Tag: Regional

  • SPT Networks, Asia appoints Phar Partnerships as regional ad sales representative for ‘The Apprentice Asia’

    MUMBAI: Sony Pictures Television’s networks, Asia has appointed media sales and sponsorship company Phar Partnerships to be the regional advertising sales representative for its next mega original production – the business based reality show The Apprentice Asia.

    The company works in the sport, entertainment, media and travel arenas. As part of its international growth strategy, the company has set up offices in six cities over the last 20 months.

    Sony Pictures Television Networks, Asia executive VP Ricky Ow said, “We are pleased to have PHAR Partnerships on board, which gives us additional resources and focus to support a mega original production like The Apprentice Asia.”

    Phar Partnerships CEO Marcus Wight said,“It has been a very rewarding year of working with AXN and Mark Burnett to achieve our goal of making The Apprentice Asia a reality. Our Chairman, Tony Fernandes, is fully committed to encouraging entrepreneurship and we are all confident that the Asian version of The Apprentice will be as big a success as it is in other parts of the world. We look forward to announcing several new sponsors over the coming weeks.”

    Set to premiere on AXN across 20 countries in Asia in the first half of 2013, ‘The Apprentice Asia‘ will be hosted by aviation tycoon Tony Fernandes; with FremantleMedia Asia producing the Mark Burnett Productions format. The elimination competition format will pit Asia-based business executives against each other, for the lucrative opportunity to work for one of business magnate Fernandes’ businesses.

  • Suvarna scripts a programming turnaround

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

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

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

     

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

     

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

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

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

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

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

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

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

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

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

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

     

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

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

     

     

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

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

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

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

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

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

  • Marathi cinema in high gear

    The Marathi movie market is set to enter into a new phase of growth as Star, Reliance ADAG and the Sakaal Group plan to launch general entertainment channels in this langauge space.

    Marathi film producers suddenly see a fresh demand for their content, which was being consumed largely by Zee Marathi and to a lesser extent by ETV Marathi.

    Satellite TV telecast rights for Marathi movies have surged, encouraging producers to increase their production pipeline. “The average purchase of these rights for the popular movies have more than doubled,” says a trade expert who is involved in such transactions.

    There are also more outright purchase of movies and at higher prices. Zee Marathi is said to have spent Rs 4.6 million for the perpetual rights of Tingya, much more than a hit Marathi movie would have cost two years back.

    Some movie rights holders are hanging on to their library with the expectation that prices will further escalate. Says Video Palace owner Nanu Bhai, “I have some 30 Marathi superhit movie rights along with Everest Video. But we are in no hurry to sell them. Let prices further increase.”

    Top five grosser of 2007-08
    Films Total Collections
    De Dhakka RS 60 million
    Saade Maade Teen RS 45 million
    Valu RS 30-35 million
    Tingya RS 15 million
    Aamhi Satpute RS 12.5 million

    It is only after 2004, when Shwaas (which literally means breathe) gave a fresh lease of life to Marathi cinema. Even though Shwaas was sent to Academy awards, the producers had to hunt for money through charity shows to present the film there.

    Post Shwaas, however, the market started expanding. The awareness about Marathi cinema increased considerably with creativity in subject, promotion, distribution and technical advancements. Also in Maharashtra, the state government’s rule that every multiplex has to run Marathi movies has changed the fate of this market.

    But what has fuelled the growth is the entry of corporates into the market. The roster includes Zee Entertainment Enterprise Ltd (Zeel), Reliance and Mukta Arts.

    Zee has been the most aggressive player. Zeel director of regional channels Nitin Vaidya had earlier told Indiantelevision.com that it would be investing RS 300 million for a slate of 15 Marathi movies in two years.

    Mukta Arts has also chalked out its production plans. The Subhash Ghai promoted company released Sanai Choughade on 20 June; another flick Prarambh is slated for August release.

    With the pumping in of more money, the industry is going to see more movies being made. In 2006, around 45 movies were released in theaters while the number rose to 67 in 2007. In 2008, more then 80 movies are expected to hit the theatres.

    The size of the market is expanding. Says Akhil Bharatiya Marathi Chitrapat Mahamandal president Ajay Sarpotdar, “The Marathi movie market (theatrical) was not more than RS 50 million in 2006. It managed to touch RS 160 million last year with the government‘s screening rule for multiplexes. In the first six months of this year, we have already crossed RS 220 million and expect to over Rs 350 million by the end of the year.”

    The major problem with Marathi cinema was its promotion and distribution wherein a lot depended on word of mouth publicity. Even though a Marathi movie costs not more than RS 6-7 million, producers did not have enough cash to put in money for promotions.

    That game is fast changing. As per market estimates, Zee Talkies has invested over RS 15 million in promotion of De Dhakka, a budget earlier unheard of. The movie has reaped over RS 60 million in collections so far.

    “With the kind of publicity we can do through our network, we already have an advantage over our rivals. We are bullish about the Marathi movie market,” says a senior executive in Zee Talkies.

    Mukta Arts is also planning to invest in scripts, marketing and promotion. “We are in search for good scripts as content is what drives the audience,” says Mukta Arts CEO Ravi Gupta.

    Adds senior Marathi producer Mahesh Kothare, “With the right kind of money, promotions and marketing, the Marathi movie market is growing very fast. Corporatisation is an added boon as they can easily spend over Rs 10 million in promotions.”

    Being made on as low as Rs 6-7 million budgets, the business dynamics has turned favourable as Marathi general entertainment channels grow in number and are keen to lap up movie content.

    Sums up Galgale Nighale‘s director Kedar Shinde: “We are currently in the first gear. Very soon, we will be driving in high gear.”

  • Television woos Marathi Manus

    SABTNL vice chairman and managing director Markand Adhikari assures us that his long-in-the-pipeline channel ‘Mi Marathi’ will finally be making its appearance in February 2007.

    With just two players in the GEC market – Zee Marathi and ETV Marathi – and one public broadcaster – DD Sahyadri – struggling to keep up with the onslaught of private players, the time is just right for more players to enter the niche Marathi regional market.

    It’s an open field and almost every television network has set sights on it. Like one industry gentleman mentions, “We’ve looked and looked until our eyes have watered.”
    That’s one of the more cautious players checking the scene. But what catches our interest is the launch of two new channels on the anvil. Zee News Limited is about to launch Chouvees Tas (25 January is the date that is doing the rounds), a 24 hour news channel in Marathi while Adhikari brothers Mi Marathi should launch soon too.

    Other players who are evaluating the market include TV18 and Star, although both networks declined to make any specific comment, insisting that the regional market is an unexplored territory, whether in Maharashtra or the other regional segment fast gaining interest – the south.

    BACKGROUND

    This is not the first time that channels have wooed the Marathi Manus. The first wave of Marathi channels saw DD Sahyadri, Zee Marathi, ETV Marathi, Tara Marathi and Prabhat fighting for eyeballs. DD Sahyadri was launched in 1998 and was followed by Zee Marathi in 1999. ETV Marathi, Tara and Prabhat were launched in the period between 2001-02.

    While the Rathikant Basu led Tara Marathi and Prabhat channels have long since shut shop, Zee Marathi and ETV have not only managed to hold on but have since established themselves, pushing DD Sahyadri to the third position.

    DD Sahyadri tried to resurrect itself in 2003 and even raced ahead of the two private players for a brief period. But recent figures suggest another role reversal.

    THE NUMBERS GAME

    Take into account the figures for last the three months (Oct-Dec 2006), in the CS + 4 Yrs by Tam. ETV Marathi is leading the channel share in Maharashtra by a narrow margin ahead of Zee Marathi, while DD Sahyadri is lagging behind with just 11 per cent share.

    In Mumbai, however, Zee Marathi pipped ETV Marathi to the post with a 50 per cent share.

    Two weeks into the new year (with CAS having been implemented in south Mumbai and Tam introducing its new, expanded peoplemeter panel), the data throws up a few surprises. And this time Zee Marathi is seen beating ETV Marathi by a high margin. In fact, it competes with Star Plus in the Hindi GEC and emerges a winner.

    Channels GRP
    ZEE Marathi 351
    Star Plus 319
    ETV Marathi 258

    Channel GRP in GEC
    Market:All India
    TG: CS 15+Yrs
    Source: TAM Peoplemeter

    Zee Marathi business head Nitin Vaidya is elated as he brings out the week two results. “Zee Marathi has surpassed Star Plus in the overall channel market share. Both Mumbai and all Maharastra categories show a significant lead for Zee Marathi,” says Vaidya. The data he details is clearly reflective of the channel’s hold over its Marathi speaking audiences; whether during prime time viewing or the afternoon band with a predominance of women oriented programming.

    “I’m not bothered about the Kyunki’s and Kahaani’s of the world. My competition is not restricted to the Marathi market. I want to compete at equal par with all other entertainment channels. For instance; Sa Re Ga Ma Pa hosted by Pallavi Joshi on Zee Marathi is as popular as the one on our Hindi network,” reiterates Vaidya. In fact, the channel is so confident about its show that the time slot of 10 pm coincides with Star Plus’ popular K-sagas. Despite this, the channel claims to have wide viewership amongst its Marathi viewers. While one of the reasons for Star’s slump could be attributed to Tam having increased its peoplemeter sample size to more cities and updating the number of C&S homes, the interest in Marathi market by established networks is an indicator of its mass appeal.

    The numbers also show that Marathi channels, once considered a slow moving market, are undergoing a paradigm shift. The competition is no longer restricted within the niche Marathi channel market but has spilt over to all GECs. According to industry sources, the Marathi market growth rate in 2003 was a modest 8 per cent. Compare that to the 13 to 14 per cent growth rate touted today and we get an idea of why other channels are waiting to jump into the fray.

    The general bonhomie over the Marathi market growth is also shared by other industry watchers. Vaidya estimates that the size of the Marathi regional market is Rs1 billion and will be about Rs1.2 billion by year end.

    CONTENT IS KING

    Zee Marathi has clearly ridden the success wave on the back of its programming. Zee Marathi spruced up its programming act last year with the introduction of many new shows. Currently, 11 of the top 15 shows on Marathi regional channels is by Zee Marathi. Zee Telefilms head network sales Joy Chakraborthy believes that the Zee Marathi success was due to its shift from a ‘cost centric’ to a ‘content and marketing centric’ strategy.

    Doordarshan director Satish Sonkar, who has recently replaced an unceremoniously transferred Mukesh Sharma, is confident about DD Sahyadri. “Our terrestrial reach cannot be duplicated by the private channels. Hence the CAS situation does not bother us too much.”

    DD Sahyadri:Losing the numbers game?
    Source:www.ddindia.com

    Sonkar is also gearing up to revive the sagging fortunes of Doordarshan. “Plans are on to launch a new breakfast show in the time slot between 7 to 8 in the morning moulded on the popular Subah Savere format. The emphasis throughout our programming content will be on infotainment.” The channel also wants to experiment with ‘parallel programming’; although current infrastructure does not permit it do so. Sonkar is also eager to do away with repeats on the channel and replace them with documentaries or feature shows “showcasing cultural aspects of Marathi culture like the history of Lavani”.

    Award events like Zee Gaurav Puraskar on Zee Marathi to be held on 3 February will see over 10,000 people in attendace. Sahyadri’s Hirkani Puraskar also claims a loyal viewership every year.

    Adhikari’s ‘Mi Marathi’ is likely to give the general entertainment channels a run for its collective money with its ‘bank of 3,000 programmes’. “With a tagline of Aaplya Maansanchi Aapli Vahini (our channel for our own people) and the experience of producing the most popular shows on Doordarshan we will certainly do well,” maintains Adhikari.

    AD REVENUE

    On a rough estimate, Zee Marathi takes in ad revenues to the tune of Rs 400 million to Rs 450 million while ETV Marathi would be in a similar range. DD Sahyadri claims to have already raked in Rs 300 million, the target set for 2006-2007.

    Sahyadri also switched from a sponsored to commissioned model starting Oct ’06 to eliminate the middle man. While this is on an experimental basis right now across its regional kendras, the Sahyadri channel has started this on 3-4 of its programmes and aims to extend it to all its programming by the end of this fiscal. The channel is confident that this policy called SFS (self financing scheme) will bring in the much needed ad revenue.

    But Marathi channels will have to woo the advertisers more intently. Most of the biggies in terms of advertising in Marathi channels are the FMCG companies like HLL, Reckitt, J&J, Marico, Wipro and they continue to dominate the top advertisers list over the last three years. Most of the new entrants are also from the same category with players like ITC & L’Oreal.

    GOOD ‘NEWS’

    The general news market will see the addition of a new player as Zee News’ Chouvees Tas. Zee News Limited CEO Harish Doraiswamy says, ‘Unless someone else pips us to the post, we are all set to become the first 24-hour Marathi news channel. There is certainly an equity in the Marathi news market since what is now available to a Marathi viewer is only hour on hour news at Zee Marathi, ETV Marathi and DD Sahyadri.’ The channel, which will be launched in a phased manner, is slated to cover all Maharashtra and will enter the market as a free-to-air channel.

    Does the rural- urban divide amongst Marathi viewers still exist and will this be a critical factor for Marathi channels? Doraiswamy says, “The content on the news channel will have to be tweaked to suit different categories of Marathi viewership. But by and large, the aspirations of the Marathi people are similar across geographical boundaries. In India, we may call a Latur or Sangli a small city, but judging by the population size these would be large cities had they been in the States. Going by the argument, we don’t see a disparity in our viewership. We will have agri-based programming or news specific to the community. The genres of programming will however be consistent throughout.”

    ETV Marathi focus on news
    Source:www.etv.com

    ETV Marathi first saw the potential of well packaged news and has three news bulletins – ETV Marathi news, Maharashtra Maaza and Aapli Mumbai. The channel also has an issue based talk show Vrutt Vaidh. Sahyadri also has a news bulletin in the evening called Batmya. Zee Marathi’s Zee News Marathi is now airing at regular intervals during the day along with hour-on-hour headlines, which will also be withdrawn in the run up to its 24 hour news channel.

    Clearly, the latest battle lines amongst these channels will be drawn around news since most of these channels agree that they can never match the programming budgets of some of the bigger channels. Roping in the Marathi viewer through events, awards shows, interactive game shows can be seen across the channels already.

    GRAPPLING WITH CAS

    Starcom India’s Girish Upadhyay brings in the media planner’s perspective when he says, “If we just see the one week data we have post CAS implementation one sees regional channel shares increasing by 20-25 per cent whereas some of the big mass channels have reduced in terms of share, but still these are early days.”

    He further states, “The general understanding is that niche & local regional channels do well in a CAS environment, since in such an environment people take channels which they are passionate about. But there won’t be space for too many channels to survive because a consumer ultimately has to shed money for every extra channel he takes.

    “This could give rise to two scenarios: The first entrant in the market would have an upper hand, since viewers have a habit of sticking to whatever they start watching first.

    “Consumers will also be tempted to buy a bouquet which has a mix of everything-news, movies, mass, regional. So these smaller news channels will do well if they become part of a good well-rounded bouquet of channels.”

    WAY AHEAD

    What is clear is that the ad revenue pie of the news market, with the entry of these players, is not going to increase much; in fact it will fragment the market further. Also, the big players are entering into news not because of revenue but more because they want to create an impact. Under the Cas regime, the network that offers the most variety in its bouquet is likely to win. That is precisely why one sees some of the news channels nowadays getting into the entertainment channel space which could be an added source of revenue.

    So is there room for more regional news channels? The language preference by the masses could just tip the scale in its favour. It is similar to newspaper readership across markets where vernacular is preferred over English/Hindi publications. The fact remains that in Mumbai, many of the Marathi households buy two newspapers – an English daily and a Marathi newspaper.

    Upadhyay does a comparative on the Bengali news market, which has Star and Zee amongst its players. “If we had to take the West Bengal a figure in terms of news, Star Ananda is currently ruling with a share in the range of 3 per cent while Zee’s Choubees Ghanta is in the range of 1.5 per cent, followed by the other all India players.”

    Although it would be tough to judge the Marathi market on the same basis, regional channels do have an upper edge purely due to language and cultural preferences.

    This could very well mark the second wave of Marathi regional channels and news will be the genre to watch out for.

  • Regional, News: Zee’s growth road

    Laxmi Goel is taking time to settle down in his new role as Zee News Ltd. (ZNL) director. Now in his baggage will fall a clutch of regional channels which he has to manage along with the news business he has been in charge of.

    Sitting on a revenue of Rs 2.01 billion, the task cut out for Goel is to grow the size of the egg. As the startup channels have to be nurtured and funded, he will also have to worry about the profitability of the company Though ZNL posted a net profit of Rs 161 million for the 2005-06 fiscal, this did not include the loss of Rs 460 million from Zee Telugu.

    The southern language channels will continue to perplex Subhash Chandra‘s younger brother for a longer time. While Kalanithi Maran‘s Sun Group channels hold fort in the region, Asianet is powerful in Kerala. Zee Telugu and Zee Kannada, the only two channels from the Zee stable so far, have yet to stamp their mark in a market they have newly entered.

    So, what is Goel‘s plan of attack? Launch local language news channels in the southern region and create a bundle along with the general entertainment channels. He has already executed that in the Bengali market (Zee‘s cable TV arm enjoys over 60 per share in Kolkata) by entering into a 50:50 joint venture with Akash Bangla (said to be funded by supporters of the Left party) to launch Chobbees Ghanta. “We have planned for the south Indian regional news channels which will take shape at a time we consider to be right,” he says.

     

    Zee News Ltd director Laxmi Goel

    Also in the pipeline is the launch of Tamil and Malayalam language channels, the two lucrative and most difficult markets to penetrate. But without it, Goel knows, the regional bouquet will not be complete. He has to take the dive into these markets, no matter what odds the company has to face. “The capex investment of each channel could be in the range of Rs 250-400 million. The launch of these channels will happen at the appropriate time,” he says.

    Zee‘s task gets tougher with Maran controlling the movie library and spinning out popular soaps from TV producers who work exclusively for the Sun Group. This forced Zee Telugu to experiment with alternate programming, aimed at younger audiences. “We launched prime time game shows and events in an attempt to get audiences veer away from soaps shown on the top three channels. The task is to break the old viewing habits of audiences. We are succeeding, albeit slowly,” says Zee South Channels business head Ajay Kumar.

    Zee Kannada has adopted a different programming plan and, with the market size being small, is tailoring programming for the mass audiences. The focus right now for this almost two-month old infant channel is to secure broad distribution as, without reach, it will not be able to build the audiences for tapping ad sales.

    Outside the southern region, all the Zee regional channels are profitable except Gujarati. Zee Bangla will see major investments on programming, marketing and film buying. So will Zee Gujarati which has already been launched in UK and US. Says Zee (Marathi, Bangla & Gujarati) business head Nitin Vaidya, “We are on a major investment drive to spruce up the Bengali and Gujarati channels. We want to turn around and establish Zee Bangla, which is in second spot, as a clear leader in that market. With Zee Gujarati available in the UK and US, we are investing to take care of those audiences.”

    In a meeting with analysts, Chandra admits Zee Gujarati is suffering small losses. “But all the regional channels in the bouquet are making marginal profits. The profits this year should grow. And we expect all the new businesses to break even by the fourth quarter of this fiscal,” he says.

    ZNL is expected to grow over 25 per cent this fiscal. Says Essel Group CEO of corporate strategy and finance Rajiv Garg, “We are projecting a revenue of Rs 2.5 billion in FY07 and Rs 2.9 billion in FY08.”

    For speedier growth, the challenge will be to up the revenues even in those regional markets where Zee is one of the leading players. This means Zee Marathi, Zee Punjabi, Zee Gujarati and Zee Bangla will have to take the tough stance of hiking advertising rates which have grown only at a snail‘s pace. Analysts put Zee‘s ad revenues from regional channels at around Rs 800 million, and only growing slowly.

    “Regional channels have a growth potential in the long term. The regional ad market is growing faster in the southern region, but there the Zee channels have a feeble presence. We see better prospects for these channels in an addressable environment. With ETV, which has a strong Marathi channel going pay, subscription revenues for Zee will also improve,” says an analyst.

    Size, though, will have to come from the news channels. As Goel says, “The news genre has seen appreciable growth in the last few years.”

    No wonder NDTV‘s total income has jumped to Rs 1.94 billion for FY06, up from Rs 1.57 billion a year ago. TV Today Network‘s turnover rose to Rs 1.68 billion while Television Eighteen, which owns and operates CNBC TV18 channel, posted a revenue of Rs 1.27 billion last year. Though Hindi channel Zee News stood firm ground in this fragmented environment, it barely managed to reap from the windfall that spread across the news networks as the ad market for this genre exploded over the last few years.

    Zee News is investing in news automation systems as it plans to gain audiences with, as Goel says, investigative journalism and focus on hard news in prime time. “We have changed the look and feel of the channel. We are also putting money in field resource augmentation. We expect our new automation systems to be working by July-August. The channel is gearing up to face the next level of competition,” says Goel.

    Muscling its way to stay head of the pack of Hindi news channels is a mission impossible at this stage, analysts say. “The Hindi news space is seeing very aggressive play from all the players including market leader Aaj Tak. But to the credit of Zee News, it must be said that it has managed to stay stable,” they add.

    In the financial TV news, Zee Business stands almost eclipsed. CNBC TV18 dominates the space and has supplemented its English channel with Awaaz to lap up Hindi viewers. NDTV has launched Profit which has much better distribution than Zee Business.

    Will Zee launch a general English news channel? Goel skirts the question. “It has been the declared mission of Chandra that you must be present in every genre and segment that has potential for growth. We will decide on this later,” he says.

    The reality is that this genre is too crowded and thin a market to accommodate many players. The operating cost, at the least, would be upwards of Rs 700 million a year and with distribution and ad revenues an issue, it is hardly likely that Zee will take the plunge now. “In the Hindi and English news space, the process of consolidation has already started because the market can‘t sustain so many players in a healthy manner. The next battle will be fought in the regional language space in the news genre,” he says.

    So, take the warning. Zee News will probably come up with more regional news channels, gobbling up some if and when they are available.

  • Star makes a mark in regional; Sun’s flanking strategy pays off: IRS Survey

    Among Hindi general entertainment channels (GEC), only Star Plus has been able to really improve its position in the regional television space over the years, according to the 2006 IRS survey Round I.

    The data offered by Hansa Research and Media Research Users Council (MRUC) on the regional space also reveals the success of Sun Network‘s flanking strategy across the South.

    HINDI GEC

    The top 10 lists of the Tamil Nadu and Kerala markets offered by the survey don‘t have a single Hindi GEC player present from this category. The markets Hindi GECs are doing extremely well, according to the survey, are West Bengal, Maharashtra and Punjab.

    Though these channels have gone down in rankings overall — as compared to the 2000 data — they still have managed to find a place in the top 10 in the Andhra Pradesh and Karnataka markets.

    The 2006 rankings of Hindi general entertainment channels in various regional markets. Rankings are given in brackets.

    Star Plus: Maharashtra (2), Punjab (2), West Bengal (3), Karnataka (5), Andhra Pradesh (7)
    Zee Cinema: West Bengal (4), Punjab (5), Maharashtra (7), Karnataka (9)
    Sony: Maharashtra (6), West Bengal (7), Punjab (7), Andhra Pradesh (10)
    Zee TV: Maharashtra (8), Punjab (9)
    Max: West Bengal (9)
    Star Gold: Punjab (10)

    Now, compare these positions with the 2000 rankings:

    Star Plus: Maharashtra (7), Punjab (6), West Bengal (10), Karnataka (9), Tamil Nadu (10)
    Zee Cinema: West Bengal (3), Punjab (5), Maharashtra (6), Karnataka (10)
    Sony: Maharashtra (4), West Bengal (4), Punjab (4), Andhra Pradesh (5), Karnataka (4), Kerala (10)
    Zee TV: Karnataka (5), Andhra Pradesh (6), Maharashtra (3), West Bengal (5), Punjab (3).
    Star Sports: Karnataka (7), Andhra Pradesh (8), Kerala (7), Maharashtra (8), West Bengal (8), Tamil Nadu (7), Punjab (10)
    ESPN: Andhra Pradesh (9), Kerala (8), Maharashtra (10), West Bengal (7), Tamil Nadu (8)

    The chart projects an improved performance from Star Plus, when comparing the viewership figures of 2000 and 2006. For example, its West Bengal performance graph has shot up from the 10th position to the 3rd. Though the general entertainment channel (GEC) lost the Tamil Nadu market as it reached 2006, the consolation has come in the form of Andhra Pradesh, where it is positioned in the seventh spot as per the data.

    “The data clearly portrays Star Plus‘ journey post Kaun Banega Crorepati (KBC). KBC established the channel in the Hindi speaking markets and it proved to be a strong launch pad for the channel in the non-Hindi regions. This followed the strategy to strengthen this position through serials, and that saw the entry of all those K serials. Star Plus used its serials effectively lure the all India market. The strategy worked except for Kerala and Tamil Nadu, which are known as hardcore regional language markets,” says Hansa Research marketing & client servicing India head V Sudarshan.

    Speaking on the channel‘s good show in Karnataka and Andhra Pradesh, Sudarshan offers, “These states have certain Hindi speaking belts and hence, the channel is doing considerably well in these South markets as well.”

    Zee Cinema has been successful in retaining all the four markets as it reached 2006, but improvement came only from the Karnataka market. At the same time, the 2006 regional performance graphs of Zee and Sony are not very convincing. As the data given above reveals, Zee TV has lost the top 10 position in as many as three markets, while Sony lost in two. For both the channels, Maharashtra and Punjab proved to be the comfort zones.

    “Zee and Sony were doing decently well with their serial-oriented strategy in the regional markets. However, of late, both the channels were seen devoting their important slots to gameshows and talent hunts. This diversion might have failed to impress the regional market,” opines Sudarshan.

    REGIONAL CHANNELS

    Now coming to regional channels, the 2006 picture is predictable as far as top rankings are concerned. The data shows a Sun Network dominance in Karnataka (Udaya) and Tamil Nadu (Sun) markets. ETV is number one in Andhra Pradesh, while Asianet has edged out Sun‘s Surya TV to clinch the top spot in Kerala.

    In Tamil, while Raj TV has gone down from the 3rd position (2000) to 6th (2006), Jaya TV has done well to reach the third spot this year. The data also offers a portrayal of how Sun Network‘s flanking strategy worked in the Southern space. The bonanza came from the Tamil Nadu market, where Sun‘s movie and music channel KTV holds the second position behind the market leader Sun TV. SCV is in the 5th spot, while Sun News has made it into the 8th spot. In Karnataka, Sun channels hold the top positions. Behind Udaya (1) and ETV Kannada (2), placed in the third position is Ushe, a niche channel from Sun.

    In Andhra Pradesh, Sun has in its hold the second (Gemini) and third positions (Teja), which together beat the estimated viewership numbers of ETV. Thus the data even puts ETV‘s inactivity in the flanking realm under scrutiny. The only multiple channel ETV has is ETV 2, the news channel, in Andhra Pradesh.

    As per the data, the entry of new regional players has taken a toll on Hindi general entertainment channels‘ viewership share in these markets. The new entrants Maa TV (4th rank) in Andhra Pradesh, Kairali (4), Jeevan TV (7), Asianet News (8) and Kiran TV (10) in Kerala have done well in 2006.

    HINDI GEC IN NON-SOUTH REGIONS

    Hindi general entertainment channels continue to hog the limelight in the non-South markets in 2006 also. In Maharashtra, there are only three regional channels which have made it into the top ten list: ETV Marathi (3), DD Sahyadri (4) and Zee Marathi (9).

    Except for ETV Bangla‘s strong second position, the West Bengal market also presents a somewhat similar picture: DD Bangla (5), Akash Bangla (6) and Zee Bangla (10). Again, there is a complete dominance by Hindi general entertainment channels in the Punjab market. Only ETC Punjabi (6th rank) and Balle Balle (8) are the regional channels which have made it into the top 10.

    SPORTS & NEWS CHANNELS

    Surprisingly, sports channels ESPN and Star Sports haven‘t made it into the top 10 in 2006, in any of the seven regional markets presented. “In India, the most valued property for a sports channel is cricket. The lack of cricket content has its negative effect on ESPN and Star Sports this year,” reasons Sudarshan.

    News channels might be in the limelight presently, but the report mentions only two in the 2006 chart: DD News in Punjab, West Bengal (8), Maharashtra (10) and Kerala (9); Aaj Tak (4) in Punjab. Explains Sudarshan, “You would find only two national news channels in 2006‘s top ten list, but even that is a huge phenomenon when compared to the no show in 2000. As per indications, the next two years will see more Hindi news channels entering the top 10. Speaking about the inactivity from English news channels, they cater to only SEC A & B. And these segments together constitute only 20 per cent of the all India market.”

    DOORDARSHAN

    The superiority DD – 1 National Network enjoyed in 2000, by topping in the viewership chart in six out of seven regional markets, is a tale of the past when the market enters 2006. In 2000, Karnataka, Tamil Nadu, Maharashtra, West Bengal, Punjab and Kerala had DD-1 garnering highest viewership among adults, the Andhra Pradesh market had gone in favour of ETV.

    But as we reach 2006, DD-1‘s dominance has reduced to three regional markets: Maharashtra, West Bengal and Punjab. DD-1 has gone down in rankings in markets like Kerala, Andhra Pradesh and Karnataka. The market where DD-1 has really taken a beating is Tamil Nadu, where it has been relegated to the ninth position.

    “That explains the kind of C&S penetration South India underwent in the last few years. Especially in Tamil Nadu, the C&S penetration has been tremendous. The non-South markets, especially West Bengal, the penetration has been low,” says Sudarshan.

    Speaking about the performance by DD‘s regional channels in 2006, the best show has come from West Bengal. Both DD-1 (1st rank) and DD Bangla (5) have sustained their positions, when compared to their 2000 rankings.

    In Andhra Pradesh and Maharashtra also, DD‘s regional channels have been doing decently well. However, there is bad news from Karnataka, Kerala and Punjab markets. In Karnataka, DD Kannada has dipped from the third position to the 10th. In Kerala and Punjab, the respective DD channels have vanished from the respective 6th and 2nd spots.