Tag: video

  • Instagram photo, video ads on their way

    Instagram photo, video ads on their way

    MUMBAI: Instagram will soon be inserting photo and video ads into the stream for its US members, the three-year-old Facebook-owned service announced Thursday. People will notice the “occasional ad” in the “next couple months,” Instagram said.

     

    Seeing photos and videos from brands you don’t follow will be new, so we’ll start slow,” Instagram said in a blog post on the change. “We’ll focus on delivering a small number of beautiful, high-quality photos and videos from a handful of brands that are already great members of the Instagram community.”

     

    The ads have yet to make their appearance in Instagram’s mobile apps, but the service is prepping people in advance of their release so as to stave off a potential backlash from the community.

     

    The change, though expected, will be a radical one for the more than 150 million people who use Instagram’s iOS and Android applications on a monthly basis. Though a boon for parent-company Facebook’s bottom line, the ads bring with them the potential to alienate active users and could stir up a controversy like the one that bubbled up when Instagram temporarily changed its terms of service at the end of last year.

     

    Instagram, for its part, is promising magazine-quality ads that “feel as natural to Instagram as the photos and videos many of you already enjoy from your favorite brands.” The service also said that users can, just as on Facebook, click to hide the ads they don’t like.

  • Introducing video on Instagram

    Introducing video on Instagram

    NEW DELHI: Over the past two and a half years, Instagram has become a community where one can capture and share the world’s moments simply and beautifully. Some moments, however, need more than a static image to come to life. Until now these stories have been missing from Instagram.

    Today, the application has announced that they are set to introduce video on Instagram and bring another way to share one‘s stories. When you go to take a photo on Instagram, you’ll now see a movie camera icon. Tap it to enter video mode, where you can take up to fifteen seconds of video through the Instagram camera.

    The user can also find there are additional thirteen filters built specifically for video so the user can keep sharing the desired content on Instagram. When you post a video, you’ll also be able to select your favorite scene from what you’ve recorded as your cover image so your videos are visually appealing even when they’re not playing.

    So what does this mean for your content? Nothing’s different from photos. Instagram will continue to be committed to making sure you have control over all of your content. Only the people who you let see your photos will be able to see your videos. And as with photos, you own your videos. You can learn more about Video on Instagram – including its new cinema feature – by visiting the Instagram Help Center.

  • BBC America, Twitter in branded video partnership

    BBC America, Twitter in branded video partnership

    MUMBAI: As part of its strategy to go beyond 140 characters, micro-blogging site Twitter has tied up with BBC America to offer the first in-Tweet branded video synced to entertainment TV series.

    This news comes after reports that Twitter was in talks with NBCUniversal and Viacom for content. Twitter has also launched a music service.

    Twitter already has partnerships with Time Warner‘s TBS, sports broadcaster ESPN and the Weather Channel.

  • Over 60 per cent growth in worldwide OTT video revenue in 2012, ABI Research

    Over 60 per cent growth in worldwide OTT video revenue in 2012, ABI Research

    MUMBAI: Companies like Netflix, Hulu, Apple, and Amazon have helped drive the over-the-top (OTT) video market past $8 billion in 2012. The three largest markets-North America, Europe, and Asia-Pacific-experienced year-on-year (YoY) growth in excess of 50 per cent in 2012. The continued spread of connected CE and increasingly mobile devices, like tablets, are expected to push the market past $20 billion by 2015, according to ABI Research.

    ABI Research senior analyst Michael Inouye said, “The shift to digital and OTT distribution is accelerating, particularly as content providers increasingly warm up to these channels. While Pay-TV services are still afforded many advantages we are approaching the proverbial fork in the road when content owners will decide if they continue down the same path or forge ahead, shaking up the primary means of media distribution as we‘ve known it.”

    The dynamics around revenue generation continue to change and currently vary by region (e.g. subscriptions more significant in North America than Europe or Asia-Pacific). In time, however, we expect a greater diffusion of revenue across the various business models. For instance, in 2012 58 per cent of OTT video revenue came from subscription service, but we anticipate this share to fall to less than 32 58 per cent by 2018. In large part this is driven by a continual shift in consumer demand towards newer forms of digital content distribution.

    ABI Research practice director, Sam Rosen said, “While we still see great value and strength in the Pay-TV sector we are also starting to see the pieces that will accelerate change fall into place .”Whether it‘s Netflix expanding to International markets or ABC and CBS enhancing catch-up services the building blocks that will restructure the how, when, and where consumers view content are starting to give shape to a new media future. This future, however, isn‘t devoid of traditional media nor is it a matter of new channels necessarily winning, but rather a redistribution of wealth within the value chain.”

  • Avid unveils upgraded digital audio and video technology at NAB

    Avid unveils upgraded digital audio and video technology at NAB

    MUMBAI: Avid, the creator of digital audio and video technology, has introduced a new and upgraded solution for audio production, professional editing, multi-platform content distribution, on-air graphics production, and asset management at the Nab television technology trade convention in Las Vegas.

    The company also shared its strategic vision, termed “Avid Everywhere,” which expresses the company‘s commitment to create the most fluid end-to-end, distributed media production environment in the industry.

    ‘Avid Everywhere‘ recognises that flexible deployment options, including remote and cloud-based collaboration technology, have become critical to content creators and distributors as they face relentless pressure for operational excellence.

    Intense cost pressures and content creation complexity are key challenges for media and content professionals in this ever more mobile and social world. ‘Avid Everywhere‘ helps our customers meet these challenges by empowering distributed work teams, multi-platform delivery, and the ability to work in any production environment.

    Avid president, CEO Louis Hernandez Jr said, “Over the past 25 years, Avid has built a strong heritage of industry leadership; we‘re proud of the role we play in empowering our customer community to create the most compelling media in the industry. As a critical element of Avid‘s growth strategy, Avid Everywhere inspires our next phase of innovation around our entire product suite. We look forward to sharing more announcements over the next year.”

    Specific new and upgraded products announced at Nab include:

    Creative Tools-Avid‘s professional creative tools set the industry standard for the highest quality content creation and production solutions to power the complete professional content creation environment.

    • Avid Media Composer 7 – The nonlinear editing solution is now available and the aim is to bring value to post production editors. The new version features accelerated and simplified file-based workflows including optimised HD delivery from high-res source material and automated media operations. The new release also offers Interplay Sphere for Mac support, extending real-time production everywhere.
    • Avid Pro Tools 11 – Avid‘s digital audio workstation features audio and video engines, 64-bit architecture, expanded metering, and direct HD video workflows.
    • Avid Motion Graphics 2.5 – Avid‘s next-generation platform of on-air graphics production includes a new dual-channel configuration option and stand-alone playout engine to increase deployment flexibility and speed graphic workflows, to create stunning imagery and get work quicker to air.
    • Avid Fast Track Solo and Duo – Avid‘s two new portable audio interfaces for composing and recording high-quality audio come equipped with Pro Tools Express software for Mac and PC, and connect directly to the iPad, providing high-quality I/O for any iOS app.Media Management Solutions-From the largest media enterprises to independent professionals, Avid provides the most open, flexible, and scalable solutions in the industry.
    • Avid Interplay Production 3.0 – Avid‘s latest version of the production asset management solution simplifies and speeds file-based workflows for post production and broadcast customers, and offers Interplay Sphere with full Mac support.
    • Avid Interplay Pulse – Avid‘s enhanced multi-platform content distribution solution delivers content to online, mobile, and social platforms everywhere, in the right form and format for each, while featuring integration with Avid‘s connected newsroom solution set and unified web client.
    • Avid AirSpeed 5000 2.5 – Avid‘s latest-version video server delivers slow motion playback for SD and HD, fast media replay, and continuous record.
  • US audiences to pay for more online movies in 2012 than for physical videos

    US audiences to pay for more online movies in 2012 than for physical videos

    MUMBAI: Americans will pay to consume more movies online this year than they will on physical video formats, marking the first year that legal, Internet-delivered movies will outstrip those of DVDs and Blu-ray discs combined.

    The legal, paid consumption of movies online in the United States will reach 3.4 billion views or transactions in 2012, approximately 1.0 billion units higher than the 2.4 billion for physical video for this year, according to the IHS Screen Digest Broadband Media Market Insight report from information and analytics provider IHS. As recently as last year, physical video had claimed a commanding share of the market with 2.6 billion views or transactions, compared to 1.4 billion for online.

    This year’s online video consumption via the open Internet represents annual growth of 135 per cent from 2011. Online video transactions and videos are also set to continue increasing in the years to come, while physical video sales are expected to decline or stagnate in comparison.

    IHS senior principal analyst, broadband, digital media Dan Cryan said, “The year 2012 will be the final nail to the coffin on the old idea that consumers won’t accept premium content distribution over the Internet. In fact, the growth in online consumption is part of a broader trend that has seen the total number of movies consumed from services that are traditionally considered ‘home entertainment’ grow by 40 percent between 2007 and 2011, even as the number of movies viewed on physical formats has declined.”

    The physical segment consists of retail sales and rentals of VHS, DVD and Blu-ray discs (BD). The online portion is consists of electronic sell-through (EST), Internet video on demand (iVOD) and subscription video on demand (SVOD).

    Key to the surge in consumption of online video has been the rise of all-you-can-eat subscription services such as Netflix and Amazon Prime, which offer customers unlimited on-demand movies for a flat monthly or annual fee. The result is that subscriptions in 2011 accounted for 94 per cent of all paid online movie consumption in the United States, compared to just 1.3 per cent of units consumed that were bought on an ownership basis via electronic sell-through.

    Although it is declining, physical video this year will still command more viewing time from Americans, who will spend an estimated 4.3 billion hours on DVDs and Blu-ray discs, compared to 3.2 billion hours for movies online.

    And although online will account for the majority of transactions this year, it is set to attract a far lower share of revenue in 2012, at $1.7 billion, measured against $11.1 billion derived from physical formats. This is because consumers will pay an average of 51 cents for every movie consumed online, compared to $4.72 for physical video. The pattern will likely remain unchanged even by 2016, with online accounting for 17 percent of revenue, compared to 75 percent for physical video, and pay-TV video on demand taking the remaining 8 percent.

    Netflix, while unquestionably the market leader, is not the only online SVOD game in town. Last year saw both Amazon and Hulu develop online streaming businesses at levels unheard of just a couple of years ago. For Amazon in particular, 2011 marked the transformation of Amazon Prime from a discounted shipping offer into a diverse entertainment proposition in its own right, allowing subscribers who paid the $79 per-year service access to a range of movies and TV shows.

    The phenomenal growth of subscription movie consumption raises the prospect that as SVOD services become more widely adopted, they become an appreciable drain on the time that consumers would have used to watch movies in more lucrative ways, IHS believes. When this is combined with the possibility that consumers will always find something to watch, the still-nascent EST business could have its wings clipped before it can really take flight, even as consumption reaches previously unattainable highs.

    “After more than 30 years of buying and renting movies on tapes and discs, this year marks the tipping point as U.S. consumers now are making a historic switch to Internet-based consumption, setting the stage for a worldwide migration of consumption from physical to online. We are looking at the beginning of the end of the age of movies on physical media like DVD and Blu-ray. But the transition is
    likely to take time: almost nine years after the launch of the iTunes Store, CDs are still a vital part of the music business,” Cryan said.

  • ‘We expect that HD will arrive in India with sports and general entertainment’ : Krishan Sanghi – Avid country head

    ‘We expect that HD will arrive in India with sports and general entertainment’ : Krishan Sanghi – Avid country head

    As India enters a digital environment with more delivery platforms like direct-tohome (DTH) scheduled for launch this year, television technology firms are looking to service broadcasters who will face new challenges. One such firm is Avid. It offers products and services for digital nonlinear media creation.

     

    Indiantelevision.com’s Ashwin Pinto caught up with Avid country head Krishan Sanghi to find out more about the company’s plans.

     

    Excerpts:

    When Avid says that it is a pioneer in digital nonlinear media creation, what does it mean?
    Nonlinear media creation allows one to transfer all the shot material or “rushes” onto a computer hard disk. Unlike linear editing where editing can only be done in a chronological order, the hard disk is a “random access” device which can play your shots one after another regardless of the order they were on your tape.

     

    Through its Unity storages and Interplay, Avid has pioneered this further to allow multiple users to simultaneously work on the same media and edit, modify and create them in a collaborative environment. This allows processes to be conducted independent of a particular sequence and is, therefore, nonlinear in nature. This technology has revolutionised content creation in video, audio, film, animation, gaming and TV broadcast industries.

    Could you give me an overview of the products and solutions in Avid’s portfolio?
    Our products are used to make television and news shows, commercials, music videos and CDs, corporate/industrial productions and major motion pictures. We deliver solutions that make, manage and move media.

     

    Avid provides solutions in areas like video, news editing, film editing, special effects for video and films. We also offer integrated newsroom solutions as well as networked storages for workgroup editing. Besides, we offer broadcast and playout automation as well as on-air graphics and animation.

    What is the global broadcast technology market worth?
    The global broadcast technology market is estimated to be worth more than $10 billion, and is set to grow at an expected rate of 11 per cent with the pace being set in Europe, Middle East and Africa.

    What is Avid’s share in this?
    Avid has converted the highest number of broadcasters to digital news workflows in the industry with more than 250 end-to-end news work group installations. Our broadcast and cable customers include national and international broadcasters, such as NBC, Reuters, CBS News, Fox Television, the BBC, NDTV, CNBC, Times Now and DirectTV. Our clients also include network affiliates, local independent television stations, web news providers, and local and regional cable operators that produce news programming.

     

    We are currently present in 22 countries including India, the US, Canada, Japan and Korea.

    In terms of revenue and business generation, how much do India and Asia contribute?
    India is part of the Middle East and Africa region in Avid. Although we have been well represented here by our dealers, it’s only now that we have started to properly focus on the region.

     

    Our customers, installed base and revenues have been steadily growing, especially in the broadcast industry. Customers’ confidence in Avid’s technology, products and services is reflected in repeat orders for their new projects. We have invested in trainings and have the best trained manpower in broadcast support and as a result we are targeting a very healthy growth.

    It’s only now that we have started to properly focus on the region. Our customers, installed base and revenues have been steadily growing, especially in the broadcast industry

    What growth is being targeted from here?
    A healthy and sustainable revenue growth is being targeted and has been achieved. This has resulted in healthy demand for people who are able to use our software and systems. So it is not just a question of selling products for us. We are also investing to ensure that training in Avid products is available countrywide.

     

    Till date, Avid provides training which is available at more than 50 training institutes, a high percentage of which is part of graduation in mass media. We expect to double this number this year, and to achieve this we are partnering with leaders in the IT industry.

    Who are Avid’s major clients in India and could you give me examples of how your solutions are being used by them?
    Avid targets business solutions and not products alone. Some of our major clients in India are NDTV, Star TV Network, Network18, Neo Sports, Kalignar and Kasthuri.

     

    These customers use Avid’s Unity Isis shared storage media networks which is focussed on the real-time requirements of broadcast production workflows. The new file system and storage architecture combine to provide industry-leading availability, and dramatically increase storage capacity, bandwidth, and client connectivity.

    In terms of providing technical support and servicing, what does Avid offer its clients?
    We ensure that our business partners are well trained and we are proud that our Indian partner Real Image provides support round the clock through its team of engineers. They are in turn supported by our team of product and workflow experts.

     

    We understand our responsibility to update the technical expertise of the industry. We are, therefore, investing in providing specialised trainings to technical resources available here so that the project implementation is quick and economical.

     

    Support training on equipment requires a huge pile of equipment, and that’s why traditionally we have been imparting technical support training only at our regional headquarters. However, realising the regional need, we are bringing the experts and required kits to the region at high costs in the second quarter of this year. This will help add to the local knowledge and expertise, and in turn improve the support level considerably. This will be an opportunity for customers to train their own team, and keep the equipment and workflow efficient, at a fraction of traditional costs.

    Would you say that cost-effectiveness is an advantage that Avid offers clients vis-?-vis competition?
    Absolutely! All our efforts and products strive to increase our customers’ cost-effectiveness, which in itself is based on broadly on three operating parameters. Our tools and processes are aimed at enhancing the workflows efficiency and to address the rising cost of manpower and facilities. We reduce the operational cost by increasing efficiency of the employees. Today, it is more important how people collaborate than calculate on cost per machine.

     

    At the same time, we minimise the loss in revenues by building resilience and reliability in the system and processes. Furthermore, today it is important for media companies to market their assets in more ways than one. We enable our customers monetise their assets in multiple ways. For example, the film captured for production can be easily re-purposed in TV, mobile, IPTV and net, etc. Sharing the media across states and across nations has become important, and Avid makes this possible and easy.

    The technical departments of channels globally often do not understand fully the technology they have bought and its capabilities. Does Avid face this problem vis-?-vis clients?
    Today, the business has changed considerably. The technical department needs to have a vision and understanding of the business as a whole. Deciding on a product without looking at the full workflow is being shortsighted. Many companies fail to see the big picture.

     

    Yes, we face the challenge wherein the purchases are highly box driven. Judicious customers look at the big picture and visualize, and thereafter make provisions for growth in the very beginning. If you will look around, you will find Avid customers whom we have helped migrate technologically to the latest and are now using their resources for multiple revenue streams. For these companies, growth has been a painless process while others are struggling with incompatible products or obsolete technologies and have to bear the cost of running various parallel operations.

     

    It is important for broadcasters to bear in mind that technology is changing so fast that even experts may lack information. Therefore, we educate companies in current technologies. Selecting a right product is more important for small companies who cannot afford to take a wrong step.

    Insofar as advancements in broadcast technology are concerned, what are the trends noticeable in India and Asia?
    Broadcast has gained a much wider meaning. Trends in India and Asia are no different than the world. There is pressure of quality as well as quantity. In all, it’s a dynamic industry. Broadcasters and people who have the strength to be flexible and dynamic will survive on the technical front.

     

    Traditional broadcast is growing by leaps and bounds. Every broadcast station is now a network of a few channels. We are seeing that international content and participation is increasing. We are also seeing a proliferation of small regional channels.

     

    Sports and entertainment are looking at HDTV. Compression will play an important role here. Avid is the first company to have solutions fully compliant with SMPTE VC3 that allows HD handling at lower rates. News broadcasting will spread to the mobile and internet as well.

     

    Tape will loose further ground with all acquisition and distribution being digital. The post-production houses will be next to use the digital wave.

    As we move towards a digital environment in India and Asia where new platforms like online and mobile will emerge, what are the challenges that broadcasters will face on the technical front?
    Reliability and resilience is the key to all technology requirements for the broadcast industry and this is where the biggest challenge lies. This is mainly because broadcast businesses rely on stories and footage as their asset; so the technology they adopt has to be reliable.

     

    Speed is another criterion that is a challenge as the news industry depends on it. As seen in the World Trade Center bombing, the news channels with modern workflows were faster than the ones with traditional workflows. Sky News and Fox were the first to broadcast the bombing and both use Avid solutions.

    Has Avid signed deals with Indian broadcasters that are launching new channels to create their on-air look, graphics, etc?
    On-air looks and graphics reflect a channel’s personality and business space they are in. It is very individualistic. We provide tools and technology to bring out thoughts and creativity.

     

    However, at the same time we do not recommend any particular on-air look or feel. We have an on-air graphic solution called Deko, which creates on-air graphics in real time.

    What are the new solutions that Avid has recently introduced in India?
    Avid constantly updates its products. Therefore, whenever there is a version change, it is like a new product and we have released new versions in 2007. Our highly expandable storage system Isis and Interplay are recent introductions.

     

    We expect some more products to be announced in the near future. The future is good.

    In terms of the news genre, how do your solutions facilitate the expanding roles of journalists?
    Our newsroom solutions are used by journalists, producers, assignment editors, reporters and presenters for researching, creating, managing and delivering television news programmes. Avid iNews newsroom computer systems give producers and assignment editors control of an entire news production, including gathering and reading wires, e-mail and other messages, organising assignments, writing stories and preparing news programmes.

     

    Another product iNews Instinct is a storytelling tool with scriptwriting, shot selection and video and audio editing specifically designed for journalists.

    HD is an area of intense focus for Avid. How long do you feel it will take for HDTV to come to India?
    Avid offers a complete HD workflow, and in fact is playing a leading role. From ingest, storage to playout, Avid can handle HD in all its forms. HDTV compression will play an important role.

     

    HD has already taken off in a big way outside. However, in India it may take a while. Our expectation is that HD will arrive with sports and general entertainment.

    Could you shed light on Avid’s research and development (R&D) facilities? How much investment goes into this activity?
    Our R&D activities are focused on the development of digital media content-creation tools and workgroup solutions that operate primarily on the Macintosh and Windows platforms. Avid is committed to delivering best-in-class video, film, 3D animation, and audio editing systems to meet the professionals in the television, film, music, broadcast news production, and industrial post-production markets. We have always provided path-breaking technologies and visions, and have patents on a number of technologies.

     

    Our efforts also include networking and storage initiatives to deliver standard-based media transfer and media asset management tools, as well as stand-alone and network-attached media storage systems for workgroups.

     

    Avid spends one of the largest percentages of its income, of any company in the sector, on R&D. For instance, our R&D expenditures for 2006 were $141.4 million.

  • DVD market on the cusp of change

    The DVD market in India is witnessing major change. The prices of both hardware and software has become highly competitive and a host of online rental players have emerged. But what impact will low prices have on the rental business and what pricing strategies are home video firms employing? This story offers a look at the current situation of the home video market in the country.

     

    First off, there is no denying that the DVD revolution is possibly the biggest thing that could have ever happened to movie buffs.

    Today, six cities including Bangalore, Delhi, Mumbai, Chennai, Hyderabad, Kolkata account for 70 per cent of the DVD player penetration in the market.

    According to Federation of Indian Chambers of Commerce and Industry (Ficci ), a PWC report states that there is a huge upspring in plasma TVs and home theatre surround sound systems, which has boosted the demand for home video products like DVDs and VCDs.

    The home video market in India – largely the rental market – was estimated to be about Rs 4 billion in 2005. Over the past two years, it has grown by about 15-18 per cent per year. The share of the home video market is estimated to be six per cent of the total film-based entertainment business. This is expected to grow to about 14 per cent by 2010, driven by the shorter-release windows in the theatrical business.

    India has approximately 15 million DVD players and this figure is expected to touch 70 million by 2010, which translates into a vastly untapped video rental market.

     

    The present market scenario

    The global broadcast technology market is worth $11 billion and is set to grow at 11 per cent with the pace being set in Europe, Middle East and Africa. This fact was highlighted at Broadcast Asia 2007, which is Asia’s biggest industry event held in Singapore from 19 -22 June 2007.

    The country has over five million home video and DVD subscribers and current penetration levels are expected to grow 31 per cent, according to the PWC report.

    The home video market is going to almost double from Rs 830 crore in 2007 to Rs 1,700 crore in 2010. The drastic cut in the price of DVDs has allowed DVDs to be sold through supermarkets as well. In the international scene, the total market has grown to an estimated 8.8 million subscribers at the end of 2006, with total estimated rental revenue of over $1.2 billion.

     

    Adams Media Research and Netflix internal estimates project that the total market will have more than 20 million online subscribers in the next four to six years. The DVD rental business is in the season of mergers, the latest to happen is the biggest fund raiser in the rental space Seventymm has acquired 100 per cent equity of the oldest rental service agency Madhouse.

     

    Moser Baer in the entertainment basket

    One player that is looking to change the dynamics of the home video market is Moser Baer. Its entry into the home entertainment market was marked by its move to slash the prices of DVDs and offer regional titles. This positioned the company among the top contenders and the biggest guns of retailers entering this market.

    Its set to change all the dynamics of the entertainment market and the problems conflicting the industry like high prices of DVDs which had given the rise of steadily flowing of piracy and high fragmentation in this business.

    Companies are releasing video content in DVD and VCD formats to ensure the highest quality standards, but also to significantly reduce costs. Moser Baer‘s fully licensed titles will be available at Rs 28 for an Indian film VCD and Rs 34 for an Indian film DVD – price points that we said before, will not just redefine the Rs 650 crore ($150 million) home entertainment business in the country, but also put it on the path to a four- to five-fold growth in the next three years. Of this, Moser Baer aims to have at least 50 per cent market share.

     

    One of Moser Baer‘s recent releases

    Pricing strategies: Moser Baer will also be releasing non-film titles in the following areas at different price points, including VCDs at Rs 49 and DVDs at Rs 69. Two VCDs will be priced at Rs 89. All English movie titles will be marketed (VCDs at market price of 49 and DVD of Rs 69). The company is also planning to launch single VCDs of songs in the range of prices starting from Rs 20 in all key languages.

     

    Distribution: Moser Baer is also setting up exclusive branded outlets (owned or through franchise) at about 300 locations, in addition to alliances with large format stores established by various retail ventures in the country. They have established a network of carrying and forwarding agents in all the states of India.

    Other players slashing prices: Shemaroo & Eros

     

    Other players in the market include the veteran Shemaroo. The firm recently introduced three new pricing categories for some products starting at Rs 66. Shemaroo VP Hiren Gada says that the last time DVD prices were reviewed was in 2004. He adds that the firm anticipated the competition in terms of prices and more players a few years back which is why it has sought to diversify itself.

    More price cutting has come from Eros International which has slashed its entry price on DVDs, cutting it down from around Rs 150 to Rs 99 to keep in tune with the dynamics of the market.

    One of the films in Shemaroo‘s low price catalogue

    Eyeing the potential of this sector, Reliance Entertainment, Nimbus and Percept are among the other players looking to enter the home video space with competitively priced products. Reliance is investing $ 100 million in its home video division Bigflicks. This has both an online and an offline component.

    The online component will mainly target NRIs. The offline component will consist of retail stores across the country. By the end of this financial year there will be 100 stores in 10 cities. In three years there will be around 500 stores in 50 cities. They will function as neighbourhood stores. They will offer DVDs for rental and sale. While the pricing strategy has not been decided upon Bigflicks COO Kamal Gianchandani says that it will be competitive.

     

    No drastic price reduction: Excel Home Video

    This animation film has done well for Excel

    For some of the other existing firms it is still a ‘wait and watch‘ strategy on the pricing front. Excel Home Video which focusses on Hollywood is not going in for huge price reduction anytime soon. Excel Home Video MD M N Kapasi says that it is not a question of high price or low prices.

    “So far the introduction of low price discs has not affected our business. We will reduce the price of our products marginally to push up volumes but it will not be a drastic reduction.

    “Demand is a function of content. You can have cheap hardware but if the software is not there a firm will not find takers. At the current price level of our DVDs and VCDs we are satisfied with the volume of business. We will be doing a study now to find out what the consumer expects. Is it a low price or is it quality they seek? Depending on that we will take a decision on how we go ahead.”

    No need to plunge prices: Sony Pictures

     

    Sony Pictures which has a home video unit is also adopting a wait and watch strategy. The firm feels that its price points are reasonable and with that price point it claims to compete successfully and at the same time make profits.

    A spokesperson says that there is no sudden need to plunge the prices when consumers are willing to make a price value comparison on a particular film. At a super low price one will bleed. It is worth noting that Moser Baer has an advantage. Since it is a disc manufacturer it can bring prices down more effectively than the competition.

     

    The webslinger has proven to be a winner for Sony Pictures on the home video front as well

    It is expected by the industry that the advent of low priced DVD players and some software at a reasonable price will help convert VCD buyers to DVD buyers thus helping to educate the consumer about the better quality and features of DVDs over VCDs. VCDs are still likely to sell in large volumes for some time though, as DVD hardware penetration in rural India is still not very high.

     

    Moreover, with the advent of lower cost DVDs, new distribution channels are likely to open up, thereby expanding the availability of DVDs more than they currently are. Several players are betting on home videos becoming a FMCG product being sold through multiple retail points like super markets and departmental stores apart from traditional music and video stores. Also, with the expansion of organised retailing in India, over the next few years, home videos are likely to get wider distribution reach.

    However, the key issue is what impact will low pricing of DVDs have on the rental business?

    As of now the rental business whether online or offline is yet to see the full impact of the low cost DVDs. It might not get affected in the short term as most of the renting happens for new Hindi and international releases mostly priced between Rs 299 – Rs 599 for DVD and Rs 149 – Rs 299 for VCD. The price reductions are usually introduced for older movies, classic titles. However, if prices for international and newer Hindi products also fall drastically in the next three years, as has been predicted by Moser Baer, then the rental business will certainly get affected.

     

    Industry players however don’t feel that low cost DVDs will have a major impact on cinema revenues. That is because theatre viewing is a different experience with the family as an outing. Video cannot replace that experience. Further, several films have a great impact on the big screen, compared to the small screen.

     

    Theatrical business will generally not be hit as there is a hold back period of 2-10 weeks before the original home video can be launched legally by the home video rights owner. Normally, the film completes its theatrical run by then.

     

    The Online DVD rental markets

     

    Coming to the fast expanding online DVD rental business that poses competition to the DVD market, include players such as Madhouse, Seventymm and Clixflix among others.

    Reasons for splurge in the Online DVD market

     

    • Internet penetration in India is growing not only in the urban areas but also in B and C class cities which has made possible the entry of this market in rural and small areas. The number of individuals who accessed the internet has increased marginally from 10.8 million to 13.0 million in 2006.

    • Local rental stores provided the customers with only limited editions of popular bollywood flicks, nothing besides that.

    • Cheap content and poor quality makes it hard for the consumer to get good quality DVDs at rental stores.

    • The organised movie rental business has checked the rampant problems of pirated versions.

    The leading players include:

     

    Madhouse (www.madhouse.in)

    Madhouse, which rents out original and legal disks, is among the earliest players in the sector. It claims to be the first rental service Indian company to offer movie rental services accessible via a multi-channel model. This includes customer interactions through the web, SMS, phone and kiosks. Founded in December 2004, Madhouse is headquartered in Delhi. The rental service was launched in the tri-city region of Chandigarh, Panchkula and Mohali in May 2005.

    Madhouse was acquired by Seventymm this year.

    Seventymm (www.seventymm.com)

    With a funding of Rs 100 million from US based Draper Fisher Jurveston and 32 crore funding from Matrix Partners Seventymm is currently based in Bangalore, Delhi-NCR, Hyderabad and Mumbai. It was launched in 2005.

     

    Cinesprite (www.cinesprite.com)

    Cinesprite.com, which was launched in 2006 with nearly 10,000 titles, is a DVD rental site that offers subscription plans ranging from one to 12 months with an activation fee of Rs 150 and Rs 250 depending upon the package the viewer chooses.

     

    Moviemart (www.moviemart.in)

    Movie Mart, a new comer in this space was launched this year. The website is also a subscription based DVD movie rental service providing its members access to a library of motion picture, television and other film entertainment. The member can choose from their subscription packages and also offers unlimited validity period for four DVDs at a time at a price of Rs 999. These prices are key in combating the falling prices of software.

     

     

    Catchflix (www.catchflix.com)

    Catchflix online rental service was launched in may 2006. It covers Bangalore, Mumbai, Delhi- NCR, Bhubaneswar, Hyderabad. It offers a 50 DVD package at a cost of Rs 2899.

     

    Clixflix (www.clixflix.com)

    Launched in October 2004, Clixflix plans to expand nationally. It offers a package of six DVDs a month at Rs 399 and unlimited DVDs at Rs 799. This is a Mumbai based rental agency.

    Bigflicks (www.bigflicks.com)
    This is Reliance‘s online video service and will mainly target the NRI market. It has launched its on-demand movie download service. It offers films in Hindi, Marathi, Tamil, Telugu, Punjabi and Kannada that will be available for either download to own at a fee or for free streaming. The firm says that its USP is that it is the first and only online movie library with the largest regional content. The download price ranges from $2 – $15.

    BigFlicks.com will offer 2000 titles in the first year and there will be revenue sharing arrangements with the content owners. The site is also looking at acquiring Indian television content apart from looking to connect with subscribers in America, UK, Canada, Middle East, Australia and South East Asia. The site aims to have an easy interface and navigability. It offers downloading speed with bit rates of 1500 kbps.

     

    Conclusion

    Thus, it is not surprising to see why online DVD rental chains and retail majors have forayed into sales and distribution tie-ups apart from acquiring copyrights from content DVD manufacturers. The market is booming and online DVD rental companies are looking to expand through tie-ups with retail chains.

    The Indian entertainment industry is worth about $5.2 billion out of which the film industry alone is worth about $1.5 billion. Even though the online DVD rental players have a tiny market share presently, they are planning to grow rapidly and expect to reach $100 million within the next five years. DVD content owners are experimenting more with packaging to make the product more attractive as well as providing added value features.

  • CNN relaunches website with integrated features

    MUMBAI: News brpadcaster CNN has relaunched its site cnn.com. The aim is to be an intuitive, integrated Web site that puts users within a click of the global, international and local news and information they find most relevant to them.

    With the site’s enhancements and redesign, users can access the news of the day through a story package that provides text, images, video, related stories and user-generated content. Also, the live online video content that was available through the subscription-only CNN Pipeline becomes woven into the fabric of CNN.com and is available to all CNN.com users for free, making the service even more dynamic and user-friendly.

    CNN News Services executive VP Susan Grant says, “To simply describe this relaunch as a site redesign grossly understates what we’re doing at CNN.com. This goes beyond the next level of online news and jumps straight into a fully integrated experience in which articles, videos, images and user-generated content all come together to give users a more enriching, immediate interaction with the news content and information they need and want.”

    Improvements to CNN.com and its international edition include:

    • Integrated multimedia storytelling that puts text, videos, photos, maps, charts and more all accessible on one page. Tabbed elements allow easy access to a variety of media types, allowing users to determine themselves how they get the news they want.

    • Presentation of video has been improved. This includes CNN’s online video archive stretching across its 27 year history – all free of charge without need for downloads. A new on-demand video player offers a Flash-based, play-in-page experience complete with larger and higher quality video and tools to create playlists and provide feedback. A live player provides access to up to four live video streams, one of which is guided by CNN.com-exclusive news anchors – the only offering of its kind on the Web.

    • More ways for users to engage in news through feedback, content submissions from users with I-Report articles, video, photos and and blog commentaries.

    • Locally relevant content, allowing users to personalize CNN.com to offer enhanced weather forecasts and personalized local headlines. This content comes from various sources and content-sharing relationships, including CNN.com’s affiliates and the recently announced strategic alliance with Internet Broadcasting, the US’ largest publisher of TV station Web sites.

    • Links to content available on other news and information sites and blogs as part of CNN’s commitment to being a good web citizen.

    • Better TV promotion on the site to improve the complementarity of CNN’s TV and online services

    There is a Hot Topics section front that provides in-depth multi-media content based on timely, newsworthy stories; The All About pages give users access to an archive of stories that CNN.com – and other selected media sources – have published on almost any subject; The We Recommend feature, which presents users with stories and videos from CNN.com and other content partners based on the user’s past CNN.com browsing history.

    · “From the Blogs” feature, which aggregates comments from blogs around the Web discussing either a specific story or topics related to one published on CNN.com.

    · Highlights at the top of every article, which enable users to scan and digest story details quickly, and a “Next” link, which allows them to browse through story highlights quickly. CNN.com also directs users to related content, one way in which the site reveals connections between stories.

  • Fifa announces online initiatives for Club World Cup Japan 2006

    Fifa announces online initiatives for Club World Cup Japan 2006

    MUMBAI: Football’s governing body Fifa has announced that its site is providing a host of features for the Fifa Club World Cup Japan 2006, which kicks off on Sunday 10 December 2006.

    All matches will be covered live on the site: goals, cards, substitutions and additional statistics will be available in real time through the site’s ScoreCard service.

    Breaking news, post-match quotes and analysis, interviews and features will be produced direct from the venues. Team profiles and squad lists, referees and venues profiles, profiles of the previous clubs who won the former Intercontinental / Toyota Cup and the FIFA Club World Cup since 1961 will be present.

    A full Japanese language version of the tournament to offer local football lovers the same level of coverage as enjoyed in the four official languages the site operates in (English, Spanish, French and German). This Japanese version is available on www.FIFA.com/jp

    The site will also offer a worldwide video highlights service for the tournament. Two minute video summaries will be made available free of charge shortly after the final whistle of each game (except Japan and Spain, where there is a 24 hour delay).

    Fifa director of marketing and TV division Jérôme Valcke says, “Fifa is happy to be able to showcase world-class club football on its official Website and to offer fans a comprehensive coverage of this major Tournament. With the support of our friends at Dentsu, Fifa.com will feature video highlights of each match.”