Tag: Videocon d2h

  • SNL Kagan Survey 2012: Videocon d2h is world’s No 1 DTH player in new subscriber additions

    SNL Kagan Survey 2012: Videocon d2h is world’s No 1 DTH player in new subscriber additions

    MUMBAI: The sky is the limit it seems for Videocon d2h, the direct to home arm of the Videocon group. It apparently has unknowingly managed a unprecedented record of adding the highest number of gross subscribers in 2012 in the DTH category globally.This is one of the findings from a piece of research carried out by US research agency SNL Kagan on leading pay TV operators in the world. 

    According to the study Viideocon d2h, added 2.33 million subscribers in 2012, while Dish TV added 2.2 million subs and Tata Sky 1.9 million. As compared to that, the next highest additions in 2012 were Russian DTH firm Tricolor which added 1.29 million subscribers and Sky Brasil and Sky Mexico with 1.251 million new subs and 1.12 million sub additions.

    One of the youngest Indian DTH operators, the company was buoyed by this news. It says the term, ‘The Fastest Growing DTH Service provider‘, now assumes greater impetus and significance due to the global survey results.

    Says Videocon group director Saurabh Dhoot: “Videocon d2h has been constantly topping the charts with highest number of additions in the Indian scenario but achieving this on a global scale that too on an annual basis, is phenomenal and overwhelming. We have always raised the bar in various parameters in the category and this provides another instance for the same. Through all our endeavours we will continue adding value to our customers.”

    Adds Videocon d2h CEO Anil Khera: “This is a very proud moment for us as a company. We have not only maintained our lead within the country but have outshined even global competition. I am sure such an accolade will provide a strong motivation to our employees to raise the company‘s flag even higher. It is because of the belief that our customers have placed on the brand that we are able to achieve such success. We aim to delight them always with our services.”

    Also Read: 
    Indian pay TV operators making their mark globally: researcher SNL Kagan

  • Govt revenues from DTH licensing fees zoom

    Govt revenues from DTH licensing fees zoom

    New Delhi: The six private direct-to-home operators paid Rs 3.078 billion as licence fee to the government for the year 2011-12, compared to Rs 1.778 billion in 2010-11 and Rs 1.262 billion in 2009-10.

    The revenue in 2008-09 was Rs 893 million from four operators, since both Airtel Digital TV (Bharti Telemedia Ltd.) as well as Videocon d2h (Bharat Business Channel Ltd.) had not commenced services.

    The other DTH players are Dish TV, Tata Sky, Sun Direct TV, and Reliance Big TV.

    Under DTH licensing norms, the platforms pay a non-refundable entry fee of Rs 100 million and an annual fee equivalent to 10 per cent of gross revenue every financial year. Thus, the platforms have paid Rs 600 million as one-time entry fee.

    Interestingly, Tata Sky paid a licence fee of Rs 793 million in 2011-12 as against Airtel Digital’s Rs 618.7 million and Dish TV’s Rs 300 million. Sun Direct paid Rs 360 million, Reliance Big TV paid Rs 95 million, and Videocon d2h paid Rs 50 million.

    DTH services are governed by the DTH Guidelines and terms and conditions issued by the Information and Broadcasting Ministry on 15 March 2001 and amended from time to time.

    The seven DTH players in the country including Doordarshan’s free-to-air DD Direct Plus cover around 35 million TV homes.

  • Indian DTH industry to benefit from digitisation, says MPA

    Indian DTH industry to benefit from digitisation, says MPA

    MUMBAI: India‘s move to digitise its fragmented and unorganised cable TV sector is going to give a fillip to the seven odd Indian DTH operators, according to Singapore based pay TV research firm Media Partners Asia (MPA).

    This is totally contrary to the behavior observed on the ground in the first two phases of digitisation wherein cable TV has held its ground and consumers have not really rushed out to buy DTH boxes even though analogue signals have been switched off.

    The MPA report says that revenues for DTH operators are expected to treble to over $5 billion by 2020 as mandatory cable TV digitisation would help the DTH players expand their subscriber base.

    It adds that DTH industry revenues will reach $3.9 billion by 2017 and $5.3 billion by 2020 on the back of a growth in subscriber numbers. Estimates are that the India™s DTH players raked in $1.5 billion last year.

    MPA says that active DTH subscribers will grow from 32.4 million in 2012 to 63.8 million by 2017 and 76.6 million by 2020. The figure for 2011 was at 28.7 million. The increase in active subscribers in 2012 over 2011 was a mere 3.7 million which is alarming, it says.

    The report points out that the content deals between operators and content aggregators such as IndiaCast, MediaPro and TheOneAlliance are likely to be on a cost per subscriber basis rather than a fixed rate as was the practice earlier.

    As it is DTH operators have been making efforts to improve their per subscriber economics over the past year by increasing the number of packages and entry level pricing. They have also tried to reduce churn levels by reducing trade margins and the window of free viewing by new subscribers, revealed MPA.

    The report warns that marketing and staff expenses will remain high with DTH operators as the rollout of digitisation makes further inroads into the remaining parts of India.

    MPA has also given the pecking order of the leading DTH players. Dish TV continues to lead with a market share of 27 per cent in terms of gross additions, while Videocon d2h leads in terms of incremental additions in 2012.

    Tata Sky and Airtel Digital TV have 19 and 18 per cent market share, respectively. These four players together accounted for 88 per cent of total gross additions last year, says MPA.

  • DTH players revise subscription packages upwards

    DTH players revise subscription packages upwards

    MUMBAI: Bogged down by multiple taxation and regular hikes in taxes like service and entertainment, Indian direct-to-home (DTH) service providers have decided to pass on the burden to their customers.

    DTH operators like Dish TV, Tata Sky, Airtel digital TV and Videocon d2h are raising base pack prices. In the case of Dish TV and Videocon d2h, the uptick is to the tune of 10 per cent for all their packages.

    They say an increase is inevitable as they have been absorbing taxes for far too long and the industry viability itself is coming into question because the players have been bleeding.

    Airtel digital TV has hiked its base pack price from Rs 158 to 175 per month effective 9 April. Videocon d2h’s price hike comes into effect from 10 April. Dish TV was the first to hike prices of monthly subscription packages by 10 per cent effective 4 April.

    Tata Sky has increased prices for individual plans unlike the uniform hike by Dish TV and Videocon d2h. Some like Reliance Digital TV are still adopting a wait and watch policy.

    However, the DTH operators have also provided price protection to their customers by giving them an option to save money by recharging for a longer duration.

    Under the regulation, existing customers are protected from a price hike which can only be implemented after six months from the day it comes into effect.

    Dish TV COO Salil Kapoor says that DTH operators were absorbing the burden of service tax till now and have decided to pass it on to the customers to reduce that burden.

    “We have hiked prices by 10 per cent across the board. We are just passing the burden of service tax on to the customers,” says Kapoor.

    Tata Sky MD and CEO Harit Nagpal is of the opinion that the price hike is not just about service and entertainment tax.

    “The input costs have gone up, the cost of content has also gone up plus there is inflation. The DTH operators have been dropping prices till now so this (price hike) is just one little step in the right direction by DTH operators,” explains Nagpal.

    Videocon d2h CEO Anil Khera elucidates: “Service tax has been increased and entertainment tax in many states has also been increased so we are gradually passing the burden on to the customers.”

    A Reliance Digital TV spokesperson said that the company is evaluating hiking prices, “Yes, we are at present evaluating different options. At this stage, it is difficult to say how much would it be and when,” the spokesperson states.

    The spokesperson adds, “Also, as an industry we are heavily burdened with statutory levies (to the extent of around 35 per cent) – the recent decision to increase the Customs Duty on STBs by 5 per cent has only added to this burden.”

     

  • DTH Assn’s Harit Nagpal: “We can plug the shortfall in STBs in Phase II”

    DTH Assn’s Harit Nagpal: “We can plug the shortfall in STBs in Phase II”

    MUMBAI: They are being pretty direct. DTH TV operators have categorically stated that they can definitely fill the gap should there be any shortage of set top boxes in any city under phase II of the government mandated digitsation of cable TV.

    “Digitisation does not need to be postponed,” says DTH Association of India president Harit Nagpal emphatically “ We have been digitizing the TV industry for the past seven years. We have national contracts with the broadcasters, which we keep working on with them. We have adequate stocks of STBs and trained manpower to meet any demand which crops up in any city should cable TV operators not be in a position to deliver the set top boxes to their customers.”

    He is pretty confident that this can be done overnight. “At Tata Sky we have about 1.5 million set top boxes in stock,” he reveals. “I am speaking for all DTH operators: If there is a colony or a ward or a pincode which is feeling the shortage, we can rush boxes there overnight to plug the shortage.”

    Nagpal believes that media reports claiming that 50 per cent of homes in some cities are facing a TV blackout could be attributable to independent cable TV operators in these cities not clearly reporting the number of STBs they have installed. “I think it is a reporting problem,” he says. “The number of TV homes not receiving signals is much lower. Some anomalies like this are bound to occur on an exercise of this scale.”

    DTH today accounts for about 27-28 per cent of the entire pay TV base in this country with about 40 million active subscribers according to the DTH association.

    Also, according to MIB reports almost 40 per cent of the digitization that has been achieved in the 38 cities has been done by DTH players, among which figure Tata Sky, Airtel, Videocon d2H, DishTV, Sun, DDDirect, Big TV.

  • Zee Khana Khazana rolls out its first campaign ‘Kal kya banaoon?’

    MUMBAI: Zee Khana Khazana is launching its new ad campaign aiming to reinforce its positioning through its tagline ‘Ab Khana Sawal Nahi, Lajawab Hai!’

    Titled ‘Kal kya banaoon?’ the thought behind the TVC captures the mindset of every housewife, which is full of questions when it comes to making the everyday meal. The TVC shows a day in the life of a housewife who battles with the question ‘kal kya Banaoon’ all day, without getting an answer from anyone. Finally, she finds the answer in her own living room, with Zee Khana Khazana.

    Mansi Parekh will be seen as portraying the role of the worried Indian housewife, with ‘kal kya banaoon’ thought always on her mind.

    In the first phase the TVC will be available on DTH platforms, Digital and Social media and across Zee network channels. The ad film has been created by Scarecrow Communications.

    Zee Khana Khazana business head Amit Nair told Indiantelevision.com that the channel plans to continue to spend about 20 per cent of its marketing budget on digital media. “Brand activations, TV and Digital are the key mediums we will rely on. As it’s a niche channel with a focused target audience, the concentration is more on women specific radio time bands and integrations, digital advertising on women specific portals, concentration on social media and onground activations in a big way.”

    The ad will also travel to Multiplexes and other networks in the second phase. Zee Khana Khazana is currently available at Rs 30 per month on Dish TV, Videocon D2h and on digital cable. It will soon be available on other DTH platforms, the company said.

    On digital, the channel had done brand campaigns on the top ad networks and Google, YouTube.

    Talking about BTL activities Nair said, “We just concluded the four city BTL activity called Super cook that had a grand finale at Inorbit Malad on the 29 March. Through this activity winners in the four cities will get a chance to come onto our show ‘Ab Har Koi Chef’ and cook with our super chef ‘Chef Jolly Singh’. We are also planning to concentrate a lot on BTL activations like contest and workshops in malls, special workshop for women in societies, tie ups with different events conducted by parallel brands etc in the future.”

    The ads will be running the TVC across the network on all national channels excluding regional ones. The channel will also air the TVC on the HD channel of Zee and Zee Cinema.

    The TVC is directed by Radhakrishna Jagarlamudi. Meanwhile, it is produced by Satish Fenn of Ever After.

  • Videocond2h’s Amit Dhanuka joins IndiaCast as SVP for intl biz

    Videocond2h’s Amit Dhanuka joins IndiaCast as SVP for intl biz

    MUMBAI: IndiaCast Media Distribution, a joint venture between TV18 and Viacom18, has appointed Amit Dhanuka as senior vice president for their international business division.

    Based in Mumbai, Dhanuka will oversee Asia Pacific business, international syndication, outbound ad sales as well as content and commercial affairs.

    Prior to joining IndiaCast, Dhanuka was with Videocon D2H where he drove the content strategy, packaging and VAS. He comes with over 12 years of experience in media and entertainment. He has also worked with Sony Pictures Television International, E- City and the Zee Group.

    IndiaCast COO Gaurav Gandhi said, “We are delighted to have Amit on board with us. Given his diverse experience both on the content and commercial side in media and broadcast, we are confident that he will play a very key role as we take our international business to the next level.”

    Dhanuka said, “IndiaCast has made a tremendous mark since its launch and I hope to build on that. I look forward to working with the team and bring in a new perspective for the growth of this fast growing organisation.”

  • Videocon d2h’s Arpu in 2012-13 first half at Rs 135

    Videocon d2h’s Arpu in 2012-13 first half at Rs 135

    MUMBAI: The average revenue per user (Arpu) per month of Videocon d2h, the direct-to-home (DTH) television service of Bharat Business Channel, was Rs 135 in the six months ended 31 October 2012, up from Rs 113 in the fiscal year beginning 1 April 2011.

    Videocon d2h‘s gross subscriber base as on 31 October was 6.62 million, up 21 per cent from 5.48 million as on 31 March 2012.

    The company‘s subscriber acquisition cost in the first half of 2012-13 was the lowest at Rs 2,021 per subscriber as it procures set-top boxes (STBs) locally from a group company.

    Videocon d2h will buy from group firm Trend Electronics Ltd (TEL) 1.6 million standard definition STBs at Rs 1,400 per piece, 0.4 million high definition STBs at Rs 1,700 per piece and two million outdoor units and accessories at Rs 627 per unit.

    Bharat Business Channel has filed a draft prospectus for an initial public offering (IPO) to raise Rs 7 billion.

    Videocon d2h has the highest subscriber addition rate with a 25 per cent share in the total additions by DTH players in the first half of 2012-13. In the whole of 2011-12 too Videocon d2h had the highest share of 24.4 per cent in new subscriber additions.

    The company‘s monthly churn rate too was lower at 0.89 per cent in the first half of 2012-13 from 1.16 per cent in the whole of 2011-12.

    Airtel DTH and Dish TV, the competitors of Videocon d2h, had monthly Arpu of Rs 171 and Rs 154, respectively, while the monthly churn rate of Airtel was 1.9 per cent and Dish TV 0.8 per cent in the first half of 2012-13.

  • Videocon d2h to air ‘Vishwaroopam’ on 10 Jan

    Videocon d2h to air ‘Vishwaroopam’ on 10 Jan

    MUMBAI: DTH service provider Videocon d2h is set to telecast the premiere of the movie Vishwaroopam on PPV (Pay per View) mode.

    With this facility, Videocon d2h subscribers will now be able to watch the movie before it releases in the theatres.

    The movie, which will be telecast on 10 January, will be charged at Rs 1000 per view in Tamil language (Channel No. 221) and Rs 500 per view for Telugu (Channel No. 219) and in Hindi (Channel No. 220).

    The movie has been directed by and stars Kamal Hassan; one of the biggest cinema actors in the country.

    Videocon d2h director Saurabh Dhoot said, "We see this as a breakthrough innovation for the DTH platform and this could set a new precedent in the times to come. We are constantly aiming to widen our engagement platform through which we would leverage and connect with our consumers better by bringing newer entertainment modes right into the homes of our consumers."

    Videocon d2h CEO Anil Khera added, "Vishwaroopam is the first Indian movie to be premiered on the DTH platform before its theatrical release worldwide. Tamil and Telugu movies are gaining huge popularity in the country and Videocon d2h is ensuring that it serves exclusive regional language films for the subscribers. Such collaboration with the movies will certainly usher in a new experience for all movie lovers."

  • Videocon d2h earmarks Rs 4.88 bn of proposed IPO proceeds to buy STBs

    Videocon d2h earmarks Rs 4.88 bn of proposed IPO proceeds to buy STBs

    MUMBAI: Bharat Business Channel, the Videocon Group‘s direct-to-home (DTH) television service provider under the brand Videocon d2h, plans to spend Rs 4.88 billion of the Rs 7 billion it intends to raise from an initial public offering to purchase set-top-boxes (STBs) and associated equipment.

    Videocon d2h will purchase two million STBs, outdoor units and accessories from Trend Electronics Ltd (TEL), a Videocon Group company, during the financial year 2014.

    Videocon d2h will buy from TEL 1.6 million standard definition STBs at Rs 1,400 per piece, 0.4 million high definition STBs at Rs 1,700 per piece and two million outdoor units and accessories at Rs 627 per unit.

    Videocon d2h expects 7-8 per cent of new DTH subscribers to purchase HD subscription packages. Approximately 30 television channels are available in HD apart from sports and movie channels.

    Videocon d2h brand owner Bharat Business Channel has 6.62 million gross subscribers (including inactive subscribers) as of 30 September 2012. The company started operations in July 2009.

    The company has filed a draft prospectus with the Securities and Exchange Board of India (Sebi) for its IPO and would be listing its shares on the Bombay Stock Exchange.

    Videocon d2h will use Rs 695.85 million of the IPO proceeds to repay or prepay part of its debt from banks and the remaining for general corporate purposes.

    As of October 31, 2012, Bharat Business Channel had outstanding secured indebtedness of Rs 16.62 billion from banks and indebtedness of another Rs 2.25 billion from Videocon Industries.

    The company plans to raise Rs 500 million through sale of equity before the IPO. If the pre-IPO placement is completed, the public issue size will be reduced to the extent of such placement, subject to the public issue size constituting at least 25 per cent of the post-Issue paid-up equity share capital of the company.

    All of Bharat Business Channel‘s secured loans are either guaranteed or supported through undertakings by Videocon Industries.

    The company incurred losses for the six months ended September 30, 2012 and the financial years 2012, 2011 and 2010 of Rs 2.70 billion, Rs 4.82 billion, Rs 5.28 billion and Rs 1.31 billion, respectively. For the financial years 2011 and 2010, it had negative cash flows from operating activities of Rs 1.18 billion and Rs 504.26 million, respectively.

    As of September 30, 2012, the company had a negative net worth of Rs 5.89 billion.

    The company said its auditors have noted that despite the erosion of our net worth and the fact that our accumulated losses exceeded the paid-up share capital, the financial statements have been prepared on a going concern basis.