barun Das, “It is high time someone realise that a news channel is meant for only news. He stresses on the fact that after the repackaging of Zee News, he has managed to make it “non-entertaining” yet “non-boring”.

     

     

     

     

    How channels stack up?

     

    In the Hindi news genre, from January to June 2008 six month period, long-time leader Aaj Tak still rules the roost with an average relative market share of 18.98 (Tam, c&s, HSM, 15 +) per cent, followed by Star News with 17.94 per cent. In the third spot is India TV in terms of average relative market share (14.43 per cent).

     

    However, a closer look on month-on-month index puts India TV on the forefront in the month of May and in June shares the top spot with Aaj Tak (19 per cent each). Aaj Tak has been almost consistent with 19 per cent market share in the six month period. Its sister concern channel Tez has averaged 5.55 per cent.

     

    India TV opened the year with 14 per cent to gradually move upto 19 per cent. Star News which was so far on the channel is meant for only news. He stresses on the fact that after the repackaging of Zee News, he has managed to make i t “non-entertaining” yet “non-boring”.

     

     

    The six-month average of IBN7 is 8.92 per cent while NDTV India has an average of 8.11 per cent. Samay has 4.91 per cent from January to June. Newly launched channel News24 has an average of 4.42 per cent, Live India average 3.24 per cent while public broadcaster Doordarshan managed to pull 3.14 per cent.

     

     

    The English news segment still continues with a three-way tussle. Six-month average places CNN-IBN with 29.09 per cent (Tam, c&s, All India, 15+) , NDTV 24X7 with 28.91 per cent while Times Now is at 28.58 per cent. Headlines Today stands at 13.34 per cent.

     

     

    Blame it on distribution?

    Advertising is central to privately owned news businesses across the world and in India Indian TV channels derive roughly 70 per cent of their revenues from advertising and about 30 per cent from subscriptions.

     

    Venkataramani says, “Depending upon the band preferences of the channel, the distribution cost of a national channel can range anything between Rs 200-800 million.”

     

    A large proportion of subscription revenue is consumed by cable operators and since broadcasters do not control their own distribution they can not pinpoint the exact number of viewers. Ratings therefore become vital as the currency of success.

     

    A senior executive at a news channel who request anonymity vehemently opposes the Tam rating system. He argues that content is mainly driven by the Tam ratings. Explaining further, he says that most of the time, the editorial is forced to do stories which categorically caters to the places or states where Tam peoplemeters are placed.

     

    The ratings, however do not represent all the states with a limited number of peoplementer which are absent in states like Bihar, North East and Jammu and Kashmir. This factor alone has tremendous impact on the content, programme packaging and imperative of selling airtime advertisers.

     

    A man hit by a bull in the streets of Delhi will get more coverage and footage than five men killed in Darjeeling or Assam. The reason is only that peoplemeters are located in Delhi and not in the hill zones.

     

    For a Delhiwallah, the neighbourhood report naturally gets more hits in the peoplemeter. “The content is thus decided by the geographical placement of the peoplemeter to get spikes in the ratings.

     

    Hence, some parts of India (where the peoplemeter is absent) and some stories are left untouched or given very little importance,” says the executive.

     

    Over and above this constraint, with most news channels being free-to-air and hence not making any monies from subscriptions, their dependence on advertising and hence ratings is total.

     

    A frequent complaint of news broadcasters is the heavy distribution cost.Broadcasters say more than half of the outlay goes in paying for reach, which cuts other costs like human resources. That is why a reporter cannot be placed in the interiors as it has its own costs. A virtual studio ultimately becomes the easy answer.

     

    Says IBN7 managing editor Ashutosh, “Distribution costs have gone up tremendously because of the clutter of channels. This is in fact affects quality as a lot of money from a fixed budget goes into distribution, and channels compromise on quality. If only we could be patient, a lot of difference could come in.”

     

    “The single biggest problem in the industry today is distribution. It is getting more and more competitive, as more and more channels come into business. The cost is enormous and growing wildly, and it is hurting every broadcaster from the biggest to the smallest, free-to-air (FTA) or pay.

     

    “In this battle, multi-system operator (MSO) and local cable operator (LCO) point fingers at each other, but either way it is costing the broadcaster. And money that could and should have been spent on content is getting spent on distribution instead, and it weakens the industry,” said a the broadcasting executive.

     

    India is the only country in the world with more than 80 24-hour TV channels broadcasting programmes on news and current affairs, barely a quarter-century after the world‘s first 24-hour TV news channel (CNN or Cable News Network) came up in 1980.

     

    The challenge for the news broadcasters in 2008 would be to turn the tables – lower the carriage fees and churn out revenue from subscription. Till the dependence on advertising revenue hangs on, there will be more breaking stories, exclusive stories, Amitabh Bachchan going to Shirdi, Siddhivinayak Temple et al, Salman Khan’s doings and live do or die, battle between godmen and rationalists.

    The story first appeared in Indiantelevision.com‘s The NT Magazine. The PDF of the magazine can be accessed at http://www.ntawards.tv/y2k8/nt_mag.pdf.

  • Hindi movie channels battle for kids eyeballs

    Hindi movie channels are finding a new way to get into the viewing of kids. They are creating specific slots that will air movies for the 4-14-year-olds, a move that will put them up against the kids channels.

    Filmy, the movie channel from Sahara‘s stable, has launched a dedicated slot for kids. Zee Cinema has followed suit with Dopahar Zee Cinema Par.

    In April, Filmy created the ‘Junior Filmy‘ Sunday block from 10 am to 2 pm to fill it with two back-to-back movies. This came on the back of an experiment carried out in July last year with the screening of The Jungle Book Series in the same time band.

    “We tasted success for two months. Our next logical step was to create a dedicated kids slot on the movie channel that generally doesn‘t segment audiences according to age groups,” says Filmy business head Shailesh Kapoor.

    A month later, it was Zee Cinema which branded a special kids daily slot from 19 May. The Dopahar Zee Cinema Par slot at 12:30 pm has Darsheel Safary of Taare Zameen Par fame as the brand ambassador.

    Star Gold has also hopped on the bandwagon, starting a three-week long festival Baccha Party from 7 April. The dedicated kids slot has screenings of such movies like The Mummy Returns, Bhago Bhoot, Karamati Coat, Prahlad, Penguins Ki Prem Kahani and Haatim.

    In the month of June, Star Gold will also be airing kids movies on Sundays in the morning time band Weekend Matinee. The films include Antariksh, Jurrasic Park, Chain Kulli Ki Main Kulli and Krishna- Aayo Natkhat Nandalal.

    Kids are an interesting segment to tap, says Kapoor. “Kids form potential viewership of our channel. Puting up a kids slot, with special children films on it, is a conscious attempt to increase the viewership and provide variety.”

    Creating characters to promote the slot

    Filmy and Zee Cinema are running the extra mile to promote the slot.

    Filmy, for instance, has introduced Five Juniors as presenters – Pink Rose, Miss B, Gadbad Gobbar, Jaggu Jasoos and Mr Octopus. These juniors pop up from time to time, offering children a different viewing experience throughout the movie.

    “The Five Juniors are animated characters, graphics and pop ups which keep occurring during the movies. This is specially customised to keep the kid viewers invovle in the film in an engaging manner. Apart from this, a contest question is asked during every break of the movie,” says Kapoor.

    As part of the engagement game, Zee Cinema has introduced Din Mein Taare contest. Kids have to count the stars which appear on the screen while the movie is shown. Five winners from across the country will get a chance to meet Darsheel safary, after the kids carnival is over.

    “Meeting Darsheel is a big thing for kids. Darsheel is a kid next door and yet a hero for them. Therefore we have roped him as ambassador for this slot. The idea is to keep the viewer engaged in conversation with the channel using these contests as interactive tools,” says Zee Cinema deputy vice president marketing Akash Chawla.

    New brands walk in

    Advertisers are flocking in great numbers. And new categories like real estate brands are extending their support. Increasing influence of kids in the buying decisions has, perhaps, contributed to this new enthusiasm from advertisers.

    “Apart from the traditional kids‘ brands like Parle and Britannia, we have also got FMCG and real estate brands which are putting in money for the kids slot,” says Kapoor.

    Lifebuoy is the presenting partner of Zee Cinema‘s Dopahar Zee Cinema Par slot. Whirlpool is also one of the sponsors.

    Another innovative advertising trend in this season of vacation is that kids channels are advertising in these movie channels to expand their visibility. Nick, for instance, is advertising on Filmy during the Junior Filmy slot.

    ACQUISITION

    Banking high on the kids slot, Filmy has acquired a lot of the titles from Walt Disney and Sony pictures. The entire series of Karate Kids, Air Bud Series, Spy mate and Duke are being dubbed into Hindi and telecast.

    With limited movies in the market and increasing demand, the acquisition prices have also gone high. Taking the syndication route is becoming a popular practice. Filmy has inked barter deal with Pogo for Chhota Chetan and Abra Ka Dabra.

    “Programming cost has definitely gone up. When you are pumping in so much of money, there should be equal returns. Syndication and barter has emerged as new business models which we still need to get further pushed,” says Kapoor.

    Filmy is looking at creating Junior Filmy as a permanent slot. “We are targetting kids between 12-14 years. We are giving them enough time to sample the channel and get habituated. Four years from now, they can form the core TG of our channel. So we are looking at long term benefits,” elaborates Kapoor.

    Zee Cinema, however, is using the kids slot as a summer two-month push to attract them during vacation time.

    For a channel that is sitting on a huge library, Zee Cinema has made no new purchases. It is utilising the films that it already has in its library – Fun2sh, Pyaare Mohan, Ishq, Tarzan The Wonder Car and Makdee. Apart from these, the channel shows Englsih films like George of the Jungle and Return to the 36th chamber of Chaolin which are dubbed in Hindi.

    “Our library is big enough and the titles that we have chosen have consistently done well for the channel. So we decided to put them all together in a slot and run a festival,” points out Chawla.

    On the other hand Filmy has long term plans and wants to establish the slot as a complete kids destination.

    “We are looking at it for long term. We still need to give this slot at least 5-6 months to consolidate. In the meantime, we are promoting it on-air and will go on-ground slowly. We want to establish this slot,” says Kapoor.

  • Hindi GECs take a beating from IPL

    The Indian Premier League onslaught is beginning to hurt Hindi general entertainment channels.  With an average TVR of 5 (Tam data for week ended 26 April, All India, C&S 4 +), the heat is now on for the GECs to retain its prime time viewership.

    Star Plus and Sony have lost a chunk of their audiences, while Zee TV has made up with a focus on afternoon programming. NDTV Imagine is looking more battered at this stage while 9X has marched ahead to occupy the third spot.

    Sample this: Kyunki … which was enjoying a TVR of 5.3 in week 15 (week ended 12 April) fell to 4.18 TRP on week ended 26 April (when IPL was on for the whole week).

    Kahani… slipped from 4.36 TVR (week 15) to below 3 in week 17. And when Star Plus launched its high voltage Shah Rukh Khan show Kya Aap Paanchvi Pass Se Tez Hain? on 25 April, it fetched a TVR 4.61 which could, perhaps, have soared higher.

    Star‘s Bidaai, one of the top five shows in the Hindi GEC, has lost considerable TVRs to fall on 4.41 (week 17) from a high of 5.5 (week 15).

    Zee‘s Saath Phere fell from 4.76 (week 15) to 3.96 (week 17) while Kasam Se touched 3.3 (week 17) from 3.92 (week 15).

    Zee TV business head Tarun Mehra says, “All the GECs have lost viewers to the IPL matches. However, all the channels were prepared for a general beating on the score card”.

    Market leader Star Plus with 345 GRPs in week 15, fell to 297 GRPs in week 16. In week 17, Star Plus managed 300 GRPs (even after the launch of Panchvi…).

    Star Plus VP marketing and communication Prem Kamath says, “Definitely IPL has had its effect on GECs. However, the space is very unpredictable. So you might see a different story next week. A week or two‘s data does not give the full picture.”

    Despite IPL matches, Zee TV has grown in terms of GRPs. From 212 GRPs in week 15, it has increased to 218 GRPs (week 16). And in week 17, it finished with a high of 220 GRPs, standing second to Star Plus.

    HSM GRPs
    Channel WK 15 Wk 16 Wk 17
    Star Plus 345 297 300
    Zee TV 212 218 220
    9X 77 72 80
    NDTV Imagine 88 92 79
    Sony Entertainment TV 84 79 68
    Sahara One 68 63 63
    Star One 66 54 60
    DD1 40 34 34
    Star Utsav 36 35 32
    SAB 35 32 31
    Zee Next 10 9 10
    Source: TAM Peoplemeter System TG: CS 4+

    So how has Zee TV managed to weather the storm? Says Mehra, “No doubt IPL has eaten GECs viewers in the prime time slot. But instead of concentrating on the prime time, we are focusing on the afternoon programming and movies.”

    To combat IPL match ratings, Zee TV has pumped up its weekends with a special attention on the afternoon programming. During the week ended 26 April, Zee TV has shown the movie Vivaah which fetched a TVR of 3.29. It has also launched a TV series Vivaah at 7 pm and 11 pm (week days), besides an hour-long episode of Nagiin… and a special episode of Banoo Main Tere Dulhann.

    Zee TV is also planning to strengthen its line up. The channel will launch a new crime series Hadsaa on weekends. Besides it is pumping up the weekends with special events like Zee Cine Awards and Idea Rocks.

    A few rungs down the line, NDTV Imagine (79 GRPs) lost its third spot to 9X with 80 GRPs.

    While sibling channel Max has hogged all the limelight with the telecast of the IPL matches, Sony has plunged from 84 GRPs in week 15 to only 68 GRPs in week 17.

    “We have got affected marginally but as a network we have grown phenomenally,” says Sony Entertainment television creative head Sanjay Upadhyay.

    Sony, in fact, is trying to use the IPL hype to promote its new show launches. Reality shows like Waar Pariwaar, Naye Roop Nayi Zindagi and Yeh Shaam Mastaani were unveiled during the IPL time.

    Explains Upadhyay, “We are building up these shows around IPL. One should also not forget that IPL is a short term event and after it is over we expect our shows to pick up. Apart from that a lot of cross channel promotions are happening on both Max and Sony.”

    Soon after IPL gets over, Sony will place its big ticket reality show Dus Ka Dum with Salman Khan as host at prime time to mop up audiences that have deserted the channel.

    A similar tale follows the other GECs. From 68 GRPs (week 15), Sahara One fell to 63 GRPs (week17) while Star One dipped from 66 GRPs (week 15) to 60 GRPs (week17).

    A micro look into the IPL ratings on weekdays

    The IPL is holding firm in terms of viewership even on weekdays.

    Tam data C&S 4+ shows that matches played from Sunday 20 April to Saturday 26 April have managed an average TVR of 5.

    In fact the match between Chennai Super Kings and Mumbai Indians which took place on 23 April and went down to the wire nearly touched a TVR of 6.

    The contest between Chennai Super Kings and Kolkata Knight Riders on 26 April fetched the lowest ratings during the week with a TVR of 3.6.

    Not surprisingly the crucial match between Mumbai and Bangalore on 20 April touched a TVR of 5.9. The match between Rajasthan Royals and Deccan Chargers that took place on Thursday had a TVR of 5.5.

    In Gujarat where IPL has fared the best, the matches averaged a TVR of 7.14 while in Andhra Pradesh where IPL has not done well the matches managed a TVR of 2.77.

    Tam also did an analysis on the visibility that the teams got through their TV promos in the month before the IPL kicked off.

    From 18 March to 17 April the Kolkata Knight Riders had 46 per cent of promo time and got 41 per cent of GRPs. The Mumbai Indians had 33 per cent of promo time but their GRP contribution was only 19 per cent.

    The Decan Chargers, on the other hand, had only 10 per cent of promo time but GRPs delivered were 22 per cent.

    Women continue to be interested in big cricket but their share has come down slightly. During the 2003 World Cup women contributed 41 per cent of viewership. This came down to 38 per cent for last year‘s World Cup. For IPL, women contribute 36 per cent of viewership.

    The audience age profile has been consistent over the years. For the 2003 World Cup, the 35+ age group contributed 39 per cent to viewership. For the IPL it has contributed 38 per cent.

    Growth, however, has come for the 15-24-year-olds. Their share in viewership has grown from 21 per cent for the 2003 World Cup to 27 per cent for the IPL. Observers attribute this to the fast-paced nature of T20.

    Tam data also shows that city loyalty has already set in. During the first match, Kolkata viewers increased their interest in the match right till the end of the contest despite knowing in the early stages that their team was going to win.

    Bangalore, on the other hand, started losing interest as the match proceeded towards the finish line. The other four metros, more or less, maintained the same amount of interest in the match right till the end.

    Tam also explains that matches that feature top quality sides will always draw the most viewership. Fans will watch their side more when they play a top side.

  • Channels line up battle for afternoon viewers

    The Hindi General Entertainment Channel (GEC) space is getting replete with strategies, counter strategies, experiments and innovations.

    While newbie NDTV Imagine has grabbed the number three position withRamayan as its content driver, Zee TV has topped the prime-time slot with shows like Banoo Main Teri Dulhann and Mayka.

    The battle for supremacy in prime time is being fought hard by Star Plus and Zee. The other GECs are also investing heavily to grab viewership in this time band as it attracts a major chunk of the revenues.

    However, the story does not just end at the prime time. Since a major chunk of the total GRPs comes from prime time, every channel wants to leverage it. But the fact remains that a Hindi GEC with the core target of active female viewers has to focus not only on the prime time but also on the afternoon slot, which is the second most sought-after in terms of revenues.

    While at the moment only Star Plus, Zee TV and 9X are the players that have an afternoon slot with fresh programmes, others in the field have either repeats of their prime-time shows or movies. But they are also eyeing this space.

    To understand the dynamics, let’s take a look at the afternoon slots of these channels.

      1:00 pm – 1:30 pm 1:30 pm – 2:00 pm 2:00 pm – 2:30 pm 2:30 pm – 3:00 pm
    Star Kumkum Bhabhi Karam Apna Apna Grahasti
    Zee Saath Saath Rakhi Meri Doli Tere Angana

    Star Plus has its top performing shows which have been traditionally doing well for it. The slot begins with Kumkum at 1 pm followed by Bhabhi andKaram Apna Apna at 1:30 pm and 2:00 pm, respectively. All the three shows have delivered well for the channel. The third show is Grihasthi, which was launched last month, replacing Sarrthi at 2:30.

    Zee presently has Sath Sath at 1 pm, Rakhi at 1:30 pm andMeri Doli Tere Angana at 2 pm.

    STRATEGY

    It was Star who first dominated the afternoon turf with fresh programmes. Zee had, more or less, fixed its eyes on the lucrative prime-time band.

    Until May 2007, afternoons on Zee TV meant a repeat of prime-time shows. But having stabilised the prime-time band, Zee launched the attack to grab the afternoon viewers.

     

    The first to fill this space was Meri Doli Tere Anganaon at 2 pm. This was then followed by the launch ofRakhi at 1:30 pm in August.

    Zee’s strategy was to first hit the slot where Star Plus was relatively weak and from 2 pm to move to the 1 pm band.

    “We have already consolidated the prime time and now our focus is on the afternoon slot,” says Zee Entertainment Enterprises Ltd (Zeel) president of revenue Joy Chakraborthy.

    This obviously came as a strategy to increase the GRPs for the channel.

    On Star Plus’ front, the “K” shows from Balaji Telefilms have been the ruling ragas on the channel. Interestingly, of the present lot of the K shows, one is on the afternoon band ( Karam Apna Apna) while Kumkumfrom Bag Films has played a long innings and still going strong. All these shows are running for long and have consistently delivered well for the channel.

    The consistency and loyalty of viewers reflect well in the TRPs these shows deliver. How will Zee break the cult?

    “We are gradually building over the slot with shows. Moreover, one should not forget that Star Plus has been running these shows for two to three years and the loyalty has been built already. Gradually, we will also secure the afternoon slot with shows targeted towards women,” says Chakraborthy.

    It seems the hide-and-seek game will persist for some more time.

    FEASIBILITY

    Launching a slot is not an easy job because revenues play an important role. Every slot should be workable.

    With huge monies involved, channels need to be more cautious while launching shows. The afternoon band also is relatively low paying but there is potential to up the rates.

    “The CPRP is also lower and because of which the afternoon inventory is choc-a-block and that makes an investment worth returns,” says Chakraborthy.

    “The female viewership is higher in the afternoon slot because of which there are 65 per cent to 70 per cent of FMCG brands advertising in the afternoon slot,” he adds.

     

    However, the trend remains that the prime time, which constitutes the major chunk of the GRPs, has to be consolidated first and then comes the daily afternoon slot.

    If that is the case, Zee launching an afternoon slot makes sense. But the middle rung channels which are still toddling behind have to still give it a thought.

    “The investments that go into producing the shows are huge but the RoIs have to be equally huge. At this time, we want to establish our prime time. However, afternoon is something that needs to be addressed on our channel and we will focus on it very soon,” says Sahara One programming head Kalyan Sundaram.

    “With this kind of investment, a lot of research needs to be done and everything has to be worked out,” adds Sundaram.

      12:00 pm- 12:30 pm 12:30 pm – 1:00pm 1:00 pm – 1:30 pm 1:30 pm – 2:00 pm
    9x Rasme Rasoi Dahhej Neelajanaa Veeranwali

     

    Industry observers say that only after the prime time is strengthened, the channel should intrude the afternoon slot. Traditionally that has been the case.

    Kumkum was a low-budget show, and later on went on to become the major driver of the channel.

    “I was involved in the mounting process of Kumkum which was the show that gave insight of using afternoon slot for building GRPs,” says Sony Entertainment Television (SET) creative head Sanjay Upadhyay.

    The other channels repeat the shows that are aired in the prime time.

    “Repeats drive the prime-time slot. It is our extended offering to viewers who could not catch the shows at prime time. We don’t want to get scattered everywhere. As the industry says, first strengthen the prime time and then focus on afternoon. By showing repeats, we are trying to build up our prime time and as far as movies are concerned, they have their own strengths,” adds Upadhyay.

    9X, which is a new entrant in the genre, launched its afternoon slot in January 2008 with Rasm-E-Rasoi at 12:00 noon. 12:30 pm has a repeat of a prime-time show Daheej. Then comes Neelanjana at 1 pm and Veeranwaliat 1:30 pm – both of which are fresh shows.

    9X’s afternoon slot begins at 12 noon which is one hour ahead of Star Plus and Zee’s slot.

    “A strong daily afternoon band will only add variety to the offerings of a GEC, which have to be rich and varied because it’s a general entertainment channel. We have two original daily dramas and a cookery show. We wanted to offer our key audiences the best of programming not just in prime time but in the afternoons too,” says INX Media founder-CEO Indrani Mukerjea.

    Star and Zee have fresh programming in the afternon slot, but they have an established prime time. Considering that, isn’t it too early for 9X to launch the afternoon slot with fresh programmes?

    “These programming decisions are in keeping with our business plan, and we have a long-term perspective. We believe that the homemaker female audiences need good, original programming that informs and entertains in the afternoons. Hence, we are offering cookery shows and two original daily dramas for them,” adds Mukerjea.

  • Multiplex owners demand uniform entertainment tax

     
    Multiplex owners demand uniform entertainment tax
     

    MUMBAI: The multiplex owners in India are looking forward to uniformity of entertainment tax in the union budget 2008-09. The other things they are insisting on are decrease in service tax on lease rentals.

    “The rates of entertainment tax are amongst the highest in the world. Most states levy an entertainment tax ranging from 30 to 50 per cent of ticket sales. The average rate of entertainment tax across the world is around 10 per cent of ticket sales,” said E City Ventures (Fun Republic) MD Atul Goel.

    Multiplex owners are awaiting abatement of 67 per cent for service tax on rent so that effective tax rate reduces to 4 per cent.

    They feel as the high rate of entertainment tax still exists, the domestic cinema exhibition industry also pays sales tax on food and beverage. Multiplex owners say that they are forced to pay multiple taxes which include property tax on real estate that it occupies, service tax on advertising revenues, show tax on the number of shows held and income tax on net profits.

    Cinemax India CFO Jitendra Mehta says, “We await abatement of 67 per cent for service tax on rent so that effective tax rate reduces to 4 per cent.”

    Echoing Mehta, Goel adds that the service tax introduced on lease rentals for cinema exhibitions will virtually kill this industry, and, in turn, the entire film industry. He thinks that the entertainment tax structure needs to be re-looked to benefit the overall cinema infrastructure.

    Multiplex owners are demanding a one indirect tax regime. They insist that indirect taxation of goods and services should be integrated into the Goods and Service Tax (GST). Besides entertainment tax on cinema tickets should be integrated into GST.

  • GEC 2 to woo migrating viewers

    The declining importance of the conventional Hindi general entertainment channel (GEC) on Indian television has thrown up considerable challenges for all broadcasters.Confronting the gradual fall of this reigning genre as drifting audiences move towards niche specific offerings, most channels are looking to aggregate viewers one way or another. In this attempt, most broadcasters are looking to pull back migrating audiences by dissecting the GEC space into sub-genres and giving rise to the second GEC.

    This phenomenon has given rise to a host of niche entertainment offerings through the support structure of a ‘flanking‘ channel. Here‘s a look at how industry experts perceive this growing trend within the dynamic television space of which GEC occupies 27-28 per cent of the total ad revenue pie.

    The Scrum

    The leading Hindi entertainment player in the country Star Plus was among the first to enter the fray with the launch of sister channel Star One in 2004. Sony was also looking to tread the same path with its acquisition of Sri Adhikari Brothers‘ Sab TV in 2005.

    Action will start again two years later as Zee TV will unveil its sibling Zee Next, while Sahara is also poised to introduce a sister entertainment channel Firangi.

    Sab TV business head Anooj Kapoor admits that a ‘fatigue‘ factor has set in to the GEC space as the main programming formula across frontline GECs is on the Saas-bahu theme.

    Thus, entertainment networks are looking at a second entertainment channel to provide different genres of drama.

    While some players are more willing to play around with new concepts, others prefer to play it safe with serials. Sab TV, for instance, is putting up a varied fare of youth focussed shows. Sahara‘s Firangi is also willing to give International dubbed a shot.

    Star One, on the other hand, is betting on soaps as the main driver. “Soaps will always be the staple of this country and Star One will continue to focus in that direction. While there would be add-ons and new shows, soaps will be the main driver,” says Star India president content and new media Ajay Vidyasagar.

    From a media agency‘s perspective, GECs are adding second channels as an attempt to prevent audience migration. Says Mindshare MD R. Gowthaman, “Audiences are getting segmented into distinct types and channels are catering to their specific needs. Meanwhile, GEC is losing its reach potential and broadcasters are using the route of a flanking channel to avoid losing their share to the competitor.”

    Experimentation platform & Low risk factor

    Rather than a mere add-on to the channel bouquet, the concept of a flanking channel serves a larger purpose of ‘experimentation at a lower risk,‘ which would not otherwise be possible on a flagship GEC. In order to service a segmented audience, the conventional GEC has been forced to slice up and dish out modifications of the same genre.

    Starcom MD India – West and South Manish Porwal said, “The trend over the last three to four years in the GEC space indicates that the genre has been de-growing by 10 per cent, besides GEC programmes are also losing their importance. Networks have sensed the challenge and are creating niche platforms of special sub-genres within GEC to allow for experimentation.”

    According to media planners, this is a cyclic trend seen across mature markets. It allows networks to provide viewers with more choices within a genre.

    The model also allows networks to take risks since the second channel is not a key revenue driver. Agrees Kapoor, “A second entertainment channel provides a platform for innovation and experimentation without the fear of greatly affecting business revenues of the network. It allows you to take risks, which can‘t otherwise be taken on the flagship channel.”

    Hit & miss approach

    In this scramble to appease audiences, channels are attempting to fathom where their viewers are navigating to.

    Star One was conceived as an upscale channel for metro audiences. Now it is attempting to broadbase the channel and is looking to tap the top 20 cities across the country.

    “We do not want to be known as an urban niche channel. Star One is eyeing the Hindi heartland as a differentiated mass entertainment brand,” says Star India VP Prem Kamath.

    Ahead of several entertainment channel launches, Star One is infusing a host of fresh shows to combat the growing number of players entering the game.

    Kamath, however, does not agree that the channel‘s attempt to expand its presence beyond the top metros is a response to mounting competition.

    “The launch of new shows is a natural process to rekindle the content flow. That is what we are doing on Star One,” Kamath says.

    Sony also has repositioned Sab with the march of time. When it acquired Sab, it wanted the ‘male skewed comedy‘ channel to strengthen the network‘s position in the Hindi heartland. It soon dropped the ‘Only smiles, no tears baggage‘ to give way to light humour.

    But sensing opportunity in the youth segment, Sab in 2007 went through a brand surgery and the channel was repositioned as an urban aspirational brand in the 15-35 age bracket.

    ZeeNext will be pursuing still younger audiences (15-25 year olds) and has the tagline ‘Dil Wahi, Dhadkan Nayi‘. While the genre will largely remain the same as Zee TV, the upcoming channel is looking to tap into a more progressive segment of its female dominated audience base with more contemporary themes.

    “We would like to offer our loyal audiences shows that give a younger treatment to the traditional stories. Zee Next will carry the attributes if being young, fresh and contemporary channel,” said Zee TV business head and Zee Group director Punit Goenka.

    Sahara, on the other hand, is looking to adopt a differentiated approach to entertainment with its offering. Firangi business head Rajeev Chakrabarti prefers to label it as a World television channel in Hindi rather than a GEC per se.

    Chakrabarti says that the content would be spread across a variety of genres, one of them being GEC. He, too, agrees with Kapoor‘s stance that fatigue has cast a shadow in the overall GEC space. Firangi‘s attempt, thus, is to go beyond that and expose viewers to contemporary relevant content, he adds.

    However, some media analysts say the drive is not just to get in a flanking channel. Says Lodestar Universal CEO Shashi Sinha, “This trend need not be thought of as a flanking channel concept. Broadcasters are realizing that audiences differ in their mindsets as some groups are more progressive than others.”

    Spot the drifters?

    Although it is difficult to pin point which segment of the audience is abandoning GEC in favour of other channels, it is evident that the ‘youth‘ seem dissatisfied.

    According to Sinha, the youth segment represents a fleeting audience base that are fickle and disillusioned. But the upside to this is that India is increasingly becoming a younger country, posing a massive opportunity for channels.

    The attempt to win over these viewers is steeply rising among all television players even though youth television habits are often categorized as ‘snacking consumption.‘

    During the repositioning this year, Sab came out with the “Buddha Tera Baap” campaign. Kapoor states, “Research suggests that 60 per cent of the population is below 35 years and for the network it made logical business sense to design programming for that age group. Besides, Sony Entertainment Television (SET) already offers full family viewing.”

    It works well as a network offering and as India progresses towards a two TV household it is advantageous to have differentiated entertainment channels for housewives and younger viewers, he adds.

    Challenges Ahead

    With each network looking to consolidate its position in the GEC space and garner the most eyeballs, the space is likely to give way to more clutter.

    However, Sinha believes that there is enough room for more players and foresees no major cannibalization. “In fact, new segments will be created and the GEC market will grow.”

  • Zee TV edges closer to Star Plus

    The Indian Hindi general entertainment space is heating up and could possibly be on the brink of a huge change as Subhash Chandra‘s flagship channel Zee TV inches closer to Star Plus, Rupert Murdoch‘s key revenue driver in Asia.

    The difference in GRPs between the two channels now stands at a mere 48, according to Tam‘s latest data (C&S 4+, HSM, Week 29 – 15 to 21 July).

    With Zee TV at 303.4 GRPs as against Star Plus‘ 351.6 GRPs, this is the closest the channel has come to the leader since it was dethroned more than six years ago. While it may be premature to say that Zee will regain its top status, it is surely threatening to do so.

     

    Top 3 General Entertainment Channels
    GRPs
    Star Plus
    351.6
    Zee TV
    303.4
    Sony Entertainment TV
    137.5
    ( Tam Peoplemeter System, C&S 4+, HSM, Week 29, 15-21 July)

    There has been nothing sudden in Zee TV‘s rise in the reckonings. Rather, it has been a gradual maneuvering of its way up the ladder. In the first week of July, the gap between Star Plus and Zee TV was 60, as Star stood 323.5 and Zee at 263 (Tam C&S 4+, HSM, Week 26, 24 – 30 June).

    Star took over the reigns from Zee in 2000 with its landmark show Kaun Banega Crorepati with Amitabh Bachchan as host, a monumental year for Murdoch‘s fortunes in the country. Since then, Star has dominated the Hindi GEC terrain.

    Star‘s decline has been due to a confluence of several factors – from a saturation of its top saas-bahu sagas Kyunki… and Kahaani, to niche channels eating into the share of the genre. “Star‘s dipping numbers are due to the gradual decline of its top programmes along with Zee‘s steady growth,” states an industry observer.

    Queried about the threat posed by Zee TV, a senior Star official says, “We would not like to comment on a week‘s ratings. We will only have cause to worry if this trend continues for two to three weeks. At the moment our weekly primetime shows continue to be strong and are at the top of the ratings charts.”

    Zee, of course does not want to jump the gun in uncorking the bubbly just yet. Zee TV business head and Zeel director Punit Goenka tells Indiantelevision.com that the channel‘s gradual climb is what they have been working hard on for some time. Goenka also credits the rise and rise of his channel with the success that its long running musical show Sa Re Ga Ma Pa Challenge 2007 has been enjoying. Says Goenka, “Sa Re Ga Ma Pa Challenge has indeed given us a big boost over the last two and a half months.”

    Adds Zeel CEO Pradeep Guha, “This has been built up over a period of time and has been contributed to by each and every show.”

    A point of note is that even as the competition intensifies between the two top players, a whole bunch of newcomers are warming up in the wings. These include Viacom 18, the Sameer Nair-helmed NDTV Imagine, Indrani Mukherjee‘s 9X and Anuradha Prasad‘s Bag Films, among others. What are the implications that this could have on the television entertainment space?

    According to Starcom MD India – West and South Manish Porwal, “The general entertainment genre itself is ‘de-growing‘. In fact, over the last three to four years the space has lost ten per cent every year. This, coupled with the novelty value of new players will give a double blow to the space.”

    “This phenomena will favour the challenger. It will be a two- horse race for a while,” Porwal opines. The second runner up in the GEC space is Sony which is lagging far behind at a GRP of 135.6.

    However, Mindshare MD R. Gowthaman points to the diminishing dominance of the GEC cluster. “The capability of the GEC space as a whole to deliver reach is on the decline. The price that the space commands is primarily based on its reach. However, we are witnessing a scenario in which the GEC is losing its reach potential, and this is a major concern from a marketer‘s perspective.”

    “While the reality is that Zee is catching up with Star, we will soon see a level playing field. These numbers, are only the initial trends of audience movement towards different genres. Within about four to five months this will gain critical mass and the configuration of television clusters will start changing,” Gowthaman avers.

    Currently, Hindi GEC occupies the lion‘s share of the television pie advertising at 28-30 per cent in HSM markets, says Porwal. But with news channels in particular gaining in importance, followed by movies, the share is only going to tilt further away. It is also important to note that sports, kids and youth channels are gaining significance in the Indian TV space.

    TME president Anupriya Acharya shares her perspective on the “dynamic” quality of the television segment. “We have been closely following the turnaround that Zee TV is witnessing by closing its gap with Star Plus. But at an overall level, it is important to note that other niche channels are also eating away from its pie especially news channels and the growth of the second GECs.”

    That, of course, is a larger issue that the GEC genre as a whole will have to grapple with sooner rather than later. At the moment, all eyes are on whether the challenger will really be able to dislodge the queen bee channel from her thrown.

  • Cinema activation gets active, brands cash-in

    A giggling gang of girls queues up at the popcorn counter at a plush multiplex, discussing a high-profile celebrity split.Cash in hand, they also have their eyes glued to the LCD screen above the counter which is looping a TVC of the show ‘Popcorn News‘ on Zoom. While the girls decide on caramel, salted and spicy flavours for popcorn, the TVC announces a new flavour of popcorn – ‘Bollywood Masala,‘ a show which gives the latest gossip on the glamour circuit.

    Call it smart positioning or an imaginative touchpoint with the target audiences, brands today are using the multiplex foyer for a array of activities. From kiosks to LCD displays, promotional leaflets to opinion polls, cine advertisers are slowly creating communication points in line with a film‘s release.

    The Trend

    The growth in the number of multiplexes across the urban landscape, coupled with hoards of consumers flocking to these destinations for their weekend dose of entertainment gives brands the advantage of interacting with their target audiences. This trend is gradually taking shape across the country and media experts are bullish about its prospects.

    “Brands are trying to coincide their promotional activities with the release of films just to cash in on the footfalls. It is typically centred around the weekend, when the occupancy levels are higher at the multiplexes,” says P9 Integrated CEO Navin Shah.

    Says DGM cinema activation Abhijeet Thakar, who created multiplex activation during the recent Yashraj Films release Jhoom Barabar Jhoom, “People spend an entire day at malls and cineplexes on weekends, since it‘s a great place to hang-out. Under cinema activation, direct interaction is possible between the brand and the consumer through a touch-and-feel experience. A lot of merchandise can also be given away in the process to our consumers.”

    ICI Paints had promoted its Velvet touch range of paints during the release of big-budget releases like Kabhi Alvida Na Kehna and Salaam-e-Ishq wherein along with distributing promotional merchandise, a contest was also run. Winners had the opportunity to get their homes painted in ICI Deluxe Velvet touch paints.

    “The on ground activities at multiplexes have helped us in getting additional branding for products through sampling and converting customers into using our product. Post the activity, we‘ve experienced about 30 per cent growth in Gujarat and 55 per cent growth in Delhi both of which are our cream markets,” says ICI Paints marketing manager Rajat Johri.

    Adds Zoom Television head marketing Shiv Kumar, “Multiplex activation is part of the media today, which is allowing us to create an engagement model with the consumer. Compared to the traditional medium, here we are tailormaking the brand communication message in tune with our target audience.”

    Non-traditional media on the rise

    A natural spin-off in the increase of cinema activation has been due to the clutter for advertising on television. Lintertainment communications director Harshad Bhagwat states, “On television, ad avoidance levels have gone up as high as 70 per cent since audiences generally tend to switch channels during an ad. Brands are therefore looking at alternate mediums for gaining more visibility.”

    The platform for associating with films at multiplexes comes hardly as a surprise considering the popularity of cinema in the country. Multiplex activation is on the rise with the mushrooming of malls and multiplexes all over the country. “We have slowly reduced our dependency on other mediums like television and radio in our marketing plan. We‘re currently devoting about 7.5 per cent of our marketing budget on cinema activation,” says Johri.

    Kumar says that Zoom is currently devoting about 15 per cent of its marketing budget for cinema activation and the numbers are expected to rise.

    Why cinema?

    Part of this trend can be attributed to the growth of cinema into a more organized sector than it was before. “Producers are now seeing results. It‘s becoming a more legitimate business with more accountability coming in through multiplexes on aspects like occupancy and footfalls amongst others,” offers Shah.

    Agrees Johri, “Earlier, monitoring the degree of visibility that the brand garnered through cinema activation was difficult. But now we have a count of the number of footfalls and we receive reports of auditorium occupancy. Things have become more professional.”

    It also offers certain ‘spikes‘ during the year, wherein brands can plan in advance. “The Diwali season is a peak period when we see big-budget releases and occupancy levels are higher. We are looking to invest in such big releases of the year,” says Johri, whose range of paints will cash in on Karan Johar‘s and Kareena Kapoor‘s releases this year. Both the stars incidentally are their brand ambassadors.

    Largely though, brands building up activation models around a film‘s release are often treated as an event. “Cinema is a religion in India and the footfalls during big releases are extremely high during the weekends. We‘re trying to use their presence in the multiplex foyer to take the brand communication forward,” says Thakar.

    CalvinKare‘s Spinz range of deodarants are positioned around the theme of dance and youth. In their recent activation, patrons for Jhoom Barabar Jhoom were asked to match steps with two dancers dancing to the title of songs from the film. P9 Integrated, which executed the campaign, says the response was excellent. CalvinKare product manager Sanghamitra Rath agrees, “We‘ve used cinema activation for the first time and the response has been very good. We‘re using this campaign in different metros across the country.”

    Range of brands investing

    The genre of brands using cinema activation has seen a sea change over the last few years. “Earlier you had the liquor, colas and two-wheelers using the activation very effectively – both on-screen and off-screen. Now we have a range of products right from FMCG goods and consumer durables that undertake sampling and merchandising exercises at multiplexes,” says Shah. Lately, however, a lot of media brands are entering the foray as well. “Radio stations, TV channels, news channels and even satellite radio like Worldspace are increasingly making use of the medium,” he adds.

    Furniture line Godrej Interio recently involved themselves in multiplex activation, wherein the complete range of Godrej Interio office and kitchen furniture was put up on display. An official from Godrej Interio stated, “We‘ve tried to make the best out of a big film‘s release. Our target audiences are present here in the multiplex and they would be interested in checking out our new range of furnitures.”

    Measuring results

    But how do agencies really measure the effectiveness of cinema activation? Is there a recording medium which is reliable to ensure the number of people that have seen the communication message of the brand ?

    Thakar says, “There is no defined measuring medium as with television. Statistics are measured by the reports of the occupancy of the auditorium. Multiplex owners are a main source of information on strategic placements in the multiplex. We also send our independent teams who conduct a research on high-traffic areas in the multiplex.”

    Bhagwat, however, states, “Advertisers are still hesitant to use this medium because unlike television, there is no reliable measuring medium. Therefore we‘ve set up our own team at Lintas, called Intellect, which will study how strategically we can place brands under cinema activation.”

    Shah has a different point of view. He says, “Cinema activation is more of experiental medium, hence conventional forms like eyeballs, reach frequency and cost per thousands would not be the correct yardstick to measure the medium. However, I believe tangible results are still available and efficacy of the medium is high.”

    Engagement and experience with target audiences

    Brands however agree on getting a direct interactive platform with their target audiences, thanks to cinema activation. Rath says, “We‘re doing a lot of sampling activities wherein our main Sec A 15+ audiences are regular patrons at the movies.”

    Multiplexes are also high catchment areas for the product sampling. “Audience profiles are such who are more open to trying out new products, giving feedback and information on user preferences and telling us about their consumption habits. Moreover they have the purchasing power,” says Thakar. “Therefore extensive database collection is done due to our interaction, which further adds on the measurability of the medium,” he adds.

    The marketability factor

    But what determines a marketer‘s inclination towards a particular film? “It‘s the marketability,” says Shah. Elaborating, he adds, “Star cast is another crucial factor but the legacy of the producers to use brand activations is also important. Cinema activation offers an alternate revenue stream for them as well, apart from the box office collections and a host of movie rights.”

    Bhagwat says that multiplex owners have also benefited from cinema activation since, it offers them a revenue source just in case the film‘s collections are not impressive. “At the multiplex, fortunes change every Friday. Through cinema activation, exhibitors have a back-up just in case the film‘s collections are not up-to-the mark,” he says.

    A recent example of smart activation was for the film Cheeni Kum wherein samples and an information booklet of Sugar Free was distributed along with the movie tickets. “It was a smart move, considering that during the interval patrons in the auditorium can look into the booklet and read about the product,” says an analyst. “Due to the sampling, people looked forward to seeing the product placement in the film as well,” he says.

    The future

    Cinema activation is among the several marketing opportunities that that producers are willing to engage in. “Producers are keen to pocket the table profit before a film‘s release. This includes marketing, theatrical, overseas and music rights. This helps marketers bring in a number of brands like it happened for Krissh, wherein over 10 brands were brought on-board for the film,” says an industry observer.

    Marketers, therefore, are expected to bank on the marketability of the film to help brands benefit out of it. The reason why brands are likely to invest more in the medium is the cost-efficiency of the medium. Group M general manager content and entertainment Rajeev Berry says, “Brands are looking at reaching the consumer in a cost-efficient and impactful manner. With big budgets and big stars, cinema is getting bigger in this country and brands would want to establish a synergy with these films.”

    Even cine advertisers who are involved in on-screen activation are looking to involve themselves in off-screen activation in the coming days. QMedia business group manager Ashish Mathur for QCine advertising which worked on blockbuster Sivaji says, “I feel that a combination of activation and on-screen activity can work wonders for a brand. A great example is the award winning HSBC activation clubbed with the on-screen advertising done by Ogilvy Action.”

    By the scheme of things, multiplex activation seems to be a new entry into the media plan for marketers. With the growth in retail and burgeoning size of the movie business, footfalls are likely to increase in multiplexes. However, what remains to be seen is whether brands and advertisers can make cinema activation more engaging and experiential through innovative activities rather than mere kiosks or displays in showcasing promotional material.

    Moreover, with stringent measuring techniques more inroads are expected into analysing whether cinema activation helps translate into sales and branding growth, rather than mere sampling. The customer‘s activity will determine the success of cinema activation.

  • Devotional Music: Another money making segment in the Indian music business

    The Indian music scenario keeps changing all the time. Where Bollywood ruled the roost earlier, gradually indi-pop grounded itself and with its buoyant marketing attracted the listeners. The remix trend closely followed making way for lounge and fusion music. Even with such changes dominating the Indian music market, the devotional/religious genre of music has maintained its stability for more than a decade now.

    Times Music AVP – A&R Rajeeta Hemwani says, “To fight stress, everyone turns to God and that is working out well for us. Starting off with chanting of Gayatri mantra 108 times in a single CD, around a decade ago, Times Music broke the barriers of conventional Bhajans which was the only visible religious music on stands. Times Music managed to sell more than a million copies then; after which the demand for religious music, away from Bhajans and kirtans, started showing up.”

    Statistical Count:

    According to IMI’s Savio D’Souza, “Most of the national label target the 40 major cities of India. There are innumerable minor and independent labels that people aren’t aware of. Many of them even produce albums in regional languages. For the major labels, shlokas and mantras sell the most since they cater to the upper middle class of the population. The other labels, who target the lower strata of society, know that bhajans and kirtans on the cassettes sell the most.”

    IMI gets just 5 per cent in revenue and 15 per cent in volume from religious music. Of the total Rs 4 – 5 billion music business in India, religious music accounts to Rs 250 million only and makes up for 10-15 per cent of the market share presently.

    Adds Hemwani, “For Times music, 40-50 per cent of the revenue is generated from religious music. For the past seven to eight years, the demand for devotional music is escalating. Today, it’s more about mantras; like the mantras for peace, for the well being of a new born, for pregnant ladies, for rejuvenation, relaxation and its likes.”

    Today, people demand spiritual over devotional under the religious genre. Sales by genre statistics show that where film music accounts for 70 per cent, religious music has only 4 per cent sales. Distribution of music by genre reveals new film music contributes to 40 per cent followed by old film music, which accounts for 21 per cent and then comes devotional music, accounting to around 10 per cent of the total distribution.

    D’Souza further adds, “As far as value is concerned, today religious music contributes to Rs 250 million. This can by no means become Rs 5 billion.”

    For smaller labels like Sagarika Music Pvt. Ltd. things are very different.

    Adds Sagarika Music director Sagarika Bam, “Religious music falls in two categories, devotional and spiritual. We usually are linked with the niche segment. 20 per cent of our revenue is generated from religious music. With our Bengali and Marathi albums, we account for around 8 per cent of the market in India.”

    The Scope for Independent labels:

    With around 10,000 publishers and approximately 40,000 new titles every year, the domestic market is indeed a large market. Now when many temples and other independent labels are coming up with their own religious music records; a confident, Music Today assistant marketing manager Roli Chaturvedi adds, “These independent labels don’t look threatening as we have been in the market for a long time now and the audience can relate to us better than other labels that are creeping up.”

    Hemwani also comments, “I know, many of these temples and

    small time labels are invading this segment, but one can’t deny the presence of a brand. Cost conscious people would rather purchase music from non-established labels, but people looking out for quality don’t compromise. In fact, when Siddhivinayak came up with their aarti and Shlokas, Times Music marketed it for them.” New devotional releases have to reach the target audience well on time. Hence, not many minor labels with a limited reach are able to sustain their leadership and generate profits.

    Diversity of the Genre:

    About the variety this segment offers, Chaturvedi says, “There are a couple of common mantras that sell the most like the Gayatri mantra and Hanuman Chalisa. But there are so many unexplored mantras that we, as a music label, are trying to come up with. They are exceptional and unconventional shlokas. Majority of people follow the common shlokas, but there are many as well who demand these unconventional shlokas which not many labels are aware of. We are working on offering more and more variety in the exceptional category.”

    Piracy Problems:

    Pirates has not spared even this genre of music. But, there exists a differential pricing policy here. While the target audience for film music is bulky, there is a comparatively low demand for devotional music. Hence, these albums are retailed at higher prices by national labels. Also, the demand for devotional music tends to be more or less festival-oriented. This has a strong bearing on pricing policies. Shares Gupta, “Due to piracy, the recovery cost becomes problematic. For Universal, not more than 10-15 percent of revenue is obtained from religious music after cutting down the money lost due to piracy.”

    Bidding the Money:

    To prove the kind of money this segment is generating, Hemwani adds, “The music industry is creating awareness about such beautiful music present on the stands, so we know that the market share for religious music will either remain stable or increase further. It can by no means decline. In fact, today this is such a prolific segment to make money that Yash Raj Music, which was earlier just ‘Bollywood’, is now doing an album on Sai Baba.” Sagarika Music follows a different pricing strategy altogether as compared to national labels. For them, working on Marathi and other regional language albums is of more importance, as the lower strata of society demands more music in such languages.