MxMIndia

Author: mxmadmin

  • The online store has over 10 million titles across a wide range of book categories, including hard-to-find international titles.

    HomeShop18 unveils online bookstore

    By A Correspondent

     

    Homeshop18.com has added to books vertical an all new user-friendly online bookstore having a massive catalogue of over 10 million books in more than 100+ categories.

     

    The acquisition of CoinJoos.com has helped HomeShop18 strengthen its books business and tap the massive books market in the country. The company has spruced up its technology backbone to offer book lovers a world-class book shopping experience through a superior browse and search experience.

     

    Commenting on HomeShop18.com’s bookstore going online, Sundeep Malhotra, Founder and CEO, HomeShop18 said, “Books are a critical part of our e-commerce growth strategy and the launch of our bookstore plugs the gap which we felt we had in our product range. This is a category which touches all demographic groups and, therefore, a very critical one and we are very excited to add books to our range of offerings”.

     

    The initiative will make it easier for book lovers across the country to shop much more conveniently with HomeShop18 offering both online payment and cash on delivery options. The company is also expected to make further announcements in the books category in the coming weeks.

     

    HomeShop18 is Network18 group’s online and television retail marketing and distribution venture, and offers a wide product range across several categories.

     

  • A car wash centre that overhauls the entire car? It's neither interesting nor funny. In fact, it suggests to you that the makeover is totally superficial. And the editing is so sloppy, everything simply flies by.

    Debrief: Mahindra Xylo: Er, what just happened?

    By Anil Thakraney

     

    The ‘happy feet’ gaadi Xylo has had a makeover of some sort. But because the communication is all muddled, one isn’t sure what really has changed. Is it a fresh coat of paint? Or new doors? Or perhaps they’ve upgraded the floor mats?

     

    The TVC is completely bizarre. Atul Kasbekar, the ace photographer, is back with his leggy models. This time as they drive around in the Xylo, a bird drops crap on the wind screen, leaving our leggy models pretty aghast. The chivalrous Kasbekar takes the dirty Xylo to an automated car wash (do we have those in India?). The magical car wash doesn’t just clean the Xylo, it ‘redoes’ the entire car. It changes the doors, provides a new shade and perhaps overhauls the engine too. Wow! The very impressed leggy models then fondle the car’s exteriors, though I am sure Kasbekar would have wished they did that to his interiors. (Okay, just kidding!)

     

    [youtube width=”400″ height=”200″]http://www.youtube.com/watch?v=GJ8YMz33h0U[/youtube]

    It’s a disaster, really. A car wash centre that overhauls the entire car? It’s neither interesting nor funny. In fact, it suggests to you that the makeover is totally superficial. And the editing is so sloppy, everything simply flies by, nothing registers, you can’t really tell what exactly has changed out here. Gets worse. The confusion is further compounded as the leggy models and Mr Kasbekar fight for your attention. In the end, you are left with nothing. To be honest, after many exposures I didn’t know what hit me.

     

    Rating: (On a scale of 1 to 5): 1. A good lesson on how to screw up communication.

     

  • Long after carving out its own niche, the Indian PR industry must now redefine its horizons, says Valerie Pinto.

    [PR Channel] Indian PR industry – gearing up to absorb new opportunities

    By Valerie Pinto

     

    The PR industry in India has seen steady growth ever since it carved out its own niche after coming out of the shadow of advertising or its later avatar – MarComm. In today’s knowledge economy, PR has evolved in all its elements and has effectively redefined its role in communications to touch upon newer areas of specialization. Apparently, the scope and dimension of PR today is restructured across a more comprehensive consulting sphere than a mere platform for specific, one-off media deliverables.

     

    Build durable partnerships that reflect a consulting approach

    Today, PR in India is ideally positioned to scale up to the next level and redefine its domain. In a high growth economy of the size of India with myriad issues and events, the opportunities for PR surely weigh more than the threats. PR needs a more comprehensive approach that looks beyond short, cyclic deliverables and include durable partnerships that reflect a consulting approach.

     

    PR will attract bigger budgets as advertising outlays shrink

    With advertising budgets hitting the ceiling and the emphasis more on ‘bang for the buck’ rather than creative hype, PR is set to attract bigger budgets based on longer term strategies and deliverables. The need to define the boundaries of hype-centred mega budget advertising in the knowledge economy grew in relation to the high precision deliverables of PR.

     

    Hiring practices in the PR industry must reflect present-day realities

    The PR industry faces real scarcity of appropriate talent as hiring policy and practices have remained rather antiquated. Industry thought leaders must step in to correct the imbalance and offer guidance in defining the parameters through interactive platforms like conferences, seminars and workshops.

     

    New minds must enter the consulting space within PR

    A consulting approach essentially points to a partnership with emphasis on strategic longer term deliverables. This requires fresh thinking and a broader perspective of what comprises the redefined domain for PR in a fast growing economy.

     

    Adopt a business consulting model to excel and expand current services

    The existing range of services, that the bulk of the PR industry offers, must increase manifold in order to adopt a business consulting approach which is based on the principles of a win-win partnership. Rather than one-off solutions, PR firms should offer a range of services covering not just “prevention” over “cure” for crisis situations but also image management and pre-emptive communication to achieve strategic goals.

     

    Focus on both industry experience and management excellence

    The PR industry’s expansion into a larger domain will be essentially driven by a talented pool of professionals with high levels of industry experience and management excellence. It is absolutely important that the larger horizon is more than sufficiently inculcated into the new crop of PR professionals for them to gauge the challenge ahead.

     

    Showing the way

    The PR industry in India needs to redefine its vision, and actively engage clients to forge win-win partnerships covering not just deliverables but also long-term strategy. Such partnerships require engagement at different levels with the client and their market apart from achieving operational equilibrium wherein they consult the PR agency in all matters regarding communication strategy.

     

    The Indian PR industry is on the cusp of exponential growth as the mood in the economy shifts toward more transparent growth and what has often been described as a “level playing field”. In a better regulated environment, it is PR that promises to balance the delivery of communication in the fast evolving environment. The Indian PR industry is fundamentally strong and should fulfil its potential by making the most of this opportunity.

     

    Valerie Pinto is CEO – Perfect Relations.

     

  • Is the Dainik Bhaskar group selling its stake to Zee? A BusinessWorld report says it is

    Is the Bhaskar group exiting DNA?

    By A Correspondent

     

    Since the day Zee supremo Subhash Chandra took charge of operations at Diligent Media Corporation (DMC), the company that publishes newspaper Daily News and Analysis (DNA), rumours are rife that co-owners Dainik Bhaskar are exiting the JV. This happened two years ago, and nearly every week since then we hear stories about the Bhaskars selling their stake. There have been times when we’ve heard the same about Mr Chandra too, but if a report on the BusinessWorld website is to be believed, the Dainik Bhaskar Group (DB Corp) is in the process of exiting DMC.

     

    “Following the exit of the Bhaskar Group, Subhash Chandra and his associates will have 100 per cent ownership of Diligent Media. The road map for decoupling the English language media project, launched in June 2005 as a 50:50 JV, was confirmed by a senior D B Corp executive; but the promoters of the Bhaskar Group, the Aggarwal family, said the deal was “yet to be consummated”, the report adds.

     

    (Link: http://www.businessworld.in/businessworld/businessworld/content/Dainik-Bhaskar-Exiting-DNA.html)

     

    The Agarwals are known to be hands-on and aggressive newspaper owners. So while the official reason being given was that Mr Girish Agarwal needed to concentrate on the power projects, it was evident that interest had waned. A Bhaskar spokesperson said he was unaware of any such development.

     

  • Coca-Cola surprised pundits when it dropped the price for the 200 ml returnable glass bottle by Rs2 to Rs8

    Will Coke’s 200ml pack price cut cannibalise Thums Up?

    By Preethi Chamikutty

     

    Summer is still a few weeks away, but cola brands have already started feeling the heat. While most brands are closely guarding their marketing secrets for the season, Coca-Cola surprised pundits when it dropped the price for the 200 ml returnable glass bottle (RGB) by Rs2 to Rs8.

     

    That may not seem unusual – after all in the past, Coke has cut price. However, most of those reductions were across all brands in the portfolio, from flagship Thums Up and Sprite to Limca and Fanta. This time, however, the exercise applies only to Coca-Cola.

     

    Independent marketers are not convinced about the strategy as they feel that in the urge to close in on arch-rival Pepsi, Coke runs the risk of cannibalising Thums Up, its top cola brand and the country’s largest selling carbonated drink.

     

    So why is one of the world’s most valuable brands discounting itself in India? The official response from Coca-Cola is that the “special promotional price” will “fuel growth of the cola category. As the 200 ml pack is the entry point into the category, it will recruit new consumers into the cola segment since it is a very attractive price point,” said a company spokesperson.

     

    The promotional offer is being rolled out in phases across select markets; 70 per cent of markets will have the Rs8 price. Those familiar with the promotion say that this is a pilot project for three months, with an option to extend it.

     

    Clearly, Coke has trained its sights on Pepsi – which has yet to react to the price cut – and hopes to inch closer to it. Still, market observers wonder whether the drop in price is aimed at Pepsi or at Coke’s own brand, Thums Up, which is the leader in the cola category as well as in carbonated drinks.

     

    Latest market share figures are unavailable – both cola majors will not part with them – but those familiar with recent numbers point out that Thums Up has a share of roughly 42 per cent of the Rs4,000 crore pure cola market. Pepsi follows with 36 per cent, and Coca follows with a share of just under a fifth (a few regional brands account for the rest).

     

    An official at a beverage marketer says that Thums Up also leads the approximately Rs10,000 crore carbonated soft drinks market with a 15 per cent share. If marketers do not approve of Coke’s move, it’s with good reason. “Unless this is a global diktat, this strategy is flawed from Thums Up’s point of view,” reckoned Nobby Gupta, founder & CEO, Nobby Brand Architects.

     

    “In countries wherever Coke is present, it always has to be the market leader and all other brands have to follow; if that is the aim for India as well then this strategy falls in place,” he added. But he also goes on to say that this strategy will have a negative impact on the combined share of both Coke and Thums Up.

     

    Me Gupta’s logic is simple: Lowering the price of Coke will not put pressure on just Pepsi, it will also cannibalise the market share of Thums Up. “And if Pepsi drops price too, which is likely, there is a chance of it eating into both Coke and Thums Up,” added Mr Gupta.

     

    Then there are those who feel that dropping prices for short-term gain is dangerous. “Because when you go back to old prices consumers may well say: ‘Thank you very much for the discount, now I will go back to Thums Up,” said Anand Halve, co-founder of Chlorophyll Brand & Communications Consultancy. “Momentary bribing does not ensure long-term consumer loyalty,” he added.

     

    For a generation of Indians, Thums Up, with its relatively stronger taste, is synonymous with cola. “The preference for a strong cola continued even as new cola brands entered and are now expanding the category. Over all these years, Thums Up’s communication has remained consistent,” said Devendra Chawla, president, food & FMCG, Future Group, who is a former Coke associate.

     

    To be sure Thums Up has assumed almost cult brand status over the past two decades with commercials like ‘Taste The Thunder’ and ‘Toofani Thanda’ that had an international look and feel to them. Ashok Kurien, advertising guru and former chairman Publicis India, who was involved in the launch of Thums Up said: “Thums Up managed to crack the soul of Indian consumers through advertising and reached out at a deeper level. It was about struggles in life, the anxiety and determination to survive and succeed. This was probably the strongest concept in Indian advertising that connected to the young Indian male. And it still connects today.” When Coca-Cola acquired Thums Up, Kurien advised the Atlanta-headquartered company to only pit Coke against Pepsi and not touch Thums Up – as it already had an 85 per cent market share. “But Coke introduced both Coca-Cola and Thums Up in 300 ml bottle and people lapped up Thums Up, with Pepsi taking the second spot.”

     

    The battle between Coke and Pepsi continues, although Coke officials deny the attempt to spark off a cola war; they just want to step up per capita consumption by Indians, they say. “Indians consume only 12 200 ml bottles of beverages per year compared to 675 bottles by Mexicans – the highest consumers of Coca-Cola globally,” pointed out a Coke official.

     

    Source: The Economic Times

    Copyright © 2012, Bennett, Coleman & Co. Ltd. All Rights Reserved

     

  • These literary melas provide yet another celebrity event to fill the pages of our newspapers. They are also a tonic for our increasingly jaded elite.

    [MJR] Litfests: Boon or bane for Indian book market?

    By Yogi Aggarwal

     

    Literary events do not, as a rule, make news and are normally assigned just a paragraph or so in the inside pages of newspapers. Not the Jaipur literary festival (JLF), now in its sixth year.

     

    Its organisers have an eye for easy publicity, and the knack of drawing record crowds. It’s fast approaching the bustle and energy of a mela, with an attendance of over one lakh visitors during the five day jamboree last month.

     

    Either there has been a sudden spurt of interest in books, or the people just come to have some fun, as they do at the largely low-brow Kala Ghoda festival in Mumbai. Though literary events such as those recently started in Mumbai,KarachiandHyderabaddo help to sell some books, none has the drawing power or the induced magic of the JLF.

     

    Is the JLF in the envious position of attracting certain top writers, which then bring it to the attention of the media, or is it the media hype than brings in the writers? The latter is unlikely to be the case since the Indian market for books is still a small one. And despite the presence of several distinguished mix of writers, only one person has the reputation to generate a large crowd-pulling controversy – Salman Rushdie.

     

    It was his attendance at JLF in 2007 which led to vastly increased numbers at the fest in the following years, and it was the motivated opposition to his presence in Jaipur or even to a video conference that took the JLF to the top league in such events around the world.

     

    William Dalrymple, the impresario who runs the show, maintains that literary fests like the one in Jaipur have the effect of “putting literature back at the centre” and that such fests are part of the exponentially expanding book market inSouth Asia.

     

    Both are questionable statements. Literary fests do lead to some interaction between writers and readers, and this may even help the writers understand their audience, but at the signing that accompany the sales of books at the venue at most a few score copies are sold, hardly putting literature back at the centre.

     

    It is also debatable whether the book market is expanding exponentially in our region. There are certainly a larger number of fiction titles being published. But most of them sink without going into a second print.

     

    The reason for the proliferation of these literary melas is twofold. First, they provide yet another celebrity event to fill the pages of our newspapers, most of whom have abandoned their role of informing and educating their readers, to pandering to their prejudices and serving salacious stories. Second, they are a tonic for our increasingly jaded elite.

     

    For this reason the controversy surrounding Salman Rushdie was the perfect marketing gimmick. While Rushdie himself thrives on the opportunity to be in the public eye, this occasion was the more central since it highlighted the conflict between “diehard mullahs” and “freedom of expression”.

     

    The media helped fuel the dichotomy by only giving space to a fundamentalist fringe, ignoring the large number of Muslim liberals. The heat and the large public interest & debate this generated will surely make the next JLF even bigger than before.

    All this does not leave the author any better off. Nor does it generate a genuine interest in the ideas that books are meant to foment.

     

    Just before the JLF, there was a similar event in Mumbai. Organised by a large media conglomerate, it was a successful mela with all the attendant frills of book signings, meet the author events, food courts and milling crowds. Surely it is another JLF in the making, and a bigger one too at that, considering the influential and well-funded backing, and its location in Mumbai.

     

    It is ironic that the media conglomerate has no space or time for books. It stopped reviewing them years ago since “our readers aren’t interested”. Intelligent and fair reviews by a dedicated lot of critics, complete with author interviews on a weekly books page or even section are necessary for the growth of an informed readership.

    Melas can be useful but cannot replace this essential perquisite of a literate, book-reading culture.

     

    Yogi Aggarwal is a veteran journalist.

     

  • Every Thursday, Ranjona Banerji will write about a grouse. Either spewing venom or tongue-in-cheek.

    [MJR] Famous Grouse: High-pitched hysteria on the box

    By Ranjona Banerji

     

    Day after day, as I watch television news, I am in a state of constant frustration and rage – so many journalistic mistakes made day after day and not a sign that anyone is going to correct them. Wholesale editorializing by reporters, daft theories for every event conjured up by editors, complete lack of coordination between a reporter at a “live” event and the newsroom, high-pitched hysteria in TV studios at prime time when the debates and discussions happen. Heck, they can’t even get the grammar or the facts right on the little bit of text they put up on their screens.

     

    Then, circumstances and real life conspired against me and I haven’t managed to watch much TV news this week. And shock and horror, it’s been traumatic. I have severe withdrawal symptoms. My melodrama gene has been severely denied and it is protesting.

     

    My chief grouse in this first of a list of grouse is against newspapers. I propose that they start a TV section. Not a review – which so many of them do so well and I do enjoy reading Shailja Baipai and Poonam Saxena and Mihir Sharma’s columns for Indian Express when he was still there and Sevanti Ninan and all the rest of my esteemed colleagues whom I may have left out.

     

    No, I’m talking about a page, at least, dedicated to the TV style. We can have wild accusations, absolutely no subbing of any copy, every impossible theory treated seriously, a studious attempt to avoid objectivity and a debate where two people who know the least about any subject are asked to write 500 words about it with no punctuation and plenty of highlighted words and CAPS SO THAT YOU KNOW WHEN THE CONTESTANTS (sorry participants) ARE SHOUTING.

     

    Is there a print equivalent of interrupting? If so, stick that in the mix as well.

     

    Aaaah, bliss!

     

  • The campaign featuring Shekhar Suman is phased out in two parts; first teasers and then the launch of the TVC.

    Everest creates campaign for SAB TV’s Movers and Shakers

    By A Correspondent

     

    Movers & Shakers, arguably the biggest talk show India has ever seen, is returning on SAB TV, albeit with a whole new contemporary look and feel, but with Shekhar Suman at helm.

     

    Everest Brand Solutions has created the communication campaign for Movers and Shakers, which is phased out in two parts.

     

    Phase 1 kicked off the debate of what Shekhar would do the second time around. The teasers had Shekhar attempting, and miserably failing, at things like a hunger strike, boxing and cooking. Shekhar’s skills as an actor were fully exploited in the teasers.

     

    Next SAB TV’s Facebook fan page took things forward by asking people to suggest what Shekhar could do. Shekhar responded to each suggestion with witty takes.

     

    The final reveal (phase 2) happened with the launch of the TVC. Print and outdoor media are being used to support the launch exercise.

     

    Overall, the exercise generated tremendous engagement with responses pouring in.

     

    The ad films were shot in Mumbai and Chrome Pictures was commissioned to handle the production.

     

    Team Everest: Pramod Sharma, Bappaditya Shaha, Sandeep Sastikar, Sharif Sheikh, Nikhil Kapoor, Harish Shetty, Pooja Balani, Rahul Jauhari.

     

    Client Team: Anooj Kapoor, Harjeet Chhabra, Naranayan R.

     

  • Efficiency in cost, customization and communication to a cross-section of demographics are just some reasons why radio activations are necessary, feels Ashit Kukian

    5 reasons why activation is a must-have extn on radio

    By Ashit Kukian

     

    #1 360-degree:

    No campaign is complete without engaging with the potential consumer. Radio activations are an efficient way to blend ATL/BTL communications through a common medium and, therefore, a proposition that is must-do.

     

    #2 Efficiency in cost:

    It is not as much about the investment, but what the investment is getting for you. If the critical differentiator is the cost, there are vendors who can operate at significantly less investment. However, the sheer reach of Radio, when coupled with an exciting on-ground activation, would get massive attention and therefore give an efficient cost per contact.

     

    #3 Customization:

    Radio offers customized brand solutions that can easily be adapted, scaled and executed. The amount of customization offered is far superior to that of any other medium. The cross-section of touchpoints that a brand can have makes radio activations attractive.

     

    #4 Whoever, wherever:

    Radio talks to a diverse set of listeners and can communicate to a cross section of demographics of people. This, in turn, enables almost any brand to engage with their target group.

     

    #5 Better acceptance of brands:

    The passion quotient of interaction of consumer with brands is higher on radio as the medium connects with its listeners at a far more emotional level than other mediums.

     

    Ashit Kukian is the Chief Operating Officer of Radio City.

  • In Freaking News, which will now appear every Tuesday and Friday, Ranjona Banerji reviews the fare in the morning papers and the nightly news. And sometimes the afternooners, the newsmags and all that's on the Web

    Freaking News: Mamata Banerjee, media’s favourite whipping girl

    By Ranjona Banerji

     

    This was an unexpected find: I had assumed (and from past experience) that the Hindustan Times would be strongest in local coverage amongst the national dailies in the national capital, given that New Delhi is (or was) its stronghold. But while HT does score on nitty-gritty local happenings, its biggest rival, The Times of India, is still going strong as far as blanket coverage of all news is concerned.

     

    This should be troubling for Hindustan Times because although it has the advantages of first choice as far as old-timers are concerned and its long history with the capital, its rival appears to be hitting where it hurts the most – with content. TOI and HT have been running neck and neck in Delhi for years, with both claiming ownership of the city at different times but conventional wisdom usually gave HT the edge. Now, I wonder.

     

    * * *

     

    James Murdoch has had to step down from the chairmanship of News International UK and is now being called a “shadow man with no role in the empire” (Sydney Morning Herald). This is of course the outcome of the phone-hacking scandal involving not just the defunct News of the World but other titles in the Murdoch stable of newspapers. Whether Junior’s moving aside is going to change company policy is another matter. Just as paid news and Medianet and its variations remain giant ogres for the Indian media to deal with, the dodgy practices of News Corp’s newspapers and journalists are the core problems. Removing James may not therefore be enough. As we have seen over the past year, the connections between the Murdoch empire and subsequent governments in the UK run deep and the favour system appears to have corrupted everyone, even the once highly-admired Scotland Yard.

     

    * * *

     

    The Mamata Banerjee government in West Bengal finds itself under greater media scrutiny with every passing day. The tendency of the chief minister to blame every event on the previous Left government and turn every criticism into a conspiracy theory has only made matters worse. Perhaps she needs some better media advisers and spin doctors? Right now, she’s the media’s favourite whipping boy (girl) and unfortunately for her, she, her ministers and her party only make matters worse every time they open their mouths!

     

  • The MY FM CEO shares his views on his channel, the radio business, his FM phase III plans and more.

    Radio still needs to be evangelized: Harrish Bhatia

    Harrish M Bhatia, the Chief Executive Officer, MY FM, is said to have several landmark achievements to his name. He is said to have played a key role in making MY FM, the radio business of Dainik Bhaskar Group achieve its break-even position within a short time since its launch. Since the launch in 2007, he is said to have successfully launched the MY FM brand in 17 cities in under two years and led the company to operational break-even in just three years. In conversation with MxMIndia’s Robin Thomas, Mr Bhatia shared his views on MY FM’s Q3 results, the radio business post break-even, his FM phase III plans and much more.

     

    Q: Let’s start with the Q3 results. The ad revenues grew 22 per cent in Q3 2011- 12 and EBIDTA stood at Rs44 million… The results must have provided MY FM an extra boost for 2012? What would you say are the key factors behind the growth?

    We have always believed in the growth story and economic vibrancy of the 17 non-metro markets that we operate out of. The surge in the demand for consumer goods, services, FMCG products, better education avenues and son on makes the non-metro markets interesting and rewarding for marketers. While global slowdown may have affected the revenue of metro players, retail advertising remained unaffected as the consumers in these cities are not exposed to the daily stock market fluctuation.

     

    MY FM, with a strong focus on the non-metro markets, unparallel content offering like My Ramayana and Murari Babu in spiritual time band, daily song request shows like Dil Chahta Hai and listener engagement initiatives such as the award winning CSR – Ek Koshish and CJ943- City ka Campus Star with VJ Ranvijay and great HR practices, have all led to this outstanding performance.

     

    Q: The radio industry is, more or less, completely dependent on advertising revenues. Do you agree? What are the other sources of revenue for MY FM?

    Intelligent and smart advertisers who believe in radio are using radio to its true potential by going beyond FTC through innovations like sponsorships, content integration and activations. There is infinite scope to innovate on radio. Traditional advertisers, however, on account of their own consumption habits, are not taking the medium seriously.

     

    Radio offers opportunities to create unique ‘Radio properties’ and build ‘sonic triggers’ that are hard to replicate on other mediums. Long term properties like Ramayana, Murari Babu discourses in the spiritual time band, the remix show hosted by DJ NYK and others on MY FM should be seen as a strategic investments by advertisers to build a connect between the consumer and their brand.

     

    Q: MY FM achieved break-even way back in 2009… Has there been any change in the business since then – more focus on internal communications or infrastructure, getting more talents?

    Break-even was achieved as a result of cost optimisation and resource rationalisation.  The scenario has changed a lot since then with a focus on innovative HR practices and an ‘Employee First’ policy that includes:-

    • Trainings the Talent: Based on the leadership roles, key talent are identified and sent for training and workshops that best suits their development needs – from training by UK Radio, London to workshops at MDI and IIM-A.
    • Variable pay policy: Innovative policy for employees across the board liked to their quarterly performance.

     

     

    Q: You have always maintained that the actual growth of radio is coming from the non metros… Has the FM radio listenership in metros reached a saturation point?

    Trends indicate that there is an exponential growth of listenership in non-metros on accounts of factors like more leisure time, low internet penetration, power shortage and so on, while it is growing at a slow pace or almost stagnant in metros.

     

    FM penetration has already reached decent levels in metros with hardly any scope of growth – 88 per cent inDelhiand 87 per cent in Kolkata. While non-metro cities like Ahmedabad andNagpurhave low penetration levels of 53 per cent and 69 per cent respectively.

     

    Q: It’s been five years since MY FM came into existence in 2006. You have had several landmark achievements since then. What would you say were the high points and the lows for MY FM since it first started?

    Highs:

    • Fastest launch of stations in a record time of under a year.
    • Achieving operational break-even within 3 years of launch.
    • Appointment of an ombudsmen.
    • Content innovations like MY Ramayana, Murari Babu, DJ NYK, My Vastu, Numerology show with Sanjay Jumani, Kahani ki Kitab Se and others.
    • MY FM joining the league of select stations with the launch of its TVC and song last year.

     

    Lows:

    • Government policies that have resulted in the industry being unviable for investment.
    • Limited growth on account of content restrictions imposed on a nascent industry.
    • Absence of an acceptable radio measurement tools.
    • Talent crunch during the initial years.

     

     

    MY FM is present in 17 cities and 7 states. How is the radio consumption behaviour in these cities different from those of the metros? In Mumbai for instance, a chunk of listenership comes in the morning. Is the trend same with the mini metros?

    Radio consumption is very different in non-metros. InIndore, late morning records the highest listenership, while Jaipur has high listenership throughout the day; whereas Ahmedabad peaks in both morning and night time bands. Moreover, the time spent on radio is much higher in non-metros and set to go up further with increase in FM listenership on mobiles.

     

    Does the medium still need to be evangalised to advertisers or are advertising willingly flocking to radio?

    Yes, radio still needs to be evangelized. Radio is the medium that many professionals include in their quarterly and yearly plans at the last moment to highlight the probability of their idea being executable.

     

    Moreover, media spends are not being proportionately allocated to radio even though it has outgrown other media in time spent. As per the recent RAM research conducted in the four markets- Jaipur, Ahmedabad, Nagpur and Indore – average time spent listening to radio is 160 minutes as compared to IRS figures of 107 minutes watching TV, 85 minutes reading newspaper and 30 minutes on internet respectively.

     

    Smart and intelligent advertisers who believe in radio know that if properly planned and used innovatively, the radio can do wonders for a particular brand. Unlike TV, Radio is the only medium that has the power to address area-specific challenges through a focused communication in their own local language and is value for money. Big radio players should come forward for the growth of the industry and to highlight its mammoth reach and effectiveness.

     

    Q: We have learnt that AROI is working on content codes for radio stations. Is it high time that radio also follows self regulation?

    We welcome any such move. We are already following a stringent AIR code for content.

     

    Q: Although news will be sourced from only AIR, nevertheless how prepared is MY FM for news? Does MY FM have the infrastructure ready for news or is it that the present infrastructure is more than sufficient for AIR bulletins?

    Yes, MY FM, being part of a larger news media group, already has the infrastructure to broadcast news. However, we believe that radio players should be allowed to carry their own news-based content, making it relevant for our listeners.

     

    Q: You seem to be quite active on Facebook and Twitter. What about your website? Can you share with us your digital media plans? How are you using the digital medium to engage listeners?

    Digital media is an integral part of all our campaigns and promotions – both for communication and engagement like content participation, feedback on music preferences and so on. Radio is an aural medium, however, with the launch of the “radio dikhta hai” campaign, listeners became viewers as they are able to see the radio and the RJs hosting the show on YouTube. We recently concluded our microsite contest encouraging listeners to participate in brand evolution by sharing their ‘jiyo dil se’ moment with the best entries winning big ticket prizes.

     

    Q: Currently what according to you are the key challenges facing the radio industry? And what are the trends to watch out for in the coming years?

    Challenges:

    • Deregulate radio: Content restrictions are a big restraint for the industry and our creative freedom gets affected due to the limitation to provide any kind of news-based content.
    • The most important is the Music Royalty Issue. The royalty issue continues to worry FM stations, especially the smaller FM players or those in small towns.
    • Absence of an acceptable radio measurement tool, due to which media planning and buying is done on the basis of researches like IRS, is another challenge that we face in our industry.
    • The license fee for new stations is a challenge, making the medium unviable for investment by existing and new players.

     

     

    Trends:

    • Expansion of radio post Phase III rollout, covering newer towns, increasing radio footprint.
    • The way consumer soaks information is more fragmented and varied like never before. Not only has the mechanisms to reach to the consumers changed, the vehicles option have also multiplied. Radio has evolved and outgrown all other media with consumer spending more time on it. To reach out to such a consumer and influence them by appropriately allocating media spends is going to be a big thing for advertisers in 2012.
    • While metros will remain a staple for marketers, an increased non-metro footprint will be critical for volumes in the long run. There is a growth opportunity that is vastly under-rated by many marketers today, which could emerge as a key growth engine for the next 10 years.

     

     

    Q: What are your FM phase III expansion plans?  Would you explore the metros? New genres with multiple frequencies? 

    Yes, we would be exploring metros in Phase III as long as it makes business sense.

     

    MY FM has major expansion plans for Phase III. However it is too premature to discuss this. Moreover, as mentioned earlier, the license fee for new stations is a challenge that needs to be address before the Phase III rollout to encourage bidding.

     

    Q: What is the overall workforce or team size of MY FM? Is employee retention a challenge in the radio industry? Or is there a talent crunch that needs to be first dealt with?

    MY FM currently employees 350 full-time employees. Retention is never a challenge for key management / leadership team. It’s the support staff that is a challenge. Moreover, MY FM’s robust HR practices are one of the best in the industry allowing development and growth of talent.

     

    Q: On a lighter note, what is a typical day like for Mr Harrish Bhatia, CEO, MY FM?

    I believe in pushing myself each day. I am very passionate towards my fitness and wake up at 5am every day to jog and do yoga which is followed by breakfast with family. I reach office around 10am and quickly move to make an agenda for the day that needs to be looked into, pointers to be discussed with the team and any meetings in the course of the day as well as near future. I meet the Business Heads/Programming Heads for programming review followed by lunch.

     

    After lunch, I catch up with the senior management for strategising and ideating, checking emails and reverting back to any queries. At the end, I review the work according to the daily agenda and makes sure that the work assigned for the day is done.  After winding up work, I head home, spend quality time with my family and friends, watch television, checks emails on my iPad and hit the bed for another challenging day.

     

  • The company has launched a pilot project in Delhi and expects to grab 1-1.5 million subscribers across cities in the short term through tie-ups with the cable operators

    Dish TV to push set-top boxes in cable households, distribute & install connections

    By Meenakshi Verma Ambwani

     

    Stiff challenge from digital cable operators has forced India’s biggest direct to home (DTH) television company, Dish TV, to tie up with neighbourhood cable operators, opening up a new front in the war between the DTH and cable industries.

     

    India’s top four metros – Delhi, Mumbai, Chennai and Kolkata – will replace all analog television networks with digital transmission from July 1. This has led to a scramble between multi-system operators (companies which create and distribute a bouquet of channels through cable networks) and DTH operators who transmit their own bouquet of channels via satellites.

     

    Their fight could end up giving a fresh lease of life to the local cable operators who were until now providing the last mile connectivity for the MSOs, but were faced with the threat of extinction with the launch of digital set top boxes.

     

    Dish TV chief executive RC Venkateish said the company has launched a pilot project in Delhi and he expects to grab 1-1.5 million subscribers across cities in the short term through tie-ups with the cable operators.

     

    These operators have been given the option to take up distribution and installation of Dish TV connections to customers and push Dish TV set-top boxes in cable households with the first phase of cable digitalisation.

     

    Currently, the company has agreements with about thirty cable operators, but expects to roll out this scheme in the country and rope in about 3,000 local cable operators in the next two months.

     

    “This scheme helps us open a new distribution channel and establish a personal contact with our customers. Our last-mile operators will install these boxes, service the connections as well as collect bills,” said Mr Venkateish.

     

    These last mile operators will be paid commissions on the installation of set top boxes as well as a 15-20 per cent commission every time the customer serviced by them recharges his subscription.

     

    North-Delhi based cable operator Rajan Sidana, who owns Chaitanya Cable Network, said that aligning with large DTH players like Dish TV would be a profitable deal for last-mile operators. “As it is, we are facing competition from DTH service providers and losing consumers to them. This is a way to retain our customer base and be able to offer them DTH as well as high-definition set-top-boxes on a commission basis,” he said. He services about 700-800 households and can offer feeds of several MSOs to consumers.

     

    Other DTH companies may also join the fray soon. A senior executive from another DTH company who did not wish to be named, said that this is innovative way to grab more subscribers but warned that this could be an expensive way of grabbing consumers at a time when the DTH industry is making losses.

     

    Vikram Mehra, chief marketing officer, Tata Sky said: “We have beefed up our service and installation teams and our customer care centres that will help us acquire new subscribers.”

     

    Cable companies still dominate in the big metros and roping in the last-mile cable operators will help them increase their subscriber base in the metros. Currently several local cable operators have access to television feed from several multi system operators besides being an exclusive last-mile operator for at least one MSO.

     

    Another South Delhi cable operator RS Bedi, who owns Skywaves, said, “This is an opportunity for existing cable operators who are being squeezed by MSOs to open up an alternative revenue stream. It will also help Dish TV reduce its downtime to cater to consumer’s service requests.”

     

    He added that the margins being offered by Dish TV is attractive and the cable operator will not have to bother about laying cables and will not have to set control rooms. “This will help us grab new consumers as digitalisation kicks in,” said Mr Venkateish. Dish TV currently has 12.5 million gross subscribers and 9.5 million net subscribers in the country as of December 31, 2011.

     

    Source: The Economic Times

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