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Tag: Sony Entertainment

  • How Sony Entertainment is driving its online ambitions

    How Sony Entertainment is driving its online ambitions

    Nitesh Kripalani is a man on a mission. His weapons: a MacBook Pro, a high tech smartphone and a 3G internet connection. His battleground: Facebook, Twitter, YouTube and the oceanic mobile app market. Kripalani spearheads the very dynamic ‘digital team‘ of 10-15 young and passionate social networking experts at Sony Entertainment Television (SET). It is his responsibility to create a virtual and online connect for hundreds of millions of Sony Entertainment Network Television viewers – in India and worldwide. Kripalani is one of the masterminds of the digital revolution that has gripped India‘s Hindi general entertainment TV channels (GECs).

    The future of television could very well be digital. What could not have even been imagined a decade ago is now an indispensable part of our television viewing experience. Social interactivity with viewers at home is now just a ‘comment‘ away. ‘Tweet‘ and express your views on the latest twist and plot of your favorite daily serial. Guess what? The future is here and how!

    Catching up with the pulse of the audiences, Multi Screen Media‘s (MSM‘s) Hindi GECs Sony and SAB have carved out an online indent for themselves. The need for making their presence felt on the dynamic platform of new media urged Sony to gradually devise a social media integrated communication plan around three years ago.

    Let‘s consider the statistics to gauge the digital reach of the two GECs of SET.

    Sony and SAB both have an official Facebook profile and Twitter handle with a commendable fan base. While Sony‘s Facebook page boasts of around 0.17 million likes with 7,500 plus facebookers talking about it, SAB has 50,249 likes and 2,649 active followers. The quintessential TV viewing audience is increasingly engaging on Facebook. Then its official Facebook pages for its TV shows tot up large numbers. Itsiconic Ram Kapoor and Sakshi Tanwar starring Bade Acche Lagte Hai Facebook page has 0.7 million likes with 21,000 active followers. The official page of its Kaun Banega Crorepati has 0.35 million likes with 6,700 active followers and the show‘s registrations have yet to start. Crime Patrol has knocked up 0.1 million likes with 3,800 active followers. The long running CID, which garners huge ratings for the channel, however has a comparatively low 33,000 likes with 1,110 active followers.

    The thirst to know more about their favourite shows is quenched on these Facebook pages. Sony constantly updates these with pictures and teasers of upcoming episodes. The buzz is also kept alive by the Sony‘s TV show addicts who go to make up its fandom. When looking at a channel‘s Facebook presence, fan driven pages cannot be left in isolation. A lot of action takes place through these fan pages. Look for Bade Acche Lagte Hai, Sony‘s popular fiction show, in the Facebook search bar and chances are that you will be looking at 10 active Facebook pages with as the most popular sporting close to 0.25 million, with 40,000 fans being active.

    Twitter, being an indispensable aspect of social media, cannot be left out. And it is here where the Sony Network has to buck up and it lags behind its rivals Star and Colors. Hindi GEC Sony has an active twitter handle with around 7,500 followers, while SAB follows with approximate 4,500 followers. @SonyTv is buzzing with tweets and re-tweets every couple of hours.

    What more? The numerous fan-driven handles of their popular shows are busy re-tweeting and sharing every Sony update, making for a huge cacophony of views across the digital world.

    Ironically, the Facebook and Twitter fan base is just the tip of the iceberg. What takes the cake is Sony‘s official YouTube channel which has one of the most massive subscriber‘s bases in India of nearly 1.6 million and a humongous video views count of over 660 million. SAB has its own share of digital audience with around 28 thousand subscribers and 190 million video views. Ever since Set India joined YouTube on 20 September 2006, it has uploaded 1,69,994 videos so far and counting. No wonder, Sony leads most other GECs in the rat race of YouTube subscribers.

    In order to aggregate all its social media activities under one umbrella, SET India launched a vibrant and ‘lively‘ Sony Liv this January. Sony Liv is a branded website cum app which is slowly but surely gaining momentum which has generated nearly two million downloads on android and iOS platforms. The official SonyLiv Facebook page has over 0.12 million likes. In five months, the branded site has attracted around 12 thousand followers with 15 million videos watched so far. The fans are more than happy to catch up with not only the latest episodes of their favourite on-going shows, but also remain loyally connected with their beloved shows which have gone off air.

    All in all, SET has done it all from having an official Facebook page to its twitter handle; from one of the largest YouTube channels to a newly launched Sony Liv. The numbers are heartening! On an average, each YouTube upload by Sony garners as many as 25 thousand video views! The episodes are uploaded within two hours of telecast and by the next day, the newly discovered online audience has watched it repeatedly.

    Bade Acche Lagte Hai leads the race on Sony‘s YouTube channel. The adorable middle-aged married couple – Ram and Priya have a dedicated fan-following of around 35 thousand viewers who watch every episode within a couple of days. Next in the YouTube popularity index stands the veteran fiction-crime show CID, which continues to garner a massive count of more than 30 thousand video views for each episode.

    We have finally entered the era where the quintessential TV viewing audience is engaging on the digital platforms. Who knows, in the not so distant future, our stereotyped Saas-bahu sagas will drive a lot more traction online than what the TRP‘s tell us now!

    Sony began targeting the online space around three years ago. The first phase focused on handphones with the Indian Idol audition mobile registrations and special Kaun Banega Crorepati (KBC) apps. The second phase promoted the Sony YouTube channel and the third phase which continues today, involves the development and promotion of its own branded website-cum-app Sony Liv.

    Sony Entertainment Network SVP – new media, businessdevelopment and digital/syndication Nitesh Kripalani says: "We have covered all social media platforms from mobile to our own branded site that is the newly launched Sony Liv. It is an integrated marketing communications approach. We look at the online space as the means to reach maximum audience. The main aim is – first, to interact with and engage with our audiences and get their valuable feedback; second, to spread the word and promote our shows through this mass medium; and finally third, it is to monetise the online traffic."

    Kripalani estimates that the Indian digital market is Rs 1,000 crore – Rs 1,500 crore out of which approximately Rs 200 crore constitutes the mobile market; the rest is left to digital. Understandably, this digital revolution has opened up a whole new universe for revenue generation.

    Sony derives its online revenue through its existing advertising associations. Last year, Sony‘s official YouTube channel earned significant online revenue from brands like Axis bank, MTS and Maruti that sponsored popular shows like KBC and Indian Idol.

    As far as social media such as Facebook and Twitter go, Kripalani says, "Currently, our goal is not one of maximum monetisation. In fact, we believe the platform must be primarily used for reaching out to our viewers. Perhaps a year from now, we may look at subscription based content following a premium model where 80 per cent of the content is free while the rest is paid for."

    Sony Liv has been attractively packaged with several elements including videos, photos, behind the scenes videos and archived content. Some of the older shows like Jassi Jaisi Koi Nahi, Aahat, Heena and older episodes of Crime Patrol, Comedy Circus and CID receive considerable traction as well. This content that was otherwise rendered useless after the shows went off air is now being made to eke out revenues through digital media.

    Comparatively, among on-air shows, fiction has an upper-hand over non -fiction shows. Kripalani reasons, "Fiction series dominate the most watched content online because of loyal viewers who watch episodes repeatedly. However special episodes of non-fiction shows like Indian Idol, Comedy Circus or a KBC attract thousands of views. Fiction series have a consistent following which is understandably missing in case of non-fiction."

    Sony‘s revenue from its online initiatives runs into millions of dollars. Yet the network has not moved into producing web exclusive content like some of the other Hindi GECs. However, Kripalani does not dismiss a possibility of producing such content in the future. "As the market expands and becomes more receptive, we will look at generating content exclusively for the web. Let‘s say in the next year and a half, Sony Liv will be the one stop destination for exclusive web content. After all, the digital platform is very profitable and is growing rapidly," he concludes.

  • Michael Lynton renews contract with Sony Entertainment

    Michael Lynton renews contract with Sony Entertainment

    MUMBAI: Michael Lynton, Chief Executive Officer of Sony Entertainment, and Chairman and Chief Executive Officer of Sony Pictures Entertainment, has renewed his contract, it was announced today by Kazuo Hirai, President and Chief Executive Officer of Sony Corporation.
     
    Lynton joined Sony Pictures Entertainment in January 2004 and, with Co-Chairman Amy Pascal, they put the studio on a path of stability and success across its lines of business. Lynton was appointed to the additional role of CEO, Sony Entertainment, in 2012, overseeing Sony‘s global entertainment businesses, including Sony Music Entertainment, Sony/ATV Music Publishing and Sony Pictures.
     
    This past year, Sony Pictures enjoyed its best performance ever at the worldwide box office, ranking #1 in North American theatrical market share among all Hollywood studios due to the strong performance of hits like Skyfall, The Amazing Spider-Man, Men in Black 3 and Hotel Transylvania.
     
    The company‘s growing Sony Pictures Television unit now encompasses global production and distribution of top-rated programming across all genres, one of the largest libraries of content and formats, as well as a global portfolio of television networks, channel investments, a premium digital video network and multi-platform ad sales.
     
    At Sony Music, led by Chief Executive Officer Doug Morris, increases in digital revenue and chart-topping performers like One Direction, Adele, Alicia Keys and Pink have driven growth. This past year, under the leadership of Chairman and Chief Executive Officer Martin Bandier, Sony/ATV took over the administration of EMI Publishing, making it the world‘s foremost music publishing business.
     
    "Michael‘s steady leadership and strong vision for the digital future will help keep Sony‘s entertainment businesses stable and reliable contributors to Sony‘s growth," said Kazuo Hirai.
     
    "I look forward to working closely with Michael in ensuring that music and pictures remain integral parts of our global strategy. We‘re thrilled he will continue at the helm for years to come."
     
    During Lynton‘s tenure, Sony Pictures has rapidly expanded its global presence and digital footprint. Worldwide box office revenue for Sony Pictures‘ films surpassed the four billion dollar mark in 2012 for the first time.
     
    Sony Pictures Television now has 18 production companies in 15 countries around the world covering multiple regions and boasts international television networks with 124 channel feeds in 159 countries reaching over 800 million homes worldwide.
     
    In addition, the studio has become a leader in digital entertainment pioneering business models like the ad-supported Crackle digital video network, early Electronic Sell-Through (EST) and cloud-based content ownership through UltraViolet.
     
    Lynton commented, "I am grateful to work with some of the finest minds in the entertainment business, starting with my partner at Sony Pictures, Amy Pascal, as well as Doug Morris at Sony Music and Marty Bandier at Sony/ATV. They are the best in their fields, and together we will strive to bring the very best films, music and television shows to our growing, global audiences."
     
    Lynton continued, "We will continue to collaborate closely with Kaz Hirai to create innovative, world-class entertainment and technology experiences, as only Sony can."
     
    Born and raised in Europe, Lynton attended Harvard College and Harvard Business School. He has previously worked on Wall Street and for The Walt Disney Company, Hollywood Pictures (serving as President), Pearson plc‘s Penguin Group (Chairman and CEO), AOL Europe (CEO), AOL International (President) and Time Warner International (President).

  • Zee TV returns to top spot after 19 weeks as Zee Cine Awards clicks

    MUMBAI: After stepping into the second rank in the Hindi GEC (general entertainment channel) hierarchy, Zee TV has taken a week to climb to the tentpole position as its four-hour Bollywood awards show Zee Cine Awards on 20 January attracted audiences.

    Zee TV‘s upward crawl to the No. 1 position has come after 19 weeks in the fourth week of 2013.

    The awards show rated a whopping 3.9 TVR, contributing 31 GRPs (gross rating points), as Zee TV collected 237 points in the week ended 26 January. The channel’s overall viewership was up 22 GRPs from a week earlier.

    Zee TV had ranked No. 1 last in week 36 of 2012 when it had aired the ‘mahasangram’ of three of its fiction shows. This is also the first time after digitisation in the four metros that the flagship Hindi GEC of Zee Entertainment Enterprises reached the top position.

    The 13th edition of Zee Cine Awards had rated 4.38 TVR in 2012. Apart from Zee Cine Awards most of the fiction shows of the channel including Fear Files (1.6 TVR) saw a dip in viewership in the fourth week.

    “Such award functions are premium properties and have always delivered, giving good mileage to the brands associated. However, there was audience fragmentation because of which the show (Zee Cine Awards) could not perform as well as it did last year. There was ‘Kaun Banega Crorepati’ on Sony and repeat telecast of ‘Colors Golden Petal Awards’ on Colors, both coinciding with one-and-a-half hour airing time of Zee Cine Awards,” a senior media planner said.

    The other annual Bollywood awards function that was telecast this year was Colors Screen Awards, which too had recorded 3.9 TVR over four hours on 19 January.

    Meanwhile, Star Plus slipped to the second spot with a loss of 13 GRPs at 228 GRPs in week 4. The channel’s leading shows like ‘Diya Aur Bati Hum’ (4.1 TVR), ‘Ek Hazarome Meri Behena hai’ (1.4 TVR) and Nach Baliye (2.4 TVR) lost viewership.

    Colors too lost six GRPs to register 204 GRPs. The fiction shows of the channel have seen marginal change in viewership. The channel had repeat telecast Colors Screen Awards (1.5 TVR for three hour run) and Colors Golden Petal Awards (1.6 TVR for two-and-a-half hour airing) in week 4 that helped the channel compensate the loss of viewership. In the earlier week Colors had earned 31 GRPs from Colors Screen Awards.

    Sony Entertainment television (Set) added 16 GRPs in week 4 on the back of the television premiere of Karan Johar‘s recent flick ‘Student of the Year’ on 26 January. The film notched a TVR of 4.2 for three-and-a-half hour airing. The movie contributed around 29 GRPs to the total of 203 GRPs that the channel collected in week 4.

    Set also winded up the sixth season of its biggest reality show ‘Kaun Banega Crorepati on‘ 26 January. The grand finale of the show clocked 3.1 TVR for two hours telecast, contributing around 12 GRPs to the channel.

    The second Hindi GEC of Set, Sab clocked 151 GRPs (previous week 146 GRPs) while Star Plus’ sister channel Life OK ended week 4 with 120 GRPs (previous week 128 GRPs).

    Sahara One with 23 GRPs (previous week 25) remains at the bottom of the ladder.

  • Hindi GECs shed GRPs, Sab alone gains

    MUMBAI: In a week when the other GECs lost or maintained GRPs, Sab from the Sony Entertainment stable was the only channel to notch an increase when its numbers rose from 132 to 138. While Sab gained, its bigger sister channel Set shed some 29 GRPs at 206, even as shows such as Bade Ache Lagte Hain, Crime Petrol, CID, Kya Hua Tera Vada lost numbers.

    As per TAM data (HSM, C&S 4+) sourced from Hindi GECs, Star Plus managed to retain its number one position even as it lost nine GRPs at 243. It‘s much touted show Satyamev Jayate closed its first season with a respectable rating of 1.9.

    Zee TV went back to its No 2 spot this week after a gap of a fortnight, losing 11 GRPs with its closing of 211 GRPs. Some key properties like DID lil Masters, Punar Vivah and Mrs Kaushik…also saw a dip in ratings.

    Colors, at No 4, is lagging three points behind Sony with 203 GRPs (last week 228). It was status quo at the bottom of the ladder with Life OK, the second GEC from Star Network, ending the week with 107 GRPs. Sahara One with 34 GRPs (last week 41) remains at the bottom of the ladder.

    Overall the GEC genre has seen a loss of 74 GRPs in the week ended 4 August due to audience shift to other channels because of the premiere of Housefull 2 on 29 July on Star Gold that rated 3.8 TVR and India-Sri Lanka ODI matches on 31 July (2.4 TVR) and 4 August (2.3 TVR) in the prime time slot.

    The launch of Olympics on 27 July and power failure in North India on 29 and 30 July have also contributed to the decrease in GEC viewership. The power failure affected six states including Delhi, Punjab, Haryana, UP, Himachal Pradesh and Rajasthan.

  • Yesteryear superstar Rajesh Khanna’s death swings audiences away from GECs to news channels

    MUMBAI: Four decades after Rajesh Khanna ruled over Indian hearts with his romantic brand of movies, the forgotten and lonely superstar warmed up Indian audiences again as he breathed his last at his iconic Aashirwad residence on 18 July.

    Hindi news channels, who covered extensively his death and funeral, lured audiences across demographics to remind them of an era that will never come again. Young audiences who had never seen him before glued to the TV to know more about Bollywood‘s first superstar who created history by giving 21 box-office hits in the six-year period between 1969 and 1974.

    Hindi TV news genre nearly doubled their viewership in the week ended 21 July, making it one of those rare occasions when they ate into the audiences of Hindi general entertainment channels (GECs) who reign over primetime television in India day in and day out with their popular soaps and non-fiction content.

    The ratings for that week went through a big change. The GRPs (gross rating points) of Hindi news channels rose to 126, from 66 a week earlier. This coincided with the dip in Hindi GEC viewership, trimming by 75 points, according to TAM data (HSM, C&S, 4+) provided by the channels.

    Hindi news channels aired a special string of programmes on Khanna who had a fan following in the ‘70s that has not been matched by any Bollywood superstar ever. The man who swung hearts with movies like Anand, Aradhana, Bawarchi and Amar Prem had an almost secluded life later, after a high-profile marriage with Dimple Kapadia that did not last long. The channels showed his life, his movies, his megalomaniac trait and played his romantic songs to allow audiences to go back to history.

    Several leading shows on Hindi GECs lost audience share. The ‘Khanna‘ week, in fact, saw a drop in overall TV viewing.

    Within the GEC genre, Sony Entertainment Television (Set) returned to the No. 2 position after a gap of two months. Set added six GRPs in a week that saw the other leading channels lose theirs. Set’s fiction property Bade Achhe Lagte Hain, the storyline of which took a five-year leap two weeks ago, saw a rise in ratings after a long time. With an average TVR of 4.2, the show has become the second most watched on the Hindi GECs. Star Plus’ Diya Aur Baati Hum leads with a 5.8 TVR.

    Though continuing to lead the genre, Star Plus shed 21 points to end the week with 254 GRPs. Its leading shows like Sathiya Saath Nibhana, Ek Hazaaron Mein Meri Behena Hai and Iss Pyaar Ko kyaa Naam Dun fell below the 3 TVR-mark.

    Meanwhile, Zee TV, which was on a ratings upswing due to shows like Fear Files and DID Lil Masters, lost maximum number of GRPs during the week. The channel shed 32 GRPs as its fiction property Pavitra Rishta and flagship dance reality show DID Lil Masters lost viewership.

    Fear Files, which had opened with 3.8 TVR and was registering an average 3.5+ TVR, dropped to 2.6 TVR. Zee TV ended the week with 221 GRPs and at the third spot among the Hindi GECs.

    Colors too saw a loss of 16 GRPs to close the week with 214 GRPs. Its leading show, Balika Vadhu, fell to a TVR of 3.8.

    Like Set, its sister channel Sab also added six points to register 129 GRPs, while Life OK lost 12 GRPs to record 101 GRPs.

    Sahara One with 42 GRPs (last week 39) remained at the bottom of the heap.

  • Zee TV climbs to No. 2 spot after a year

    Zee TV climbs to No. 2 spot after a year

    MUMBAI: It took one year to happen. Zee TV has climbed to the second spot in the Hindi GEC space, intensifying the battle for the rank below market leader Star Plus in a year that is seeing a lot of volatility in ratings.

    Zee TV’s new ranking was achieved despite a drop of 3 GRPs (gross rating points) as the channel pocketed 214 points in the week ended 24 March, TAM data (C&S, 4+, HSM) shows.

    Zee TV’s last sight at the No 2 spot was in the ninth week of 2011, with a score of 233 GRPs.

    Meanwhile, Star Plus saw a surge in ratings this week. The channel added 31 GRPs to end the week with 318 GRPs (last week 287). The addition can be attributed to the telecast of Star Plus’ home-grown property ‘Star Parivaar Awards 2012‘ on 24 March that garnered 6.41 TVR.

    Sony slipped to the third spot of the GEC ladder, after shedding nine GRPs. The channel’s top rated shows C.I.D and Crime Petrol have managed to remain in the ‘top 10 shows’ list. The channel has scored 209 GRPs (last week 218).

    Colors has lost 14 GRPs to close the week with 200. The channel launched a social thriller fiction show ‘Chhal Sheh Aur Maat’ on 19 March that opened with 2.5 TVR.

    The second GEC from Sony Entertainment, Sab, has maintained its fifth position with the addition of three GRPs. The channel managed to collect 132 GRPs to its kitty.

    On the back of Asia Cup’s India vs. Pakistan cricket match, DD1 has fetched 86 GRPs (last week 54). The match clocked an average TVR of 4.72.

    Life OK came next with 74 GRP (last week 84), followed by Imagine TV with 62 GRP (last week 63) and Sahara One (43 GRPs), according to TAM data.

  • Star Plus gains 17 GRPs while others fall

    Star Plus gains 17 GRPs while others fall

    MUMBAI: Star Plus is continuing to lead the Hindi general entertainment channel (GEC) genre, while Sony Entertainment TV (Set), Colors and Zee TV have declined in the week ended 1 October.

    As per TAM data for week 40 (25 September-1 October) for the Hindi speaking markets (C&S, 4+), Star Plus added 17 GRPs (gross rating points) this week. The channel ended the week with 306 GRPs (last week 289).

    The week also saw grand finale of three shows – Just Dance (Star Plus), India‘s Got Talent 3 (Colors) and Saregamapa Lil Champs (Zee TV). Just Dance clocked maximum, i.e. 2.9 TVR, while IGT3 and Lil Champs got 2 TVR and 2.6 TVR respectively.

    Set, meanwhile, lost 21 GRPs and ended the week with 249 GRPs (270 GRPs in previous week). Colors continued to be at third place with 205 GRPs after losing 6 GRPs. However, the channel may see a jump next week as it will include Bigg Boss5’s launch day ratings.

    For Zee TV, the news continues to be bad. The flagship channel of Zee Entertainment Enterprises touched a new low, sinking to 157 GRPs (last week 176). No show of the channel figured in the top 10 list.

    Sab clocked 126 GRPs (last week 123), followed by Imagine TV with 75 GRPs (last week 78).

    Meanwhile, Sahara One has once again raced ahead of Star One. Sahara One closed the week with 36 GRPs (last week 33), while Star one came down to 33 GRPs from previous week‘s 39 GRPs.

    Amongst the top 10 shows, Star Plus‘ Saathiya remained on top with a peak TVR of 6.22, followed by Set’s KBC (4.44 TVR) and Bade Achhe Lagte Hain (4.42 TVR). Other shows on the list are: Is Pyaar Ko Kyaa Naam Doon (Star Plus, 4.2 TVR), Uttaran (Colors, 3.94 TVR), Sasural Genda Phool and Yeh Rishta (Star plus, 3.9 TVR each), Balika Vadhu (Colors, 3.81 TVR), Pratigya (Star Plus, 3.76 TVR) and Crime Petrol (Set, 3.71 TVR).
     

  • IPL knocks out 60 GRPs from GECs

    IPL knocks out 60 GRPs from GECs

    MUMBAI: It seems that the cricket euphoria in India is never- ending. Just after the World Cup when experts were casting doubts on the Indian Premier League (IPL) viewership, the impact on other genres is showing.

    As per Tam data for the week ended 16 April, the Hindi general entertainment channel (GEC) genre has lost 60 GRPs (gross rating points) compared to the previous seven-day run.

    In the week under review, the GECs raked in 1149 GRPs as against 1209 GRPs in the trailing week.

    Star Plus, Colors and Zee TV, who are the top three ranking channels, lost 15, 30 and 23 GRPs respectively. However the pecking order remained unchanged with Star Plus collecting 319 GRPs, Colors 218 GRPs and Zee TV 197 GRPs respectively.

    Interestingly, during the first full week of the World Cup, the GEC genre had lost just 37 GRPs. The GECs mopped up 1181 GRPs in the week ended 26 February.

    Among the GECs, Sony Entertainment Television (Set) maintained its fourth position with 146 GRPs (last week 152) while sister channel Sab came in close with 135 GRPs (139 GRPs).

    Meanwhile, Imagine TV was the only channel which added 11 GRPs during the week to close the tally with 68 GRPs.

    Star One and Sahara One were at 33 GRPs (from 32) and 30 GRPs (from 25), according to Tam data.

     

  • ‘GEC space will see turmoil this year’ : Rohit Gupta – MSM president (network sales, licensing & telephony)

    ‘GEC space will see turmoil this year’ : Rohit Gupta – MSM president (network sales, licensing & telephony)

    2 009 is expected to be a rough year for all in media. Television is no exception. With the stockmarket collapsing and balance sheets getting battered, advertisers have become cautious and the current quarter is expected to be extremely choppy. Multi Screen Media president (network sales, licensing & telephony) Rohit Gupta concedes that clients are consistently assessing the environment and signing quarterly deals as against the annual ones earlier. He, however, is confident that Sony Entertainment will ride through the stormy times on account of the strength of its network.

     

    Indiantelevision.com’s Ashwin Pinto caught up with Gupta to find out about what lies ahead, the mood in the market, the importance of tentpole properties etc.

     

    Excerpts:

    How was 2008 for Sony in terms of revenues? What growth was managed over 2007?
    It was a successful year for us. All our channels grew their revenue. Some by 25 per cent, others grew in the range of 10-15 per cent. The other success story was the IPL. We created benchmark rates for Indian cricket before the event had even started.

    This year is expected to be challenging with the recession. What impact will this have on Sony and the television industry?
    As we move forward this year will present challenges. The key one is the meltdown. A client would cut marketing spends but television as a genre will still grow. We believe that television is the cheapest form of advertising in terms of the reach it delivers. TV gives you the best RoI and this is what clients focus on during a slowdown.

     

    Print and outdoor will take a larger hit but television will still grow. A recent report projected a 10 per cent growth which is fair. TV has been growing at 18 per cent over the last few years. While that will not happen this year, there will still be growth.

    For the IPL what is the upside being looked at this time around?
    We have established rates that are in line with what we had decided upon earlier. IPL will be a bigger property this year.

     

    Everybody including the franchisees have more time to prepare. Last time we just had 45 days to prepare. This year the hype will start after the auction ends. We will hold a meeting with the franchisees after 6 February to decide on the course of action to take. Also at the point of time there is no other major property on television.

    So you are confident on the financial performance of Sony for the IPL despite the slowdown?
    Yes! What happens during a slowdown is that the clients’ ability to take risks decreases. IPL is a proven property. There is no risk in being associated with it. People will put money on ‘sure’ properties. The IPL is one of them. Last time the IPL had an 80 per cent reach on Max.

    Have deals been closed?
    Yes! However I cannot divulge any details. Some deals are for both the IPL and the New Zealand series that comes before it. We do not have category exclusivity this time around for spot buys.

     

    This allows us to access more brands. Last time the IPL was not tested. Exclusivity was an incentive that we had to concede. By not giving exclusivity we will ensure that multiple brands can co-exist.

    But won’t it be a challenge to get many brands on-board in a difficult climate?
    You have to understand that cricket’s cost rating per rating point (CPRPs) are still holding up. The reach of the channel is key. Max does not have this issue. So we are confident of getting the desired rates.

     

    I don’t think that the rates are a problem. The challenge will lie in the outlay that a client puts on IPL. So this time around we will have smaller packages. The number of clients taking spot buys will go up. One does not have to buy all 59 games. A company can buy for ten games at a stretch. There is flexibility.
    Has the revenue split within the group changed over the last couple of years?
    I cannot give any numbers. However our dependence on the large channels is not that high. AXN and Pix are growing substantially. Max is now a very big channel in our network.

    What is the clients mood like in general?
    They are more cautious. They are adopting a quarter by quarter approach. They are not signing large deals for a year which used to be the case. For this quarter ending March, clients are being extra cautious. Companies want to show better results with this being the last quarter. So it will be tough.

     

    The key is to have tentpole properties that can be sold. You need to have a distinctive niche in the market. Clients want more accountability. As a broadcaster you need to be responsive and understand clients’ needs. You have to make sure that the client gets value back. Everything is not necessarily about a rate. The question lies in the effectiveness of the media buy.

    Apart from IPL what are the other tentpole properties coming up for the group?
    In March we are launching Operation Dikhla Jaye on Sony. This will be a directors cut where four of Bollywood’s top directors will produce shows for us. It will be a 13 week initiative and will be the first time that anybody has tried it in India. These are one hour shows. We have roped in directors like Madhur Bhandarkar, Mahesh Manjrekar, Vikram Bhatt. Then the IPL starts. Post that we will have re-launches of our big shows.

    In the GEC space are the new arrivals having any impact? Is the ad pie growing or merely getting sliced further?
    There has been growth overall. But this year since growth will be restricted there will be some slicing of the pie. The GEC space will see turmoil this year. New players will come in and others will go away. GEC costs are huge and it is a question of who will survive. The like of Star, Sony, Zee will always be around come what may.

     

    New channels will come. They may be on top for a while but the fact is that nobody is on top all the time. Clients also look at networks as opposed to channels per se. They want networks which are strong enough to withstand pressure. They want networks that have the sustaining power to ride over the tough times. Besides that you need big properties which ensure that clients look at you differently.

     

    Each of our channels is in the top four in their respective genre. Sab is number one in the second level GEC tier. Sony has managed to hold on to its share more or less. Other channels have experienced a bigger fall in the GEC space. We may not have many channels but what we have done is to focus on building them.

    How has Sony built up its client relationship management efforts over the years?
    Our focus has always been on giving value back to the client. We were the first to start a client servicing team four years ago. Then other channels started doing this. We work closely with brands to integrate them into our properties. This is how we add value that goes beyond just 10 second spots. Therefore even though there are days when ratings have not been what they should be the clients have supported us. The relationship with clients makes a big difference in terms of your ability to raise rates.

    Which categories will be affected in terms of TV advertising due to the slowdown?
    If you look at it the categories most affected by the meltdown which are real estate and retail these are not big on television. Finance was not as big on television compared with other mediums. Auto companies are shifting budgets from print to television.

    Coming back to the cricket front the New Zealand tour is the first time that Sony will air bilateral cricket. How is this event being positioned for viewers and clients?
    This is a full blown tour. India has not visited New Zealand since 2002. We lost very badly then and so this is a big challenge. There will be anticipation. In fact this is the Indian team’s biggest challenge after playing Australia twice recently.

    But isn’t the timing an issue as the telecast of the matches is very early in the morning?
    The timings are good for the T20 Games which start at 11 in the morning. The ODIs start at around 6:30 in the morning. Test matches start earlier but they are not a big revenue contributor compared with the other two formats.
    How many sponsors are being looked at?
    We have clients who are interested in both the New Zealand series and IPL. That would give them visibility from Feb till June. So we are doing special deals for them. Generally we look at six to eight sponsors.
    Are you also looking at doing long term deals with clients for IPL?
    No! We believe that the IPL which is a big opportunity is better served through yearly deals. You have the option to re-look at things.
    IPL broadened the viewer base. Has the client base also grown for cricket as a result?
    Yes! Godrej an FMCG company came on board. They do not associate themselves with cricket. Max New York Life came on board. It worked well for them. It was not the traditional clients that came on board. This year also you can expect to see some surprise companies coming on board. IPL after all changed the way TV viewership happens. It is not just the male TG that tunes in.
    Will the IPL be simulcast?
    No! It will only be on Max. We did that with the Cricket World Cup in 2007 where some matches also aired on Sab. However viewership got disrupted and the channel loses share. Then it is difficult to get viewers back.

    When HBO left there was a gap created. Is Pix now starting to fill this gap?
    Pix has made a lot of progress over the last couple of years. Pix started when there were already established players. Now it is competing. In some weeks it beats HBO. Advertisers have followed this. Pix is making investments in terms of acquisitions. The aim over the next couple of years is that in terms of ad revenues it can reach the level of HBO and Star Movies.

     

    It is pitched as a premium movie channel. It delivers in the 25+ SEC A, B category which is what a lot of marketers target. All the large brands are on it.

    How come Pix decided to air soccer with the FA Cup?
    The audience for it is similar. It is SEC A,B. We decided to offer viewers something new and extra. Matches air on the weekends and so the movie schedule is not disrupted.
    The other two major distribution bouquets have two English movie channels – a mass one and a niche one. Isn’t Sony at a disadvantage here with just one channel that does not have the latest offerings?
    It does not affect the advertising side. Channels like MGM (which is in the Star Den bouquet) do not carry ads anyway and it is dependent more on a subscription kind of revenue stream.
    What is the roadmap forward for AXN?
    AXN is doing well and has been growing at 25 per cent CAGR. You will continue to see local content. You will shortly see the AXN Action Awards. Each year you will have three shows produced in India.
    Does cost control become important in this environment though?
    This is an area we always look at. It is something that we are always conscious of and it is not as if this area has suddenly assumed importance. For us it is business as usual. One has to see the returns more carefully though.
    On the licensing front how has business grown over the past year?
    This was small four years back. However we participate more actively in trade fairs like Mipcom and we showcase more content in the form of formats there. Our shows are sold in European markets, the US. We took all our formats to Mipcom. along with other shows like Filmfare, Stardust Awards. The other aspect is the Hindi movie licensing business. We syndicate them wherever we have rights.
    Finally we are seeing channels advertise on rivals. What is Sony’s policy?
    We do not advertise on competitors nor do we accept ads from them. We accept ads from kids channels, news channels as we do not operate in that space. But you will never see us air ads from a movie channel belonging to a rival network. We are not desperate for revenue.
  • “With IPL you have the power of 10”

    “With IPL you have the power of 10”

    It’s the festival of lights. And for many the festival of noise courtesy exploding fireworks. In the hope of reducing the number of those belonging to the latter tribe, we, at indiantelevision.com, decided to put a display of firecracker articles for visitors this Diwali. We have had many top journalists reporting, analysing, over the many years of indiantelevision.com’s existence. The articles we are presenting are representative of some of the best writing on the business of cable and satellite television and media for which we have gained renown. Read on to get a flavour and taste of indiantelevision.com over the years from some of its finest writers. And have a happy and safe Diwali!

    Written By Thomas Abraham

     

    Posted on 28 April 2008

     

    The Indian Premier League (IPL) has got off to a solid start. The ratings have been positive and crowds have thronged the stadiums. For Sony the IPL marks their return to cricket. Set India CEO Kunal Dasgupta offers Thomas Abraham and Ashwin Pinto his views on what he expects IPL to do for the game, telecast channel Max, as well as the importance of sustaining the brand. Excerpts:

     

    As a broadcaster what do you expect?
    T20 is a made for television format. When India played a T20 match against Australia at the Wankhede stadium, ratings touched 20. I am looking for a rating of 4 or 5, which is possible, given that ICL, which has retired players, got 2.5. This is a good base for us to take off from.

     

    The format will mean that besides country against country, one will also view it as being team versus team. This is what exists in other sports like soccer, hockey, and baseball.

     

    IPL is being pushed as being the ultimate in reality television. In that case how do you get that competitive environment?
    The prize money (Rs 48 million goes to the winner) will ensure this. This is much more than you get for playing for the country and so the players will go all out. The matches will be hard fought. Here all the teams are evenly balanced and so you do not know the result. It will be unpredictable and matches will go down the wire. All teams have a good mix of batsmen, bowlers and youth.

     

    What are you hoping for in the first year as the telecast partner?
    Ideally I would want the IPL to be a successful brand that has a long term play. After June, I will continue to do promotions to keep the team brands alive. This was one of the conditions on which we bid.

     

    We will do shows around the IPL. You could see teams (franchises) practicing and discussing strategies for the next season.

     

    ‘The trick for us is not getting ratings for the first season. The challenge is to sustain the excitement after that’

     
    But wouldn’t an ideal situation be for a franchise to build a brand without the big names who might be on national duty?
    This might happen. Apart from April-May, you cannot have another period where all the stars are available. What will happen is that once the league is built the new players who are playing will become the core. You can then have matches in different parts of the world to popularise the game there using these new players.

     

    The trick for us is not getting ratings for the first season. This will happen as a matter of course because of the way the IPL has been hyped. The challenge is to sustain the excitement after that and it is here where we will have to take a leaf out of the book of the EPL. Teams have marketed themselves and have thus become iconic brands.

     

    So Mallya for instance, will use the Royal Challenger brand name to go out there and create opportunities for exhibition matches. They can do charity work in Bangalore and build a fan base. Each franchise will have its own website where clips will be available. They can create merchandise.

     

    Sony will pitch in through magazine shows. Otherwise it will just be a flash in the pan. As we come closer to the next season you will see transfers and there will be speculation.

     

    New heroes will be born. It is possible that the likes of current heroes like Glenn McGrath, Kumble, and Saurav will not play beyond two seasons. Once that happens, then the brand will live outside the big names.

     

    One of the aims is to broaden the viewer base is to get in more children, women, But for that you have to create marketing that speaks to those demographics. What is Sony planning?
    One of the major attractions will be the presence of big Bollywood stars. Akshay Kumar will perform for Delhi. SRK will perform for Kolkata You will see proper Bollywood entertainment.

     

    We have even tweaked the timings of some of the matches to accommodate our entertainment specials. One match was supposed to start at 4 pm but we have pushed it back to 5:30 pm. We will even have stand up comedy for Extraaa Innings. On air we have gone in for fresh faces. We did not want Mandira (Bedi) for this. She is more suited for ODI cricket. I want 20-year-olds in T20. We also did not want Kapil Dev, Gavaskar. We wanted anchors who represent today’s kids. With the ICC World Cup we broke the mould and brought in females. Now we are breaking the mould back

     

    What is the distribution upside from IPL?
    This is a question mark. We are supposed to have a dip but we will retain the same level. There is no minimum guarantee now. Had Ten Sports still been present it would have been difficult to determine the value of IPL. Our team is happy as they are closing deals for the year and it is one of the distribution cornerstones.

     

    At $ 59 million in Year 1 and an average of $ 61 million over five years, IPL was literally sold at floor price. Wasn’t that a great deal?
    It was. Most of the payout ($ 612 million) is from the next five years. ESPN’s bid was $150 million for the first five years. They had put in conditions that the top players should be there. We did not put in any conditions.

     

    Anyway, the way it has turned out, all the top players are taking part.