ITV

Tag: indiantelevision.com

  • ‘2008 has been HBO’s best year in terms of quality and quantity of programming’ : Shruti Bajpai – HBO South Asia Country Manager

    ‘2008 has been HBO’s best year in terms of quality and quantity of programming’ : Shruti Bajpai – HBO South Asia Country Manager

    As the television landscape gets more crowded with new entrants, the challenge for existing players is to keep innovating. HBO, which has bought out the stakes of its partners in the Asia venture except Paramount, still has exclusive licensing arrangements with Sony, Universal, Warner Bros and Paramount/DreamWorks.

    Late last year, the English movie channel launched an anchor slot HBO Wicked Hour. The focus in this slot is on action, thrillers, suspense, sci-Fi and critically acclaimed movies for the late night male viewers. This is part of the channel’s strategy to create new programming blocks to cater to specific TGs.

    In an interview with Indiantelevision.com’s Ashwin Pinto, HBO South Asia country manager Shruti Bajpai talks about the challenges that confront English movie channels and the pressure to focus on content and branding.

    Excerpts:

    Why did HBO buy out its partners in the Asia venture except for Paramount?
    This was a management decision in keeping with HBO’s expansion plans across the world. HBO wanted to further build on its strong position in the US. The majority equity stake in HBO Asia is a further testament to this expansion.
    Does the channel now have to bid for new titles coming from its former partners?
    We have exclusive licensing arrangements with Sony, Universal, Warner Bros and Paramount/ DreamWorks. This arrangement continues uninterrupted. This is the reason why we have such a strong inventory.

    What are the challenges that are going to confront the English movie genre over the next few years?
    The last few months have seen a spate of launches in the Hollywood/International cinema and there are some more expected this year. There is an intense amount of clutter in the overall TV channel space and the viewer is spoilt for choice.

    I am of the firm opinion that channels with compelling and consistently ‘winning’ content will continue to flourish while the others will just about manage to survive at the periphery. Hollywood movies are beginning to grab a bigger chunk of India’s huge movie market, traditionally dominated by Bollywood.

    A larger Indian audience than ever before is viewing the Hollywood movies and the appetite for such content seems to be increasing. Breaking through the clutter and being able to hold on to the attention of the audience, which is usually short due to the ample choices available, will be a rising phenomena in this category.
    How has HBO fine tuned its programming strategy?
    HBO has been following the mantra of ‘Big, New, Most’ for Indian viewers. We have always devised innovative and topical themes around our movies, instead of fitting it in a “genre for each day” bracket. We do not believe in doing automatic repeats the morning after, like other channels.

    Has HBO spruced up the content this year because of new competition?
    It will not be wrong for me to state that 2008 has been HBO’s best year in terms of the quality and quantity of programming. We have a supply of blockbuster hits that take center stage every month like Superman Returns, Ghost Rider, Happy Feet and Mr. Bean’s Holiday.

    In addition, we also air critically acclaimed movies and blockbusters that anchor the Saturday primetime slot at 9 pm. These have included Munich, World Trade Centre, Memoirs Of a Geisha, Blood Diamond. Upcoming titles include Spiderman 3, Surf’s Up and The Pursuit Of Happyness.

    What is also important is our focus on entertaining themes. These are conceptualised for the channel every month. They target different TGs and advertisers. Some examples of these are HBO Animation Fest, Mad About Diamonds, Fast Cars and Gorgeous Babes, HBO Earth Day.

    Also playing a role are tentpole events. We did a Hollywood’s Best initiative which featured Oscar nominated/winning movies, HBO is Summer during May and June, which featured Summer of 60 Nights. Here, a blockbuster movie was shown every night. Moreover there were also mini-stunts under the HBO is summer umbrella like Entrapment, Martial Arts Specialists ‘Codename: SuperKids etc. All these have resounded with our target audience.

    To add to this, we have looked to raise the bar when it comes to quality programming with original series like Entourage, the third season of which has just begun on the channel and themes like HBO- Movies with a difference that showcases movies that make us sit and think.

    Have new programming blocks been created to cater to different TGs?
    Our most current anchor slot HBO Wicked Hour was launched late last year. It focuses on action, thrillers, suspense, sci-Fi and critically acclaimed movies for our late night male viewers.

    Right now, we are focussed on building this slot and also other key slots like It’s a Guy Thing, Midday Matinee, Family Sunday etc. We are always on the lookout for creating new programming blocks to cater to specific TGs.

    As the audience gets more fragmented in the metros, the challenge for English movie channels is to reach out to the smaller cities as well. How is HBO targeting these viewers who are aspirational?
    Television is one of the biggest sources of entertainment for people across categories in India. Where the audiences have evolved, programming has also seen a huge turn around on the small screen. With the choice and variety on offer for the Indian audiences, the television industry today is booming. It is not only in the metros but also the smaller towns where there are potential viewers. What matters ultimately is the content that is shown – if the content is different and unique, it is well appreciated by the viewers.

    The increase in multiplexes in smaller towns and the increase in global travel by Indians from all across the country have added to the familiarity with Hollywood movies and shows. HBO is a global brand and this helps in the affinity towards the channel.

    How has the channel fared on the ad sales front?
    The ad revenues are growing year-on-year. Turner, our ad sales partner, has done an excellent job to maximise revenues and also retain a number of advertisers exclusively on HBO.
    ‘DTH is growing, but the format is still the classic ‘one price for all channels’ rather than specialised packages. This is expected to change as the market matures‘

    Has perception among clients about this genre improved?
    HBO is perhaps one of the few channels that is more than just a channel; the brand gives a big boost to the channel’s perception.

    Also, English movies is a genre that our ad clients consume on a regular basis.

    What are the kind of packages you offer clients that go beyond the 30-second spot?
    We have different packages that are tailor made for different clients. One of our packages is the brand integration package where we seamlessly integrate the positioning of the brand that is being advertised into the theme for the month. We also have a lot of contests that we do for the advertisers that go beyond the 30-second spot.

    Channels have started advertising on rival bouquets. Does HBO accept ads from other channels that are not part of Zee Turner or is there a conflict of interest?
    We do accept advertising from other channels, but are careful in picking those that have the right fit. Some of the channels that have recently advertised on HBO are BBC Entertainment and English business channel UTVi.

    Is HBO looking to boost its content around news shows to add variety to filmed content?
    HBO has always believed in giving its Indian audiences the best of international programming and content across genres. We already have a diverse mix of blockbusters, all time favourites and original productions. In fact HBO is the only channel to have both the raters and the differentiators.

    The third season of the show Entourage just premiered in late June and we have Big Love coming soon. Also, the recently-aired two part mini-series in the US, The Andromeda Strain, which is based on the best-selling novel by Michael Crichton, is going to be on our channel soon.

    Does HBO do a lot of marketing and promotional activities to create awareness?
    HBO’s marketing and promotional activities have always looked to be innovative and clutter breaking. This year we have had many multimedia campaigns to announce our Summer line-up, our mega blockbusters and our shows.

    We have a well planned strategy for the rest of the year, especially during the festive season of October-December. As we speak, we are running a multimedia campaign that includes a contest, to promote Spiderman 3.

    The hope is that addressability will get a push this year with DTH (direct-tohome) seeing new launches this year. How do you see the distribution scenario evolving?
    As new launches increase, distribution becomes critical. We are also hoping that addressability gets implemented in the right manner.

    DTH is also growing, but the format is still the classic ‘one price for all channels’ rather than specialised packages and introduction of new tiers. This is expected to change as the market matures.
  • ‘The branded slots, big movies have fetched revenues and viewership for the channel’ : Mohan Gopinath – Zee Cinema business head

    ‘The branded slots, big movies have fetched revenues and viewership for the channel’ : Mohan Gopinath – Zee Cinema business head

     Being the oldest player in the Hindi movie genre, Zee Cinema enjoys a good brand loyalty. The movie channel’s strength has been its huge library of movies. Regular festivals and branded slots have also helped the channel to maintain its audience base.

    In an interview with Indiantelevision.com’s Richa Dubey, Zee Cinema business head Mohan Gopinath discusses about the dynamics of the Hindi movie channel market and the plans ahead for the channel he heads.

    Excerpts:

    How has Zee Cinema evolved as a brand?
    Over the years, Zee Cinema has grown a consistent base of viewers. And we have continuously taken care of our brand.

    In 2007, we created many branded slots like ‘Showman Show’ which was a Raj Kapoor and Subhash Ghai film festival. It ran for 22 weeks wherein we showed almost all the RK Films like Bobby, Prem Rog, Sri 420, Ram Teri Ganga Maili.

    We created ‘Bhakti Ki Shakti’ for mythological movies on every Sunday morning at 8:30 am.

    This year we had a kids’ film festival called ‘Dopahar Zee Cinema Par’ for which we roped in Darsheel Safary as brand ambassador for the slot. We showed children films like Life Ho to Aisi, Tarzan the Wonder Car daily at 12:30 pm for almost a month.

    There are other slots like ‘Shaniwaar Ki Raat Amitabh Ke Saath’ and ‘Cinema Hall’ that have been worked as differentiating factor for us.

    Besides the branded slots, big movies have fetched revenues and viewership for the channel. All these factors have taken the channel to a grander scale.

    With movie acquisition taking the syndication route, how do you see the industry shaping up?
    For all the Hindi movie channels, there has always been a good supply of films over the years. However channels only prefer the ones that have worked in the box-office and are popular. As these films are only limited to 25 to 30 titles, the cost of satellite rights of these films have increased. Because of which the channels have formulated the syndication route. We have to still wait and watch as to where it goes.

    Have you syndicated any titles to other channels?
    Lately we have not done any such deal.

    All the Hindi movie channels are adopting this new business model. Why have you kept yourself away?
    We dont want to plunge into things. We would like to go with our own bank of movies.

    The newer films have shorter life span compared to the older ones. We are not discounting the newer set of movies but in older films there are some memories which you would want to recollect. Everything has its own patent time. Older movies have also done well. We have a different strategy and we would like to go ahead with that. We have done this since last so many years and established the brand.

    You can’t get better than a Big B. Ultimately the movies have to blend into good ratings and then monetize.
    ‘The strength of Zee Cinema has been its huge bank of library films‘

    What is your strategy to combat the increasing prize of a movie?
    We are very title driven. We are careful what we want to show with very limited purchase. We believe that equilibrium has to be maintained. Our purchase has been very careful.

    In that case you have not been very aggressive towards purchases?
    The strength of Zee Cinema has been a mixture of old movies. We have a huge bank of library films. Our viewers have constantly enjoyed watching them.

    And in terms of big ticket purchase, for this year we have Dhol, Dhamaal and Taare Zameen Par. So we have a happy mix of both.

    What other innovations have you done in the channel?
    We have tied up with Jaane Tu Ya Jaane Na to promote our branded slot ‘Shaniwaar Ki Raat Sitaaron Ke Saath’ (Saturday 8 pm).

    We are running a contest wherein we will ask a question during the Saturday film. We have invited answers from colleges across India. The college which sends maximum right answers will meet Imraan Khan, the lead actor of Jaane Tu Ya Jaane Na.

    Shaniwaar Ki Raat Amitabh Ke Saath developed its own set of loyalty. Why then did you think of revamping the slot?
    After four years we have revamped the slot ‘Shaniwaar Ki Raat…’. Now we will be showcasing all the big titles in it.

    We wanted to take things forward to a much larger canvas. Along with Amitabh films we will also premiere other big films with big stars.

    We have titles like Phir Hera Pheri, Dhol, Dhamaal, Vivah, Taare Zameen Par lined up for this slot.

    But conventionally big ticket film’s premieres are on Sunday in early prime time. Don’t you think a Saturday night premiere is too late for your viewers?
    If I want to explore my library to the fullest and want every movie to do well, then this is the best slot. And the kinds of movies that we have kept for this particular slot come with that kind of brand value and image.

    The premiere time depends from channel to channel. There is no hard and fast rule on Zee Cinema. Vivah can also come on Sunday 12:30 pm or on a Saturday night. It is a family oriented film.
    Is the market ready to accommodate new players?
    Every market goes through a correction. At the end of the day every channel has a good strategy. What is required is a good three to four months of consistent viewership. I acknowledge the presence of every player. The competition will make us healthy.
  • ‘We have seen double digit revenue growth’ : Rajesh Sheshadri – NGC India senior VP content and communication

    ‘We have seen double digit revenue growth’ : Rajesh Sheshadri – NGC India senior VP content and communication

    With DTH growing in the country and cable addressability expected to spread more channels, special interest broadcasters are looking to increase their offerings. One of these is the National Geographic Channel (NGC). The broadcaster is looking to bring four more channels in the near future.

    Indiantelevision.com’s Ashwin Pinto caught up with NGC India senior VP content and communication Rajesh Sheshadri to find out about the network’s growth plans in India.

    Excerpts:

    NGC is looking to launch more channels in India. Could you shed light on this?
    The four new Nat Geo channels that we plan to launch in India have already proven to be popular in countries where they are currently available. Nat Geo Music, Nat Geo Wild, Nat Geo Adventure and Nat Geo HD allow us to expand our commitment to quality programming and to create specialist channels in genres which are at the very heart of the National Geographic brand.

    The core channel will continue to expand its successful contemporary science, technology and exploration strands and will be clearly differentiated from the specialist Nat Geo Channels.

    Our aim is to offer compelling programming across genres and we feel that this is the right time to launch new channels that will cater to the growing public appetite for high quality television viewing.

    When is the launch happening?
    We have applied to the government for the licenses. We are looking to launch these channels within a month after we get the approval. We would look to launch all four of them together as the impact would be much more.

    Is there a gap that these channels are looking to fill in an environment where audience expectations are growing exponentially?
    Absolutely! All the channels are unique in their category. There are no other channels that compete with them. We need to create channels to cater to the maturing taste of our audience.

    Will local content play a key role in these new channels like it does for NGC and THC?
    Yes! 15 per cent of content on our existing channels is local. We want to hit this mark as soon as possible for our new channels as well. It could happen within the first quarter of launch. Local content will allow us to connect in a very effective manner with our TG.

    Distribution is going to be a huge problem for the new channels with cable networks demanding high carriage fee. How do you plan to tackle this?
    We will have to plan our distribution strategy carefully and see that we are present with those operators and platforms who best serve our TG. There is no need for us to be present en masse.

    What is the core TG for these channels?
    The programming on these new channels is targetted at audiences eager to stretch the boundaries of their knowledge about the world they live in. In some cases, the channels will target the same demographic but clearly a different psychographic.

    Nat Geo Wild will appeal to the entire family: men, women, children, from 6-60 years old.

    Owing to the technology involved, Nat Geo HD will attract premium, affluent households in the bigger cities. With the enhanced picture frame composition, sharper picture quality and surround sound system, National Geographic Channel HD will deliver more intimate, closer to life and theatre-like experiences. The channel will feature explorers and cutting-edge filmmakers. It will showcase documentary programmes, stories and credibility that viewers expect from us.

    Nat Geo Adventure, whose DNA is around travel, adventure and culture, will be targeted towards the 18+ age group while Nat Geo Music is targetted at an older audience above 25 years.

    As far as your two existing channels go, what kind of revenue and viewership growth are they seeing?
    Both the channels have grown significantly in terms of viewership and revenues over the last few years. They have registered double digit growth in revenue over the last year. We are also seeing an increase in viewership and in time spent on the two channels.

    What prompted the rebranding of The History Channel?
    In its two years of existence in India, The History Channel had established itself as a credible authority and owner of the theme of history. The strategic shift allowed us to move the channel to the next phase of evolution and broad base its appeal.

    The History Channel’s fresh and stylishly packaged look and feel has been created and designed internally to reflect a much more distinctive on-air presence. The primary objective behind this makeover was to make history entertaining for our audiences. The look is more edgy and young.

    What are the major tentpole properties coming up for it?
    History Rocks, one of our biggest properties this year, is currently on air and will go on till September. A 17-part series, it brings together concerts, documentaries and interviews featuring rock icons of yester years and offers a glimpse into the life of these rock legends.

    We organised a series of rock concerts across Delhi, Mumbai and Bangalore featuring some of the best Indian rock bands including Parikrama (they performed at the first History Rocks concert held on 23 May in New Delhi), Galeej Gurus (performed on May 30 in Bangalore) and The Works (performed on 5 June in Mumbai)

    Going forward, you will see more big-ticket activities. We will air Warriors, a new series from 4 July every Friday night at 9 PM, which will comprise spectacles based on the lives of eight men who shaped the world around them, either by sheer force of will, genius, courage or even greed.

    Another series that is in the pipeline is an eight-week show called Human Weapon, starting 21 August every Thursday night at 10 pm. This new series features two martial arts adventurers, who embark on a journey to reveal the history behind the different forms of combat.

    Chinese Whispers is a series wherein each episode will challenge an accepted fact to uncover the truth behind history’s most intriguing topics – using the latest DNA and underground technology and new archaeological evidence. This new series will be aired every Wednesday night at 10 pm starting 3 September.

    Is THC also creating TG specific slots like for women and kids?
    Yes, we have specific slots for women and children as well. We have a band in the afternoon that caters to women. For the children, we have a weekly slot on Sundays called THC Classroom. THC classroom showcases curriculum relevant content for school children. We believe that this band will help make history more entertaining and engaging to children.
    ‘Fifteen per cent of content on our existing channels is local. We want to hit this mark as soon as possible for our new channels as welle‘
    In what manner has THC grown its community outreach programmes like Save Your History over the past few months? How important is it from a brand building perspective?
    Save Your History is a concept that we believe in since it brings history closer to an individual. However, last year there was an internal realisation that we had to make this concept into a much bigger initiative than initially planned.

    Such platforms are important for us as The History Channel is committed to making history entertaining. Initiatives such as these allow people to share and collaborate on entertaining facets of the genre. Currently, we are revising our plans for this initiative. We’ll be able to share these plans once we firm up the details.

    In terms of local shows, are you talking with local production houses to explore ideas?
    Yes we are. We are always looking at ways to localise the channel. We believe that local content always has that additional traction with viewers.

    The Mission properties have been key for NGC. What have the learnings been from doing this over the years?
    Over the years, Mission properties have become synonymous with NGC, which I think is a great achievement given the clutter in the market and the absence of clearly differentiated content. From our perspective, the largeness and the uniqueness that is associated with it puts a lot of responsibility on us too.

    We don’t want to commoditise that positioning and hence we are very careful when it comes to using the ‘Mission’ name for any property. We, therefore, need to ensure that the topic being covered is also unique and a first.

    Before deciding on a subject, what are the key elements that you look for? How much research goes into it?
    A Mission property by definition is a ‘by India, for India‘ property. Through the Mission property, we look forward to reach out to a larger segment of people. The idea, therefore, should have a broad based appeal, should be locally relevant and above all should be in sync with our philosophy of making viewers ‘Think again‘. The idea here is to take viewers to places where no one else can. It has to, therefore, be unique and an unparalleled 360-degree experience.

    What is next in this regard?
    There are always a lot of ideas but a Mission property is a big initiative. It requires a lot of planning and background work. We are planning to launch a Mission this year and will share the details soon.

    Are there any changes going to be made in terms of how NGC is programmed like time slots, genres?
    Right now, we are focussed on building specific nights. We have our existing slot of Megastructures on Thursdays at 8 pm, which is performing extremely well. We plan to build that slot. Later this month, we will be premiering a new series Super Factories on that slot. Super Factories takes viewers inside the shop floor of iconic brands like BMW, Corvette, etc.

    We also have Brand New Sunday, which showcases our newest and best programmes. We are looking at renewed product and communication to strengthen these slots.

    Over the next three months, we have an exciting and interesting line up. We have Long Way Down featuring Hollywood superstar Evan Mcgregor, World’s Deadliest Animals and Food Lover’s Guide to the Planet. All these are extremely informative and entertaining shows and we believe that these properties will get the requisite traction from the viewers.

    On the advertising front, how are the two channels faring?
    We had an inventory growth of 15 per cent on NGC and 30 per cent on THC. We also had a 10 per cent increase in the number of active clients on the channels. These I think are great indicators of how the revenue is shaping up.

    What are the kinds of solutions that long term clients can avail of that go beyond just the 30-second spot?
    At Nat Geo, we take pride in seeing each brand as a unique entity and offering innovative solutions that best suit the advertiser’s needs. Our association with brands like Godfrey Phillips Bravery, Lufthansa, Titan and Makemytrip.com are examples of our ability to go beyond the brief and delivering out of the box solution for our partners.

    With our latest initiatives ‘Lufthansa Nat Geo Genius‘ and ‘Trapped‘, we went way beyond the conventional 30-second spot and incorporated our sponsors’ messaging in a simple yet effective manner without it looking like a forced fit for viewers.

    Godfrey Phillips Bravery has been honouring the brave since 1990 and we found there was a natural fit between their mission and the essence of our series ‘Trapped‘, which was to showcase and salute the strength of human endurance, will and determination. Similarly, our internationally acclaimed game show’s Indian edition, Nat Geo Genius was a perfect platform for Lufthansa to reach out to its target audience.

    As part of the innovative tie-up with Titan, we created an exclusive commercial for their new Aviator range using the exclusive footage on fighter planes from our ‘Top Gun’ series. For makemytrip.com, we created a special adventure zone on their website by sharing assets such as Nat Geo adventure wallpapers and screensavers to boost their adventure travel segment.

    These associations demonstrate our ability to provide integrated marketing solutions to our partners and going beyond the conventional commercial time.

    Abroad, broadcasters have started to create separate channels for the mobile and Internet. Content is specifically tailored for them. How far away are NGC and THC from doing this?
    For NGC, we have mobile-ready content. We have a complete range of short form virals (30-45 seconds), mobisodes (3-4 minutes), ringtones, wallpapers, text based content, etc. We are in talks with both mobile service providers and handset providers to launch NGC on the mobile.

    We are already present on the Plus application on 57827. We run regular SMS contests on the channels to engage with our viewers. In addition to the mobile space, we are also making significant investments in the online space. We are redesigning the NGC website and the new version should be launched in the next couple of weeks. The NGC website, going forward, will function as a full fledged destination in itself.

    The English entertainment space will see new entrants over the next two years. Do you see this growing viewership for the genre or will it simply increase fragmentation?
    Today, every brand must make that additional effort to connect with the consumer whose needs and wants are changing by the day. As long as a channel owns a clearly defined space in the mind of the consumer, fragmentation wouldn’t really matter.

    National Geographic Channel and The History Channel have a clear and distinct positioning in the mind of the viewer. All initiatives by the channels are to reinforce this distinct positioning, and as long as we keep doing that, the launch of other channels will not affect us.
  • ‘Star One is repositioned to become suitable for youth audiences’ : Ravi Menon – Star One EVP and GM

    ‘Star One is repositioned to become suitable for youth audiences’ : Ravi Menon – Star One EVP and GM

    Star One was launched as an upmarket Hindi general entertainment channel, second to Star Plus. Pioneer of big ticket shows like Nach Baliye and The Great Indian Laughter Challenge (TGILC), the channel is now on the path of repositioning.

     

    In an interview with Indiantelevision.com’s Richa Dubey, Star One executive vice president and general manager Ravi Menon talks about Star One’s road ahead as the channel takes up a new positioning to address the youth while tapping family audiences.

     

    Excerpts:

    Star One has deviated a lot from its earlier positioning of an upmarket channel. What made you to shift from your earlier positioning?
    You can’t target the urban market with less money. And when you put in huge amounts, there has to be good returns. So we wanted to expand the market – for viewers as well as revenues.

     

    Upmarket audiences are also not very sticky in nature. We found this in some of our popular shows like Sarabhai vs Sarabhai.

    Is Star One on its way of getting revamped?
    I would not call it a revamp. But from the time it was launched, Star One’s positioning and programming has changed.

     

    Our programming has now become suitable for youth. Our fictions are focussed towards youth, though families can still watch. In reality shows like Zara Nach Ke Dikha, we have roped in young participants and included family elements in it.

     

    Our channel is primarily for youngsters. But we also respect family viewing.

    What would you identify as your target group (TG)?
    Star One targets the 10-30-year-olds. The core TG, though, is 18 to 22 years. But we are definitely not addressing the kind of TG that channels like Bindass or Channel [V] have. Our content is for the homogeneous market. We produce shows for youngsters wherein the entire family can sit and watch. We get family audiences, but on the back of these youngsters. People from all age groups can connect with all our shows like Annu Ki Ho Gayi Wah bhai Wah, Dil Mil Gayi, Pari Hoon Main and Choona Hai Aasmaan.

    How have the advertisers responded to your current repositioning?
    We have become a platform for the brands that want to address the youth. We foresee more brands that will come in. Advertisers are ready to pay money for new kind of shows.

    Don’t you think that the youth positioning is risky as we have seen in the case of Zee Next which has a mere 1-2 per cent of market share in the GEC space?
    When you are addressing such a TG, there has to be a habit formation. We have been very successful in keeping consistency in viewership.

     

    As I said earlier, we get the entire family to watch our channel on the back of youngsters. This strategy will lift Star One above the rest of the other new comers.
    ‘We have been a trend setter in the stand up comedy front. Other channels have started cloning us soon after the success of The Great Indian Laughter Challenge‘

    Though Star One became the number three GEC for a week in January, since then there has been a constant dip and presently it ranks number 6. How do you explain this?
    The important thing is that we are continuously reaching out to our TG. We are a GEC focussing on youth. But the new entrants in the market are targeting to compete with Star and Zee. So though we have become number 6 from number 3, in our target audience we are still the leader.

    Overall, the GEC market share has got segmented because of new entrants. Do you see that affecting Star One?
    The GEC market is segmented but brands are still willing to pay money. Presently if Kyunki Saas Bhi Bahu Thi gives a rating of 4 TVR, that is good enough in a fragmented market for media buyers and advertisers to put money behind them.

    What kind of money is being pumped in for programming?
    The programming budget depends on the requirements of the channel. We rework on it every quarter.

     

    But GECs today roughly spend around Rs 7-8 billion. That is because the reality shows are very costly, – jury, studio, star costs have surged.

    With such high money being pumped in, does it become to protect profitability of channels?
    A good thing about reality shows are that they come with 10 to 12 sponsors and become popular – and they are for a short period. Although fictions do not come with so many sponsors, they are for long term and become popular gradually. So every show has a break even. Although the market is cluttered, that does not affect the bottomline because there are many brands ready to advertise.

    Your weekday prime time fresh programming is of two hours. In the other day parts you show repeats of your present as well as older shows like India Calling and The Special Squad. Are you going to expand original content on the channel?
    We sell advertisers our original programmes. Putting fresh shows on every time slot is expensive; we, thus, run repeats of the older shows. We have bulk deals with advertisers.

    For Star One, reality shows like Bol baby Bol and Funjaabi did not become as popular as Laughter Challenge?
    Bol Baby Bol did fairly well, delivering a rating of 1+ TVR in some weeks. We experimented with Funjaabi and Kisko Milega Cash. While announcing the launch, we had said that the show will run for a month and if it does well, then we would continue it further.

     

    Doling out prize money daily was a mistake that we did. Probably if we were to bring another series of the show, we would give money only once a week.

     

    But we have been a trend setter in the stand up comedy front. We hunt the talents and raise the stars. Other channels have started cloning us soon after the success of The Great Indian Laughter Challenge.

    How will you create an equally big property like Nach Baliye?
    Now our aim is to create equally clutter breaking shows like Zara Nach ke Dikha.
    What big shows are coming up?
    We have Zara Nach Ke Dikha which is a celebrity dance competition between boys and girls. It will go on air somewhere in mid July. The slot and day has not been decided yet. There are a few more shows which will be unveiled soon.
    Can we expect this show to be slotted for weekend prime time while other shows will fill up the weekday primetime band?
    Currently the slotting of shows has become very crucial, especially for the prime time. After IPL, many channels have launched shows at the prime time; they were all waiting for IPL to get over. Colors will launch in July and we will monitor everything closely before we fix the timing of our shows.
  • ‘If there are large eyeballs to address with local content, we will do it’ : Sumantra Dutta – Star country head, Middle East, Africa and Pakistan

    ‘If there are large eyeballs to address with local content, we will do it’ : Sumantra Dutta – Star country head, Middle East, Africa and Pakistan

    Star is eyeing growth in Middle East, Pakistan and Africa. Which is why it has created the new post of country head for these three markets and appointed Sumantra Dutta, who has been in the News Corp family for 14 years, to take up this role from 1 July.

     

    Dutta rejoins Star from News Outdoor India (News Corp‘s out-of-home subsidiary), where he served as the company‘s managing director.

     

    Dutta was also involved in the FM radio start-up venture and successfully established Radio City as a strong brand with a revenue that fell just below market leader Radio Mirchi which had a seven-station presence compared with Star‘s four.

     

    Prior to this, Dutta led Star India‘s advertising sales and marketing teams.

     

    In an interview with Indiantelevision.com, Dutta talks of his new role and the company‘s growth plans in the three markets that he will spearhead.

     

    Excerpts:

    By creating the new post of a country head for Middle East, Africa and Pakistan, has Star identified these three as high growth markets?
    Middle East is emerging as the hot spot for growth. Pakistan is also expected to boom because of globalisation. Africa is an almost virgin market for us and there is scope in taking our channels to various countries there. The businesses in these three markets is under exploited. The task is to identify the opportunities, develop distribution, push ad sales.

    Will Star‘s effort include localising content for the Middle East market?
    India and the Middle East share similarities in TV content consumption. In India, Star Plus is the leader channel and the Star bouquet is very strong. The task is to aggressively grow the Star brand in the region. The need to develop connect with the larger audience base is always there. We will study the market and find the right profiling, language and content offering.

    Even Zee network had to experiment with local content for further growth. Is the advertising revenue skewed heavily towards local content?
    The television ad spend in Middle East is broadly in the region of $1.5 billion. The free-to-air (FTA) channels account for 90 per cent of the total ad pie and within this category, Arabic content gets the lion‘s share.

    So will Star get into local content with local partners?
    There is scope to grow ad revenues even within the pay-TV segment. The Middle East is booming – be it in real estate, tourism, or other areas of business. Star has clear plans in servicing the burgeoning demand in this market. If there are large eyeballs to address with local content, we will do it. But our first task is to study the market and identify the gaps.

    How challenging is the Middle East market to conquer?
    The challenges are similar to that of India. It is a highly competitive environment and has about 360 channels beaming into the region. The only differentiator is that media buying and planning is much more sophisticated in India. The idea is to put the learnings of this market in place in the Middle East.
    ‘I have the added advantage of being associated with Star‘s start-up businesses. The size of the business is really in the opportunity that it throws open for the company to exploit‘

    Isn‘t the distribution scenario also a lot more different?
    Distribution is much more organised than in India. The region has DTH (direct-to-home) and FTA. In India, cable TV continues to be strong. The idea is to also find newer channels and revenue streams. The mobile telephony base, for instance, is big and Star has not tapped this segment.

    What is Star‘s strategy going to be in these three markets?
    It is too early for me to define that now. But we need to go into a higher growth trajectory. Faster, higher, stronger – that is the credo. We will play the same game but with more attitude. We will be growing the team – because you are only as good as your team. The idea is to go and knock the ball out of the park.

    Don‘t you feel that you are being continuously marginalised into businesses that are relatively smaller in size than what you were earlier handling being part of Star India‘s core team in the broadcasting arena?
    I have the added advantage of being associated with Star‘s start-up businesses. I moved from the high of television to the FM radio space. I was out not to just launch a FM radio station, but to kick-start the entire category. In the outdoor advertising business, the challenge was to bring respect to the category and get the local administration lease out long-term contracts. The size of the business is really in the opportunity that it throws open for the company to exploit.

    Since News Corp is globally getting out of the outdoor business, is the India part up for sale?
    I wouldn‘t like to comment on this.

    For somebody who has been associated with Star for such a long period, which are your most precious moments?
    The launching of Star News in 1998 and National Geographic Channel in 1999 were momentous events. But nothing beats the launch of the Amitabh Bachchan-hosted game show Kaun Banega Crorepati (KBC) in July 2000 as it changed the fortunes of Star in India.
  • Aaj Tak’s executive editor Deepak Chaurasia quits

    Aaj Tak’s executive editor Deepak Chaurasia quits

    MUMBAI: Deepak Chaurasia, executive editor and anchor of TV Today’s Hindi news channel Aaj Tak, has put in his papers.

    If the buzz in the market is to be believed, the next port of call for Chaurasia is likely to be Star News. However, Indiantelevision.com could not independently corroborate this at the time of filing this report.

    Earlier, after a long association with Aaj Tak where he was heading the political bureau, Chaurasia had a brief stint in DD News as consulting editor in 2003. After almost nine months he made his way back home to Aaj Tak in July 2004.

  • ‘The real push for digital cinema will come when biggies like Adlabs decide to ramp up’ : Senthil Kumar – Real Image Media Technologies director

    ‘The real push for digital cinema will come when biggies like Adlabs decide to ramp up’ : Senthil Kumar – Real Image Media Technologies director

    Already setting cash registers ringing across Hollywood, with movies like Beowulf, Hannah Montana and Meet the Robinsons, Digital Cinema has been touted as the next big thing in the entertainment industry. And Chennai-based Real Image Media Technologies (RIMT) is already geared up to herald a major resurgence of the film exhibition industry in India with the introduction of this new technology.

     

    In an interview with Indiantelevision.com’s Anindita Sarkar, Real Image Media Technologies director Senthil Kumar says that the future of cinema lies in digital and unveils the company’s growth plans.

     

    Excerpts:

    Do you see digital cinema growing faster from now on?
    Several things that were roadblocking the growth have got sorted out. Prices have fallen and the technology has settled down. Film producers, distributors and exhibitors have realised that digital makes better economics. There has been an improvement in sound, though we do not see the same jump in picture quality.

    What will fuel the growth?
    Digital cinema will grow on its own as it is an effective tool against piracy and saves on print costs. But what will further fuel this growth is the emergence of 3D. Across the world today, there are around 5000 digital screens of which at least 1000 are 3D – that is 20 per cent already. In India, we are already seeing a 15 per cent conversion of theatres (about 10,000) into digital. We haven’t seen a 3D wave as yet, but I am sure it will come. More and more people are finding that with plenty of 3D Hollywood ventures coming up in the next two years, 3D makes a lot of sense commercially. That realisation will come in India too.

    What will drive digital cinema growth in India?
    We are already seeing decent growth in India. We have installed 550 digital systems across the country. UFO Moviez has touched 1000 theatres. Reliance ADAG’s Adlabs is testing the technology.The real push will come when Reliance decides to ramp up.

    What is the model that you follow?
    We sell our equipment to various providers like E-City, Pyramid Saimira, and PVR. UFO Moviez, on the other hand, follows a rental model; they act like a technical service provider.

    So you are not looking at the rental model….?
    The rental model is not lucrative for us right now.
    ‘Digital cinema will grow on its own as it is an effective tool against piracy and saves on print costs. But what will further fuel this growth is the emergence of 3D‘

    But doesn’t this model provide UFO the volumes?
    If you put out the money and you operate at the theatre saying pay me a rental, why would you not have takers? Theatre owners do not have any commitment. If the theatres want the digital systems for two weeks, UFO will give it for that period and then take back the services when they do not want it anymore. So it is an easy scheme. Therefore, it is quickly chosen. But these theatres do not always run on digital systems.

    Isn’t your system more costly?
    We charge Rs 3 million for installation of our system. But we have a cheaper option where theatre owners have to pay Rs 1-1.2 million; they can upgrade later on. Most of our customers are from this bracket. For the 3D system, theatre operators will have to further part with Rs 2 million. So it takes Rs 5 million to do digital plus 3D.

    Is the growth coming in from smaller cities?
    No.These 550 equipments are mainly with mainstream A and B theatres including multiplexes. E-City alone is using 150 systems, mainly in Gujarat. Pyramid Saimira has taken 100 while Sri Venkatesh Films in West Bengal has installed our systems in 40-50 theatres. PVR is also using our systems.

    Is an export market available?
    We have sold 150 systems in overseas markets. Our main clients overseas are in US, Canada, Korea and European countries.

    How effective has digital cinema been in tackling piracy?
    We have put in invisible water markings into our system to fight piracy. If a film has been shot from the screen directly, we can tell exactly from which theatre the copy came from. And the best thing about these water markings is that it cannot be edited. We also lock the projector and the server in such a way that the projector is unable to work with any other server.

    Do you see digital theatres tapping new streams of revenue?
    Advertising is a new revenue opportunity. We are going in for consolidated advertising. We have a technology wherein you can put in an ad at a particular time to get the best audience attention. You can also decide the number of times the ad could appear, thereby hitting at the target audience directly. Using this technique, You can also choose the theatres in which you would want your ad to get displayed. This leads to targeted advertising, next only to internet.

    How big an attraction is 3D?
    3D is definitely an attraction – like digital. Take for example the 3D Disney film Hannah Montana that is stated to have made $30 million during its opening weekend.

     

    3D is also lucrative for other programmes like live concerts and sports. Today, concerts are being covered in 3D and released; sports are being covered live on 3D and released.

    Is the cost of covering a live concert on 3D the same?
    Covering live concerts on 3D is much more cost effective when compared to films. When you are making a full movie, of course, the cost on the budget will go much higher; live event coverage is on the other end much cheaper.

    How is the installation done?
    The movie is placed on the server to a digital projector and we transmit the movie through satellite or by hard drive depending upon how many theatres are receiving it. Our system accecpts anything. There are two kinds of technology that can produce a 3D effect, the passive and the active.

     

    When it comes to the passive technology, we put them up along with the system in our servers. For example the external rotating polarizing filter that works with a single projector for the single screen. We have taken this technology from Master Image. The other technology is for the dual projector with fixed polarizing filters on each projector. It is for the silver screen. Here there is not active involvement of the eyewear.

     

    The active systems include the infrared emitter and shutter glasses technology from XpanD. It requires a single projector and has and active eyewear and is for the white screen.

    How cost effective is it in converting old movies into 3D?
    The cost varies between $5 million to $30 million, depending upon how lengthy and complex the movie is. There is only one company that is currently doing it. It’s called In3.

    How many movies have been converted till now?
    Nothing has been released yet. But yes, there are movies like Star Wars (1979) that have been converted.

    What are your 3D plans for India?
    We are trying to act as a catalyst to make 3D happen in India, in both production and exhibition.

     

    Satyam in Karnataka has already installed one screen with 3D and we assume that a few more will be coming up very quickly like Adlabs and PVR. Also, we will start helping Indian films shoot in 3D. And this we see will definitely bring in a huge boost to our technology.

    Since the digital market is growing, will you need to raise money to fund your expansion?
    We are looking at a third round of funding within 6-12 months and expect to raise Rs 600-800 million. The funds will be mainly used for rolling out digital cinema and development work. We are also looking at expanding in the area of 3D. We already have Intel Capital supporting us in the second round. Street Edge and Novastar have participated as initial investors.
  • ‘Course correction will happen from a commercial, team management, and player angle’ : Hiren Pandit – GroupM ESP managing partner

    ‘Course correction will happen from a commercial, team management, and player angle’ : Hiren Pandit – GroupM ESP managing partner

    For franchisees the inaugural edition of the IPL has been a learning experience. The Hyderabad franchise is no different. While Deccan Chargers finished at the bottom of the table, the franchisee is confident that the investment will pay of in the long term. At the same time, the event was more difficult logistically and also physically than anybody imagined.

     

    GroupM ESP acts as a consultant for the Deccan Chronicle, which owns the Deccan chargers. Ashwin Pinto caught up with GroupM ESP managing partner Hiren Pandit to find out his views on the event

     

    Excerpts:

    How has the IPL experience been for Deccan Chargers?
    It has been a big learning curve. At the same time companies that did not get in will be furious at having missed out. The franchisees have all seen the potential of this event. We now know that this can be built up over the years. The IPL will be of the biggest benefit for those who want long-term gains.

    Overall what have the learnings been?
    There have been many. Sponsorship needs to be approached in a more effective manner. We were not able to do this earlier due to time constraints. Most of these deals have been for one year and so plans can be revised depending on what the team’s standing is. It is still early days. The way television has taken to it has been big. Next year, sponsorship rates will go through the roof.

     

    I believe that the IPL is looking for $ 7 to 8 million for ground co-sponsorship rights. Pepsi will go in for associate sponsorship as they want to block out Coca Cola. Each franchise and sponsor has had more than his fair share of learnings that will have to be put in place.

     

    A lot of course correction will happen. This will be from a commercial angle, team management angle, player angle.

     

    For the next three weeks people will lie low and detox from the IPL frenzy. Then they will start addressing issues. There will be a session with the IPL governing body to do a Swot analysis. Teams will look at their overall structure and check to see if all is right or if it needs to be re-looked at. Some problems may be common.

    What were the logistical challenges?
    The travel schedule was awful. I had no idea about the days. There was no concept of weekdays and weekends. It was just one haze of cricket matches and cities.

     

    Hats off to the players for performing. We played a match against Chandigarh. The next day we reached Hyderabad at 9:30 at night. The next day there was a match. Where is the time for player recovery? Players luggage also became an issue. It has to be at the airport. These logistics were more complex than had been first imagined.

     

    Then there is media pressure. Several people want to interview a certain set of players at any given point of time. This needs to be scheduled better.
    ‘The trading window will be key but the guidelines are not clear‘

    For Hyderabad what have the learnings been?
    There have been many. Right from stadium management, which we managed well. The ticketing part was an experience. We were not sure initially as to whether we would have 46,000 seats or 38,000. The stadium was under construction. We had to keep in mind media sessions.

    Not just us, but everybody will handle this differently next time. We sold out tickets for many matches but we have to still understand the pattern in which ticket sales happen. With sponsors there was confusion due to outfits not being ready on time. For the first week we struggled to get a comprehensive photo of the team. Clothes designs and delivery were a challenge. It took us 15 days to do this. If we had time this would have been planned better.

    Is it fair to say that the ones who did well did not have big stars?
    I don’t think so. The ones who did well played as team. They looked up to one individual. Rajasthan looked up to Shane Warne. The passion with which they played as a unit was terrific. Dhoni inspired Chennai. If a team came together it struck.

    Did attitude play a role?
    Yes! There were some players who acted as though the IPL was a holiday. So the franchise had a problem. Some players who were in a high profile position prior to the event were stripped clean. The trading window will be key but the guidelines are not clear. Franchisees can get rid of some players and acquire others. The support staff structure will also be looked at in terms of coaches, physios etc.

    Why did Hyderabad not fare better?
    We had a weak bowling attack. We went on past performance. Some players let us down here. This put additional pressure on the batsmen to add 20 more runs. A team like Rajasthan had the perfect batting and bowling balance. With Delhi we always felt that if the top three batsmen failed we were in with a chance. However they constantly fired until the semi final. Sehwag and Gambhir got out cheaply and they collapsed against Rajasthan.
  • ‘India is a dynamic and an absolute key market for us’ : Anne Barnard – BBC World Ltd. managing director

    ‘India is a dynamic and an absolute key market for us’ : Anne Barnard – BBC World Ltd. managing director

    BBC World News is positioning itself as a tri-media news service with presence in TV, online and mobile. Editorially, it is looking to deliver more live up-to-the minute news reporting, across a broader news agenda.

     

    Eyeing India as an important platform, BBC has set up its regional marketing centre in Mumbai to tap into Pakistan, Bangladesh, Sri Lanka and Nepal.

     

    In an interview with Indiantelevision.com’s Nasrin Sultana, BBC World Ltd. managing director Anne Barnard unveils the changes that news media organisations have to prepare for in the convergence era and talks about the company’s growth plans in India.

     

    Excerpts:

    In terms of audience reach and viewership, where would you place BBC World News?
    BBC World News has a global weekly television audience of 78 million, up from 76 million in 2006. It reaches 159 million full-time households, up 8 per cent from 2006, and 276 million total households globally. In terms of hotel-rooms, BBC World News has increased from 1.4 million to 1.6 million.

     

    On the mobile front, the channel is available on 34 platforms. Mobile is the fastest growing out-of-home platform for us. In India, we have inked content deal with six mobile service providers in India. The list includes BPL, MTNL, Airtel, Vodafone, Spice Telecom and Idea Cellular.

     

    BBC World News is also present in 42 airlines and 57 cruise ships. 29 million unique users (excluding the UK) visit BBC.com every month.

    Where is the audience growth coming from?
    Over the past five years there has been a 50 per cent increase in weekly European audiences and a growth of 25 per cent in Asian viewership.

    Where does BBC World News stand in terms of ad sales revenue?
    In ad sales, we have seen a 20 per cent growth and overall revenue has seen double digit growth.

    In terms of revenue, what kind of growth has Asia seen?
    In Asia, we have achieved a growth of 20 per cent.

    How much does subscription revenue contribute?
    We have recently launched two channels in India. We are in pay mode in India. The subscription revenue has just started to kicking in. Most of the channels in South Asia are largely free. In Southern Europe, we do not get subscription revenue at all.

    What are the key markets in Asia for BBC?
    From our commercial and advertsing point of view our key markets are India, Singapore, Hong Kong, and Japan. We see huge potential in the Korean market, especially with our online product.
    ‘In Asia, we have achieved an ad sales growth of 20 per cent‘

    Why did you zero in Mumbai as your first regional marketing centre outside the UK?
    BBC World News wants to create a much more definite approach to new online and mobile products of BBC News and its consumers. India is a dynamic and an absolute key market for us. The regional centre in Mumbai will focus on the South Asian market.

    After the launch of the first regional marketing centre outside the UK, will there be any change to operations in South Asia?
    There will be key changes to the operations in South Asia, with a series of appointments for the regional marketing centre in Mumbai.

     

    BBC Global News will bring together BBC World Service radio, BBC World News television, the BBC’s international facing online news services and BBC Monitoring.

     

    All South Asian marketing, communications and audience insight (MC&A) activities will be managed from Mumbai. The Mumbai office will continue to service BBC World News’ MC&A needs in India, but will now additionally manage World Service’s extensive activities across the region, including Pakistan, Bangladesh, Sri Lanka, and Nepal.

     

    Vaishali Sharma has been promoted to head of marketing & communications, BBC Global News, South Asia.

     

    Dezma De Melo, who was previously head of audience insight for BBC World, has been promoted to head of audience insight, BBC Global News, South Asia.

     

    De Melo and Sharma will work across consumer and trade activities and will, for the first time, provide in-region support for World Service business development teams.

    Are you making any changes in your programming mix this year?
    BBC World News is now positioned itself as a tri-media news service, delivering international news and information across multiple platforms – TV, online and mobile. Editorially, BBC World News is looking to deliver more live up-to-the minute news reporting, across a broader news agenda. It will also focus on providing more in-depth news and debate, plus global and regional news, business and sports programming including the popular World News Today with Nik Gowing, and India Business Report which target the Indian market.

     

    We plan to expand our family of World News Today programmes from five hours, to seven hours a day. In July, a new World New Today programme with Mishal Husain will be launched. Our weekends will be focused on delivering topical lifestyle and documentary programming.

     

    A number of BBC programme seasons are also planned over the course of the year and will be broadcast across TV, radio and online.

    What about ad funded programming?
    It is the advertisers’ creation and ideas that we further push as a funded programming. But in all such cases, the editorial rests with us. Ad sales team does not impose upon any story on the editorial; they only suggest ideas. After we receive all the entries for the ad funded programming, we select only six programmes which suit our programming code.

    Which is your best ad funded programming?
    Our best is World Challenge sponsored by Shell. This year we will be in our fourth season. In the fourth season, we have teamed up with Newsweek and Shell for the World Challenge, to identify and reward people and groups that bring economic and social benefits to their local communities.

     

    This year each nomination must fall under one of the following categories: community welfare and enterprise; health and education; sustainable farming; energy; water and environment.
    A panel of judges will then shortlist the entries down to the 12 best examples of community-based projects or businesses.

     

    BBC World News will then produce six 30-minute programmes profiling the 12 finalists showing how their projects and businesses are changing lives. These programmes will be broadcast to the channel’s global audience in October and November, and the channel’s viewers will be invited to vote online for their favourite project or business.

     

    Last year a record 942 nominations were received from 99 countries worldwide. Winning project T’ikapapa – a Peruvian project set up to bridge the gap between Andean farmers and the potato market – was presented with a $20,000 grant from Shell to further develop their initiative.

    Would such programming have been possible for BBC to undertake without the ad fund support?
    No.

    With pressure coming from commercialisation, what are the changes that BBC News has gone through recently?
    There are no such pressures. Editorial and sales are two different entities.

     

    How do you position BBC World News in an Indian scenario where there is a mushrooming of popular local news channels?
    Our aim is to present a different and unique point of view. We do not want to put ourselves under pressure of becoming a market leader in India.
  • ‘We are talking with global companies to set up a studio to develop content’ : Rohit Sharma- Zapak Digital Entertainment COO

    ‘We are talking with global companies to set up a studio to develop content’ : Rohit Sharma- Zapak Digital Entertainment COO

    With a war chest of $100 million (Rs 4 billion), Reliance Entertainment’s online gaming portal Zapak is looking to invest in infrastructure and expand even beyond the frontiers of India. The portal is going to launch in China, Pakistan and the UAE.

     

    In an interview with Indiantelevision.com’s Ashwin Pinto, Zapak Digital Entertainment COO Rohit Sharma talks about the global plans of the gaming portal and the steps that are being taken to reach there.

     

    Excerpts:

    When George Soros picked up a 3 per cent stake in Reliance Entertainment for $100 million, how big was Zapak as a valuation attraction?
    It was definitely a point of attraction as it is one of our oldest businesses. Since Zapak is one of the most successful internet companies in India, it gives value to investors. However, I cannot talk about valuations. The investment has helped us understand what our value is and how we can scale it up.

    How much is Zapak going to invest and what is the breakeven period?
    Since gaming is still at a nascent stage in this country, the breakeven will not happen before four to five years. We are investing $100 million over the next five years. In terms of operational expenditure, we have to invest in manpower, bandwidth and marketing activities. In terms of capital expenditure, we are investing in infrastructure as well as technology and content. Our costs will go up each year as the business grows.

    What are the lines of synergy Zapak is drawing with the other verticals of Reliance Entertainment?
    We have the movie business with Adlabs. A lot of content alliancing will happen here as we acquire content, produce and co-produce it. Zapak will also develop content based on these movies.

     

    There are strong synergies between Big Flicks and Zapak as both are located in the internet space. Bigadda is our social networking site and the audience is similar. So we do a lot of cross-promotional activities. And with our FM radio business, we use it as an advertising medium.

     

    Thus, if we take the gaming piece in the entertainment space, there is a lot of content syndication, retail syndication and advertising opportunities that are possible.

    What are the trends being seen in online gaming in India?
    Zapak is setting the trends here as there is no other online gaming player in India per se. We have a 70-75 per cent market share in terms of revenues and the number of users which is four million right now. We are also attracting good advertising and so we are witnessing an upwards trend.

     

    The learning for us is that the user wants compelling content. Therefore, publishers/developers like us need to invest in the right kind of content. The content, whether global or local, has to be high-end in terms of graphics, artwork, game play and design.
    ‘The kids genre has done well for us. Zapak Girls also does well as do our action oriented games. But cricket is our biggest property‘

    Who comprises your TG?
    Surprisingly consumers have an equal ratio between the top cities and B, C towns and cities. Males in the age group 12-25 are the core TG. Having said that, however, youngsters below 12 are increasingly playing on Zapak. They are becoming stickier towards gaming.

    How does the market size for online games compare with mobile gaming?
    If you look at developed gaming markets like China, Korea and Vietnam, online gaming has surpassed mobile gaming. In countries that have a strong PC and online penetration, online gaming offers a better user experience. The best part about online gaming is that you can form communities that you cannot have on the mobile.

    Could you shed light on the strategy being followed to increase the product portfolio?
    When we started, we focused on casual games, which is the low hanging fruit. There is no point getting hardcore games to non-gamers. We brought in world-class casual games into the country. We work with over 50 studios globally.

     

    Having built a critical mass of gamers, we want to expose them to better content. We are going into the next phase which is to bring in casual hardcore games and hardcore games.

     

    Hardcore games are played in cafes and most cafes do not have the right PC specifications and infrastructure for this. This is why we started our gameplexes across the country. We will have almost 10,000 seats by the end of this year. We started our gameplex business in the big cities and towns. Now we have expanded to smaller places like Jaipur where we are also getting good traction.

    What have been your top five properties?
    The kids genre has done well for us. Zapak Girls also does well as do our action-oriented games. But cricket is our biggest property. You need to have a hybrid model. Generally, in business it is a 80:20 ratio where 20 per cent of content gives you 80 per cent of traction.

     

    However, in casual online gaming, the long tail is also important. A lot of people who come back, also want to check out the catalogue in addition to consuming the same content twice or thrice. Therefore, you need to build on your catalogue.

    Zapak has done activities to get women and children involved in gaming. What prompted this?
    The 12-25 male TG is still being built up. It has not been fully tapped. However, we have gone into early segmentation. We want every gamer in this country to relate with Zapak. We want to have a product and a service for everyone including a four-year-old kid. Therefore, we have been broad basing our offerings.

    Does Zapak also focus on game development?
    We have a small in-house team but we don’t do actual game development. We outsource it. We work exclusively with studios both in India and abroad. We drive the game ideation, concept and documentation. Then they do the rest. We work with our sister company Jump Games. We work with a Delhi-based company Saffronage. However, by and large, we work with studios outside India.

     

    There have been technological advances from a product point of view. Casual games are now incorporating social networking phenomena. Community features which are possible due to technology are growing in importance. The more features you have and the better customer relationship management setup you have, the better is the traction you will get.

    Is Zapak also looking at acquisitions in the gaming space?
    Yes! We will be aggressive in this regard both in India and abroad. Our targets would include game developers. In India, nobody has the competence to develop a game from scratch to finish. Besides acquiring content, we are also talking with global companies to set up a studio which could serve as a factory to develop content.

    What are the different revenue sources for Zapak and how important is advergaming in the mix?
    Advertising is our main revenue stream at the moment. Casual games are a portal business. We also get some revenue from our cafes and our cards business as well as events that we do. Subscription revenue will come in when we get into offering hardcore games. Users either purchase the product or subscribe on a monthly or a weekly basis. Our first product here will be three casual MMOG titles which will be launched in May and June.

     

    Could you give me examples where Zapak has done innovations for clients?
    With McDonalds, we did a deal where you buy a “Happy Meal” and get a product from Zapak. With Dominos, we did an innovation around a gaming pizza which was accompanied with goodies. We also tied up with MTV for games around their show Roadies.

     

    There is talk about how gaming is evolving into a social activity with massively multiplayer online games (MMOG). What is your view on this?
    If you look at countries like China and Korea, it is the stickiest social networking opportunity. Other entertainment options do not engage on a social level. In a virtual world, though, you live a virtual life. Already in our cafes, you see thousands of kids who live in a virtual environment.

     

    The BCCI is kicking off the IPL in April. Are you looking to work with the franchisees to develop properties?
    Yes! We are working with franchisees to develop properties that aim to reflect the sport.

     

    Does cricket work better than Bollywood for games?
    Yes! This is partly because cricket has gameplay built in. With film, you have to think about a strategy that can fit. We have worked with Bipasha Basu and Salman Khan. We also did successful games around the film Cash. However, even in Hollywood, games out of films are not generally successful. Spiderman was an exception, though. The challenge for us is to tailor Bollywood content so that it is suitable for gameplay.

     

    Apart from cricket, are you looking at other sports?
    We are looking at tennis and F1. We also feel that table tennis will translate well as an online game. We recently did a successful tennis game that Apollo sponsored. In terms of working with official sports bodies like Fifa, their licence fees are too high to justify a good RoI in India at this point of time.

     

    What is the way forward to combat the lack of skill sets in game development in India?
    Gaming has to be more widely accepted as an activity and profession. Companies from abroad have to come in and invest. We cannot grow this space all by ourselves.

     

    How did the concept of “Zapak Corporate Gamer Challenge” come about? Do you foresee a time when gaming will be viewed as a professional sport in India?
    We have a division called Zapak Live. This division organises conferences, events, tournaments, etc. We realised that a lot of casual gaming happens in the office. So it seemed like a good idea to take it to an offline level where corporates can take part. The response was good. I see no reason why gaming cannot be looked at as a sport in India a few years down the line.

     

    One of your recent marketing innovations revolved around offering people the chance to win cash by constantly playing. How was the response to that?
    It was a loyalty programme for the portal. For each activity done, participants got points. It was a three-week programme. We also do other marketing innovations. We had done a series of short films to create awareness for our e-mail product. We also do a lot of viral activities which have included spoofs on films like Sholay. We also did innovative stuff in loos in multiplexes.

     
    Finally, is Zapak looking at expanding abroad?
    We are looking to launch our portal in China, Pakistan and the UAE. You will see launches from the next quarter. Our USP is content that is not India-centric; it appeals to a global audience. It is a question of customisation from a language point of view.