MxMIndia

Category: MEDIA

  • For Cheil the launch of the Samsung Galaxy Y Duos was an ideal platform to carry forward the DNA of Galaxy Y and at the same time display the benefit of a Dual SIM Android phone

    New Samsung TVC from Cheil takes ‘Y’ smart to next level

    By A Correspondent

     

    Cheil’s latest television commercial promoting the Galaxy Y DUOS is an extension of the earlier campaign that drove preference for the Samsung Galaxy Y Smartphones and set the pace for Gen Y to make a shift from feature to smart phones.

     

    Once again Samsung has created a buzz in the market by launching the Dual SIM Android phone – Galaxy Y Duos (GT-S6102), a touch-screen dual-SIM Smartphone. It has 3.14″ screen with QVGA resolution and an 832 MHz processor.

     

    For Cheil the launch of the Samsung Galaxy Y Duos was an ideal platform to carry forward the DNA of Galaxy Y and at the same time display the benefit of a Dual SIM Android phone.

     

    Speaking about this new commercial for the Galaxy Y series, Alok Agrawal, COO, Cheil Worldwide SW Asia said,  “Galaxy Y is a great franchise which we’ve built by riding on an insight where we have divided the world of tech into the have and have nots. Smartphones is the way forward in the mobile category and the market is in an exciting phase. This is the second campaign from Galaxy Y and we are looking ahead to more exciting work in this space.”

     

    Cheil’s communication clearly shows the protagonist with Samsung Galaxy Y Duos demarcating the world between the have and the have nots and the need to be smart and have a smart phone in life.

     

    The new TVC created for Samsung ‘s new smartphone is set in a cafe showing a young girl with the new Galaxy Y Duos putting an irritating loud mouthed character in his place. As before, the communication ends with the antagonists being teased with a simple question “Dual SIM hai aur samsrtphone bhi, lekin aap ke pass nahin hai…Uncle?”.

     

    India’s mobile phone market is witnessing exponential growth and the smartphone market has gained traction with every mobile handset manufacturer offering smartphones at various price points and service providers providing lucrative data plans to entice the consumer to use email, apps etc on their phones.

     

    In this growth story, Samsung mobile has emerged as the No. 1 Smartphone brand inIndia. Samsung’s positioning is no surprise as it understands the consumer and develops smartphones to cater to the needs of all types of users. In 2011, the Galaxy Y series were launched though a successful campaign of TVCs that clearly focused on the youth of today- confident and courageous to take up challenges and solve them in their own unique ways.

     

    This TVC is part of the line up of an exciting range of products where Cheil Worldwide is actively involved in building communication across 360-degree consumer touch points, that offer a high degree of excitement and creating buzz for the brand.

     

    Client: Samsung electronics India Limited

    Agency: Cheil Worldwide SW Asia

    Creative Team: Varun Arora, Dinkar Porwal, Vishal Sagar

    Client Servicing team: Srijeet Das, Soma Chatterjee, Shruti Nanda, Chandramouli Prasad

    Production House:Code Rd

    Directed by: Gajraj Rao

     

    Cheil Indiahas been on an aggressive growth plan over the last 2 years, almost doubling its size in its employee strength and billings. Significant expansion and growth has been seen particularly in BTL and Digital areas, making Cheil one of the largest fully integrated single agencies inIndia, executing some of the largest cross-functional integrated campaigns, providing 360°implementation across all facets of marketing services.

     

    Cheil Worldwide Inc is Korea’s largest and one of the world’s leading advertising groups. Cheil offers a full portfolio of marketing communications services including advertising, PR, sports marketing, exhibition and display production, and production of large-scale performance events. In 2011, Advertising Age ranked Cheil as the #11 largest creative agency in the world.

     

  • Prathap Suthan announced on Monday that he is branching out from iYogi to float 'Bang in the Middle' as an independent agency

    Out with a Bang! Prathap Suthan, Naresh Gupta etc launch new agency

    By A Correspondent

     

    Prathap Suthan
    Naresh Gupta
    Viral Pandya
    Manoj Deb
    Sabu Paul

    It was one of the biggest news to have hit adland in March 2011 when Cheil Worldwide’s NCD Prathap Suthan quit his agency to join lesser-known direct-to-consumer remote tech support company iYogi as its Chief Creative Officer. It was seen as an unexpected move by the creative maverick who was responsible for creating some startling work for Cheil Worldwide in India. But after lying low-profile with its activities and having stayed away from the advertising glitz and glam for most part, Suthan (or Pat, as he is affectionately called) made an interesting announcement on Monday when he announced branching out from iYogi to float ‘Bang in the Middle’ as an independent agency.

     

    Started in early 2011, the division headed by Prathap Suthan was set up as the in-house branding, advertising and communication team at iYogi. The unit managed campaigns for the company, primarily leveraging digital media across North America, the United Kingdom, Middle East and Australia. After 12 months, and over 20 campaigns later, iYogi’s in-house agency is ready to step out and offer its services to a wider set of brands. The agency will now offer expertise in brand advisory, communication design and advertising to Indian and global corporations.

     

    To be based out of Gurgaon, the team line-up includes some of the best names in the business including Prathap Suthan, Naresh Gupta, Viral Pandya, Manoj Deb, and Sabu Paul. Speaking about the team, Naresh Gupta, Managing Partner, Bang in the Middle, said: “All the existing employees who worked in the branding department of iYogi are the founding members of BITM. Prathap is a creative leader of outstanding pedigree. I, myself, have worked for a spectrum of clients. Viral Pandya is a celebrated designer who has won every possible international accolade and Manoj Deb is a celebrated art director. Between the four of us we have over 100 years of experience across geographies. The team we have right now is the best that is in the business.”

     

    When asked on the funding pattern being adopted by the company, Gupta said: “There is an external investor who is helping us make the unit operate independently. Our approach is to marry the strengths of new media with the traditional roles of mass media. We have an industry tested model of working and we have real life experience of making it work for the brands.”

     

    In a statement to MxM India, Prathap Suthan, Managing Partner, Bang in the Middle, said: “Despite an overcrowded communication services market, India needs a new kind of communication agency. India is booming with opportunity. Increasingly Indian brands are spreading their wings to global opportunities and new age businesses are coming up all over the country bustling with enterprise, ambition and opportunity. There is an increasingly younger nation out there with global ambitions and enterprises are demanding better communication solutions.”

     

    On his decision to branch out from iYogi, he said: “Organized advertising is getting weaker and getting scattered across many areas, giving rise to independent agencies. We believe that Bang in the Middle comes with the right experience to exploit that opportunity.”

     

    The agency’s services span across brand advisory and campaign design and advertising across platforms and customer touch-points. Bang in the Middle will assist brands in establishing a deeper engagement with customers by creating an ecosystem from visual language to design guidelines and interaction across mediums. It will also assist brands create holistic communications approaches that will reduce dependency on traditional media and leverage digital to gain market share.

     

    As of now, the company just has a single client to boast of but are said to be in advanced talks with a few clients already. But that really may not be an issue for BITM, who have some experienced team that have bagged big clients in the past. What will now matter for the agency is to be seen as a new and small creative force to be reckoned with. Asserts Gupta: “We believe the age of independents is here. The biggest thing going for them is flat structure, focused delivery and hands-on experience of senior people.”

     

    That seems to be an assurance high on confidence and competency too. Given the run that small independents are having at the awards, a new addition will only make life for other agencies, especially the biggies, a tad more challenging. Only time will tell if BITM has it in them to challenge leadership norm and emerge a superior agency in the future.

     

  • Star India will launch Movies OK, its second Hindi movie channel, on May 6. Other than promos on Satymev Jayate, a week-long World TV Premiere will happen from May 28

    Star to launch Movies OK channel on May 6

    By A Correspondent

     

    The offices of Star India are buzzing for more reasons that one. On May 6, not only is perhaps the biggest ever TV show on Indian TV being launched in the form of Aamir Khan’s Satyamev Jayate, but the network is also introducing to the world its second Hindi movie channel, Movies OK.

     

    Star has confirmed the news of the launch and test signals are on. So how will it be different from Star Gold? It will be part of the Life OK suite, and reinforce family viewing and togetherness.

     

    The channel is going to exploit the library it bought from Viacom 18 and starting May 28, it will have a week-long World TV Premiere… so a new film every day at primetime.

     

    The channel will be headed by Star Gold general manager Hemal Jhaveri.

     

  • The channel realigns its programming team with Weekday and Weekend Heads

    Manisha Sharma to head wknd content @ Colors

    By A Correspondent

     

    Media conglomerate, Viacom18 Media Pvt. Ltd. on Monday announced a key appointment of Manisha Sharma as the Weekend Programming Head at Colors, the Hindi General Entertainment Channel. Starting May 1 2012, Ms Sharma will work along with the Weekday Programming Head, Prashaant Bhatt to manage the entire portfolio of fiction and nonfiction content on Colors.

     

    As part of this new role, Ms Sharma will be solely responsible for the shows that air on weekends. Both Mr Bhatt and Ms Sharma will report to Raj Nayak, CEO – Colors.

     

    The realignment and the structural changes have been set up keeping in mind the need to strengthen the entire week, bringing in concentrated effort towards developing content. This move will bring about more attention on building the channel ahead.

     

    Announcing this appointment, Raj Nayak, CEO, Colors commented, “We are delighted to have Manisha on board with us. Given her vast experience and thorough knowledge of the industry, I am sure she will bring in the edge and experience in taking Weekend Programming to a new level.” He added: “With this dynamic combination of Prashant managing the Weekday Programming and Manisha taking charge of Weekends, we are hoping to make sure that Colors is a strong player throughout the week and, through this realignment equal focus will be laid on both – weekday and weekend.”

     

    Ms Sharma, on joining Colors as Weekend Head said: ” I have tremendous appreciation for Colors’ constant attempts towards providing new and innovative content to the viewers through their shows. I am looking forward to working with this incredibly talented group of people and contribute to the weekend programming.”

     

    Prior to joining Colors, Ms Sharma was a Senior Vice President with Sony Entertainment Television. She comes with an experience of over 8 years with Sony and has been responsible for developing shows like Comedy Circus, CID, Crime Patrol and Kaun Banega Crorepati and events.

     

    Colors is Viacom18’s flagship brand in the entertainment space inIndia. A combination of ’emotions’ and ‘variety’, Colors, launched on July 21, 2008, offers an entire spectrum of emotions to its viewers. Colors is a pay channel and is available as a part of SUN18 Media Services in India.

     

  • The book is a celebration of the man who went from prodigy to phenomenon, after debuting as an international superstar when he was just 16

    The Hindu releases book on Sachin Tendulkar

    By A Correspondent

     

    Sachin Tendulkar rang in his 39th birthday at Mohali on April 24 by releasing the book Sachin: Tribute to a Legend – a collector’s edition compiled by The Hindu.

     

    The book is a celebration of the man who went from prodigy to phenomenon, after debuting as an international superstar when he was just 16. The book catalogues Sachin’s incredible journey fromManchesterto Mirpur. It strives to convey the sparkle of the moment as it was recorded, so older readers can experience the delight of nostalgia, and younger ones, the excitement of discovery.

     

    The book is more than just a narrative of the man who achieved a hundred hundreds – it is also a window into the mind of one of cricket’s greatest personalities. It includes freewheeling interviews, and interactions that happened after major milestones such as the ones after 100 tests and after 20 years of international cricket. Sachin is engaging, honest and interesting in each of these interviews. The book also has a statistics section and an essay on Tendulkar, the brand.

     

    Arun Anant, CEO of The Hindu Group of Publications said: “This book is our tribute to his unparalleled contribution to the game”. As a part of the team working on this project Suresh Srinivasan, VP-Advt stated: “Sachin is a source of inspiration to millions of people across the globe and is India’s pride. We trust Sachin’s fans and readers at large will find it as exciting and interesting as we did when we were putting it together.”

     

    Speaking at the release function, Sachin Tendulkar expressed his gratitude to The Hindu: “Readingvarious articles and opinions (in The Hindu) has played an important role in my career. I want to take this opportunity to thank you for putting this book together in a matter of a few weeks. It’s a mammoth effort and thank you very much.”

     

  • The WOW Awards were instituted in 2009 by Eventfaqs to celebrate excellence in events, entertainment and live experience creation

    Wow Awards 2012 ends on a high note

    By A Correspondent

     

    The Gitanjali WOW Awards 2012 were held on April 26 at Bhavan’s College Ground in Andheri, Mumbai. The WOW Awards were instituted in 2009 by Eventfaqs to celebrate excellence in events, entertainment and live experience creation.

     

    The fourth edition of the WOW Awards witnessed awards being presented in a total of 27 categories. The title sponsor for the WOW Awards 2012 was Gitanjali, while Giftyaar.com and Wings Group of Cos. were the co-sponsors. The awards show was powered by Idea.

     

    The awards ceremony opened with Sachin Gupta performing the WOW anthem. Hemant Malik, COO – Trade and Distribution, ITC Ltd. and EEMA President Brian Tellis took to the stage to address the audience in the inaugural segment.

     

    There were performances by Pakistani band Junoon, Sophie Choudhry with Sumit Vinod’s dance troupe, a special percussion act by DJ King, Terrence Lewis along with the Terrence Lewis Contemporary Dance Company and the finale act was by Bollywood actor Chitrangada Singh also backed by Sumit Vinod’s dance troupe.

     

    At the event, Gitanjali launched The Great Indian Wedding Carnival, a mega shopping festival dedicated to the wedding season. Actor Aditi Rao Hydari made a glamorous entry on stage with a doli. Aditi Rao Hydari and Gitanjali Gems CFO Kaushik Shah unveiled the The Great Indian Wedding Carnival logo on stage.

     

    Kaushik Shah, along with Raj Naik, CEO of Colors, Viacom 18 and Shri Krishna Hegde, MLA, Vileparle presented the WOW LIVE Film Personality award to Ayushman Khurana.

     

    Television personality Mini Mathur and actress Tisca Chopra were the hosts of the ceremony which also saw a special segment hosted by Roshan Abbas and Brian Tellis and another by RJ Malishka.

     

  • Movies OK will focus on family audience. This means we are going to showcase movies which a whole family can enjoy together says Hemal Jhaveri, who heads the channel

    Movies OK will focus on families: Hemal Jhaveri

    By Meghna Sharma

     

    After the launch of Life OK in December 2011, Star India is planning to launch a new channel on May 6 under the OK banner – Movies OK.

     

    The channel promises to be different from Star Gold, the movie channel launched by the network in 2000. “There is a difference between the two channels. Movies OK will focus on family audience. This means we are going to showcase movies which a whole family can enjoy together,” said Hemal Jhaveri, general manager, Star Gold, who heads the channel. The channel plans to concentrate on genres like comedy. “There is going to be more comedy and less action on the channel,” he added.

     

    Apart from content, the other thing which will differentiate the channel from the competitors is the treatment. “The promos are going to be very different and unique from what the other channels do. For instance, we are going to have a Best of Salman Khan Festival called ‘Bhai Ok Please’ where no film footage has been used. So, for the first time, people will see a promo for Salman Khan without him in it. Communication is going to be unique,” explained Mr Jhaveri.

     

    If that’s not enough, the channel also boasts of having a World TV Premiere every night by the end of this month. Mr Jhaveri said: “The 7 day 7 premiere is something which no other channel has experimented with earlier. I think it’s the first-of-its-kind in the world as well. So, every night at primetime, one will get to see movies like Kahaani, London Paris New York, Jodi Breakers and others. We are planning to build our channel as a unique platform.”

     

    The channel also hopes to use the learnings from their other channels, especially Star Gold which was revamped last year. So, one can expect shorter breaks.

     

    The channel has a library of over 1000 movies. “We have been investing in the channel from the past two-three years and will continue to do so in the future as well. Therefore, it’s going to be a unique library. Last year, we acquired the Viacom18 library so that will also add to it,” elaborated Mr Jhaveri.

     

    The Hindi movie genre enjoys the third largest viewership pie, trailing behind regional channels and Hindi GECs, according to a FICCI-KPMG report on the Indian media and entertainment industry, released in March.

     

    “There are various Hindi movie channels, but there is always space for one more, if it’s different and has good content,” said Mr Jhaveri. Agreeing with Mr Jhaveri’s sentiments, Ashwini Kamat, general manager, MediaCom added: “People don’t have loyalty towards movie channels. So, if a channel has a good library, then it doesn’t need to worry about others because people will switch to it, if they want to watch a particular film.”

     

    Janardhan Pandey, associate vice-president, DDB Mudra Max elaborated: “There is enough space on TV to launch a channel but all depends on if one can sustain it at the top slot. A new channel might showcase latest movies, but after some time, many stop investing in a new library and repetition starts. It is then people tend to move away from it. So, it might make an impact in the beginning, but it is difficult to say how a channel will do in the future.”

     

    However, advertisers aren’t optimistic about it. “One more channel means more segmentation. So, I don’t think it’s going to benefit us,” said Praveen Kulkarni, general manager (marketing), Parle. The categories which spend heavily on Hindi movie channels are services, auto, personal accessories and telecom. “Launch of any new channel means fragmentation and overall inflation for advertisers,” added LK Gupta, CMO, LG.

     

    The channel has a 360 degree promotional plan for the channel. It will also be promoted during Star’s new show, Satyamev Jayate, which will also be premiered on May 6. Radio and digital platforms will be used too.

     

  • Created by advertising agency Lowe Lintas, electrical equipment maker Havells India's 'Fans are forever' campaign takes viewers down the memory lane

    Havells fans ropes in Bollywood’s first superstar Rajesh Khanna

    By Rajiv Singh

     

    He thrilled millions of his fans with his electrifying presence on silver screen during late 60s and 70s. Now, after staying out of the limelight for decades, but with his air of stardom almost intact, a frail Rajesh Khanna has pleasantly shocked all by featuring in his maiden TV ad – for Havells fans.

     

    Created by advertising agency Lowe Lintas, electrical equipment maker Havells India’s ‘Fans are forever’ campaign takes viewers down the memory lane by showing glimpses of the unprecedented mass hysteria and a frenzied fan following that the first official superstar of Bollywood enjoyed for decades.

     

    For a superstar whose fans were legion and who wrote romantic letters in blood to him, a fan commercial may not be the ultimate box-office humdinger, but it has definitely created a buzz with some advertising experts hailing it as a masterstroke.

     

    “It’s a bold ad, so true to the life of Rajesh Khanna,” said Prasoon Joshi, executive chairman and CEO of McCann Worldgroup India and president, South Asia.

     

    Sometimes ads are done not to hardsell a product, but to start a conversation or create a language for the brand, said Mr Joshi. “This is one of those advertisements.”

     

    For Havells India, which has more than 13 per cent share in the Rs3,500-crore fan market, the commercial is yet another instance of out-of-box advertisements that the brand has been resorting to over the last few years to break the clutter on television.

     

    “Fans are not so talked-about category,” said Anil Gupta, joint MD of Havells India. “With almost similar-kind of communication by all the brands, we wanted to break the clutter.”

     

    Josy Paul, chairman and national creative director of ad agency BBDO India, said Havells has always gone for highly salient advertising, to make people look again at boring stuff like switches and fans.

     

    “Nostalgia is a sweet thing and brands can benefit from this,” he says, adding, “We brought music director Bappi Lahiri back with 7Up ‘golden lemon offer’ in 2009, and the commercial was a super hit.”

     

    However, not all are impressed with the brand using a yesteryear superstar. Prathap Suthan, managing partner of brand-new independent ad agency Bang in the Middle, believes the Havells commercial is like a living obituary to the legendary superstar. “This is rank terrible advertising,” said Mr Suthan. “I don’t know whether to cry for Rajesh Khanna or console him.” He feels that the pun around ‘fans’ has not worked.

     

    YLR Moorthi, marketing Professor at IIM Bangalore, said the retro of an ageing yesteryear superstar who looks a pale shadow of his former self may not connect with young consumers. “The ad assumes that the target audience has seen the movie ‘Anand’,” said Mr Moorthi. “Will the new generation connect with the advertisement,” he wondered.

     

    However, Mr Gupta of Havells India is convinced that the new advertisement campaign with cut across all age barriers. “We did a lot of research before roping in Rajesh Khanna,” said Mr Gupta. The young generation is very much aware of Rajesh Khanna’s movies and songs, he added.

     

    The jury may still be out on the advertisement, but for Rajesh Khanna, the star who fathered superstardom in India, a small commercial is a reminder of the many glories that were his for the taking in a country that was rigidly socialist and almost without the amplified profusion of second-by-second ads that innundate the present.

     

    Source: The Economic Times
    Copyright © 2012, Bennett, Coleman & Co. Ltd. All Rights Reserved

     

  • And it does so by innovating and staying relevant every 3-5 weeks, says Henri Holm, Senior VP at Rovio, creators of the game that's a huge rage globally

    Angry Birds forever!

    Angry Birds Space visual Courtesy Rovio.com

     

    Henri Holm is the Senior Vice President at Rovio Entertainment, the creators of Angry Birds. Holm, a Harvard alumnus, has extensive international management experience in consumer electronics, mobile internet, manufacturing, distribution, retail and brand management. At the sidelines of the recently concluded MTV Youth Marketing Forum 2012, MxMIndia’s Robin Thomas caught up with Henri Holm  who spoke at length about his India plans, India as a market for gaming and of course about Angry Birds and much more.

     

    You had said that it took Rovio Entertainment eight years to be where it is today. Tell us a little more about your company and your journey so far?

    Rovio Entertainment is a company which has grown very fast. We grew from a 12 people organization to over 300 plus professionals as of today. In our operations we cover mobile gaming, entertainments which include animations, books and publications, education content or edutainment, merchandising, licensing and sponsorships. In the entertainment space, we also cover advertising, so we are a major premium advertising channel provider. Globally, in fact, our ad impressions reach over 10 billion. It’s a company of young people who believe in their course, who neither give up nor give in.

     

    There are talks about the slow death of console gaming in India with the onslaught of mobile gaming especially with 3G and 4G coming in. Would you agree? Is the next phase of gaming coming from mobile?

    Console gaming is not necessarily as scalable as mobile gaming because I think it caters to a different set of audience or different media consumption or entertainment consumption. The mobile devices, including the tablets, are always with you and you can consume the game anytime anywhere, so the industry is certainly changing.

     

    Can you please throw some light on the entire thought process behind the Angry Birds concept? How did it come about?

    Everything started from the fact that the company has gone through 50 plus games. Being an audio manufacturer, we didn’t own a brand, we wanted to have our own IP and we wanted to build a brand. The thought process started with the characters and with distinctive personalities in those characters. The story was unique too, it was not a me-too story, and besides, the mechanics of the game itself was about simplicity, quality and paying a lot of attention to the details.

     

    You also said that Angry Birds will continue forever and that this is only just the beginning… How do you intend to stay relevant to the audience?

    Yes, we feel that this is just the beginning for us. Angry Birds as a brand, and as a story, will definitely continue. Every three to five weeks we try to keep the game relevant and innovative or new for our audience. However this does not mean that we will not be looking at other games or characters or stories, it’s just that we need to find the right time to introduce something new.

     

    Where is the Angry Birds audience coming from?

    Today’s audience primarily comes from the android and IOS platforms, however there are other very significant platforms besides the androids and IOS. So today we can cover all operating systems in mobile devices ranging from the smallest screens of the feature phones to the largest of the screen which are the tablets. So the mobile space is certainly growing the fastest. When you move away from the mobile to the web we cover the operating systems where Chrome has been leading the web experience supported by flash and now the social gaming like Angry Birds on Facebook. So each one of these platforms needs to be looked after individually and what is important is that we present the channel and the content where the fans are. So, if the fans are moving primarily into one operating system or one type of access into the content, we move with it.

     

    What is the role social networking sites have played for the success of games? According to a survey, young people in the west visit social networking sites only for friends and not necessarily brands…

    We are an entertainment company and we engage our fans on social media so, we are living social media 24×7 and we are participating in conversation all the time. Our business is about the fan engagement, delighting them and therefore I believe that social networking sites play a huge role in the success of any brand.

     

    What is the business model of Rovio Entertainment? Is it advertising led and how much has Angry Birds contributed to its revenue share?

    We have different business units, we have the games business unit, entertainment business unit and merchandising and licensing business unit. Each one of them contribute their own revenue but, they also complement the entire brand experience and the brand presence because of the huge opportunity to manage and monetize the brand. So our business model is purely based on the fan and the brand.

     

    How has 2012 welcomed you? What are your business plans this year? When you compare it with 2011 how has the growth been so far?

    In 2011 we launched one game and this year we have already launched two and have several more to go. The year 2011 was about building the infrastructure and the making the organization ready, 2012 on the other hand is about finding the right partnership and making the entire business ecosystem stronger and more global.

     

    So are you looking for more expansions and new partners?

    We are constantly looking for new partners and expansions as we need to build a very robust business and country plans before this.

     

    What is your view on India as a market for gaming and for your business?

    India is a very important market for us, as of now we are scouting for partners and once we find the right partnerships here it will give us better footprint and presence. We are looking for partnerships in the media space, in the digital distribution space, operators, and the major brands and all the big movers and shakers in the country.

     

  • The News Broadcasters Association (NBA) has expressed 'shock" and "dismay" at TRAI's Tariff Order.

    [60 Days to D-Day] NBA damns Order for ‘legitimizing’ carriage fees

    By A Correspondent

     

    News Broadcasters Association (NBA), the apex association of Indian news broadcasters, has expressed “shock” and “dismay” at TRAI’s Tariff Order.

     

    The Notification has legitimised the very practice the NBA had hoped would be ended, said secretary general Annie Joseph in a communiqué, referring to the payment of “steep” carriage fees by broadcasters: “The primary purpose of digitisation was to increase the number of channels broadcasted. The objective was to give consumers greater choice and to eliminate the phenomenon of ‘carriage fees’, which were being charged due to capacity constraints. However, the NBA is distressed and disappointed that TRAI’s new notification has actually legalised the practice of ‘carriage fees’ and given distributors the freedom to unilaterally set the amount of ‘carriage fees’ broadcasters must pay.”

     

    Ms Joseph added: “This unfairly penalises broadcasters and threatens the very survival of the broadcasting industry.” The NBA has urged the government and TRAI to take corrective action.

     

    A member of the cable trade pooh-poohed the NBA’s reaction as childish. “Let them set up their own distribution mechanism and see how much they will need to pay. If we bleed, they will cease to exist,” a senior industry person told MxMIndia, requesting anonymity.

     

    We are fine with rationalising carriage fees, but not eliminating them, the industryperson from the distribution sector added. “They should look at increasing ad rates to earn more,” he said, arguing that carriage fees are justified

     

  • We shall all have to brace ourselves to a large surge in operational logistics at the last minute, but yes all this is surmountable, says Neeraj Sanan, EVP- Marketing and Distribution, MCCS

    [60 Days to D-Day] All stakeholders need to work together: Neeraj Sanan

    The Telecom Regulatory Authority of India (TRAI) issued new rules refurbishing the regulatory structure of the broadcasting, cable and DTH industry ahead of the digitization switch over in four metros, Delhi, Mumbai, Kolkata and Chennai from July 1. The order deals with issues such as channel availability, channel pricing, carriage fee and revenue sharing.

     

    Digitization is being seen as the game changer for the Indian TV industry, expected to bring a sea change for viewers, broadcasters and cable operators. The broadcasting industry is expected to see a growth in subscription revenue post digitization, as opposed to the present model where they depend largely on advertising revenue.

     

    As per the new guidelines, ‘The Broadcaster would enjoy ‘must carry’ provision from 1.1.2013 or 1.4.2013 as the case may be, for Hindi, English and channels in the regional language of the concerned area.’  In the order, TRAI has also addressed the much debated issue of carriage fee. The order states, “Keeping in view the fact that substantial investment for implementation of Digital Addressable Cable TV Systems is made by the MSO and the cost involved in carriage of channels, the Authority has decided that every MSO may fix the Carriage Fee. However, it should be published in the Reference Interconnect Offer and applied in a uniform, non-discriminatory and transparent manner. The Carriage Fee cannot be revised upward for a minimum of 2 years. The Authority would intervene in case it is felt that the Carriage Fee is unreasonable.”

     

    The regulatory has also prescribed the MSOs to increase their channel carrying capacity, stating that every MSO should have a minimum capacity to carry 200 channels by July 1, 2012.

     

    MxMIndia’s Shruti Pushkarna spoke to Mr Neeraj Sanan, EVP- Marketing and Distribution, MCCS to get his response on the Tariff Order and Interconnection Regulations for the Digital Addressable Cable TV Systems issued by TRAI.

     

    What’s your first response to the Tariff Order? Specifically the MCCS position?

    It is a reaffirmation of the government’s stated position and something that TRAI has been working towards for a long time.

     

    The TRAI observes that the Order will help profitability of channels. But carriage fee exists. Do you think your bottomline will be impacted in a positive way with this?

    The TRAI’s order will help all stakeholders move to a position of working in a structured manner. A well-run business can hope to get its deserved profit.

     

    Do you see the implementation happening in the four metros before July 1?

    I understand that a lot of intelligent people in well-run MSO and LCO organizations are working round the clock to make it happen. A key factor here will be for the government to continue to do what it has been saying. We shall all have to brace ourselves to a large surge in operational logistics at the last minute, but yes all this is surmountable.

     

    What are the marketing initiatives you are undertaking to ensure that you retain viewers?

    This is a challenge more for a distributor.

     

    Do you think the government is doing enough to promote the switch to digitization and explain the benefits to consumers?

    There is always something better we could do, but yes, government has been consistent in it’s thought. Now it is for all stakeholders, including all state governments to realize the prudence of digitization and work together to make it happen.

     

    Are there any areas of worry in the run-up to digitization (given that we have just 60 days to go)?

    No constructive business happens without risk and yes there are a lot of things that could go awry but if all players remain aligned, this is achievable. We should all realize that it is history being written everyday for distribution and we need to carefully tread this path.

     

  • MxMIndiaspoke to Sahil Gupta, Senior Manager, Tax and Regulatory Services, PwCIndiato get his reading of the tariff order for cable TV issued by TRAI.

    [60 Days to D-Day] Digitization good for industry: Sahil Gupta, PWC

    The Telecom Regulatory Authority of India (TRAI) issued the Tariff Order and Interconnection Regulations for the Digital Addressable Cable TV Systems on April 30.

     

    Aimed at providing the viewers with a better viewing experience and maximum choice, digitization is being seen as the biggest change broadcast and cable industry in the country is set to witness. Television viewers will get to choose a minimum of hundred Free to Air (FTA) channels at a maximum retail price of Rs100, as per new tariff rules for Cable TV announced by TRAI.

     

    The order states: “The basic purpose of digitization is to ensure ample choice to the consumer as well as to enable him to budget his subscription according to his paying capacity. Accordingly, the Authority has mandated MSOs to carry a minimum of 500 channels from January 1, 2013. However, keeping in view that the smaller MSOs having less than 25000 subscribers may need some additional time for building the capacity, they have been given time up to April 1, 2013. Besides, to ensure that the consumer is not adversely affected, the Authority has prescribed that every MSO should have a minimum capacity to carry 200 channels from July 1.”

     

    In the new guidelines issues, TRAI has also addressed issues pertaining to revenue sharing between MSOs and LCOs, carriage fee paid by broadcasters, channel pricing and so on.

     

    Mr Sahil Gupta, Senior Manager, Tax and Regulatory Services, PwCIndia shared his analysis of the recent order with MxMIndia’s Shruti Pushkarna and how he sees digitization as a win-win for all.

     

    What is your view on TRAI’s Tariff Order? 

    It’s a pro-consumer directive. Consumers can now pay for what they want to see, unlike in today’s time when they purchase a bouquet which has unwanted channels as well. Hence a la carte selection works more cost-efficient for consumers.

     

    So do you see digitization as a win-win for all?

    Digitization per se is good for the industry – consumers get better quality reception, broadcasters can know their exact consumer base, which will help them realise full value from MSOscable operators (which gets under-reported in current times based on what subscription base the intermediaries disclose to broadcasters). Moreover, it helps in bringing addressability in the system.

     

    Do you think the government is serious about the July 1 deadline?

    The government is taking a lot of initiatives to push digitization – it has a stakeholders’ meeting every week or two weeks and is helping stakeholders migrate to the new system. They are thus doing their bit for helping meet the deadline of July 1.

     

    But on the ground we hear that there is much to be achieved?

    The infrastructure is what is taking time. The digital/upgraded set top boxes need to be procured and be ready for installation at the consumer’s end. Some MSOs/cable operators are looking at funding mechanisms for meeting these procurement needs, while others are working towards building a right procurement strategy for the same. All in all, the industry is gearing up for it and all stakeholders doing their bit.

     

    Your view on the guidelines for carriage fees in the Order?

    Carriage fee is what MSOs charge broadcasters for carrying their channels to viewers. Some element of arbitrariness gets reduced from this Order as it needs to be uniform and non-discriminatory across all broadcasters. The TRAI will step in if it’s unreasonable and this will help.

     

    And on pricing of channels?

    The limits on pricing mentioned in the order is aimed mainly at ensuring that channels, especially popular ones, are not priced high.

     

    There’s also a mention on the revenue sharing between MSOs and cable operators…

    There seems to have been certain disputes between MSOs and cable operators in regard to sharing of distribution revenues. Prescribing the revenue sharing formula, in absence of an agreement between them, will help and bring in transparency…