Tag: Zee Marathi

  • Zeel ropes in 18 sponsors for 13th Zee Cine Awards

    MUMBAI: Zee Entertainment Enterprises Ltd (Zeel) has roped in 18 sponsors for the 13th edition of its Bollywood awards property ‘Zee Cine Awards‘.

    Zeel, which will air the award ceremony across its seven channels, has got on board Hindustan Unilever‘s skin care brand Fair & Lovely as the presenting sponsor, while the powered by sponsor is Pune-based real estate developer DSK Group. Zeel has also created a category titled Fitness Partner and has got Sugar Free as the sponsor in the category. Geetanjali Jewelers is the trophy sponsor of the event.

    There are a total of 14 associate sponsors for the show — Revital, Volini, Amway, Cherry Cough Syrup, Asian Paints, Cavin Kare, Pataka Tea, Everest Masala, Suzuki Bikes, Quickr.com, Imperial Blue, Mahindra Quanto, Nyle Shampoo and Apollo Tyres.

    Zee Cine Awards will air on Zee TV, Zee Cinema, Zing, Zee Marathi, Zee Bangla, Zee Tamil and Zee Telugu.

    Zeel chief sales officer Ashish Sehgal told Indiantelevision.com that all the ad inventories for the show have been sold out. The show had a few spots which have been bought by Nestle.

    “Zee Cine Awards is our biggest property and this year it will make around Rs 300 million, which is 30 per cent higher than the last year,” Sehgal added.

    According to him, the presenting sponsor will consume 10-12 per cent of the ad inventory, the powered by and fitness sponsor will collectively utilise around 12-13 per cent and the remaining will be used by associate sponsors and Nestle.

    Ernst & Young will be the auditors for the awards.

    Zee Cine Awards compete with Colors‘ Screen Awards, Star Plus‘ IIFA Awards, Sony Entertainment Television‘s Filmware Awards and Max‘s Stardust Awards.

    Zee Cine Awards is being held on 6 January at Yash Raj Studios in Mumbai.

    The Red Carpet, a curtain raiser to the awards show, will air at 7.30 pm on 20 January followed by the main event at 8 pm which will run for four hours.

  • ‘Star Pravah is only entertainment channel with 25% of content aimed at males’: Star Pravah channel head Nachiket Pantvaidya

    ‘Star Pravah is only entertainment channel with 25% of content aimed at males’: Star Pravah channel head Nachiket Pantvaidya

    Star Pravah had a bad start and had to rework on its programming strategy to keep in pace with rivals Zee Marathi and ETV Marathi. Now having found the right content mix and being aggressive in buying movie rights, the channel leads the ratings chart.

     

    Launching with culturally rich shows like Raja Shivchhatrapati and Agnihotra, the channel changed track and is now focusing on contemporary content reflecting today’s lifestyle. It is betting big on movies and is willing to pay high prices.

     

    In an interview with Indiantelevision.com’s Gaurav Laghate, Star Pravah channel head Nachiket Pantvaidya talks about the channel’s programming plans and the challenges of the Marathi market.

     

    Excerpts:

    Q. After joining on 1 April last year, Star Pravah has grown in the Marathi general entertainment genre. What has worked in your favour?

    From 120 GRPs during the last IPL, we have grown to 250 GRPs today. While the ratings are just a number, we have come a long way because we got the right strategy in place.

    Q. Star Pravah started with a show like Raja Shivchhatrpati and other shows portraying rich Marathi culture. Today, the shows are more on the contemporary day-to-day life. Are you talking of this shift in strategy?

    We believe that whatever the content is, it needs to reflect the society of today. So while we respect the ‘Maharashtrian’ culture, we are focussed on catering to today’s generation.

     

    With the help of our researches and various contact programmes, we have realised that our viewers, staying in whatever part of Maharashtra, are global citizens with big dreams and aspirations. They understand the importance of values versus the changes that are happening in the current economic scenario. With our programming, we are constantly portraying “today’s Maharashtra”.

    Q. Marathi viewer is equally comfortable with Hindi. And if Hindi GECs are offering same shows, doesn’t it pose a challenge?

    One of the major challenges is that a Marathi viewer is equally comfortable in watching Hindi general entertainment channels, news and sports. So we decided to work not just like a Marathi entertainment channel but an entertainment vehicle. We focus on being concurrent as well as on entertaining our viewers.

     

    And it is paying also. In the last eight weeks we have been ahead of the Hindi GECs. In the week ended 26 May, we clocked 256 GRPs, highest for the channel so far.

    Q. From programming point of view, what is the thought process behind the shows?

    All our shows are based on unique themes and we promote the idea of positive bright relationships.

     

    Our shows like Bhandaa Saukhya Bhare (game show between saas-bahu), Devyani, Pudhcha Paaul, Swapnanchya Palikadle, and upcoming Laxmi Vs Saraswati portray today’s time, today’s value system and ask relevant questions.

     

    We have kept the packaging the same… the dresses, attires, setups are still the same, but our approach is very modern.

     

    Also, we are the only entertainment channel with 25 per cent of the FPC dedicated to the male audience. We decided to have differentiated content, so from 9.30 pm till 10.30 pm we show Lakshya (crime drama) and Anolkhi Disha (supernatural) to cater to the male audience. In future we would also like to create some shows for the kids audience as we are a wholesome entertainment channel.

    ‘The ratings of TV premiere of Marathi movies have doubled. We are progressive and aggressive in the film acquisition space and want better production value, for which a better price is justified ‘

    Q. What are the other genres you are exploring?

    We would like to explore genres like comedy, thriller and socially relevant shows. We are sticking to our identity and will make sure that we offer the complete package.

    Q. Many times a viewer is not happy with the quality of production. How are you tackling this issue?

    A few of our shows are already being shot in high definition. And Shrabani Deodhar (creative director), at the helm of programming, makes sure our programming quality is no less than the Hindi GECs – at the price of Marathi GECs!

    Q. You have been acquiring a lot of movies. How has it helped the channel?

    We are bullish on acquiring movies as we want to see the Marathi film industry grow. So if you see, we have acquired a major chunk of movies, including all the three national award winning movies.

     

    We are looking at buying the rights of these films prior to the release. And these films have helped us to aggregate the incremental viewers. With every blockbuster, new viewers come to sample the channel and we promote our other properties.

     

    We have a good mix of high concept cinema as well as commercial films in our library. For high concept films we are investing in subtitling. We also put advertisements in English dailies so that a non-Marathi speaking viewer can also watch and enjoy good cinema.

    Q But many players say that you are also spoiling the market with such high acquisition prices?

    We want to write the resurgence story for the Marathi film industry. If you see, Maharashtra still has the lowest film acquisition price. If we keep doing hard bargain to acquire good films, it will drag us all down.

     

    In today’s time, the ratings of TV premiere of these movies have doubled and we can recover the cost of acquisition. And after all, the price is just any number; we want to be assured of good cinema. We are progressive and aggressive in the film space and want better production value, for which a better price is justified.

     

    Today, all the big filmmakers in Maharashtra are willing to partner with us as we are expanding their market and trying to make the economic model work for them as well.

    Q. How are you marketing the channel and the properties?

    We know that as a late entrant in the market, we did not have the legacy to fall back on. Thus, we had to make that extra effort to reach out to our viewer. We have very extensive direct connect programmes and activities through which we keep reaching out to them.

     

    We want to make the viewers realise that we love them, we know their aspirations and we try to meet and talk to them directly. So you will not see many hoardings from our side just announcing a new show; we will reach to the nook and corner of the state and will meet them in person. Our ground connect programme is very strong.

    Q. And how is the response from the advertisers?

    Today we are a big vehicle for the advertisers to put their message across. A big leap of thought for us is that economic and SEC classification is not a geographic concept anymore. The concept of rural and urban is not there. We see rural parts in metropolitans like Mumbai and Pune as well as an urban class in very small towns. We are working closely with the local brands to help give them a global identity.

    Q. How is digitisation going to help you?

    I believe that digitisation will benefit us more than anybody as the inequalities in the distribution business will iron out.

    Q. How is being part of Star India helping you?

    Today Star India has many No. 1 channels in the national as well as regional space. The group has done great in regional with faith that regional could be the new national. The group strength also helps us in leveraging resources.

  • ‘Fragmentation has actually helped the Hindi GEC ad market to grow’ : ZEEL Chief Revenue Officer Joy Chakraborthy

    ‘Fragmentation has actually helped the Hindi GEC ad market to grow’ : ZEEL Chief Revenue Officer Joy Chakraborthy

    Zee Entertainment Enterprises Ltd (Zeel) has a pool of channels that would drive its topline. The transfer of the six regional entertainment channels from Zee News Ltd (ZNL) would reduce Zeel‘s dependence on Zee TV as Zee Marathi, Zee Bangla and Zee Telugu write good revenues. The gain could be to the tune of Rs 4.4 billion on an annualised basis.

     

    Zeel went through a second wave of consolidation when it decided to bring under it ETC‘s broadcasting business. while ETC Music will complement Zing, ETC Punjabi stays as a strong force in the Punjabi market.

     

    Zeel‘s south story is set to bloom. With market leader Sun TV deciding to up ad rates across its network channels after a gap of two years, Zee Telugu is in a strong position to shore up its revenues on the back of soaps, movies and a dance-based reality property in Aata. Zee Kannada is also on the growth track.

     

    Competition from the two Star regional channels could hurt Zee Bangla and Zee Marathi in the long run. Star Jalsha has become a clear No. 1, but Zee Bangla is currently holding on to its revenues due to unduplicated viewership and a smart utilsation of inventory and ad pricing. The Bengali general entertainment channel (GEC) ad market could, however, expand.

     

    Despite Star Pravah‘s rise, Zee Marathi continues to be in leadership position and is aided by Zee Talkies.

     

    Bruised by a weak property in Indian Cricket League (ICL) that ran out of action last year, Zee has plans to launch a few sports channels.

     

    Maximising the company‘s value share is Zeel chief revenue officer Joy Chakraborthy. His academic armoury includes graduation from National Defence Academy, masters in marketing management from NMIMS and, more recently, the Advanced Management Program from Harvard Business School.

     

    In an interview with Indiantelevision.com‘s Sibabrata Das, Chakraborthy talks about the company‘s focus on revenues, profitability and monetisable GRPs.

     

    Excerpts:
     
     

    How much topline growth would come to Zeel due to the transfer of six regional entertainment channels from Zee News Ltd?
    Zeel would be a big beneficiary as the six regional entertainment channels are riding good revenues. They will also help us offer complementary media propositions to our advertisers. We expect Zeel to add about Rs 4.4 billion on a full year basis due to this transfer.

     
    So Zeel‘s dependence on Zee TV will reduce?

    One can‘t undermine the contribution of our flagship brand in our bouquet of channels. With the regional GECs, we will, of course, have more driver channels in the bouquet such as Zee Marathi, Zee Bangla and Zee Telugu. Nonetheless, Zee TV’s contribution to the overall ad pie of Zeel will be in the region of 35-37 per cent.
     

    Doesn’t that spread out Zeel’s risks at the right time when we are seeing the emergence of a new star in Colors and further fragmentation in the Hindi general entertainment channel (GEC) space?
    With the industry maturing, fragmentation is obvious. In fact, fragmentation has actually helped the Hindi GEC ad market to grow. The introduction of Colors has transformed the GEC space from a bi-polar into a tri-polar segment with each of the three players creating their own relevance. As such, we expect the Hindi GECs would take away Rs 24 billion in ad revenues during FY’10 (i.e. up from Rs 19 bn in PY). And going forward, this space is bound to grow if all players get their pricing strategy right. 
     

    But hasn’t the 3-horse race for the top slot in the GEC space damaged the pricing power and impacted Zee TV?
    Zee TV is the No. 1 revenue channel. It gets maximum campaigns and advertisers spend due to two key reasons: consistency in ratings and effective leverage of a huge network. Also, we sell more on plain vanilla FCT (free commercial time) with few but quality innovations.

     

    While our rival networks have taken to very expensive programming, we have delivered with soaps and reality content without flashing Bollywood stars. We have developed Dance India Dance and Saregamapa into our strong reality properties. We have also stayed away from buying GRPs through movies. Our focus is profitability – and not just simply becoming a No 1 GRP channel.

     

    Also, advertisers don’t buy GRPs; they want relevant ratings. A lot of channels are running break-free content. What is the use? An afternoon GRP is not the same in value as a primetime GRP. And Zee TV has been leading consistently in primetime. So, the point is to develop “monetisable GRPs”. 
     

    What about the economic downturn?
    There is no doubt that broadcasters have experienced a tightening of their revenues. But the slowdown has resulted in a host of positives (especially for television – as a medium).

     

    Clients and agencies have intensely evaluated their ad-spends and experimented with mediums. They have invested in value-for-money genres where risks were low like GECs and movies. High value flashy investments were curtailed. They have looked at TV a lot more optimistically than print. While ad spends on TV will end at Rs 91 bn for the year, (up from Rs 83 bn in PY), print will grow only marginally from Rs 98.20 bn to Rs 99.30 bn.

     

    In fact, the last four months have been particularly good for us. Being the largest network has helped us in attracting advertisers. Though we saw a slump in ad spends from real estate, banking & finance sectors, it has been compensated by FMCG, telecom and auto, which have been high spenders on GECs. 
     

    ‘A lot of channels are running break-free content. What is the use? An afternoon GRP is not the same in value as a primetime GRP. The point is to develop monetisable GRPs‘ 
     

    Has cricket eaten into the GEC space?
    We had expected that our biggest threat would come from cricket. But it has under-delivered. Cricket has taken a severe beating, resulting in some channels offering guaranteed CPRP deals. As such, advertiser confidence on GECs has been high.

     

    On the whole, with Tam expanding its panel this year and the economy improving, GECs will stand to gain. 
     

    Have the movie channels also been hit by recession?
    Advertisers in this downturn have realised the true potential of television in terms of reach. With consumption expected from every nook and corner, the Hindi Cinema genre, which is high on reach, played a very crucial role in the marketer‘s overall communication scheme. This has led to the Hindi Cinema genre witnessing significant growth in revenues despite a marginal fall in GRPs. This growth has come from rate increase as inventory has always been 100 per cent utilised.. Though GECs have been the first to air big ticket movies, movie channels, being well penetrated, go beyond Tam markets, and are value-for-money proposition for advertisers. Zee Cinema’s consistent performance is due to its strong presence not only in the metros but also in the smaller towns and rural markets. 
     

    Sun TV network has increased its ad rates after two years. Will this augment Zeel‘s revenues from its south-language regional channels?
    Despite being a leader, Sun TV’s pricing has always been highly cost-effective. For any market to expand, the leader has to take a leap in pricing. Hence this initiative by Sun TV will only help the entire Southern market grow further. We are doing particularly well in the Telugu space and are highly optimistic on Zee Kannada as well. South will be the big story for us in the years to come. The transfer of the southern channels to Zeel will help our regional sales team as they can offer a complete regional package.
     

    Will the rise of the two Star regional channels hurt Zee Bangla and Zee Marathi?
    In the Bengali GEC space, Zee Bangla has lost its leadership position to Star Jalsha, but, over the last couple of months, we have undertaken new initiatives and the channel is looking up again. More importantly, our focus has been to ensure profitability and towards that end we are, even today, writing much more revenues than Star Jalsha. This is primarily because of our two-pronged strategy: optimal inventory utilisation and appropriate pricing. One of the noteworthy propositions of Zee Bangla is its high unduplicated viewership. All of this has helped us ensure against loss of any campaign. Having grown, we now hope that Star Jalsha increases its rates to sustain the market expansion.

     

    In Marathi, we are almost three times that of our nearest competitor. Zee Marathi is a clear leader and is well complemented by Zee Talkies, both in terms of revenues and viewership. 
     
     

    Zee‘s sports business falls under your ambit. Are there plans to launch more channels?
    The various sports-led initiatives of Zee that straddle not only on-air (Ten Sports & Zee Sports) but also on-ground properties like Mumbai FC, AIFF (All India Football Federation) and cricket (Zimbabwe & Sri Lanka) are a part of my Sales responsibility. Print properties like All Sport Magazine also come under me.

     

    In our sports business, our focus has always been to look beyond cricket. So, our sales approach will also be one that is inclusive of all sports genres wherein we shall bundle various properties. And, yes, given the potential that we foresee in the near future, we are in the process of evaluating new channels.
     
     

    With the producers going on strike and Bollywood having less releases and hits this year, what has been the impact on music channels ETC and Zing?
    For the film-based trade genre, ETC is a must-have. Moreover, in this genre the buying parameter is not GRP-led; instead, the trade evaluates the channel‘s brand equity. Being the undisputed leader in this space, ETC has performed exceedingly well.

     

    Post relaunch, Zing has aggressively followed an approach of co-creating value propositions that are customised to its business constituents’ communication objective. This approach has helped showcase a much greater value proposition to our advertisers, insulating us from the vagaries of hits and flops. The channel has posted higher revenues.
     

  • ”We have created a basket of Marathi channels to dominate our position in this market’ : Nikhil Sane – Zee Marathi and Zee Talkies business head

    ”We have created a basket of Marathi channels to dominate our position in this market’ : Nikhil Sane – Zee Marathi and Zee Talkies business head

    Subhash Chandra realised as early as 1999 that the next wave of Zee network’s growth would be in the regional broadcasting space. Up came a clutch of channels including Zee Marathi, Zee Bangla, Zee Punjabi and Zee Gujarati.

     

    Chandra has cemented his leadership position in the Marathi market with the launch of a news channel, Zee 24 Taas, and a movie channel, Zee Talkies.

     

    Following the vertical integration model, Zee has also got into the Marathi film production business.

     

    Starting as the first private Marathi channel on 15 August 1999, the initial years were slow. With the launch of ETV Marathi in 2001, Zee Marathi, in fact, even lost its leadership position. But it was in 2005 that things paced up as Zee Marathi scaled up its distribution and programming. Reality content through shows like Saregamapa, Eka Peksha Ek and Hasya Samrat gave the channel a big boost in ratings.

     

    In an interview with Indiantelevision.com’s Gaurav Laghate, Zee Marathi and Zee Talkies business head Nikhil Sane talks about the 10-year journey of Zee Marathi.

    Excerpts:

    Zee launched its Marathi general entertainment channel on 15 August 1999. How has the 10-year journey been?
    Everyone was skeptical at that time about Zee’s decision to launch a Marathi channel. In Maharashtra, Hindi channels – Zee TV, Sony Entertainment TV and Star Plus – were dominating television viewership. The only available Marathi content then was on Doordarshan – that also for four hours. So launching the channel way back in 1999 was a big, big step.

    But wasn’t it a big advantage to be the first private Marathi channel?
    In 1999, the Marathi TV industry was non-existent. So you can say that we created the Marathi TV viewing audience. What we got was a lot of talent. Maharashtra has produced ace directors, writers and actors, who supported us in this endeavour passionately. And we offered them a robust platform. So, Zee Marathi played a pivotal role in shaping the Marathi entertainment industry.

    What was the programming mix for the channel then?
    As I said earlier, there was no scarcity of talent, but it was scattered. With our launch, people from Marathi theatre and cinema joined us. That time we were experimenting a lot. We were the first channel to launch a daily show, Abhaalmaya, at 8.30 pm. The competition was against Amaanat on Zee TV, Heena on Sony TV and Saas on Star Plus.

     

    We got a humongous response for the show. Soon after, we launched the afternoon slot with Maansi, which again got a good response from viewers.

     

    Step by step, we increased our prime time, which at present is from 6 pm till 11 pm. We launched weekend programming, reality shows, events and even entered into film production business.

     

    Meanwhile, we launched the news channel (Zee 24 Taas) and the Marathi movie channel (Zee Talkies) to create a basket of channels and dominate our position in this market.

    When did you extend your prime time?
    We had a prime time from 7.30 to 10 pm till 2006. We extended this to a four-hour band starting 7 pm. We also had hourly news bulletin, which were very popular. Later, as we launched our own news channel, we shifted news from Zee Marathi.

     

    Earlier we used to air weekend movies on Zee Marathi. But as we launched Zee Talkies, the movies were shifted and we started daily soaps from Monday-Saturday.

    ‘It was in 2005 really when Zee Marathi scaled up its production, distribution and programming’

    You said initial years were experimental. So when did you manage to strike the right formula for growth?
    We launched some very good shows in our first five years. But it was in 2005 really when Zee Marathi scaled up its production, distribution and programming. It was like a channel revamp.

     

    We created reality shows like Saregamapa (singing talent hunt), Eka Peksha Ek (dance reality show) and Hasya Samrat (comic reality show). Recently, we launched Hapta Band, a quiz-based show.

     

    Also, we organised grand scale events like finale of reality shows, Zee Gaurav Puraskaar (awards for films and theatres) and Zee Marathi awards (viewer’s choice awards for Zee Marathi shows).

    What were the milestones in programming?
    We experimented with different genres. Our comedy show Hasa Chakatful saw performances from the best performers of the industry. Shriyut Gangadhar Tipre was also one hugely popular comic fiction.

     

    Among fictions, Abhaalmaya, Avantika, Asambhav, Vaadalwaat and recently launched Kulvadhu got us good viewership. Our reality shows and events also are some of the most popular properties on Marathi television.

     

    Apart from these, we had shows devoted to literature (Pimpalpaan), poets and musicians (Nakshatranche Dene) and horror (Gahire Paani).

    ETV, which launched in July 2001, emerged as a strong competitor and even surged ahead of Zee Marathi at one stage. What were the reasons?
    After a fabulous three-year ride, we had a tough patch for two years. ETV Marathi launched with a very strong distribution and this impacted us. We were popular in towns, though. But after 2005, we focused on every aspect of the business.

    Now there is new competition from Star Pravah. While other channels like Mi Marathi and Saam Marathi have launched, they haven’t really been able to shake things up. So do you see a three-player fight in the Marathi GEC landscape?
    If you see our current ratings in Maharashtra, we are only below Zee TV while outnumbering Star Plus, Colors and other national GECs. That is what our competition is. Today, Hindi viewership amounts to 26 per cent while Marathi is 20 per cent in the state. We have a lot of space to grow here. Also, competition gives advantage to viewers ultimately as they get variety. And it grows the market.

    You talked about entering into the film production business and have so far released six movies. How are you scaling this up?
    After establishing Zee Marathi, the natural progression was to launch a movie channel. So we launched Zee Talkies. The next logical step was to enter into the film production business ourselves.

     

    We have, in a big way, led the revival of the Marathi cinema industry. So far, our movies have done good business.

     

    We have released Saade Maade Teen, followed By De Dhakka, Galgale Nighale, Dudgus, Ek Dav Dhobi Pachaad and Gallit Gondal Dillit Mujra.

     

    The next movie we are ready with is Hai Kai Nai Kai. We have signed five directors for three films each.

    So how do you see the Marathi broadcasting space evolving?
    The time ahead is surely challenging. We have to be open to change and need to continuously evolve to stay ahead of competition. And by competition I do not mean Marathi or even Hindi GEC channels. The main competition is with new media. With so much available on different platforms, attracting viewers to TV will be a challenge.

     

    From now on, the biggest question to ask ourselves would be ‘what next’. Hindi GECs will survive as their base HSM (Hindi speaking market) is very big. Innovation is the only way to keep ahead in this Marathi TV broadcasting space.

  • ‘The downturn will bring in corrections not just in carriage but in every other aspect’ : Barun Das – Zee News Ltd CEO

    ‘The downturn will bring in corrections not just in carriage but in every other aspect’ : Barun Das – Zee News Ltd CEO

    Churn. The television industry has been going through turbulent times with the economy downsliding and ad growth decelerating. Like its peers Zee News Ltd (ZNL) too has been riding the wave of turbulence with its unique mix of national news and regional language channels.

    While Zee News, Zee Marathi and Zee Bangla have been growing rapidly and notching up profits, Zee Telugu has turned operationally cash positive. The management has managed to keep losses from its ‘new businesses’ (channel launches in the south and Zee Talkies) under control; full fiscal loss forecasts stay unchanged at Rs 700 million, even though it is planning to launch a regional channel targeted at Uttar Pradesh. Simultaneously, it has decided to pull the shutters down on Zee Gujarati from 30 April as it was bleeding.

     

    ZNL is also pursuing growth through the franchisee model, an experiment not tried yet by the other news broadcasters. After partnering with SB Multimedia for a regional news channel in Chattisgarh, the company is keen to tap local entrepreneurs who desire to get into the TV news space in regions which do not occupy Zee’s immediate direct expansion plans.

     

    In an interview with Indiantelevision.com’s Sibabrata Das, Zee News Ltd CEO Barun Das talks about the success of the Zee News channel following a repositioning exercise, the turn around of Zee Business, the emergence of new driver channels within the bouquet, the challenges of tiding over the global economic turmoil, and the company’s growth plans.

     

    Excerpts:

    Media companies are reeling under a severe ad slowdown. How has Zee News Ltd bucked this trend so far?
    We are helped by the fact that the regional language markets are growing faster. What is working for us is the composition of the bouquet. Some of the new regional channels have started delivering while the driver channels continue to post strong growth. The positive thing is that more channels like Zee Telugu, Zee Kannada and Zee Business are positioning themselves to get into the driver category over the next 12-18 months.

    Isn’t the economic downturn affecting regional markets as well?
    There is an overall slowdown. But regional television media markets are still in their nascent stages. The size of these markets is small and there is a lot of potential to grow them. The Marathi news market, for instance, is new. Even in the general entertainment space, the regional channels arrived much later than the invasion of private satellite television in national languages. Outside the southern region, it is the Marathi and Bengali markets that really matter. The other regional markets are small and I don’t see them growing to any significant size in the near future.

    Is this the time to take hard calls like shutting down Zee Gujarati?
    We critically reviewed the channels that are not likely to make profit in the near future and decided to close down Zee Gujarati with effect from 30 April. Our learning in that market shows that the revenue is too small as entertainment consumption happens primarily in Hindi. It didn’t make sense to linger with the channel and burn cash any more. We would rather focus on the bottom line of the company while strategically expanding our presence in other markets, products and services.

    Has the break even success of the Telugu general entertainment channel put you in a comfort zone in the southern region to launch more channels?
    We are backing up the progress of Zee Telugu with the launch in this quarter of Zee 24 Ghantalu, a Telugu news channel. Though Zee Kannada will not break even this fiscal, it would happen in the first or second quarter of FY’10. So yes, we have managed to open up the southern space for ourselves.

    How bullish are you about cracking the Tamil market, particularly when the Marans (Sun TV promoters) and DMK party chief and Tamil Nadu chief minister M Karunanidhi have smoked the peace pipe?
    We are investing Rs 900 million for the Tamil channel in the first year (capex+one year opex). We expect Zee Tamil to break even over 36-48 months. We have signed up with Sun Group’s cable TV arm SCV and the channel is well distributed. We are also in talks with Sun Direct for a presence of the channel on the DTH platform.

     

     

    What makes us stay bullish is that Tamil Nadu is the biggest regional market. Besides, there is only one player (Sun TV) in that market, giving us space to climb the ladder. We feel we have a good opportunity to be a strong No. 2 or No. 3. Also, we have started understanding the nuances of the southern market from our experience, planning and research in running a Telugu and a Kannada channel.

    What is working for us is the composition of the bouquet. Some of the new regional channels have started delivering while the driver channels continue to post strong growth. The positive thing is that more channels like Zee Telugu, Zee Kannada and Zee Business are positioning themselves to get into the driver category over the next 12-18 months

    How much is ZNL going to lose from its new businesses this fiscal?
    We are sticking to our original guidance of an EBITDA loss of Rs 700 million from our new businesses (Zee Telugu, Zee Kannada, Zee 24 Taas, Zee Tamil, Zee Talkies and Zee 24 Ghantalu) this fiscal. There is no revision upwards despite us planning to launch a regional news channel in Uttar Pradesh.

    With the Indian economy coming under the shadow of a global recession, have you shelved plans to launch an English news channel?
    There is no additional expansion plan at this stage outside the launch of Zee 24 Ghantalu and a regional news channel in Uttar Pradesh. But we are exploring opportunities in the English business news space. There is a lot of potential, but we have not concretised our plan as yet.

    Marathi movie channel Zee Talkies got transferred from Zee Entertainment Enterprises Ltd (ZEEL) to ZNL. Will the company launch regional movie channels in each market where it runs a GEC?
    Theoretically, we should have a GEC, a news, a movie and a music channel in each regional market where we have a presence. But we are not getting into that gear at this stage. Our Marathi presence is the most widest, followed by Bengali where we are involved in two GECs. While we have the market leader in Zee Bangla, we have taken a 26 per cent stake in Akaash Bangla along with a channel management agreement.

    Will you be expanding in the near future through the franchisee model?
    After launching Zee 24 Ghante Chattisgarh under this model, we are exploring more such opportunities. There is a huge upside in revenues when the economic climate is more favourable; and the money goes straight into the bottom line.

    Is the flagship Hindi news channel growing at a slower pace?
    Along with the growth in viewership share, there is a significant revenue growth as well. After we relaunched the channel with a game-changing strategy, premium brands from sectors like cosmetics, automobiles, and IT – who were earlier not present as our advertisers – have come on board.

    How are you planning to push Zee Business which is considered as a laggard in comparison to its competitive channels?
    Zee Business has made rapid strides over the last several weeks and has moved up from a 11 per cent share in a four-channel market to a 26 per cent share in a five-channel market scenario. We have changed the look and feel of the channel, beefed up our research team, took it beyond a eight metro approach, targeted specific audiences, and focused on the SME sector. We have also concentrated on events; we would have conducted 47 events in the second half of the year. All this seems to be working for us.

     

     

    In fact, 2008 is also the year when 24 Ghanta went ahead to emerge as a leader in the Bengali news market with its focus on content, events and communications. We nullified Star Ananda’s strength in football coverage by acquiring the rights of the National Football League.

    Do you have plans to launch add-on channels like Tez to guard your flagship Hindi news channel?
    Primarily, our strategy is to have state-based news channels. This will continue to be our going-forward direction in the near future.

    Is subscription revenue looking positive with the entry of more DTH players?
    DTH is a growing segment and we stand to benefit from it. It currently accounts for 32 per cent of our subscription income.
    Will carriage costs continue to climb as more channels launch and continue to jostle for space on cable networks?
    With digitalisation growing, carriage rates will continue to slide. The downturn will bring in corrections not just in carriage, but in every other aspect.
    Including downsizing staff?
    Retrenchment is not required. But going forward, we will see how much we need to rationalise on our costs. We will scrutinise every cost, review every deal, and re-negotiate with our suppliers.
    In such a tough market, will you cut down on rates and play the volume game to consume ad inventory?
    The right strategy would be to provide better value than cut rates. Our plan is to offer tailor-made solution for clients and work on innovations. We are, for instance, getting four co-branded programmes on Zee News channel. The truth is that all of us have to stretch more than what we have ever done so far.
    How do you plan to survive the woes of 2009-10?
    It will probably be the worst year any of us have ever seen. Our endeavour will be to strongly hold on to the ground and use this period to prepare ourselves for being able to take the next big leap when we finally move out of the global recession.
  • Zee News Q1 net up 49.9 % at Rs 95 million

    Zee News Q1 net up 49.9 % at Rs 95 million

    MUMBAI: Zee News has posted a standalone net profit of Rs 95 million for the quarter ended 30 June 2008, up 49.9 per cent as compared to Rs 63.7 million in the corresponding quarter last fiscal.

    During the period, the company’s standalone revenue grew 47.2 per cent to stand at Rs 1.1 billion as against Rs 744.5 million in the year-ago period.

    Advertisement revenue fetched Rs 858 million, up 44.8 per cent from Rs 592.4 million. There has been a surge of 55 per cent in subscription revenue to touch Rs 212 million from Rs 136.5 million.

    Total expenditure has increased 47.2 per cent to Rs 921.1 million in the first quarter of FY 09.

    Zee News Subhash Chandra chairman says, “New business comprising Zee Telugu, Zee Kannada and Zee 24 Taas performed as projected and delivered close to 170 per cent growth in operating revenue as compared with the corresponding quarter last fiscal. Our regional properties continued to gain ground with Zee Marathi and Zee Bangla garnering higher channel share.”

    Zee News MD Laxmi Narain Goel says, “Amongst regional properties Zee Marathi and Zee Bangla scaled new heights while Zee Telugu and Zee Kannada are firmly on track to break even.”

    Zee News CEO Barun Das adds, “To further drive the performance of our Hindi business channel, we are planning a re-launch of Zee Business in the coming months.”

  • Marathi GEC space: Zee Marathi winner in numbers game

    First the good news. The Marathi general entertainment space is expanding. The market is currently estimated to be above Rs 2 billion for 2007-2008. Now the bad news (for the current players). New entrants are eying a share of the pie.

    At present, there are just four players in the space – Zee Marathi, ETV Marathi, Sri Adhikari Brothers Mi Marathi and public broadcaster DD Sahyadri.

    A point of note is that apart from GEC, Marathi broadcast arena also includes three players in news – Star Majha, Zee 24 Taas and new entrant IBN-Lokmat. Additionally, there is Zee Talkies which enjoys a monopoly of being the only Marathi movie channel.

    Backgrounder:

    In the first phase of launches in this space there was DD Sahyadri, Zee Marathi, ETV Marathi, Tara Marathi and Prabhat.
    DD Sahyadri was launched in 1998 followed by Zee Marathi in 1999. Later ETV Marathi, Tara and Prabhat joined the arena between 2001-02.

    By 2003, Tara Marathi and Prabhat channels had gone off air.

    In 2007, Mi Marathi entered the fray.

    Position as of now:

    In the fiscal 2007-2008, If we check the Tam data for Maharashtra market in cable and satellite homes (4+ TG, 1st April 2007 to 29 March 2008), it has clearly been a two-horse race between Zee Marathi and ETV Marathi, as 1st and 2nd respectively. Though ETV Marathi got the better of the ratings in the period June-August 2007, it started losing ground after that and Zee Marathi emerges the clerar winner in the numbers game. (See the table).

    Channel share %
      Zee Marathi ETV Marathi DD10 Sahyadri (Marathi) MI Marathi
    Apr ‘07 51 28 13 8
    May ‘07 45 39 9 6
    Jun ‘07 41 41 12 6
    Jul ‘07 39 43 13 5
    Aug-07 41 43 12 5
    Sep-07 44 39 12 5
    Oct-07 52 36 8 4
    Nov ‘07 45 38 11 6
    Dec-07 48 35 11 6
    Jan ‘08 51 32 11 7
    Feb ‘08 51 32 12 6
    Mar-08 48 33 12 6
    Source TAM:- Market: Maharashtra Mkt TG: CS 4+ years Period: 1 April 2007 to 29 March 2008

    ETV chief producer Manvi admits, “We were on top from June till August in 2007. However, because of some connectivity and distribution issues we have fallen behind. Zee Marathi is doing well and it is not easy, but we are trying hard, to regain the lost position.”

    Among the other players, DD Sahyadri is maintaining its channel share of 12 in the market. However, also ran MI Marathi has not shown any growth and is stuck with an average channel share of 5. MI Marathi, despite having 3,000 hours of content and boasting of strong brand value among Marathi people, has not managed to get significant viewer eyeballs.

    All year performance:

    Zee Marathi is leading in this market with an average of almost 46 per cent channel share. At the beginning of April, it was holding 51 per cent market share, but slid after that to a low of 39 per cent in July, wherein ETV surged ahead. On the back of movies, reality and soaps, Zee Marathi had regained its lead position by September and has remained close to an average of 48 per cent ever since. ETV Marathi, meanwhile, has a channel share of 33 in March 2008. The average channel share of ETV Marathi is around 37 for the fiscal 07-08.

    DD Sahiyadri had average channel share of 11 for the whole year. While 6 per cent went to MI Marathi.

    Content:

    So what is it that clicks with the viewer? Is it a feature film, reality show, or fiction based daily soap?

    From Tam top 100 programmes for the period under review, Marathi feature film Subh Mangal Savadhan has got the highest TRP of 7.85 on Zee Marathi in April. Second and third were reality shows based on comedy (Hasyasamrat) and dance (Eka Pekshya Ek). Event show Swartarang was fourth while ETV Marathi serial Hya Gojirvaanya Gharat made it to fifth in the Top 5.

    Data from the month of march depicts that apart from dance reality show Eka Pekshya Ek, soaps from Zee Marathi like Avghachi Sansaar and Vahini Saheb are also getting an average rating of 5 and 4 respectively in the All Maharashtra Market.

    Zee Entertainment Enterprise Ltd (ZEEL) director (Zee regional channels) Nitin Vaidya told Indiantelevision.com, “Zee Marathi is offering viewers variety with quality and continuity. Viewers are very smart and demanding, so we are offering them a mix of reality and fiction. This explains why we are on top.”

    Talking about content, here it is interesting to note that Marathi soaps do not focus on so much on saas-bahu tussles and kitchen politics like Hindi GECs.

    “Maharashtra is a state of progressive minded people. They don‘t like the typical Hindi saas-bahu sagas. Viewers can see completely different programming on Zee Marathi,” explains Zee TV programming head (till recently Zee Marathi VP) Ajay Bhalwankar.

    That makes sense. But are daily soaps or reality shows the ticket to success? Bhalwankar says, “For Zee Marathi both the genres are working.

    For ETV Marathi however, it is the soaps that are working. Its soaps Char Diwas Sasuche, Hya Gojirvaanya Gharat and Kata Rute Kunala are getting decent TRPs of 4, 3.3 and 2.6 respectively.

    But to be on top, Manvi believes that his channel will have to ramp up its reality quotient. “Reality shows are in. Audiences like to watch dance and music shows rather than fiction. So we are putting emphasise in this genre.”

    Will reality help ETV turn the tide in its favour? Time will tell.

  • ‘Zee’s largest bouquet makes it the best prepared network for digitalisation’ : Joy Chakraborthy – Zee Entertainment Enterprises Ltd President, Head – Revenue

    ‘Zee’s largest bouquet makes it the best prepared network for digitalisation’ : Joy Chakraborthy – Zee Entertainment Enterprises Ltd President, Head – Revenue

     Zee is on an upsurge, driven by its flagship Hindi general entertainment channel. Kicking in ad revenues for the fiscal has not just been Zee TV but also the two regional channels – Zee Marathi and Zee Bangla – who together will make Rs 2 billion. And despite less aggressive movie buying, Zee Cinema will see a 25 per cent jump to rake in Rs 2 billion.

     

    As revenue head for Zee Entertainment Enterprises Ltd, Joy Chakraborthy takes credit for it. His role extends to the regional general entertainment channels (except south) which reside in sister company Zee News Ltd. The sports side of ZEEL’s business, however, doesn’t fall under his supervision.

     

    “I handle the power brands where effort to returns are high,” he says.

     

    Joy also takes pride in continuously doing price-correction deals. Even then Zee is under-priced and there is scope for growth, he says.

     

    In an exclusive interview with Indiantelevision.com’s Sibabrata Das, Joy talks of how Star Plus’ loss in GRPs has been pocketed largely by Zee TV and its regional channels. He also elaborates on Zee’s plans to pile up a huge bouquet so that it stays as the best network prepared for the digital era.

     

    Excerpts:

    How much of an ad revenue growth will ZEEL see in the current fiscal and is this still disproportionate to the rise in GRPs of the network?
    There will be a 65 per cent robust ad sales growth for the channels that are handled by me. Advertisers like to invest in channels which are growing. Zee TV, Zee Marathi and Zee Bangla particularly gained, as the leader channels in these segments (Star Plus, ETV Marathi and ETV Bangla) were falling sharply.

     

    The revenue has grown disproportionate to the GRP growth. The pricing, though, needs correction. We feel we are under-priced. With every new deal, we have corrected the price upwards.

    Are the channels that fall under you (ZEEL channels except sports, and the regional GECs barring the south languages) going to post a revenue of Rs 12.5 billion during the fiscal?
    Since we are a listed company, I can’t reveal the figures of the specific channels.

    As Zee TV is the predominant revenue earner, isn’t ZEEL in as risky a position as Star India is with the dominance of Star Plus?
    Zee TV accounts for 65 per cent of ad revenues that the channels under me generate. But that is how the network business will look like in India. Hindi general entertainment channels (GECs) make bulk of the ad revenue business.

    Zee Next was launched as a flanking channel in the GEC space, but it doesn’t seem to have worked at all?
    Zee Next has a problem. We are doing introspection on what went right or wrong. We will be ready with a plan within 5-7 weeks. Besides, distribution is an issue. But we feel it is not right to pay this kind of carriage fee and spoil the market.

    What is the purpose of launching a flanking channel without aggressively distributing it when in the marketplace there is a scramble for space on choked cable networks?
    Strategically, it is important to have a second GEC as a de-risk business model. The GECs are sitting on Rs 20 billion of ad revenues. In as large a size as this, we can’t put all our eggs in one basket. If viewers want something outside Zee TV, we are offering a different kind of programming in Zee Next. With fragmentation happening, our plan also is to try and grab whatever audiences we can with the concept of a family channel for all age groups.

     

    But we still have to be realistic on the carriage fees. Otherwise, it will affect the business model of the whole network; we are, after all, not a single channel company. We have to take a business rather than an emotional call.

     

    The channel will take time to build. Any GEC with less than 130 GRPs will continue to bleed – and we have been seeing that. But with a new plan in place, we will sort out the distribution and other issues that need to be corrected.

    The loss of GRPs by Star Plus has been made up by Zee TV and its regional channels. Zee Marathi and Zee Bangla are doubling their previous year’s revenues to touch Rs 1 billion each

    Isn’t growth of GEC as a category slowing down?
    The GRPs of GEC channels as a category have grown by 6 per cent. Revenue from GECs, on the other hand, have jumped 22 per cent. What is happening is that the GRPs of GECs are getting reorganised. Star Plus, for instance, has seen a fall in GRPs while we have gained.

    Could you elaborate?
    The loss of GRPs by Star Plus has been made up by Zee TV and the regional channels. Our regional channels are operating in the most important primary markets. Zee Marathi and Zee Bangla have particularly grown.

    One reason for the growth of these two channels, according to you, is because the leader ETV is falling. But what sort of ad growth are both of them going to post this fiscal?
    Zee Marathi and Zee Bangla are doubling their previous year’s ad revenues. They will end up making around Rs 1 billion each. The ad rates of regional channels, though getting corrected, are still very low.

    After rolling out Zee Talkies to addess the Marathi market, are you planning to launch a Bengali movie channel?
    We will be launching a Bengali movie channel as it will help us create a wider bouquet in that local market. We have created a GEC, a news and a movie channel in the Marathi market. We will be repeating this combination in the Bengali market. Regional movie channels work for sales as well as help boost distribution.

    Like Kalanithi Maran’s Sun network, are you looking at packing in regional music channels as well?
    We don’t see music channels being viable in these markets.

    Doesn’t Zee have such plans for Gujarat?
    Zee Gujarati didn’t see much growth. Almost 99 per cent of the Gujarati viewership is covered by Hindi GECs and movies. It is not a viable market for india, but has an international distribution story.

    Though Zee Cinema is the second biggest channel in the network, it has been less aggressive in movie buying this fiscal. Will this hurt the revenues?
    For the movie channel category as a whole, GRPs have fallen. But Zee Cinema’s revenue for the fiscal would be Rs 2 billion, up 25 per cent. We are selling better, using all time bands.

    As revenue head, why haven’t the sports, news and southern language channels come to you?
    I am handling the power brands where effort to returns are high. The sports business is cricket-centric and needs dedicated attention. So Ten Sports is handling the ad sales. I already have too much on my plate as the network revenue head.
    Will subscription revenues be sluggish, driven by slowdown in international business and foreign exchange loss?
    Domestic subscription will grow by 30 per cent – and we see the situation improving in next fiscal. The Star bouquet is strong, but we have been catching up this year. We have more pull channels than anybody else – Zee TV, Zee Cinema, Zee Cafe, Zee Marathi, Zee Bangla, Zee Talkies and Zee Studio. International distribution is outside my ambit and I can’t comment on that.
    There is a buzz in the market that the TV18 group channels including CNBC TV18 will soon move to Star DEN?
    There is still time for some channels to move out, if at all. We will soon be making an announcement of more channels in our bouquet to make it stronger.

    Are you referring to Ten Sports moving out from SET Discovery (now MSM Discovery) to Zee Turner?
    I can’t comment on this.

    Zee has the largest bouquet of channels. With carriage fee on the up, how does it impact the business at the net level?
    Since we have a large bouquet, this at one level affects us in carriage deals. But on subscription ground, it helps make our bouquet stronger. We have presence in all genres except kids. The net effect in the long term is beneficial once digitalisation happens. We are the best prepared network for digitalisation.

    What is being done to beef up Zee’s English genre channels?
    Zee Cafe is airing new American shows and has a very loyal viewership. It will grow in ad revenues by 45 per cent this fiscal. Zee Studio’s perception as a repeat channel is changing. The sub-titling has helped us, we will be seeing 37 per cent growth, and it completes our bouquet.

    What is your revenue forecast for the next fiscal?
    Keeping in mind the fragmentation scenario, our target will be to post 30 per cent growth in both ad sales and domestic subscription. It will be a challenging year and we hope that the newcomers don’t spoil the ad sales and distribution market with price cutting and high carriage deals.

    Do you see BARC (Broadcast Audience Research Council) taking off any time now?
    It is a good initiative as it represents an association of broadcasters and advertisers. TV as a medium is very research-focused. The sector is also grossly under-priced. BARC is at an initial stage of progress but the intention is there to set it rolling.

  • Zee News Q3 operating revenue up 38.6 % at Rs 955 million

    MUMBAI: Zee News Limited (ZNL) has posted operating revenue of Rs 955.3 million on a stand alone basis for the quarter ended 31 December, 2007, up 38.6 per cent as against Rs 689.1 million in the corresponding quarter last fiscal.

    Zee News’ stand alone net profit was 128.4 million for the third quarter of FY 08 and Rs 242.2 million on a consolidated basis.

    On a consolidated basis, the company’s operating revenue stood at Rs 983.1 million during the period.

    Commenting on the results, Zee News Limited chairman Shubash Chandra said, “Zee News Limited has delivered a laudable third quarter performance with a growth of 38.6 per cent in operating revenues compared to the corresponding quarter. This growth has been led by a substantial increase in advertisement revenues, which have grown 48.8 per cent. The Zee News channel deserves special mention given the excellent revenue and viewership performance in the quarter.

    Zee Marathi maintained its leadership position, while Zee Bangla attained the number one position in the third quarter. Channels under the ‘New Business’ comprising Telugu, Kannada and 24 Taas have done very well, with Zee Telugu and Zee Kannada registering a GRP growth of 93 per cent and 23 per cent respectively. With rapid transformation in the Indian media via digitization, the coming years hold a lot of promise, and we are confident of delivering long term shareholder value.”

    The ZNL owns and operates nine news /current affairs and regional entertainment channels namely Zee News, Zee Business, Zee Marathi, Zee Bangla, Zee Punjabi, Zee Gujarati, Zee Telugu, Zee Kannada and Zee 24 Taas.

    Zee Telugu, Zee Kannada and Zee 24 Taas which are considered as ‘New Businesses’ have incurred an operating loss of Rs. 397.4 million during the nine months period ended 31 December, 2007.

    For the period ended December 2006 ‘New Businesses’ consisted of only two channels. Zee 24 Taas was launched in February 2007.

    Zee Akaash News Private Limited – a subsidiary of the company (60 per cent equity holding) which operates 24 Ghanta, a Bangla news channel has incurred an operating loss of Rs. 6.9 million during the nine months period ended 31 December, 2007.

    Zee News Limited MD Laxmi Narain Goel said, “The quarter witnessed a sound growth in all our channels. Our flagship channel, Zee News continued to grow in revenue in this over crowded genre, which is still attracting new players. Zee News remains the only pay channel in the Hindi news channel genre. The other existing businesses of Zee News Limited have also shown consistent growth, with Zee Bangla attaining the number one position. Our efforts to add value to the content of Zee Telugu, has paid off, with the channel achieving encouraging ratings during the third quarter. Overall, the results have been very satisfactory with the revenues of both existing as well as New Businesses registering a growth of 37.8 per cent and 50.6 per cent respectively.”

    Zee News CEO Barun Das said, “Our tremendous revenue growth is doubly encouraging given that 8 of our 9 channels are Pay channels. In addition, the pay channels have continued to grow in viewer ship as well, which will result in further revenue enhancement. Our future strategy would be to have a focused business approach for every channel, which will certainly enhance growth potential. With a slew of initiatives, we have been able to achieve both our top and bottom line targets. We are committed to scale much higher than industry benchmarks for the next quarter as well.”

  • ‘For the Zee Network, regional channels will be strong pillars’ : Nitin Vaidya – Zee Entertainment Enterprises Ltd. director regional channels

    ‘For the Zee Network, regional channels will be strong pillars’ : Nitin Vaidya – Zee Entertainment Enterprises Ltd. director regional channels

    As localized channels are gaining momentum on television, the Zee Network has been quick to grab untapped genres in regional markets. Spearheading four regional channels from the Zee bouquet, including Zee Marathi, Zee Bangla, Zee Gujarati and now Zee Talkies, is Zee Entertainment Enterprises Ltd director regional channels Nitin Vaidya.

     

    In a free flowing conversation with Indiantelevision.com’s Renelle Snelleksz, the Zee veteran outlines the growth trajectory of each region and the targets set for “regional channels to become the pillars of the Zee Network.”

     

    Excerpts:

    Zee has strengthened its position in Maharashtra with three channels – general entertainment, news and now movies. How has this market evolved and what is the growth story for Zee?
    In 1999 when we entered Maharasthra, there was a widespread belief that though Marathi audiences were bilingual, the market was largely Hindi skewed. It was expected that few viewers would be attracted to a Marathi channel.

     

    Till 2003, it was a real struggle but we were determined to provide value for the investors, for advertisers and for consumers.

     

    In 2003, the share of the Marathi television market was 8.3 per cent. Currently, the share of the market stands at 16.8 per cent (Tam data; January till Week 35, C&S 4+). Though Maharastra was believed to be Hindi dominated, the share of Hindi general entertainment channels dropped from 34.9 per cent in 2003 to 24.4 in 2007.

     

    Over the last four years, Zee Marathi has driven viewers to the genre through a very aggressive programming and marketing push.

     

    Evidence of that is seen in the channel share of Zee Marathi. In 2003, it stood at 40 per cent while ETV Marathi was at 35 and DD Sahyadri at 25. Although there was a decline in 2005, Zee Marathi has regained its leadership position in 2007 with a channel share of 45 per cent while ETV Marathi is at 36 and DD Sahyadri at 11.

    Can you identify the factors that contributed to Zee Marathi’s growth?
    We achieved two things in this market. Firstly, we were able to divert viewers from Hindi entertainment channels. In doing this we also changed the existing perception of the Marathi market being Hindi skewed. Secondly, the television universe as a whole has also grown considerably.

     

    This picture tells a story of how audiences are embracing local channels which they first try and then stick to. This gave us encouragement to invest monies behind this proposition.

    What is the growth that the Bengali market has witnessed?
    Bengal is far ahead of Maharasthra in terms of what has been accomplished as it consistently stayed ahead of Hindi GECs. In 2003, the Bangla market occupied a share of 28.6 as opposed to Hindi GEC which was at 22.9. The average for this year is 33.6 per cent share and Hindi GEC is 20.

    What were the differentiators used to combat competition and pull audiences from Hindi channels to Zee Marathi and Zee Bangla?
    We did not follow the set formula that is commonly used on Hindi GECs and replicate it for our regional audiences. We decided to take a different route and deliberately resisted the ‘saas-bahu’ dramas. Instead, we chose to focus on the interpersonal relationships that reflect the ethos of that particular region.

     

    These family dramas along with our popular musical format Sa Re Ga Ma Pa have been the major drivers of audiences for both these channels.

     

    Besides, we have not compromised on the production values for these channels and have attempted to extensively involve our viewers in daily programming through a host of interactive shows.

     

    This strategy even attracted urban viewers from Mumbai and Kolkata, areas considered too cosmopolitan for a regional channel. Both channels have surpassed Star Plus in C&S 15+ female SEC-A,B&C and while in C&S 4+ market Zee Bangla is far ahead of Star in Bengal, Zee Marathi is just 20 GRPs away from Star Plus in Maharashtra.

    But the growth witnessed by Marathi and Bengali has not been seen with Zee Gujarati – Why so? What was the setbacks that the channel encountered in this market?
    With Zee Gujarati we did have a problem. This too is a market strongly dominated by Hindi. With only three players in the game ETV, Zee and DD, the market has seen marginal growth over the last couple of years.

     

    Zee Gujarati requires the push that was given to Marathi and Bengali and going forward this is our plan. We will pump in more investments into the Gujarati market as well as rope in good talent and push our content more aggressively. One can expect to see a turnaround of Zee Gujarati.

    Zee Gujarati will see a turnaround in the next two years

    What is the time line that Zee has set for revamping Zee Gujarati?
    Within the next two years, Zee Gujarati will witness a complete turn around. In fact, the potential of this market is more than that of Marathi and Bangla due to the mere consumption of the State. Therefore, we are putting serious monies behind the channel.

    How much will you pumping into Zee Gujarati?
    I would not like on that at the moment.

    What is the current ad pie for each of the three markets and what growth is expected in these regions?
    The ad revenue of the Bangla language channels in the Bengali TV market is expected to touch Rs 280 crore (Rs 2.8 billion) in 2007 and grow to a category share of 35 per cent. Meanwhile, Marathi language channels will cross Rs 225 crores to occupy 25 per cent share of the Maharashtra TV market this year. However, the Gujarati market is presently a mere Rs 50 crores.

    The network recently made its foray into the Marathi movie segment with the launch of Zee Talkies in August, what has been the response thus far?
    Although, we were aware of the untapped Marathi movie genre, the response to Zee Talkies has been phenomenal as it touched 70 GRPs in its first week of launch. The was far beyond our expectations.

     

    This was supported by an extensive marketing push of Rs 80 million dedicated to the launch campaign. We consciously decided that for the first 20 days the channel will not have a single advertiser. We wanted them to first see the response before they put money on the table. The numbers speak for themselves!

    As part of the network’s attempt to boost Marathi cinema, you tied up with three production houses for a slate of 15 films across two years. When will these movies be released and what is the investment outlay for these films?
    The first film will be released by the end of this year in theatres, following which it will be telecast on Zee Talkies. Close to Rs 10 million will be spent on each film.

    Do you have plans to enter Bengali film production as well?
    We are currently in talks with a few production companies for Bengali movies. We plan to get into Bengali film production very soon.

    Which production companies are you in talks with and what is the budget allocation for Bengali films?
    We have not yet zeroed in on the production houses yet, so it would be premature to talk about it now. But we will definitely be spending more than Rs 10 million on each film.

    So, are you looking to launch a Bengali movie channel as well?
    (Laughs) No! Not at the moment.

    Going forward what are the growth opportunities that you foresee in the three regions?
    The addressable television environment will definitely provide a huge thrust in pushing these channels ahead. For the Zee Network, the regional channels will be strong pillars. This will help grow both subscription and ad revenues for the network.