Category: INTERVIEWS

  • Getting set for the Big Leap: John Goodman

     

    Of the numerous verticals under the ambit of advertising and communications behemoth Ogilvy, the one that John Goodman is particularly proud of is Ogilvy Action. While it may be natural for him to favour the agency, given his association as President, Asia Pacific he in fact has a firm reason to share: it is the fastest growing agency in the world for the group.

     

    Not a surprising statement to make given that in the last couple of years, Ogilvy Action has seen annual growth across Asia Pacific in the range of 30 per cent a year. That’s miles ahead of the growth number that the other agencies have managed to throw up year-on-year. And if Mr Goodman is to be believed, apart from the fabulous growth, what makes his agency a favourite is its ability to offer both the analytical and creative & implementation side of solutions.

     

    In India to release and share findings from the survey Shop Talk, Mr Goodman takes some time out prior to the event and talks shop with Johnson Napier of MxMIndia. India, talent, emerging markets and FDI take prominence as Mr Goodman gets talking on these topics and more. Excerpts:

     

    Could you take us through some of the findings from Shop Talk – the survey that reveals valuable information around the shopper-consumer?

    The event is intended to announce the findings of the research that we have done into how Indian shoppers behave, how they act when they are in hypermarkets, what the differences are between what people think and what the reality is and then talk a little bit about the tools that we have developed to help people understand that and be able to use it to be more effective in their marketing.

     

    You’ve concentrated on three important markets of Delhi, Mumbai and Bangalore for the survey. What was unique about these shortlisted markets; why did you leave out other important metros that could’ve lent you a wider perspective?

    There are many important markets in India and beyond a point you have to draw a line on how many cities you want to cover. The hypermarket area is the most developed in these three cities of Delhi, Mumbai and Bangalore and therefore we thought we could get more useful information from these pivotal markets. There may be regional differences that could arise from a Chennai, Kolkata or Hyderabad etc but in general we haven’t seen great difference in behaviour from one city to another.

     

    Is this the first such study based out of India? What relevance does it hold for your agency from an Asia-Pacific perspective?

    We’ve done various studies on how people behave in stores and how it makes a difference to what brands are trying to sell. In the recent past we have done studies in China, UK, the USA etc and what you see is that people often change their decisions; they behave differently when they are in the store. We always talk about the difference between the consumer and the shopper; the consumer is fairly passive – they are sitting and watching television or out in the car or in the office and they may have seen some advertising but they are not actively making decisions. But when they are in the store whether in the hypermarket or mom-and-pop store or even online, they behave differently. They are thinking about what they are going to buy, they know they are going to spend money, they are engaged…they are thinking positively about what brand, what products and what decisions they make. Up until a few years ago people really didn’t think about it and they spent all their money trying to influence people when they are home or out through radio, billboard etc but so many decisions get made at the last minute when people are actually in the store or are just deciding to buy or whatever – you need to communicate to people and need to understand what’s going on in their mind.

     

    What are your observations about the Shopper Marketing space in India? How have you seen it evolve over the years?

    There is a lot of traditional trade existent in India; it is the smallest market for organised trade. It has changed hypermarkets, changed supermarkets, branded stores and so on…it has changed quickly but it is still much further away from say a China or Thailand or other developing countries. As a result the behaviour is different – people are coming to a new experience and are going to shopping malls, hypermarkets, which were not there a few years ago. And therefore we have to have an understanding of how Indian consumers react, which is a new territory because we often know how consumers behave when they shop in a mom-and-pop or big stores but how they behave in an organised trade is very different. Our research tells us that this will continue to be the trend; it is inevitable over the next few years that whatever happens with FDI or with local investment that the trade will become more organised because it works much better that way.

     

    In terms of criticality, how has your focus around research / analytics grown over the years?

    We put a lot of emphasis on research, data and insights and where we are looking at insights we want evidence whether those insights are correct or not. So if we want an understanding of how people are behaving in stores we need not just take a guess but research and analyse that data in order to have robust outcomes that people will want to use.

     

    How has Ogilvy Action as a unit performed for you over the past one year, including India?

    In Asia, this has been the fastest growing part of Ogilvy’s business. We are starting to see that take off in India as well. So we have a lot of clients whom we work with who are now coming to us for this kind of support and advice. Also, there aren’t many agencies in India who are doing this. If you look at traditional advertising there are a lot of agencies out there available to service you but that’s not the case in this arena. Though we have big competitors from other agencies who come here to India but we obviously have an advantage as we are the first in this space.

     

    How have you been able to quantify this fast growth into absolute numbers?

    In the last couple of years we have seen an annual growth across Asia Pacific in the range of 30 per cent a year. We think we are in a good position as we are able to offer both the analytical and also creative & implementation side of solutions. While there are others who are either good in creative or analytics but not in both the disciplines. That has been our point of difference. We can tell you what to do and then we can do that for you too.

     

    Do you see India leading from the front where growth is concerned?

    I expect in India the business to grow very quickly as I expect the client to firstly wake up to the trend and secondly, the advertising market is quite cluttered so people are looking at new ways to reach out to consumers. Also, the trade is becoming much more organised and as that happens these kinds of services become more important.

     

    In a normal scenario, clients would prefer to wait and watch then reach out to their purses during an economic slowdown. Did you see that happen with your agency?

    We operate in an interesting area because we combine with three parties: client, retailer and the consumer and we have to come up solutions that make all three happy. That’s because retailers won’t co-operate with us if they do not feel it is going to build their business, clients want to see things move in their store and for the consumer it is about better information and choices. So things go up and down in the Indian economy but generally we see a lot of growth to come from this market. It is such a huge country that it’s potential for growth is limitless.

     

    What is your observation on the current state of affairs where FDI in retail is concerned?

    This is one of those situations where it is one step forward, one step back. It’s like they decide on something, and then they change their mind. It’s difficult to predict. From the point of view of the client, it is both an opportunity and a threat. Opportunity because they can deal with fewer consumers and bigger networks but the threat is that retailers tend to control the retail environment. If you’ve invested in a big network in a hypermarket the retailers are in a very good negotiating position with the manufacturer and therefore the manufacturer has to demonstrate value to the retailer. It becomes a very competitive environment for the manufacturer.

     

    Any other challenges you foresee for the sector in India?

    The politics of it is really very worrying because as I said if the FDI becomes less controversial and if people see the benefits it brings to ordinary people, then it will continue to keep growing. The fact is that in organised retail the consumer benefits the most, more than anybody else. They get better prices, better quality of food, good hygiene standards and so on. At the end of the day it is the consumer who is going to win.

     

    How has your Rural Marketing division been performing over the years?

    We were the first ones to develop a rural marketing agency, started back in 1995. We work extensively with clients like Unilever and Castrol in terms of reaching out to villages, rural areas, small towns… and it is really an exciting part of our business. Also it is very challenging as we get faced with infrastructural issues and the fact that you are dealing with a huge number of people who are very diverse and spread out. But it’s an interesting part of the business because the messaging has to be very different. While the urban audiences tend to be more sophisticated and good at decoding messages and understanding communication, that’s not the case with rural audiences for whom the communication has to be different.

     

    As you move forward, what would be the core areas of focus for Ogilvy Action?

    There will be a growing emphasis on digital and data that enables clients to get a much better understanding of the big picture. We are now in a situation where the client can stop to build up data and digital contact with a much bigger reach. So from the technology point of view, it is helping the way we work. At the same time the rural area is still underdeveloped, and if you see the size of the rural population we have barely managed to scratch the surface where reaching out to them is concerned. So the sophistication of data and rural contact are important for the Indian market, and when the two come into contact the connections become better.

     

    What about growth from the Asia Pacific market – how has it panned out for you?

    For Asia Pacific it is difficult to say because what happens in Japan is different from what we do in China or Malaysia etc. But at the end of the day, the client wants to reach out to the shopper, wherever they are. That’s where the decisions get made.

     

    Any emerging markets that you are aggressively considering tapping into, moving forward?

    I think Indonesia will be a huge opportunity because it has been a sleeping giant for long now. It is the third largest country in the world but it has remained quiet so far. That is all set to change, I guess. Similarly Vietnam, that has a large rural population and is also a very dynamic market. A place where we have just opened an office is Myanmar, because with the political situation changing and with the country being open to the West we saw a good opportunity there. We are the first ones to enter that market.

     

    Are you content with the talent situation in your agency or is it still WIP?

    Talent is the most difficult challenge we face. To be quite honest, it is easier to find a new client than to find new talent. We are trying very hard to train, to develop to get new talent from outside and move experienced people from one place to another, but the demand for talent is huge and if we could find more people who are good at what we do, we would grow quicker. While we are not worried about the leadership issue in Mumbai, we are looking at positions outside Mumbai including Delhi, Bangalore etc where we are seeing good traction in the business. We hope to appoint new people in these markets soon.

     

  • We are very optimistic about India: Tripti Lochan

    By Johnson Napier

     

    Digital marketing agency VML Qais has had a busy 2012-13 helping multinational clients and digital start-ups chart their digital course and implement groundbreaking online initiatives. One such recent example the agency undertook was an online study for their client Revlon India, which was conducted to better understand the mindset of Indian women and their attitudes and habits towards foundation.

     

    According to Tripti Lochan, CEO, VML Qais, as was the case with Revlon India, brands are today recognizing that digital provides a more powerful engagement than any other media. In fact she is very confident that marketers will soon be putting their dollars more convincingly behind digital.

     

    In an interaction with MxMIndia, Ms Lochan stresses on the need for real-time creation of branded content by brands and how regional clients are increasingly demanding India-specific strategies as part of value-added services. Excerpts:

     

    We know of brands flocking to the social media platform to reach out to their audiences wherever they are. What was unique about the social media exercise you undertook with your client Revlon India?

    We believe that all strategy needs to be driven by consumer insights. As a first step for Revlon India, we carried out a social listening piece, to understand real consumer conversations & attitudes regarding beauty, health, and wellness. Our strategy was then pivoted on these insights. With Revlon India we are bench-marking not only against Indian competition but global beauty and fashion players like MAC/ Estee Lauder/ Burberry. We want to use social media as a long-term conversation platform that allows Revlon to continuously gain insights from consumers, and be relevant to their needs.

     

    Any notable trends that emerged as the users sampled your questions/survey?

    There were a lot of interesting trends, notably the fact that Indian women prefer natural make-up. Colours are welcome but those that work best with Indian skin tones. Many Indian women are multi-tasking and looking for beauty brands that match that lifestyle – easy to use and long-lasting are two recurring needs. This is validated through Generation Asia India research that we carried out earlier in the year where the theme of individualism is strong.

     

    Is a sample size of 75,000 (via online) big enough a number to convert perception to reality? Did you consider collating inputs through the offline route as well?

    It is a substantial sample to consider. And since our strategy was online focused, with focus on communicating on Facebook, we wanted to get the perception of this audience – which is digital, the connected segment.

     

    As a digital agency, how according to you have brands woken up to pursuing online marketing activities in terms of budgetary allocations and importance vis-a-vis traditional mediums?

    The spends on digital do not by any stretch of the imagination mirror the time consumers are spending online. This is because brands have a “comfort factor” concerning spending on things they know well. But the good news is that brands are recognizing that digital provides a more powerful engagement than any other media. We are already seeing experimental budgets being set aside. I am very confident that marketers will soon be putting their dollars more convincingly behind digital. If you look at a brand like Revlon, it’s an opportunity to replicate beauty-counter conversation around make-up into a digital dialogue with consumers. Which other medium would allow them this?

     

    VML Qais seems to have an array of corporate clients under its belt. What makes your firm an agency to vie for?

    As an agency we have a firm belief: we are marketers first, before anything else. And as marketers, we keep to the fundamentals of marketing: take direction from business objectives, base everything on consumer insights, and think holistically. Yes, digital is complex; it requires an understanding of an added layer – technology. Of course the importance of understanding this cannot be underestimated. And to steer through this requires you to have the ability to join the dots – between what your business objectives are as a brand, what consumers want, and what technology allows us to do today. We believe that technology will continue to change, as it has been over the last decade. There are new developments that impact marketing every day. And we need to be in continuous curiosity and learning mode, so we can help our clients navigate through this sometimes-confusing environment. The first thing I tell our clients is that we are not experts in their business – and that we learn as much from them as they do from us. As an agency, it is our desire to do the best we can by our clients that shows results.

     

    What is the trend you anticipate 2013 to throw up regarding brands taking the social media space for marketing & promotional activities?

    I think one of the most interesting trends we have been seeing is the real-time creation of branded content by brands. This is the ability, in real time, to look at conversation in real time, create a point of view or response against this, weaving in the brand’s POV. This, done in an innovative, creative way, can be used for marketing and promotional activities by brands.

     

    What does 2013 augur for VML Qais on the growth front in India?

    We continue to have some really interesting projects at hand in India. Our client relationships are strong and growing. We have set some aggressive growth targets for VML Qais in the region, including for India. The year has begun well with big regional wins. We see a lot of our regional clients wanting specific India strategies, and that is part of the value-add we can offer them. We are able to provide global insights in India to brands that want to benchmark against global competitors, and Indian companies that want a regional or even global strategy. We are very optimistic about India.

     

  • Jaldi 5 with Amit Nair: Khana Khazana should do well with digitization

    Indians love food. Yes, it is a fact and Khana Khazana is a proof of that. In the early 1990s what started as a show with Chef Sanjeev Kapoor as host and in 2010 turned into a full-fledged channel just certifies it. India’s first-ever food channel is all set for re-branding and give its viewers better and new shows to look forward to. MxMIndia’s MEGHNA SHARMA quizzed the channel’s business head, Amit Nair, to get a taste of channel’s strategy. 

     

    1.After the new and refreshed content, what can the audiences expect from the channel?

    The content strategy is very info-entertainment oriented. All our shows are very chatty, conversational and interactive unlike regular cookery shows. We are delighted to announce the start of four new shows on air all back by research and by understanding the pulse of women by interacting with them extensively. These our shows are Food Ka Mood, Bacha party, Breakfast express and Ab Har Koi Chef. Each of them have been designed with specific needs in mind. In the coming months we plan to launch a lot of new shows that will also target a broader TG. There will be more travel + food related to reality shows and will dish out more theme based or concept driven shows every quarter keeping our TG in mind.

     

    2. So how has been the ride so far?

    Khana Khazana has always been synonymous with great food experiences and has a unique place in the heart of homemakers and cooking enthusiasts. Hence, since our evolvement to a 24-hour food channel the response has been very heartening.

     

    3.Is there enough audience for a food channel in India? Where do you see the genre in the next few years?

    Food as an offering on television has been growing since the days of Khana Khazana. GECs had cookery shows, then we started having food shows within the regional space. Subsequently even news channels got into it and on the GEC front it evolved from instructional cooking to food reality. With dedicated food bands on lifestyle channels the time was ripe for a dedicated food channel and Zee was the first to do so. In mature television markets, there are 3 -4 dedicated food channels so we are very bullish about this genre. With digitization and greater monetization, specialized offerings like food are expected to do very well.

     

    4.But given the limited viewership, do niche channels like yours see enough advertisers?

    While our core target audience is female, we have seen enough and more men venturing into the kitchen to try out recipes that are different from the norm. So while we may have FMCG and durables as main advertisers there is a lot of interest from home and lifestyle related brands to advertise.

     

    5. With competition growing, what is the marketing strategy of the channel?

    We will be closely working with our DTH/cable partners to increase interactions with consumers. Focus predominantly will be on digital and activations and build close viewer connect.

     

  • Prime, Love and Talking Business with Anand Chakravarthy

     

    Concurrent and simulcast are a few things that are synonymous to the Big CBS network. The latest addition to the network is the Hindi feed of the BIG CBS Prime, the male-oriented channel in its bouquet. As part of the ‘Talking Business’ series, Anand Chakravarthy, business head of the BIG CBS network,  spoke to Pradyuman Maheshwari and Meghna Sharma on how his channels are faring after digitalisation and plans for the year ahead.

     

    It’s interesting to see you go Hindi with Prime… tell us more!

    The starting point is actually looking at this trend of what’s happening in entertainment. In Movies there’s UTV Action. Many regional channels have brought in international content dubbed in local languages. Hollywood blockbusters are doing very well in Punjabi or Telugu. Then we saw Tamil and Telugu movies making a foray into Hindi GECs. The ratings for both were excellent. All of this adds up to a very simple conclusion that one, there is an evolution in audience taste and ability to consume content. No longer does skin colour, context of the movie have to be relevant for people to watch it. The appetite of the Indian audience has changed. We saw it starting with the kid genre moving to infotainment and movies and now ascending into mainline GECs.

     

    So have you tweaked your content too?

    Prime was always the male channel and Love a channel skewed towards women. So in terms of genres if you look at urban men versus mass male audiences, preferences are still in the space of action, crime and some genres like comedy. In terms of tweaking, we have finetuned the prime FPCs to include some genres which we believe have a universal appeal. For example, we bought back Bellator. When we launched Prime in English, Bellator was part of launch package and it did very well for us. Over time, we removed it and we said let’s bring it back because as we go to larger set of audience shows like Bellator will work really well. But we continue to have great shows at primetime. We have got America’s Got Talent’s latest season followed by CSI and 48 Hours. So, the genre is still male-skewed but the content is new. We have got brand new shows from CBS; 48 Hours has been on for 17 years and has won 17 Emmy Awards. CSI is a great franchise, it has always been. It is the largest watched show in the world. And AGT, which unlike American Idol and X-Factor has a broader appeal because it is not necessarily singing.

     

    With BIG RTL Thrill, which targets male audiences in Hindi, now also available in metros like Mumbai and Delhi, do you see it as primary competition to Prime Hindi?

    Thrill is still limited to UP and we are slowly getting it on other platforms as well. The way we see is that today the male audiences are very under-served as a population. The genres that men watching are essentially news, sports and movies. Now movies transcend men and women, so if you look at content for males, it is very limited. There are actually no channels which are focused at the male. This is perhaps the beginning of a trend. Are we the only channels which are coming in? Not necessarily. So, even if we are entering the space where Thrill exists, the fact is that it is an under-served market and there is space for more.

     

    Are you also looking at other feeds like South Indian feeds?

    Our premise is to start off with Hindi which will cover HSM. The second phase of DAS with 38 cities is predominantly HSM. With digitization, operators want more channels. And we come in as a channel which is not only English but also has a Hindi feed. The digital set-top box allows you to change languages; that’s something which will open up the opportunity. If I have to go onto analogue, I won’t be able to offer a language option. I’ll have to take a call – Prime only in English or Prime only in Hindi. DAS allows me to do that.

     

    In terms of advertising, do you expect to attract different type of ads for Prime Hindi?

    No! About 30 percent of ads on English entertainment channels are in Hindi. So while we talk of audiences in English entertainment channels, it is broadly SEC A and B. So the audience in the metros are very familiar with Hindi. There are some genres and categories which only advertise in English but there are many which are talking in Hindi. For example, the latest Axis Bank or the Quickr commercial. They are on English GECs and are all in Hindi!

     

    Even for Prime Hindi, it is targeted at Sec ABC. It doesn’t go beyond this. The core audience will still be Sec A and B because it is not just pure visual. For instance, even if I’m watching CSI in Hindi, it requires involvement; it is not something ‘dekh sakte hai’. Because the content is not for instance say Terminator 3 where it’s just action so anybody can watch it and dialogues don’t matter much. So that’s what we are saying when we say Hindi feed versus pure play Hindi content which is like movies.

     

    Look at all the English movies worked in India; Die Hard 5 has already released in Hindi and the posters are in Hindi and in English. The fact is that audiences are evolving and people are willing to consume content but it is only at the SEC A and B level.

     

    December 26 was when the first ratings post-digitization were out. How has the story been for you in the last two months? We saw a spike in ratings initially but they went down. How are they now and what are the learnings?

    Well, we waited for five to six weeks post that, we have actually re-programmed our channels. In the first five to six weeks, two things happened: DAS and then the universe changed. So it took time for data to settle down and give us clear indications of what genres were working. And there have been some interesting changes. So if you look at last year and this year, we found that sitcoms have an equal amount of attraction among women. The data last year was clearly showing that it was male-skewed. Sitcoms didn’t have a large enough play amongst female audiences so that is why we had kept sitcoms out of Love initially. But when you see last data post-DAS, new genres have emerged which are more universal in appeal. We saw reality formats like American idol and X-Factor which were more female-skewed becoming more universal. So, the fact is that you have to be programmed on the basis of data you have. The data which one has will change as the universe changes, the amount of digital goes up. So, re-programming has just set in and I think over the next two-three weeks you’ll see the impact of that.

     

    Isn’t that a worry that data got skewed in one direction in the first few weeks and then got changed to another direction later. And now we have the LC 1 markets…

    LC 1 market doesn’t impact us but it certainly will impact all national channels. Unfortunately, the reality is that India is an evolving environment. TAM is far from perfect, everybody knows it, but in the absence of any other measurement, as a programming strategy, what do I do? If I do intrusive programming it won’t show up in ratings so I have to look at TAM data and I have to see what data is throwing up on the basis of what’s working and programme my channels accordingly. Today, honestly, broadcasters are not left with any choice and forced to build their programming strategy around ratings.

     

    Doesn’t customer loyalty get impacted when you change programming strategy and timings?

    Two of my biggest shows are Excused and SATC so we have retained them and not moved them at all. So it’s Excused at 11pm followed by SATC where Love is leading the genre. We have fine-tuned the earlier primetime. Pre-primetime is a big opportunity as per the new data. So, traditionally, primetime was 10pm to 12:30am, but between 7pm and 10pm and more importantly between 8-10pm there is also viewership that needs to be tapped into. Similarly, there are slots in the data which need to be tapped into. And that’s where we have kind-of rejigged programming in order to tap into emerging opportunities.

     

    Any new shows coming up?

    48 Hours is premiering for the first time in India and we have just launched it. AGT’s latest season has just gone live and the third one is the CSI Las Vegas which are all brand new. We will be bringing in two big shows now. One is Elementary which is the new Sherlock Homes launched in America in the Fall of 2012. We are going to launch it in March on Prime which will be followed by another new acquisition about which we’ll make an announcement soon. There are some very big shows which are being launched at the end of this year. One is a show called The Dome by Spielberg which you can catch online and which we are definitely going to get to India from the CBS table.

     

    You just mentioned online – so how much do you get affected when your audience prefers to watch shows online?

    We have just finished very extensive research in Nov-Dec which is both quantitative and qualitative, which threw out that there are various segments. One the segments in this bunch of people who watch more of content on their laptops than on TV. The only thing with this group is that they are very, very small in numbers. What will get them to TV is your ability to show content as quickly from the US as possible. So we believe that a great way to bring them in is to show some shows purely concurrent with the US. For example, American Idol is concurrent to US telecast; even Fox doesn’t upload the episode 48 hours after the telecast. It doesn’t justify to have a full-fledged strategy for them because it’s not going to get any returns, but we are doing things so that they do come in.

     

    Tell us about BIG CBS Love…

    On Love what we are doing is that though the content is female skewed, it is appealing to men as well. It will be the core eight metro-focused channel that we have in our portfolio, as Prime will become broader outside the eight metros and into HSM also. On Love, we have been able to build a very strong franchise with our shows like SATC and Excused. We have brought in comedy in primetime at 8-9, followed by the American Idol strip. So we have comedy followed by reality which has worked for us. We are launching the Next Top Model latest season next Monday. The drama slot is 10-11pm where we are going to launch a very big show called Beauty and the Beast (March 25). In March, we also bring in a new sitcom called The Game which is about WAGs.

     

    Currently Grey’s Anatomy is #1, so do you have a counter for that?

    Let’s face it, for a channel which has been around 14 years, it has made a great franchise in the market. So, whoever watches English GECs has grown up on Star World. Hence it does become an automatic choice to go to. And do we have a portfolio to counter them? Yes, we do. The challenge for us is to build a brand in the market. Star World used to dominate the 10-11pm slot which we have already eaten into. And they launched Homeland to outdo us which isn’t working for them. So we have a strategy which will help us to eat into their shares more.

     

    While  there is a legacy of such channels, the younger set of viewers aren’t as loyal to English entertainment channel as they are to Hindi GECs.

    The current channels in the market have been offering very ordinary fare for a very long time. The action has happened in this market in the last two years. Where have you seen content coming to India so quickly as the US until we launched? Now all the channels in the genre have upped the game, that’s why we have seen concurrent telecast on channels like Star, Zee, AXN etc. Everybody realizes that the audience doesn’t want older content any more, they want things which are new as they are available online. We will see an evolution happening.

     

    I think there is loyalty to shows. For instance, Friends used to be a great franchise at one point of time and there was great loyalty to that franchise. Same with Big Bang Theory, so when it moved from Zee to Star, Star did gain because people moved with the show. Even with a show like Excused, we have been able to build a franchise for it. Content on English GEC is episodic, thus you can watch one episode and come back after one week and still watch it. Hence, the viewing is also very different.

     

    So, Big CBS Prime is going to be your pan-India English GEC like Star World or Zee Cafe?

    Not really. Given the Hindi feed, Prime is going to give a footprint to the audience far more than what Star and Zee has. And Love will be purely eight metro channel whose audiences will grow from other markets as well.

     

    What about Spark?

    It is a music destination and it will continue to be so. But the focus is more on Prime and Love because every business has to decide what battle they want to fight? Where they want to focus your energy and investments on so that you can build a stronger brand. We have all the deals with big music labels and we continue to play latest music.

     

    Apart from these three channels, do we see any new additions to the bouquets?

    There is Spark Punjabi and that strategy is also being fine tuned. Will we launch a new channel? Not necessarily in the near future but we are considering new formats like HD which one would definitely look at in the near term because there is a growing opportunity because of digitization. But obviously it has to be viable business format because no subscriber is willing to pay money for HD. But it will change over time.

     

    With Prime when we see Hindi settling down, we’ll think of other languages for Prime and take it to even bigger market space.

     

    You have had some success with locally produced shows. Are you looking at doing more of that?

    Certainly. Our aim to do one every quarter because we believe that there are areas in the Indian market that are still very relevant to the audience. Bollywood, sports etc is still very big part of appetite of this audience. So we have created properties which are evolved and appeal to their sensitivity like India’s Sexiest Bachelor or India’s Prime Icon.

     

    Any star like Karan Johar?

    Even in the current line-up of shows like Indian’s Sexiest Bachelor season 2 we have Sarah Jane Dias hosting the show. But about bringing in better known names? At present nothing is planned but you cannot rule it out. It’s a great opportunity to get the brand into people’s minds. We are exploring something in that space but it’s too early to make an announcement.

     

    The marketing of English channels has been a mixed bag – some are majorly marketed, we are currently seeing billboards of Comedy Central’s Anger Management all over. Are you a believer in greater marketing spends?

    Where you spend your money is what matters. And what are you advertising for. Is outdoor the best medium to talk to your audience? May be, may be not. We believe we have to use media smartly to talk to our audience. One cannot go splattering all over the city like Hindi GECs. I don’t believe there is ROI there. We look at relevant touchpoints. Digital is a very big space; one has to be very active in the online and mobile space. A lot of our promotions happen online and digital. We look at where this audience lives and go to. We do things at Crossword regularly, with Landmark, with Barista, with brands like Vogue, Cosmopolitan and we also do cinema very regularly. We choose the right kind of cinema properties we want to be available at. Given the competition today, one has to market itself aggressively. Given parity and distribution, now it is product and content that is sold.

     

    The sentiment is the Big CBS is conservative in its approach in terms of promotions, properties etc. Is the perception correct?

    I couldn’t say conservative. If you look at our spends today, compared to competition our share of voice is very high. We continuously do stuff – we might not do print ads but we continuously do beta stuff. Because we believe that the audience we are talking to is not the traditional one. Maybe people are reacting to one or two campaigns which the competition has done. To be frank, Big CBS has pioneered a lot of stuff which others have copied. We were the first ones to do concurrent so frequently and we were the first one to do simulcast. We were the first one to do strong digital integration for brands and do interesting contest where we send people to watch semi-final or finals of X-Factor and American Idol. Now others are copying us and doing the same thing. We forced a lot of brands to change their strategy.

     

    You mentioned digitization becoming a big driver of the business. What do you anticipate in terms of revenue say in the next six months vis-a-vis advertising?

    There will be a significant contribution coming from there. So a lot of platforms we are talking to for subscription money coming in and they are not actually saying no. A lot of platforms which have had us for a long time are recognizing their own ability for ARPUS. For example, DTH because we have done a lot of co-branded promotions with them. Like giving them first promos of a show, promoting their offers on our channels etc. So now when we are talking to them for higher share of subscription, they are talking to us and not saying no which was probably the case two years back.

     

    Have you achieved your targets?

    Not fully, but we are getting there. We have made a fair amount of progress from where we started. I think digitization has been a boost for us. We have seen a 15-25 percent growth in ERS already which was a struggle in the non-digitized days. Now every month we are able to up for rates and go closer to our targets.

     

    And plans for the next year?

    The biggest focus is to get Prime Hindi feeds into every single market in the country. The channel is moving from the core eight metros and making in-roads into other markets. On the back of it, we’ll make sure Love rolls out significantly in its reach. And we want to bring in big shows and we want to feed the market with the best content from the CBS table. Another area which will see a significant share is localized products which is relevant not only for audience but advertisers as well.

     

  • Basics don’t change for Madhukar Sabnavis

     

    By Ananya Saha

     

    This Valentine’s Day would have been especially sweet for Ogilvy & Mather India. Madhukar Sabnavis, Vice Chairman and Country Head, Discovery and Planning, O&M India, was one of the 12 new members appointed to the O&M Worldwide Board. Having spent 25 years at Ogilvy, Mr Sabnavis is only the second Indian after Piyush Pandey to become a part of the board. (More here: http://www.mxmindia.com/2013/02/madhukar-sabnavis-on-oms-worldwide-board/)

     

    “At a personal level I am delighted! It’s clearly a reflection of the growing emergence of India in the network. It’s a recognition of Ogilvy India’s performance on the twin peaks of creativity and effectiveness. And the agency’s sustained strong performance over the years,” is how Mr Sabnavis summarised his reaction to the news.

     

    The news has humbled the disciplined man even further. He remarked, “My twenty-five years in Ogilvy have been a continuous journey; it’s a continuous attempt to keep up the excellence the company has achieved and keep pushing the bar up in terms of quality of work.” How does he manage to do this? “The basics don’t change – continue to find communication solutions for client problems. However, it needs to be done in a new environment and new media that makes it both challenging and exciting.”

     

     

    Future Ogilvy India bossman?

    Many in the industry who track Ogilvy believe there is a larger role in the Ogilvy India fold that is possibly being written for Mr Sabnavis. “Experience within our set-up and age are on his side,” one senior executive told MxMIndia on conditions of anonymity. A former O&M executive remarked that there are three clear pillars of the agency in India– Piyush Pandey (executive chairman), SN Rane (co-executive chairman) and Madhukar Sabnavis (vice-chairman). “Madhukar is a suit, but not the client servicing person in the traditional mould,” said the senior Ogilvy exec. “Being a planning whiz and his understanding of brands makes him a key constituent of the succession plan.”

     

    It’s early days yet, but, in the meantime, it’s business as usual.

    – MxM Bureau

    A graduate of the Indian Institute of Management, Ahmedabad (1983-85), Mr Sabnavis has been writing for various publications as well. In a yearender article in 2012, he remarked that it was a quiet, uneventful and forgettable year for the A&M industry. However, despite a slowdown in the overall economy, he reviews 2012 as a challenging year for the industry. He said, “We saw a slowdown in the overall economy that put pressure on marketing; but the industry responded quite well. While there were quite a few interesting campaigns, what stood out for me was the interesting use of digital power – whether it was on the internet through social media or otherwise, or whether it was on-ground activation or the DTH platform.”

     

    “Attempts were made to break the mould that portends a trend for the future. A commercial had its soundtrack debuted on the net before going on the tube; the makings of commercials were showcased on the DTH platform – and even in traditional media, a move was made towards longer duration to break the mould. Clearly marketing and advertising is rethinking paradigms and we hopefully should see more of it this year and in the years to come,” he added.

     

    According to Mr Sabnavis, the biggest challenge the industry currently faces is ‘talent’. “That’s something one would like to focus on a little more and work harder at attracting new talent and keeping the best within the industry fold,” he said.

     

    And has Ogilvy fared well? He definitely thinks so. According to him, Ogilvy India has been built on the two pillars of creativity and effectiveness and “we have been doing pretty well on those two pillars in the last few years. The task to keep this momentum going remains. In the last two years our global Marketing Services Center in Bengaluru has strengthened and shown strong growth. That’s the third pillar we want to grow as we go into the future. It has a strong delivery arm and a strong data analytics wing that caters to clients across the globe.” For him and Ogilvy, the way forward remains focusing, strengthening and growing the three pillars – creativity, effectiveness and delivery.

     

    Having spent nearly 28 years in advertising, Mr Sabnavis thinks he is fortunate that the right things have happened to him at the right time. “I have had the chance of working on some of the best clients at the right time in the ’80s and ’90s (and this continued into the new millennium when I moved into planning) when the market was opening up and brands began attempting to establish themselves, and this was very enriching. I have had the opportunity of setting up a second agency for Ogilvy – RMG David – which was a very liberating experience and then in the last decade the opportunity to set up and drive Planning in Ogilvy. During this journey I have worked with some great seniors, each of them having contributed their bit in shaping my thinking and approach to advertising and business,” he said.

     

    The biggest influencers on Mr Sabnavis, as he says, have been the teamwork and clients. “The Teamwork – I have worked with over the years; the creative people I have worked with – and have been fortunate to work with many stars – have helped me learn the importance of ‘magic’ alongside ‘logic’ – the importance of iteration as part of the process of creation and the joy of seeing yourself as co creator rather than just the brief giver. Second, the clients who over the years I have seen as partners in this process and equal contributors to the process; so the best work comes from the quartet of client, creative, servicing and planning. And in the last decade, the planning and servicing people I have worked with have been stimulating. The Ogilvy planning team has been quite inspirational with the diversity of ways in which they approach problems and the breadth of understanding they bring. Much of what I achieved as a servicing guy in the ’80s and ’90s was enabled by wonderful servicing partners who worked seamlessly with me,” he said.

     

    “However, in planning in the last 10 years, I have learnt how strong servicing people can provide a bedrock for others to drive and deliver great thinking and work. Simply put, the Ogilvy teamwork has been perhaps the biggest influence – the biggest glue for me to the agency,” concluded Mr Sabnavis.

     

  • Jaldi 5 with Sunil Manocha: Aggressive expansion is the motto

    By Johnson Napier

     

    Sunil Manocha, who has been responsible for Sales, Business Development, Television Production, Rights Distribution and Sponsor Servicing at Nimbus Sports for over two decades, has taken charge as Chief Operating Officer. Mr Manocha replaces Yannick Colaco who has moved on to join NBA India as its MD.

     

    Post his elevation, Mr Manocha speaks to MxMIndia on what would be his priorities in his new position at the company and what viewers can look forward to from the network in 2013-14.

     

    01) What would the new role entail for you at Nimbus Sport?

    Nimbus Sport is looking at aggressive expansion across all key verticals including Event Management, Rights Distribution, Sponsorship Services and TV Production. The immediate focus of the role would include working closely with the team to drive this growth.

     

    02) The past few months have seen the emergence of competitive players in the space who are jostling to provide equally competitive services such as yours. What are your plans to resist competition?

    We are entering a new, exciting era in the sports business. Clients want turnkey solutions from partners who have proven international expertise, yet have an intimate understanding of the local market. Nimbus Sport has built these capabilities with a track record of success, and is a truly integrated sports management firm.

     

    03) What are some of the hot and emerging properties that you would be looking at in 2013?

    At this point in time, marquee events in our kitty are spread across sports, including cricket, golf and hockey. We have Asia Cup, the star-studded multi-nation ODI tournament for Asian cricket teams, lined up in early 2014. In addition, there is the Hero Indian Open, the premier golf championship on the Asian Tour, and World Series Hockey, the world’s first franchise-based hockey league. We have relationships with multiple stakeholders including global sports federations, rights holders, sponsors and broadcasters and are constantly exploring opportunities with them. Watch this space for more.

     

    04) Any immediate changes one could expect at Nimbus Sport – in terms of talent, strategy, etc?

    We will continue to build a strong pool of professional talent as we move ahead with our aggressive expansion plans across verticals. Golf Event Management will be a key focus area and we will soon be making announcements about our new acquisitions in this space.

     

    05) What is the growth you expect your division to throw up for 2013?

    We are looking at robust growth with all the planned activities over the next financial year.

     

  • The 18-month horizon looks visibly good: Krishnan

    By A Correspondent

     

    It was a proud day for all at Neo Sports Broadcast yesterday as the network announced winning the rights to showcase all domestic and international cricket matches played in New Zealand until 2020. The seven-year deal includes 261 days of live cricket including 18 T20s, 63 ODIs and 36 Tests and also includes rights for all of Asia excluding Middle-East.

     

    The win means a lot to the network that’s been devoid of cricketing action, especially India-based, for some time now. Prasana Krishnan, COO, Neo Sports, tells MxMIndia on what the deal augurs for the network and also what is the growth being anticipated over an 18-month window.

     

    You outbid quite a few players on your way to acquiring the rights for New Zealand cricket matches until 2020. What does this acquisition signal for your network?

    For the Indian market, some volume of cricket is required for a sports broadcaster. While cricket prices have been going crazy and getting more aggressive in recent times, we’ve been taking a more cautious approach in terms of how and where we want make our combat and where we want to buy. So this acquisition was one of those where we felt the value was coming at a good price for us to consider and also for the fact that it is a long-term deal. More importantly, it has got 19 matches involving India and also a huge amount of cricket involving other nations.

     

    So on a consistent basis it provides us a couple of cricketing series every year and also provides a good volume of Indian cricket. What it also does for us is in 2014, we have India touring New Zealand followed by the Asia Cup. So we have got two Series involving India which I feel will make us a strong player in the market from a medium-term perspective. If you see the content line-up that we have, I think it is as good as any other properties that you’ll have. That again helps us in capitalizing and gaining revenues in a phase where digitization is quite active. So over the next 18 months when the digitization drive takes off, having two India Series in addition to the other events in our portfolio helps us in aggressively pushing and capitalizing on those properties.

     

    As a Board, New Zealand hasn’t been a hot property that’s been vied widely by many. Or is it?

    From an overall ratings and a value perspective of the deal, the key important aspect to see is how many India matches would be played. With India playing 19 matches obviously brings in a lot of value because where the Indian market is concerned, it is about where the national team is playing. Also, even the non-India cricket series also produce decent ratings so there again well-produced high-quality production that happens enables a significant recovery of revenues for the sportscaster. Not that the ratings will be on fore but one gets a decent traction from non-India matches too.

     

    Also, one must not forget that we have also got Asia rights that include countries like Pakistan, Sri Lanka, Bangladesh, etc who will be touring New Zealand and therefore there will be a significant buzz in those countries as well. So there are multiple benefits that will accrue from these associated opportunities as well.

     

    This win will be perceived as a way of bouncing back afresh given that your network was asked to give up rights of India matches a few months ago…

    I won’t want to call it a bounce-back as we were very much present in the market. We had the Asia Cup and also Euro Cup last year…which was a strong line-up for us. But yes, the volume of India matches on our network had become lesser but with the two important events lined up until 2014, it will give us an opportunity to capitalize and grow. So in a sense I am content with how things are shaping up.

     

    With a strong start to the year, are you contemplating bidding for the rights of other Boards in the near future?

    Whenever there is an interesting property we keep our eyes open and evaluate opportunities. Finally it all boils down to what will be the economics of scale and whether it makes commercial sense to do it. Also it is about what will be available in the market. So if you ask me: will we be looking for more, I’d say yes. But I cannot say more on what or which properties we would be going after.

     

    How have the other non-cricket properties delivered for your network in the recent past?

    Where our channels are concerned, viewership and growth has been quite positive on the numbers front. But it is still early stages as we expect things to leapfrog once phase 2 digitization kicks off across 38 cities. We will have a clear view of what the trends are post the roll-out of phase 2 of digitization.

     

    Will you be going after more properties in the coming months?

    As said earlier, we keep our eyes open for opportunities. For example, next month we are showing the Sultan Azlan Shah Hockey Tournament that will be followed by the French Open in May-June…so we do have a good mix of cricket and non-cricket properties as of now.

     

    From a growth perspective, where do you see your network in a year’s time from now?

    Rather than a year, if we look from an 18-month perspective that coupled with digitization and two Series taking place, I see a good level of growth coming from our channels. Also, we are expecting a decent support from the advertisers as well. We must understand that the spends on other sports other than cricket is also on a rise especially Tennis, Football etc that have been getting increased support from advertisers compared to the past. And anyways, we expect ad spends on cricket to be consistent, to say the least. So there’s a lot to look forward to in the coming months for us.

     

  • I expect this year’s theme to throw up more innovative ideas and strategies: Karan Johar

    As Co-Chairman of Ficci Frames 2013, Karan Johar has a very clear mandate at hand for the event. That is to communicate very clearly to the stakeholders on where the industry currently is and where can it be in the future.

     

    According to Johar, while the Indian M&E sector is in a robust growth phase, at the same time it occupies less than one per cent of the global M&E pie. The task will be to work towards a roadmap for Indian films to gross Rs 1000 crore for a film. Though it’s difficult it is surely not impossible, asserts Johar to MxM India.

     

    Excerpts:

    What is the mandate that you’d be laying out as you open the proceedings on day 1 of Ficci Frames 2013?

    Our mandate is very clear. We have to communicate very clearly to our stakeholders on where we are and where can be. Indian M&E Sector is in a robust growth phase, but at the same time, we are less than one per cent of the global M&E pie. Already, at the Ficci Frames Curtain Raiser show we had made our ambitions clear.

     

    The Rs 100 crore is limiting the growth and content of our films and we have to aim for Rs 1,000 crore from a film. It may not be possible today. But we have to have a mandate to achieve that. FICCI will work towards a roadmap for Indian films to gross Rs 1000 crore for a film. It is not an impossible task. We have a session on planning and creating a Rs 1000 crore blockbuster.

     

    We exchange ideas at Ficci Frames and my biggest takeaway is to learn new thinks which I don’t know about. We set the agenda, but overall we learn new things over three days.

     

    What are your views on the underlying theme – ‘Engaging One Billion Consumers’ – that has been decided for Ficci Frames this year?

    Ficci Frames will be 14 years this year. We have grown leaps and bounds. The next phase of Ficci Frames is to focus and drive the entire media and entertainment sector to take the next big leap — therefore the theme ‘Engaging a billion Consumers’. We are still at the tip of the iceberg and we need to engage and take our products out to those billion consumers. A focused topic like this will bring in a huge mindset change to the industry. I am sure this year’s theme would throw innovative ideas and strategies to our products and business models. I believe that our new agenda will be the change agent for social and commercial development, connecting a billion people.

     

    As Co-Chairman of Ficci Frames for 2013, what has been the attempt to infuse a dose of freshness in content and ideas at the event?

    The freshness you are talking about can be reflected in the theme that we have shortlisted. We debate ourselves, see around the world, and decide on what would energise the Indian Media and Entertainment sector.

     

    How would you define the year 2012 for the movie industry in India – in terms of growth and venturing into new frontiers?

    The last two years has been very good for Bollywood. We have tasted success not only in big films but small films too have done very well. More and more people are consuming films than before. The multiplexes are on the rise and more and more are getting added in small towns. The films are released in the vicinity of your neighbourhood. The total box office collections have crossed more than $1 billion in 2012. Overall, the film industry has grown by over 40 per cent.

     

    Simultaneously, Hindi films are being released in more screens and watched by more people in the overseas market. New territories are also getting added.

     

    Over the last few years not only has the dynamics of the film business changed but the distribution and marketing aspects of films has changed too. This trend has expanded growth not only in commercial films but regional small budget and Hollywood films too.

     

    What are the learnings that the film fraternity could take away from Ficci Frames this year?

    Ficci Frames is a platform that brings best of the creative and business minds to engage with delegates. Delegates come to the event to seek different things. Someone’s agenda is to scout talent and another person may have just come to look for finance. Whatever time I have spent in attending sessions, I have learnt the most from them. In fact, I admitted this on the podium last year. There are certain things you are not aware of and sitting on the panel or in the audience you imbibe new things. This must be the experience that others also go through I guess.

     

    Personally, which are the sessions/speakers that you’re looking forward to at the event?

    I am looking forward to the panel debate on taking our movies to the Rs 1000 crore frontier.

     

  • No other M&E forum brings together thought leaders and creative heads as Frames: Leena Jaisani

    The 14th edition of Ficci Frames is all set for a gala opening next week at Hotel Renaissance, Powai in Mumbai. Like every year, the organizers attempt to bring all stakeholders of the media and entertainment industry under one roof enabling them to engage with the fast changing M&E ecosystem.

     

    The underlying theme of Ficci Frames for 2013 is ‘Engaging One Billion Consumers’. According to Leena Jaisani, Senior Director – Media and Entertainment, Ficci,We work to make sure the entire media and entertainment sector takes the next big leap in maximising monetization, therefore the theme of engaging a billion consumers.”

     

    In an interaction with MxMIndia’s JOHNSON NAPIER, Jaisani said that while the industry has made spectacular progress in the last 20 years in increasing the intensity of engagement with the Indian consumer through superior content – there is still a gap in its ability to monetize the engagement and use the resources generated to advance both access and content. “Frames will offer an opportunity to put these developments into perspective, look at the larger picture and engage on such a bold and important theme.” Excerpts:

     

    01. What has been the attempt by Ficci to make this year’s event more relevant and updated on topics concerning the Indian M&E industry?

    This is the 14th Edition of Ficci Frames and every year we bring all stakeholders of the media and entertainment industry and engage them with the fast changing M&E ecosystem. In today’s digital media world, adapting with the pace of change is key to the relevance of the industry. We try out best to reflect this dynamism at Ficci Frames. Last year, our theme was ‘Embracing the Digital World’. The year before that it was ‘Unlocking Profitability for the media & entertainment industry’. This year it is ‘Engaging One Billion Consumers’. We work to make sure the entire media and entertainment sector takes the next big leap in maximising monetization, therefore the theme of engaging a billion consumers.

     

    While the industry has made spectacular progress in the last 20 years in increasing the intensity of engagement with the Indian consumer through superior content – there is still a gap in our ability to monetize the engagement and use the resources generated to advance both access and content. Frames will offer an opportunity for us to put these developments into perspective, look at the larger picture and engage on such a bold and important theme.

     

    02. How according to you has the Indian M&E industry expanded over the last year – in terms of size and revenue?

    We will get to know the exact numbers when we get to take a look at the Ficci-KPMG Report on the sector. We are the right direction and going by trends and performance of the Indian M&E sector we are growing approx. 12 per cent upwards.

     

    Digitization has given a huge fillip to the broadcast sector. Digital advertising is the fastest growing medium and the growth is largely driven by Internet penetration and proliferation of new devices. Cinema is growing and Hindi films alone grossed over $1billion in box office last year. The regional cinema is also growing. Our overseas growth is on the rise with Indian content reaching out to new territories.

     

    We are confident that the M&E sector can surprise every other sector in the country in providing inclusive growth, providing employment and wealth opportunities and a large number of population that are not involved in the economic progress of the country will be brought into the fold of growth.

     

    03. What is unique about the speakers who’ve been lined up for Ficci Frames 2013?

    Every year we have a line-up of almost 200 speakers. We have been doing it year after year. No other M&E forum in this region brings best thought leaders and creative heads from within and outside the country. Our idea is to engage and grow the industry with the brightest minds and shared best practises from across the globe.

     

    This year we have a healthy mix of studio heads, CEO’s; creative visionaries, film-makers, social commentators and top academics from leading international media schools. It will be an exciting three days with three SAARC ministers for the first time at Frames; Andy Bird and Anne Sweeney the international heads of Walt Disney, Robert Bakish, the international head and member of the Viacom board; Andy Kaplan the head of Sony Pictures Television, Dominic Proctor, the President of Group M; Nita Ambani, the chairperson of the Dhirubhai Ambani Foundation; Film personalities like Mira Nair, Shabana Azmi, Gurinder Chadha, Zoya Akhtar , Anurag Kashyap, Rahul Bose, Kaajol; Priyanka and others and almost every CEO of Indian media conglomerates and India heads of international ones which has always been the hallmark of Frames.

     

    This year is significant as we are steered by our new Chairman, Mr Uday Shankar, CEO, Star India and Co-chair of Ficci Frames, Mr Karan Johar (who has been a driving force for long). We are also missing the presence of our beloved and leading light – our chairman for over a decade Shri Yash Chopra who passed away last year.

     

    The year 2013 promises to be an interesting and momentous one for the media and entertainment industry in India. It is the 100th year of Indian Cinema – few industries have survived for a century, let alone grown and remained relevant for such a large population. Cinema has pervaded all walks of our life, has survived the onslaught of technology and is now deeply ingrained in the Indian psyche. It is also the year when the industry readies itself for yet another round of transformation driven by technology.

     

    04. What has been the attempt to see that all domains under M&E are adequately represented at Ficci Frames 2013?

    We do cover all verticals in the Media and Entertainment spectrum, though cinema and broadcast dominate the sector. We are in a transmedia world today. Today, the business models revolves around maximising the power of content through various mediums and platforms. We are witnessing big changes in the way our industry works. Today, TV serials are tested on the Internet before getting green lighted for a TV show. Popular games become films or TV shows. We have to be focussed, but deliberations are changing. Every vertical is interlinked.

     

    05. What are the benefits that the Indian M&E industry can pick up from partnering country Korea at Ficci Frames 2013?

    South Korea is the partner country at Ficci Frames 2013 and this year is significant as Korea and India celebrate the 40th year of the establishment of diplomatic relations. There is huge potential for collaboration in films, animation, gaming, technology and service offshoring between the two countries. Leading Korean companies in animation, broadcasting, mobile gaming , and film will be available for biz matching. There is a huge synergy as India is looking at innovation from Korea and vice-versa they are looking at engaging Indian media companies for offshore services – especially in animation, gaming and VFX.

     

    The Koreans will come with a strong delegation and we have arranged day-long b2b meetings so that our industry can forge commercial ties as well plan mutually beneficent projects. There will be important sessions on Animation on the first day including a case study on the making of Porroro, a series which has world-wide acclaim for industry to take away key learnings.

     

    06. What are your expectations from the I&B Minister at Ficci Frames 2013? Would you be taking up key issues confronting the industry with the Minister?

    We constantly engage with the Ministry of Information & Broadcasting. We focus at partnering with the government to create a business-friendly along with a high and sustained growth environment. At the same time, Government can influence growth in the sector through enabling media policies and also work towards trimming entertainment tax. The I&B Ministry has done its best in representing Indian M&E sector to the Finance Ministry.

     

    07. What is the response that you’ve garnered from the corporate sector in terms of participation and sponsorship for Ficci Frames this year?

    The industry has always supported Ficci Frames as the leading annual conclave for the M&E industry in India; and we have always received overwhelming support in terms of participation, not only from Indian industry delegates, but also eminent people from the international arena. We are proud to have established Ficci Frames as an apex gathering of the best minds of the M&E industry from across the world.

     

    08. What would be the attempt to convert key outcomes that get raised at the event into actionable reality?

    As always, key outcomes in terms of the core issues plaguing each domain will be put in our white paper and submitted to the government after discussion with our Entertainment Committee and then actively followed up. Smaller core-group meetings based on these findings will be arranged through the year.

     

    09. Personally, which will be the sessions you’ll be rooting for at Ficci Frames 2013?

    I would be looking at every session that offers new ideas on emerging business models and innovation that would help us connecting and engaging with one billion consumers. The session “Engaging A Billion Consumers” is very important as it will set the tone for the conference. Apart from that, “Perception & Portrayal of Women in Film & TV: The Regressive Gene?” is a discussion I am looking forward to along with the panel on “The Gag Orders : Are We Stifling Creative Expression?”. The sessions on Sports Broadcasting and the SAARC Ministers Panel and Making a 1000 crore Blockbuster all are very promising. Actually for me it is very difficult to pick favourites as we have envisaged the entire content of the programme with a great deal of research and hard work and I wish each session success.

     

  • Jaldi 5 with Sorbojeet Chatterjee: Events like half-marathon deepens bond with readers

    It’s been a hectic fortnight for DNA’s vice-president – marketing, Sorbojeet Chatterjee. The women’s half-marathon was a show of strength for the newspaper and one wrong move could lead to much embarrassment. But, as those who visited the event tell us, there is much reason to cheer for Sorbo, as the CMO is better known as, since not only was the event a big success but it also offered reason to cheer as a positive rub-off to the newspaper brand and as a successful sports-cum-cultural property. He took some time off to respond to MxMIndia’s questions a day after the event.

     

    01.  It’s been an all-new team at the helm at DNA… organizing a successful event like the half-marathon must be a marathon effort?

    A new team also brings in some fresh thinking and added dynamismThis year the mandate was to scale up on all fronts.

     

    Since the event has been fully sponsored, wouldn’t it have been nicer for the entire entry fee to have gone in to the charity cause selected?

    We are the only half-marathon of stature that contributes 50% of the registration fees to charity. Going forward we plan to make the scale bigger by adding more NGOs and a larger corpus

     

    02.  From the point of view of the benefit to the brand, would you say DNA benefitted?

    A newspaper brand needs to be a relevant and integral part of the local milieu. Marquee events like a women’s half-marathon allow us to create special engagement opportunities that deepens the bond with our readers. Besides differentiated and innovative offerings are the best way to widen the reader family. Thus a one-off women’s half marathon will add some value to the brand, but the larger objective is to create a steady flow of events and engagement platforms that will strongly seed the brand in the “DNA” of our readers.

     

    03.  We’ve seen events run by publications becoming big and standalone properties of the publishing company (eg Filmfare, Femina awards). Do you see the Stayfree I Can Women’s Half-Marathon also becoming that?

    ‘I Can’ is an extremely powerful ethos and the long-term strategy is to extend it to various round the year engagement opportunities for women across multiple interest areas. There will be always be a finite limit to how much one standalone event can grow. However, the moment we create a strong umbrella brand the opportunity to scale up is infinite

     

    04.  We know it’s too early, but a couple of things that you would like to do to make it bigger and better next year?

    We would definitely like to grow in scale in terms of participants in the existing market as well as expand to newer markets. While we have almost doubled the registrations this year – there still exists a tremendous potential that can be tapped. Besides, every year we have been looking at ways of bettering the “runner experience”. We need to continue to innovate to further broadbase participation.

     

    05.  DNA is also published from other cities. Will you take this to other publishing centres (like Bengaluru, Pune, Ahmedabad etc)?

    This is only the second year. This year the focus was in terms of scaling up the event in Mumbai. The integration with Zee TV helped get national awareness. The logical step is to take it to the other ‘DNA’ markets in due course.

     

    It’s unfortunate that other media vehicles do not report on what their competition is doing… even if it’s for a good cause. Your comments?

    This year the media coverage for the event has been fantastic. Every news channel has covered it extensively. They realize that if an event is an integral part of the city – they must be true to their consumers and cover it.

     

  • Madison is much more important than money: Sam Balsara

     

    It was in the mid-nineties that India started showing up on the global business radar, and multinationals started looking at India with renewed interest. Advertising was no exception. It was the time when many Indian agencies were taken over by, or merged with, global agencies. It was, they said, just a matter of time before Madison would be part of a larger media force. Rumours have not died since… but Madison World is not only alive with a radiant glow, but also growing – and how!

     

    Now 25, it has shed its puppy fat, is young and energetic, and the spring in its step is complemented by maturity of thought.

     

    Launched in 1988 as a full-service agency, it turned into a force to reckon with as India’s first full-fledged specialised media agency. Madison World now comprises 22 specialised units – media, though, continues to be the mainstay.

     

    For those who’ve had the privilege of visiting the agency’s Fort office in South Mumbai and have now walked the corridors of its Andheri headquarters in North West Mumbai, the Madison journey is very palpable. What has not changed though is the energy and charisma of its Chairman and MD Sam Balsara, and the rules he set out for himself and his agency.

     

    A labour of love and passion, Madison World turns 25 today. Clearly, a well-deserved and well-earned silver jubilee.

     

    In this freewheeling interview, PRADYUMAN MAHESHWARI and RITU MIDHA of MxMIndia make an attempt to capture the spirit of Madison World, its journey so far, future plans and what really makes Sam Balsara tick.

     

    One still remembers the time you announced the setting up of Madison in 1988. What really got you to take the plunge at that time?

    Well, I had already spent four years at Mudra and was kind of No 2 there. Mr A G Krishnamurthy was the CEO based out of Ahmedabad. While I was working there, the sense I got was that Mudra wanted to be – a la Reliance style – India’s largest advertising agency. I, however, felt that I was probably not the man – either capable or desirous – of the intense growth required to make Mudra the largest agency in the country.

     

    My heart and mind told me that a good agency is a small agency with a few large clients. That was my interpretation of an ideal agency – both from the clients’ as well as my perspective. I distinctly remember – it was Tanya and Lara’s Navjote, and I had taken a few days off. Being away from work gave me time to introspect and think. Those seven days in me triggered the thought that I should start something on my own.

     

    Did you speak with some of your clients before you really set up Madison?

    Yes, of course. After I had made up my mind, one fine day I asked Mr Godrej for an appointment. I went and met both Mr and Mrs Godrej one evening in their Juhu beach house. I told them about my plans, and asked them if they could give me one of their accounts to handle. They were very kind, and gracious and gave me the Cinthol account.

     

    …and Cinthol at that point was really flying high with its flamboyant advertising which got you into the limelight pretty fast.

    Yes, correct. I would say I got into the bigger limelight, thanks to Cinthol’s largest competitor, Lever. I don’t know whether I should get into it or not …. Lever played the oldest trick in the world – in order to stymie Cinthol Lime, they copied our commercial and inserted some shots from it into their commercial. They then went ahead and put their Liril commercial on air a few days before our Cinthol Lime was scheduled to go on air – obviously to prevent us from going on air. The incident created a lot of controversy at that point because we refused to be cowed down; we went to the press and made big noise about it. Levers and Lintas had sort of connived to spring this upon us.

     

    On a lighter note, over the next two to three years post this event, many clients were keen that I should create a similar controversy for them. It was because some marketing pundits thought that Cinthol Lime had gained a lot because of this controversy.

     

    Moving on, Madison has grown considerably and now it is a multi-brand agency. You started off as a full-service agency – and though you still have components of a full service agency…

    Soon after we got the P&G media account, I got sold on the virtues of specialisation, both from the agency as well as client perspective. To my mind, specialisation is great because it builds a body of knowledge, creates a cadre of people, and brings in efficiency and expertise, so you are able to offer service at a lower cost. The client not only gets the benefit of service at a lower cost, but also specialist expert advice. And so, as they say, if it ain’t broke, why fix it?!

     

    I then tried to replicate the specialist approach in other disciplines of marketing and advertising – for instance we spun off a PR agency with its own independent head, a few years later we did the same thing with outdoor – though it is a part of the media function, we have a separate outdoors agency called MOMS that runs completely independent of Madison Media.

     

    Madison World has grown a little larger than what my original vision was, we have tried to stick to my original principle that a good agency is a small agency with a few large clients. Madison World is today an amalgam of 22 units each headed by a unit head – who is designated CEO, GM or COO – who runs his/her agency, and has an independent set of clients almost like an independent agency. None of these units handles more than eight or ten clients. With all these units put together we do not have more than 220 clients. In Madison Media with all its units we handle about 45 clients

     

    So would you say Madison is David or Goliath?

    Madison is David, and it continues to be David.

     

    Isn’t 220 clients very large for it to be David?

    We have only 45 clients in media… 220 is the overall number.

     

    45 very large clients…

    Yes. But that is as per my original plan.

     

    Do you still believe that thinking small, as you say, is the recipe of Madison’s success?

    Yes, it is. I have also always believed that it is an advantage to know and recognise that you are at a disadvantage – because then you fight harder, think harder. And it is a disadvantage to know that you are at an advantage because then you become complacent.

     

    Have you ever become complacent in your own judgement?

    I don’t think so. Maybe sometimes my people get complacent – they might mistakenly feel that they are working for a large agency, but I never feel that.

     

    In these 25 years, what in your view, are a couple of high points that changed the course of your agency?

    The launch of Cinthol Lime and the controversy that erupted was clearly a high point. The second was when Godrej tied up with P&G – both of them encouraged me to tie up with DMB&B. It enabled us to continue working on Cinthol, and in addition work on P&G brands like Whisper and Vicks. I think breaking of the relationship with DMB&B also, in hindsight, was a high point. At that time, though, it appeared to be a big blow as I lost 70% of my business – we first lost the Cinthol account, and then because of break in relationship, we also lost the Vicks, Whisper and Philips accounts.

     

    In keeping with my principle that it is an advantage to know that you are at a disadvantage, we worked harder, we fought harder, we kind of developed this specialisation approach. In all this, of course, our creative did suffer.

     

    Any other milestones…?

    Media has been a reasonably good run. I think a more recent high point would be when P&G went on pitch and WPP approached me for a tie-up. This ultimately resulted in our ownership of Mediacom in India.

     

    Would you say it was the biggest high point?

    I would say it was one of the biggest high points, but you cannot take away from others.

     

    On one level you are competing with WPP, and on another you are partnering them – how does this work for you?

    I think one of the things I have learnt the hard way in life is that in the world of business there are no permanent enemies and friends. In today’s complex world, you have to be willing to work under various kinds of situations – you cooperate with some, you collaborate with others.

     

    While I would say that at one level it was a bit scary to collaborate with a competitor, it is a good, relevant experience and successful too – as we have demonstrated, Mediacom is a good successful agency.

     

    How do you make sure that all 22 units of Madison work towards the same goal, and that there is the same spirit of excellence?

    It is definitely not easy. Now I am being helped by Lara at the managerial level, so it helps us keep better tabs and controls. Our value system, according to me, also happens to be a sound business practice. The fact that you are transparent, simple and honest might be an old-fashioned way, but it makes good business sense. I presume that clients like to deal with transparent and honest agencies. Having said that, a principle is not a principle unless it hurts, and some of our principles have hurt us in a business or profit sense. Though, in the long term, these are also principles that help in retaining and growing business.

     

    One of the advantages or disadvantages of Madison is Sam Balsara. How have you managed to ensure that even as the organisation does not get too impacted by your persona, it reaps the benefits of it at the same time?

    Yes, you are right – it is both an advantage and a disadvantage. Disadvantage because I cannot be here, there and everywhere – many times I attend meetings which I easily need not have attended. It does put some extra pressure on our time.

     

    Probably one of the reasons some of my colleagues pull my leg for emailing them  at 2am is because they don’t know that I suffer from insomnia. I do not really know if it is hard work that led to insomnia, or is it insomnia that makes me work at 2 in the morning (laughs).

     

    What is the key differentiator that distinguishes Madison from the rest of the pack? Has it changed across the years?

    Differentiators obviously have been different. Today we are a little better structured, we have a better infrastructure, better resources, better ability to have a better well-oiled machinery that can service our clients’ needs and brands much better. We are getting increasingly focused now on not delivering the result anyhow or somehow, but delivering it through process and structure. We are able to deliver result by design – rather than by accident. Since last two to three years, we have been spending considerable time and energy on that.

     

    The media space is now changing at a fast pace – digital is growing. What is your strategy to adapt and cope with the changing media space?

    Since the last two years, we have been spending considerable time, money and resources on digital. The reason is that our clients have also begun to like the interactive and engaging power of digital. We believe that for an organisation our size, it is important to use our resources at the right time – it does not pay to invest in something 10 years ahead of its time. Investing ahead of time is a good idea if you invest six months to a year ahead, not 10 years ahead. The digital age is showing signs of explosion in India, and that is the reason for increased focus on digital in the last two years.

     

    Have you made any structural changes in the organisation in this direction?

    We want each of our planners to be digital savvy. However, considering that digital is a new area of functional expertise, we have islands of digital excellence and some people who evangelise digital among our large army of media planners.

     

    As the big strive to get bigger in the media space through mergers and acquisitons, do you see the scene getting more complex for Madison?

    The situation for Madison has never been easy. Neither was it in the ’80s and ’90s, nor is it now. As long as you operate independently, and as long as you operate in the business environment whether it is in India or America, there will always be severe competition in our kind of businesses. We will have to learn to cope with it.

     

    I know it is difficult to be a soothsayer, but in terms of future, where do you see Madison grow in the next 5 years?

    Let me try to sidestep your question a little by saying I am less of a visionary and more of an action man. I do strongly believe that if my today is safe, sound and successful, I will be alright tomorrow. Given that, we are doing reasonably well. Though it is difficult for me to say something specific, I would like Madison to be bigger, better and stronger than it is today.

     

    There are rumours time and again about you tying up with another international player or selling out…

    I can say with reasonable confidence that we have never ever thought of selling out. However, we are not closed to the possibility of having a joint venture partner in Madison with a view to making it stronger, better and more capable.

     

    Is there a specific timeframe you are looking at?

    Things like this cannot have a timeframe – how can I tell you when my daughter is going to get married? One thing I can tell you – though it might sound ridiculous – I did not start Madison to make a lot of money, neither will I sell Madison to make a lot of money. Madison is much more important than money.

     

    Are there areas in the last 25 years where you think that, given a chance, you would have done things differently?

    Of course there are. In hindsight, I think it was stupid of me to decry creative awards in the early years – when Madison was strong in that area. I always thought that awards came in the marketplace, and not from some forum or stage, though I myself presided over so many award juries. It was clearly a mistake. In the absence of anything else, clients look at the award telly to check the creativity quotient of an agency, and my overall approach and thinking in the ’90s that awards were not important was clearly a mistake.

     

    In terms of your agency, is there anything that you think you could have done differently?

    Yes, in our early years we should have focused on resourcing our creative department much better and stronger and deeper then we actually did.

     

    Though you do have 22 constituents, Madison World is essentially seen as a media agency…

    Yes. But in a way we have outdoor units, we have mobile, we have retail, we have sports management, PR. That is one of our ambitions, to make them as big in their respective fields.

     

    And Sam Balsara is best known for Madison Media…

    I don’t think any man can decide the label he would be given, especially by media people like you – 15 years ago The Economic Times decided to call me a media wizard, and I think the label has stuck. However, having said that, let me tell you, our OOH and PR units are doing extremely well and they are improving not just their financials but also stature and reputation. Mates, our celebrity management unit, is also doing well.

     

    So do you get involved with meeting celebs with Mates?

    No I am not. However let me tell you that initially I was the PR expert, the client servicing expert, the celebrity management expert, the media expert…I was everything.

     

    And ultimately all the hard work paid off…

    One of the things I said to myself when I started Madison was that any agency I create must be worthy of Sam Balsara working in it. It had to have a certain reputation and stature. Having spent nearly eight years in two good client organisations, and another eight in client agencies, I did not want to spend another 16 working in a company that did not deserve me as an employee.

     

    And your people helped you in attaining that. Who would be the key people without whom Madison would not be where it is today?

    I think they are predictable – first there was D Sriram, then Srini, Veena Gidwani, then Punitha more recently, Prabha is still there. Now Lara, Gautam… having said that, they are not the only ones. We have many young people burning midnight oil, and making a difference.

     

    Has Gautam’s arrival changed things at Madison?

    Gautam has worked in larger organisations – and hence, he is a little more focused on processes and structure than just the outcome. It is good for an organisation our size at this stage in our life.

     

    You work with a number of global networks – is there anyone you would want to emulate in terms of their practices and processes?

    Their challenges are a little different, and cannot be compared to ours. Theirs are organisations of 100,000 or 150,000 people with billions of dollars of income. Many of them are publicly listed – the challenge for them is managing their stock price and profitability etc. Fortunately our concerns are none of all these. Our key challenges are: Is the client happy with our services? Are we helping our brands score in the market place, are we building our brands?

     

    What is your biggest learning as the head of Madison?

    I would say you need to decide on what should be the objectives of your organisation, and where you want to lead it, and remain focused on that. These objectives cannot be stated only in terms of market share and profits.

     

    You have a number of long-standing client relationships, as well as returning clients…

    If I may say so, in lighter vein, a Madison client is an over-serviced client. We love them, we pamper them, we spoil them and they get used to us – and find it difficult to leave us.

     

    Is Madison ready for the next round of leaders?

    In today’s media and advertising world, changes are happening or changes in people are happening all the time – we have seen that we are able to survive these changes and actually make something out of them. I think every change is an opportunity to climb greater heights.

     

    Lastly, If you had to look back and give yourself a self-score on a scale of 1 to 10, what would it be?

    I would say 5.5.

     

    You are being tough on yourself.

    Not exactly. I am quite fair. Contrary to what a lot of people think, I am not as focused on growth and business and profits as many people give me credit for. I am a little more focused on doing a job well, getting a job done and making our brands succeed in the marketplace. I dare say there is a compromise in there, and I would rather compromise on this side than that. Almost for the first five years of Madison’s life, not only did we not pitch for a new client, if somebody called me and said we want to talk to you – I would tell them that we were pretty tied up and could not come. It is actually reflected in the fact that for the first four-five years, we only had our two founding clients – Godrej and Nelco. This, however, does not mean that we did not really grow – we got substantial additional business from Godrej, which kept us growing. Though management pundits today call it stupidity to put all your eggs in one basket, to my mind I did not want to spread myself too thin as I felt that it was a bigger risk than actually putting all my eggs in one or two baskets.

     

    So 5.5 it is?

    Unfortunately in today’s world the only yardstick for success has become marketshare growth and bottomline – my performance is not that good on these scores.

     

  • Vision, values and never-say-die spirit work for Madison@25: CVL Srinivas, CEO, GroupM

    CVL Srinivas, now CEO, Group M, South Asia spent five years (1998-2003) at Madison Media. His second job post his PGDBM – the first being a four year stint with Fulcrum (JWT) as Media Head, Foods & Personal Products, Unilver AC.

     

    Srinivas (Srini as he is known properly as) has, covered many a mile and crossed many milestones post his Madison stint, and is today the most powerful man at the helm of the largest media entity in the country.

     

    In this short conversation with Ritu  Midha of MxM India, he fondly remembers his stint with Madison, his learnings from there, and adds that working with Sam was a huge bonus.

     

    What do you think has been the key factor behind Madison’s stupendous success?

    Madison has been successful due to Sam’s leadership and vision. Additionally, the never-say-die spirit, the vision and values have held it on good stead for all these years.

     

    You were a part of Madison in its early days. How was the experience working in a ‘David’ agency with mammoth dreams?

    For me, Madison was terrific learning. I was young, restless and wanting to explore unchartered territory. Madison provided me a perfect platform to hone my skills. Working with Sam was a huge bonus.

     

    Any interesting incidents/fond memories you can share with us?

    I have many fond memories. I (finally) got married around the time I joined Madison, so in that sense it proved lucky!!! We had a small, well-knit team and I enjoyed working with people like Ajit Varghese, Sudipto Roy and so many others. Madison also made me shift base to Delhi, a city I wasn’t very sure of, but grew to like and ended up living in for 14 years.

     

    What is your take on Madison as competition?

    Madison is a highly respected brand in the media space. We treat all competition with the same seriousness. To Madison’s credit they have remained consistent.

     

    Do you believe Madison success story can be repeated by another standalone media agency?

    Nothing is impossible, although it is very difficult to build an empire like Sam has, being a standalone agency.

     

    What are your views on Sam, the person, the boss and the competitor? Any key learnings from him that have guided you?

    I have the highest regard for Sam as a person, boss and competitor. Despite the legendary status he has achieved he remains a very humble person. His attention to detail, passion for his client’s business and ability to engage with people at all levels make him very special.