Category: MEDIA

  • Atul Hegde on why Digital is no longer New Media

    By Atul Hegde

     

    1. Serious spenders on traditional medium are now leading the way in digital spends

    When advertisers from the auto sector, FMCG, Corporate brands, Consumer Durables and other serious spenders, which for long have been spending heavily on traditional medium, begin to spend heavily in the digital media, it is the first indication that digital is no longer a new media.

     

    2. Large clients now have digital media/brand manager

    The very fact that large clients are investing in digital media, whether they are from the auto sector, telecom, FMCG’s, consumer durables  and so on, they have today either digital media managers or digital brand managers. This, in itself, shows that clients are spending serious amount of money to manage digital.

     

    3. Senior clients are regular consumers of the medium

    For any medium to succeed it is important that people who are buying it are also consuming the same medium because only when they consume that media will they realize the power of that media for their brands. Today there are senior clients who have become regular users of the medium.

     

    4. Movies and Cricket video consumption on digital has exploded

    Clients go where there are eyeballs, and inIndiawe view more than we read.Indiais a country where we consume films and cricket, both of which are heavily consumed on the internet. For instance IPL online has seen more viewership this year than the year before. Therefore, the more videos we have on movies and cricket, the more the audience will spend time viewing the videos and as a result, more advertisers will spend money on that medium. The explosion of video consumption inIndia, therefore, is bringing in more serious advertisers to digital media.

     

    5. Emergence of digital media awards (last count there were more than half a dozen)

    Today we find so many digital media awards, which only mean that clients are keen to win awards for digital. In fact, awards are a good way to boost the medium.

     

    Atul Hegde is the CEO, Ignitee Digital Services Pvt. Ltd

     

  • 58 Days to D-Day | Analysis: TRAI’s Tariff Order will make channels bleed more

    By A Correspondent

     

    In another major blow for TV channels, the Telecom Regulatory Authority of India’s (Trai) recent tariff order for digitization has a loophole that allows distributors to surreptitiously charge ransom-like placement fees from broadcasters. While this would be true for all tiers, it would be especially compounded in the Basic Service Tier (BST) where around 80 private free-to-air (FTA) channels are to be offered at Rs100 a month.

     

    This makes for a crippling double whammy for TV channels and makes the “must carry” proviso meaningless as Trai has also legitimized the usurious carriage fee racket which has turned multiple system operators(MSOs) and cable companies into the most profitable part of the Indian TV industry, even as it has bled nine-tenths of the TV channels into sickness.

     

    Over and above their other costs, TV channels annually pay over Rs3,500 crore as carriage fees alone, but collectively receive around Rs4,000 crore only of the approximately Rs20,000 crore paid by India’s viewers to cable companies and distributors.

     

    Trai’s own report had said that there was evidence of tax evasion in the cable industry while independent industry estimates have routinely put under-declaration by this cash-rich industry at a whopping four-fifths of its subscriber base – all of which allows for thousands of crores to be denied to the exchequer every year.

     

    According to an estimate, the government had lost around Rs5,950 crore in 2006-2011 in service tax alone due to under-declaration even as it posited the income tax evasion during this period at Rs17,413 crore, besides the loss of entertainment tax by states.

     

    In this situation, industry sources said, Trai’s move to force TV channels to pay carriage fees to distributors, ostensibly to enable them digitize their systems, was totally unacceptable. “There is no justification for robbing the already impoverished TV channels to pay the rich distributors, as they have had a favourable business model for years, and in any case, would reap the rewards of digitisation far more than any other segment of the TV business,” said an industry source.

     

    Adding that there was no justification for making the broadcasters pay for upgrading the infrastructure of the MSOs, they pointed out that upgradation was a one-time investment, but the carriage fees would continue to be an annual recurrence for broadcasters who, in any event, could not be suddenly made the medium to fund distributors.

     

    Broadcasters are especially aghast by this move as the prices of their channels are regulated and have been frozen for years, even as distribution costs have been allowed to rise unchecked in the garb of scarcity of bandwidth – problems which were supposed to have been addressed by digitization.

     

    Industry sources told ET that while they welcomed the Rs100 BST for 100 channels as being in consumer interest, there was a hidden minefield in the Trai tariff order that had come as a further shock. They said that the new order had no rules banning placement fees for channels in any tier, including the BST, and hence, this would again allow cable companies and distributors to fleece TV channels by demanding huge sums of money.

     

    Distributors already demand placement fee for placing the channel in a particular slot – by a process known as Electronic Programme Guide management. However, they had hoped digitization to end this malpractice.

     

    This problem is especially compounded, with the BST having only a restricted number of private free-to-air channels in its basket of 100 channels, compared to the large number of channels in the market place. As per the rule, at least five channels are to be carried in each of the following genres: movie, general entertainment, children’s content, news and current affairs and sports. This would allow distributors to cherry pick the minimum five channels in each genre and demand a huge placement fee to carry them since there are many more channels in each genre, language or market. In addition to carriage fees, this would be a crippling double whammy for broadcasters, sources specified.

     

    The solution, sources said, would be to increase the numbers of channels and also ensure an equitable, but not equal, split between genres, since there is a larger proportion of news channels to, say, sports channels.

     

    They also said that there was another burden in store for TV channels that Trai did not appear to have foreseen: Since every broadcaster would like to place its channel in the BST, the distributor could potentially subvert the letter and spirit of the Trai digitization order by fixing the carriage fee of the BST much higher than the carriage fee of its platform.

    CARRIAGE FEE

    Earlier, the News Broadcasters’ Association had slammed the Trai move to legitimize the ransom-like carriage fees charged by distributors, which have now been made a mandatory payment by all the broadcasters to the MSOs. Under this order, the MSO will not be bound to carry the channel of a broadcaster unless it pays carriage fees – which means that the broadcaster would have to pay carriage fees to the MSO to be carried on its platform – which would be decided solely by the MSO and would differ from MSO to MSO even in the same geography.

     

    Industry sources said legitimizing carriage fees could sound the death knell for small broadcasters, particularly the regional channels. The Trai move also goes against the concerns showed by the government for small regional channels. Information and broadcasting minister Ambika Soni, in a Parliamentary motion to discuss the Cable Television Networks (Regulation) Amendment Bill, 2011, had said: “This process of digitalization, I feel, would have a major impact on regional channels. They do not get on to national carriages. They cannot pay the high (carriage) fee. There are small channels catering to different states…”

     

    MUST CARRY

    However, the nub of the matter was that the evil of carriage fee would be abolished only if the capacity constraint was adequately addressed by mandating MSOs to increase their capacity to 999 channels instead of just 500 channels.

     

    India currently has around 800 registered channels available in the market and more are lined up for approval in the information and broadcasting ministry.

     

    Despite this, surprisingly, Trai has put the minimum number of channel at 200 for small distributors and 500 channels for large distributors, which frustrates the purpose of “must carry” as outlined in the regulation. “Assuming for a moment that every broadcaster is willing to pay the carriage fee declared by the MSO in its RIO, how is the MSO going to carry all the channels on its platform if it has no capacity to carry all the channels,” sources asked.

     

    They feared that the end result would be increased litigation between the broadcasters and distributors, thus potentially adversely affecting the smooth rollout of digitization. They said the situation can be salvaged only if Trai increases the numbers of “must carry” channels to atleast 500 channels by June 30 and 999 channels by January 1, 2013.

     

    Industry sources also pointed to other major systemic issues which the Trai order had failed to address.

     

    First, MSOs have been given the unfettered rights to decide the maximum retail price of the channels they carry- a move that would adversely affect both consumers and broadcasters as the MRP of the same channel could be different at the platform of every MSO. This would not only create confusion among the consumers, but would also increase the number of disputes apart from potentially allowing distribution platforms having their own channels a distinct advantage to manipulate for their own benefit. Sources said the solution to the peculiar situation was in allowing the broadcaster to have a say in fixing the MRP as is the right of manufacturers in all other sectors.

     

    Second, the freeze on the price of a TV channel – which had been introduced as a temporary measure – had not been lifted even after eight years. This has seriously affected broadcasters as many have not been able to recover their basic cost of operation. Given that there are more than 800 channels, with more in the pipeline, market forces should be allowed to play out.

     

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

     

  • IPL 5: 38 matches later, ave TVR touches 3.41

    By A Correspondent

     

    The ratings for the first 38 of the Indian Premier League (IPL) season 5 continue to be lower than the previous seasons. According to TAM Sports, CS 4+, All India, IPL 5 delivered a TVR of 3.41 per cent in the 36 matches played so far during the tournament. Interestingly, media planners point out that one of the plus points of IPL5 is that it has been consistent in its ratings, which will lead to better ROI for advertisers.

     

    It may be recalled that first 27 matches of season 5 delivered a TVR of 3.53 per cent and the first 16 matches, a TVR of 3.65 per cent. The inaugural season (IPL1) however continues to remain the highest viewed season with a TVR of a whopping 4.84 per cent. Too much cricket in the past few months,India’s dismal ODI and Test match performance and too many matches in season 5 leading to cricket fatigue are said to be the possible reasons for the low ratings.

     

    Media planners believe that as the tournament progresses, especially towards the semi-finals and the finals, the ratings are expected to further increase. According to Mr Dinesh Vyas, GM, MEC India: “IPL 5 may have been receiving the lowest TVR as compared to the previous seasons, but it is also the only programme on television which has been delivering consistently. Therefore a TVR of 3.41 per cent for the first 36 matches is a good. In fact, now is the time that we will see more and more people viewing IPL matches and the ratings will only further increase.”

     

    Mr R Venkata Subramanian, Senior Director-Investments, MPG India was of the view that one of the plus points of season five is its consistency: “There has been consistency in the ratings which is certainly beneficial for advertisers however the numbers continue to be lower than the previous seasons. Despite some really good matches, the numbers have been low, probably because of too many matches leading to cricket fatigue. Nonetheless as the tournament progresses, I do expect the viewership to grow but, I don’t expect a dramatic increase.”

     

    Source : TAM Sports, Period : First 38 matches of all IPL Seasons, TG : CS 4+ yrs, Market : All India, Channel : MAX

     

    * In IPL 1 one match (47th) was abandoned due to rain
    * In IPL 2 two matches (7th & 13th)were abandoned due to rain
    * In IPL 4 one match (20th) was abandoned due to rain
    * In IPL 5 two matches (32th & 34th) were abandoned due to rain

     

     

     

  • Disney Channel launches “Jet Set Go” summer initiative

    By A Correspondent

     

    Disney Channel has begun its one-of-a-kind initiative “Jet Set Go” this week. It is partnering with Jet Airways to give kids and their families a unique opportunity to win a magical all-expenses paid trip to the ‘happiest place on Earth’- Hong Kong Disneyland. The on-air contest will run throughout the month of May on Disney Channel and will give 30 kids and their families an opportunity to go toDisneyland.

     

    In celebration of “Jet Set Go”, Disney Channel is wrapping a Jet Airways aircraft in Disney favourite characters – Mickey and friends – to be unveiled on the May 9 in a special ceremony in Mumbai. “The aircraft wrap is a unique way to quite literally take one’s brand to the sky,” said Mr. Manish Dureja, vice president, Marketing at Jet Airways. “Disney’s focus on kids and families is aligned with our focus in catering to the needs of children and families in flight.”

     

    The children can enter by watching Disney Channel during the month of May and spotting the animated Jet Airways aircraft which will appear until May 28. Children can accumulate points each time they spot the aircraft by dialing a toll-free number flashing on the screen, absolutely free of cost, and leaving a missed call. Those who spot the plane the maximum number of times per day earn the maximum points and at the end of each day, the highest scorer will be announced as the winner on Disney Channel.

     

    “At the heart of Disney DNA is our passion for telling the world’s best stories and providing unique experiences for kids and families. We are pleased to work with Jet Airways and Hong Kong Disneyland Resort to bring our fans this fabulous opportunity to experience Disney magic first-hand,” said Vijay Subramaniam, business head, Walt Disney Television International,India.

     

    One winner will be picked each day, over the period of 30 days with the winners and their families going onto Hong Kong Disneyland Resort for a unique two day Disney experience. “Since opening in 2005, Hong Kong Disneyland Resort has welcomed more than 31 million guests from around the globe. It is the perfect destination for our Indian guests and we are thrilled to be collaborating with the Disney Channel on this campaign. We look forward to welcoming the winning families in July to enjoy all the magical experiences at Hong Kong Disneyland. We hope that they take home with them a lifetime’s worth of memories”, said Wendy Chu, Director of Marketing, Hong Kong Disneyland Resort.

     

    Disney ChannelIndiaoffers an unparalleled blend of quality Disney entertainment and distinctive, originally produced programs that kids love and families trust and enjoy. This includes Disney’s movies and series, sitcoms, family dramas and live action adventure stories. The channel’s multi-genre programming is designed to meet the under-served needs ofIndia’s preschool, kids and family audiences.

     

  • Spark 2B ultimate music destination: Rally

    By A Correspondent

     

    At a time when the numerous music channels are fighting to survive, it’s a big deal to turn one. Big CBS Spark, part of the Big CBS Network – the JV between Reliance Broadcast Network and CBS Studios International, completed one year on May 2.

     

    The channel, which has positioned itself as a youth channel with the core target group of 10-24, boasts of having an intense understanding and research of the entertainment requirements of their target audiences. “The transition to a music channel has helped, as the music content has increased and now people are able to relate to the channel as we are doing more and more stuff on Indian music scene,” said Vishal Rally, business head, Big CBS Networks.

     

    To stand out of the clutter and to reach out to the correct audience,  the channel conducted an extensive research study on various time slots catering to different age groups (what time of the day which age group (TG) prefers to listen to what kind of content). “We have created music time bands like Hip Hop MCs (for rap, hip hop music), Indie Rock Mania (for rock music and independent bands) and Hot Hitz. As we had the music library of major labels, we had the content. Our concern was planning and finding out the right kind of audience. Besides music, the channel also airs shows like the Cheaters, Maximum Exposure, Smash Cuts, Oblivious and Real TV targeting the youth audiences,” added Mr Rally.

     

    Apart from international music, the channel is also concentrating in providing a unique platform for independent artistes of the country to make Spark “the ultimate music destination”. “We offer original local content too with properties like Indie Music and The Great Gig in the Sky. The channel is attempting to incorporate almost every genre of music so that it has something to offer to everyone,” said Mr Rally.

     

    Talking about the channel’s future plans, Mr Rally said: “Our plan is to ensure the channel reaches the best content to its target audiences and strengthens its positioning as the ultimate music destination.”

     

    The first anniversary celebrations kicked off with a jam session between the pioneers of Sufi rock music, Junoon and the Indie Rock artist, Ankur Tewari.

     

  • IBF welcomes Tariff Order, seeks clarity on Carriage

    By A Correspondent

     

    The Indian Broadcasting Foundation (IBF) has welcomed the initiatives taken by the I & B Ministry and TRAI in bringing about much needed reforms in the cable sector.

     

    The Tariff amendments and the new Interconnect regulations for Digital Addressable Cable brought about by the Telecom Regulatory Authority of India (TRAI) will inject necessary transparency across the value chain. With a slew of consumer friendly measures – namely choice of packages and introduction of Basic Service Tier, TRAI has ensured that all subscribers of varied socio economic background are duly taken care of and provided for. IBF also welcomes the mandate to enhance the channel carrying capacity to a minimum of 200 channels wef July 1, 2012 and 500 channels wef January 1, 2013.

     

    The new interconnect regulations have brought within its wake the much awaited specifications for digital addressability while at the same time laying down the eligibility criteria for availing signals. The reporting requirements will help the government in plugging leakages while the provisions on disconnection of signals will ensure that all stakeholders are aware of their rights and obligations.

     

    Overall the Tariff Order and the Interconnect Regulations read with the amended Cable TV Act and Rules are steps in the right direction and will help the country to make the digital transition.

     

    However, a big area of concern for Broadcasters is Carriage Fee. The Broadcasters have taken up this issue in various discussions with the TRAI and the Government in the past. Carriage Fee has crippled various broadcasters, especially the smaller sized companies, and it has restricted a broadcaster’s ability to invest in content and other activities of a channel. Therefore, there is an urgent need to revisit this issue and IBF will seek clarity on this matter from TRAI.

     

    India is on the threshold of a digital makeover and IBF trusts that this will, over a period of time, make way for more freedom to stakeholders as digitalization acquires critical mass and the country gains more confidence in bridging the digital divide.

     

  • Press Club Bombay honour bigger than Padma Shri: Vinod Mehta

    By A Correspondent

     

    Acknowledging to the audience that his heart still favoured Mumbai over Delhi and it was Mumbai that saw him at his pioneering best, Vinod Mehta, now advisor to the Outlook Group, was a picture of pride and fulfilment as he received the coveted Lifetime Achievement Award bestowed on him by the Press Club of Mumbai on May 4.

     

    Receiving the award from Kapil Sibal, Union Minister of Communications & IT, Mehta thanked the members of the fourth estate and said that this award means more to him than even the Padma Shri. Mr Mehta was felicitated for his selfless contribution of more than 35 years to his passion – journalism. Mr Mehta joined a host of winners from the fourth estate that were honoured by the Press Club for outstanding contribution to the trade.

     

    The evening also witnessed two special awards being given to late Pradeep Vijaykar (formerly with Times of India) and eminent journalist Madhu Shetye for their outstanding contribution to the domain. Gurbir Singh, President of Press Club of Mumbai delivered the keynote address while veteran sports journalist Ayaz Memon was the emcee for the evening.

     

    Prior to the awards ceremony, the evening witnessed a scintillating panel discussion on the role that media was portraying in the country and whether it was headed in the right direction. The panellists included Arnab Goswami of Times Now, who moderated the session, Vinod Mehta of Outlook Group, Kumar Ketkar of Divya Marathi and Uday Shankar of Star India.

     

    Mr Goswami began by stating that there is no shortage of attention being showered on media but expressed concern when he said that never has the media done so wrong. “The question that all journalists and editors need to ask ourselves is, are we doing everything right today? Is the chase for news headed in the right direction?”

     

    Replying to his question, Mr Mehta said: “There is no problem with the direction, what is essential is for us to judge the media in the environment it works in. The judiciary and press media still function with a degree of idealism and integrity but there is so much of self-congratulation that is happening; that is something that is slightly out of proportion.”

     

    Expressing his views on the issue of responsibility, Mr Mehta said: “Where the young journos are concerned, I feel they have a good sense of idealism and integrity but if there is somebody who has to take the blame for the current state of affairs, it is the editor. Even if somebody from the team has committed an error, the editor has to take ownership of that and find a solution to it. The problem is that the editors have forgotten what their job is and are pursuing their own agenda. The need of the hour is self-examination; we need to introspect and be accountable for our actions.”

     

    Replying to Mr Goswami’s query on whether there was unity between members of the fourth estate and the role that editors essayed, Kumar Ketkar said: “It is the editors who stop news from being published and not the management as many think. The editors try and control their reporters and that should not be the case.” Mr Ketkar cited the example of the slain BJP leader Pramod Mahajan, who was shot by his brother a few years ago. “When his brother was arrested for his murder, he had written a letter from the jail explaining his stance and he wished to supply the letter to all in the media. I was told that most editors had agreed to play up the letter in their publication and so I went ahead and planned a big editorial spread for the news. But the next day, I was surprised to see that only my paper had carried the news. This shows the lack of unity existing between the media players today.” According to him, “The media today is not clear on the role that it has to essay. They are not mature enough and lack understanding skills. Journalists themselves are timid and lack courage.”

     

    Uday Shankar, CEO of StarIndia went on to describe how television as a medium emerged in a big way first during the 90s and then again during 2008-09. “A lot is being said about how news television has been crowded space but I feel it managed to rediscover its own agenda during 2008-09. I cannot understand when some people say media doesn’t do self-introspection. If that is what is claimed, then how come they’ve come to rediscover themselves? Personally, I feel media has done the right thing by chasing news. If there are people who still have questions about the role of news channels, then I cannot understand whether media should be responsible for what it does or whether it should concentrate on doing the right thing?”

     

    The panel went on to discuss how urban centres led by metropolitan cities were receiving maximum attention from the media and how stories from the rural and less important towns were being ignored in a large way. The need of the hour, the panel highlighted, was to bring out stories from these small cities and towns which were inspirational in nature.

     

    Winnerspeak:

    Ashish Khetan, Editor – Investigations, Tehelka

    “I bagged the top award for my story on the national rural health mission scam that was unfolding in UP. The story was not about the bonds between the corporation and ministers but how corruption was actually killing people. The funds which were allocated for improving healthcare for the needy and rural people were being siphoned off and embezzled by the whole gravy train of bureaucrats, including politicians. Unfortunately the story did not get much play in the national media because it was centered around the poor but I feel the story was more important than 2G, CWG or other scams that were covered by the media.”

     

    Abhijit Sathe, Sr Asst Editor, Mumbai Mirror

    “I won the runners-up award for Crime (Pradeep Shinde award) for my story Hiranandani vs Hiranandani. The award means a lot to me. The story was a big one that chronicled infighting between families of one of the biggest names in business today. I exposed how two siblings were sabotaging each other’s interests. I am greatful that I was selected for, and eventually won the award.”

     

    Rafique Baghdadi, Business India

    “More than react to the win, I would like to say this: more than 62 years ago, a lady called Ms Panna Shah, had done a PhD in Indian Cinema and since then there is nobody who has done that course in the industry as yet. It’s high time the business houses, film industry and the state government should give grants and scholarship to aspiring candidates to pursue that course.”

     

  • Full report of Assocham ‘focus’ on M&E

    By Shruti Pushkarna

     

    Assocham organized the 6th annual summit on entertainment and media, Focus 2012, inNew Delhion May 4 where the topic in focus was Digitization for Inclusive Growth. The event began with a keynote address by the Chairman of Press Council of India, Justice Markandey Katju, who came down heavily on the media once again, in his address.

     

    Justice Katju referred to the role played by the European media between the 17th and 19th century. He talked about the sacrifices made by writers like Voltaire, Rousseau and Thomas Paine to uplift the society and help it convert from a feudal state to a modern society. He criticised the Indian media for promoting superstition in form of cheap astrology shows on news television channels all day instead of promoting rational and scientific ideas. He said: “The function of the media is to uplift the intellectual levels of citizens, but our media instead has stooped down to the level of Indians, of which 90 per cent are fools.” He said that in the race for TRPs, the television channels focus on entertainment which constitutes 90 per cent of programming and leaves only 10 per cent room for real issues to be telecast.

     

    Justice Katju urged media professionals to play a socially responsible role at a time whenIndia, likeEuropein the 17th century, is going through a transitional phase. He emphasized on the need to promote rational ideas in this period of transition in Indian history. He also emphasized on the need for regulation as opposed to self regulation. He said, “I am the greatest fighter for freedom for press and that’s why I am not recommending control but regulation. In control, there is no freedom but in regulation there is reasonable restriction in the public interest.”

     

    Self regulation is no regulation, he added: “You cannot have absolute freedom to harm society. There is need for regulation, and this regulation cannot be from the government, it has to be from an independent regulatory authority which has penal powers.”

     

     

    Broadcasting & Digitization: India Goes Digital- Challenges & Way Forward

    The session on broadcasting and digitization was chaired by Supriya Sahu, Joint Secretary (Broadband & Policy), Ministry of Information and Broadcasting. The session was moderated by Preet Dhupar, Director, BBC World,India. The panelists included Anthony D’Silva, Group CEO, Sun Group; Hemant Upadhyay, Advisor, VOICE; Jehangir S Pocha, CEO, INX News; Roop Sharma, President, COFI; Vishal Mahajan, Sr. Director, Yes Bank; Himanshu Patel, COO Videocon D2H; Ashok Mansukhani, President, MSO Alliance; Joy Chakraborthy, CEO, TV Today Network; Pulak Bagchi, VP, Star India and SM Khan, DG, DD News.

     

    During the discussion, Ms Sahu said that the work on digitization, especially Phase 1, which looks at the four metros, was on track and with help from all stakeholders the government should be able to push digitization to happen in time. She defended the TRAI tariff order: “It is a win-win situation for every stakeholder. The clear winner, of course, is the consumer.” She said that the cities were almost ready for digitization, the government had made good progress as far as procurement of set top boxes (STBs) is concerned and the only area that needs attention is the seeding of these boxes. She agreed that for the target date to be achieved, around 20-25 lakh STBs have to be seeded and that makes it 1 lakh STBs to be seeded every day.

     

     

    Representing the MSO Alliance, Mr Mansukhani congratulated the government on taking up the challenge of digitization. He agreed that there were some concerns and issues on which they will seek clarification from the TRAI. He reiterated the commitment to digitization on part of MSOs and urged newspapers and business channels to clearly present all points of view to the debate on digitization.

     

    Ms Roop Sharma, President, COFI expressed hers and the cable operators’ disappointment at order issued by TRAI. She claimed that the order was unfair to LCOs and will result in putting them out of business: “Regulator wants to be the controller of the industry…the role of the regulator is very bad. We are all for digitization, but we are unhappy with the revenue share that has been decided in the order.” She added that 60 days are too less to meet the challenges of digitization and it is unlikely that the sunset date for Phase 1 is achievable.

     

    Jehangir Pocha, CEO INX News shared the plight of the broadcasters with the panelists on the issue of carriage fee. He said that a channel like Times Now had to pay a carriage fee of Rs50-55 crore to reach the viewers. He said: “I can’t applaud this order. Those who applaud this regulation perhaps benefit from it. It is the first time in the history ofIndiathat carriage fee is legalized, institutionalized and not regulated.” He said that the government claims to have taken the views of all stakeholders involved but their views were taken only in theory and not in spirit.

     

    The TRAI in its recommendations stated: “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.” But Mr Pocha argued that why should a channel pay for MSO investment. He said he would like the government to issue a white paper that looks at the earnings of all players.

     

    Sun Group CEO Anthony D’Silva said that the need of the hour is to get down to the nitty-gritties: “The lessons learnt from DTH are applicable to any other digital system. We need to look at how the subscriber management systems will work, what are the service parameters and who’ll set up the call centres because that involves huge costs.” He added that the government needs to look at  digitization as any other infrastructure project and support it by whatever means, whether its tax holiday or any other subsidies.

     

    Pulak Bagchi, VP, Star India expressed a need to recognize the challenge government and the regulator had in thinking through the entire process of digitization and the fact that it’s difficult to make everyone happy. He said: “Government and regulator are out there to protect the public interest and not to add to company bottom lines. We entrepreneurs need to work out our own course.”

     

    Responding to the issues voiced by the various panelists, Ms Sahu said: “All concerns are genuine and we would try and address them as well as we can but please read the fine print to clarify some of the concerns.” As for cable operators, she said that if cable operators don’t move to digitization fast enough, they will be wiped out by competition from DTH.

     

     

    Films, Animation and VFX: Digital Cinema- Present and Future

    The session was moderated by Karan Ahluwalia, Executive VP, Yes Bank and the panelists included, Ramesh Meer, CEO The FX Factory; Sunaman Sood, Co-founder, Director, Acendo Capital Advisors; Siddhartha M Jain, Producer@iRock; Vishnu Patel, CEO-Special projects, UFO Moviez and Manoj Srivastava, CEO, Enternainmentt Society of Goa.

     

    Siddhartha M Jain of iRock started the discussion by talking about the paradigm shift occurring in cinema: “Low budget films without stars which used to be niche earlier are picking up. We’ve had hits like Ragini MMS and Vicky Donor. So there is huge investor appetite, provided you have the right content. The key lies in keeping the budgets low and using the latest technology.” He added that there is also a huge power shift happening from Bollywood movies to movies outside Hindi cinema.

     

    Sunaman Sood said that producers have now begun to treat regional cinema with some seriousness, realising its potential. But Manoj Srivastava added that there is no platform or agency in the country that promotes regional cinema well enough.

     

    Speaking of digitization’s benefits to cinema, Vishnu Patel said that digital technology has helped revive the industry which was otherwise on a decline. He said that regional cinema has also benefitted from digital technology because digitization has cut down the distribution cost in terms of prints. Now regional film producers can distribute their films better without having to worry about prints’ costs.

     

     

    Print Media: Challenges and Opportunities in Digital Age

    The session was chaired by Suprio Guha Thakurta, MD, The Economist Group India. The session was moderated by Vikas Mehta, VP & Executive Business Director, JWT Delhi. The panelists included, Sukumar Ranganathan, Editor, Mint; Vandana Das, President, DDB Mudra;Sudha Sarin,MD, Ipan Hill & Knowlton and Raghav Subramanian, COO, Lintas Initiative Media.

     

    Sukumar Ranganathan initiated the debate by making a strong point that print is here to stay: “We often look at the western trends to decide the future of print in the country but we forget that the dynamics of the western market are very different from the Indian market.” He said that Mint has never defined itself as a newspaper; rather it looks at itself as a ‘newsroom’. Talking about integration of content, he said: “We update a story online as soon as it breaks. We also use social media to amplify the news. And in the paper, we value add with analysis and so on. I think integration is key to what a newspaper needs to do to survive in a digital area.”

     

    Suprio Guha Thakurta echoed Mr Ranganathan’s views but he also emphasized on the fact that content for every platform needs to be looked at differently: “You can’t just cut and paste from print to online or any other device.” He added that The Economist, which at present has about 85 per cent of subscriptions from print, aims at converting these into at least 50 per cent in digital in the next two years.

     

    Raghav Subramanian said: “It’s not that print is going to go away but it’s being increasingly threatened by digitization. Print is slow as a medium and now with news all over the place, the tangible paper is eroding in terms of the first choice for the younger generation.”

     

    Concluding the debate, all panelists agreed on the need to integrate content across different media to reach out to consumers/viewers/readers at different touch points.

     

     

    Radio and Music: New Avenues for Revenue/ Social Media & Gaming: Creating New Markets

    The last two sessions on radio and gaming were merged into one discussion. The session was moderated by Uday Chawla, Secretary General, AROI and the panelists included, Anand Raj, Head- Non Traditional Revenue, Red FM; Geetanshu Anand, Head- Content, Mystica Music; Pallab Mitram Head- Consumer VAS, Tata Teleservices; Deepak Abbot, Head- Product, Zapak Digital Entertainment Pvt Ltd; Nikunj Jain, CEO, Inoxapps; Anshu Mor, Lead Entertainment & Media, Microsoft; CP Singh, CTO, Possible Worldwide; Akhilesh Saurikhia, Consultant, Department of Electronic and IT, Govt of India and Viraj Malik, CEO & MD, PK Online Ventures Pvt Ltd.

     

    Anand Raj of Red FM talked about alternate revenue avenues that radio stations can look at. He said that audio production is an unorganized market right now and if radio stations start looking at doing audio productions in-house, there is huge potential for revenues. He also pointed out initiative like the Mahabharata or Ramayana productions done by Fever and how radio stations can look at making money by selling productions like these to VAS mobile operators. Another area that radio stations haven’t exploited properly he said was social media. He said that radio can look at building communities on social media for commerce.

     

    Geetanshu Anand of Mystica Music said: “There is no lack of avenues for revenues; all we need to do is fill up the loopholes for revenues.” Radio industry, she said, plays a crucial role in promotion of music but when it comes to rights sharing then both radio and music companies get selfish and each wants a larger pie. She said that the need for the hour was to review the statutory licenses. She also said that it is important for radio to start promoting non-film music alongside film music.

     

    Talking about gaming and creating new markets for it, Anshu Mor of Microsoft said: “It’s important for us as an industry to change the concept of gaming and how we look at gaming.” He added that social media provides with an opportunity to promote the ‘Brand Me’ and hence plays a huge role in marketing.

     

    Viraj Malik added that mobile gaming is on a rise and will turn into a larger opportunity inIndiabecause mobile is fairly big in terms of reach and affordability. And this creates a huge opportunity for content and app developers, he said.

     

  • MCCS channels unveil new look

    By A Correspondent

     

    MCCS will be relaunching news channels Star News as ABP News  in Hindi, Star Ananda as ABP Ananda in Bengali and Star Majha as ABP Majha in Marathi on June 1.

     

    The relaunch process begins today with a massive communication campaign  developed by Lowe Mumbai. The media buying plan has been formulated by Mindshare.

     

    The campaign would be, over the next 8 weeks, aggressively communicating the change, using a combination of TV, Print, Radio, Outdoor and Internet, to all the viewers and stakeholders about the new name and logo.

     

    The three news channels have helped MCCS evolve as a strong and respected broadcast news company. The theme of communication is simple and to the point: Our Stars don’t change, our News does not change, only our name changes.

     

  • Today’s ad industry is all about business: Sanyal

    By A Correspondent

     

    Title Waves, the new bookstore at Bandra, Mumbai was teeming with several old-timers who are associated in some way or the other with Sujit Sanyal, a former advertising veteran who worked with Clarion Advertising in old Calcutta. The occasion was the launch of Mr Sanyal’s debut book – Life In A Rectangle, The World Around 55BMirza Ghalib Street.

     

    The launch was made special by the presence of Madhukar Kamath of DDB Mudra – an ex-Clarionite himself who was among the four individuals with an MBA qualification to have joined the agency when it was at the zenith of its success – who unveiled the book to the gathering.

     

    Published by Fingerprint, Life In A Rectangle is a candid memoir where adman Sujit Sanyal narrates some revealing, some intriguing and other whacky stories about the advertising world from his Clarion days, his first agency, which he joined as a trainee and whose Kolkata branch he later went on to lead.

     

    When asked on the factors that led him to script a book on his days at Clarion, Mr Sanyal said: “Life in a Rectangle happened while I was toying with the idea of writing a book on my formative days in advertising. The book is a fun reading piece that chronicles the advertising era of the 70s and 80s in Calcutta.”

     

    On the choice for the name of the book, Mr Sanyal said that “the name for the book came from my mentor who said that all advertising that you see today are flashed on screens that are rectangle in shape, be it television, computer, mobile, magazine, i-Pad, etc.”

     

    According to Mr Sanyal, what made him even more convinced to write a book on the agency with a glorious past is because at one point in time, Clarion Advertising was India’s No 2 agency after HTA (now JWT). “That was around mid-70s to early 80s. In the early 80s, it started falling apart due to differences between theUnion, the Management and the Board. In fact, the agency had seen downfall on many occasions and I, myself, was there during a couple of occasions. Once when I was a newbie and the second time when I was heading Clarion’s profit-sharing centre from Calcutta and I saw the fall from a much closer distance. So since I was writing the book, I said to myself why not add these bits of information too.”

     

    Mr Sanyal added that there are just 2-3 people whom he has slam-banged, but the others have been given due credit for playing an influential role in his life. Highlighting the era of advertising that existed in those days also served as an inspiration for him to pen down his thoughts: “In those days, a man was judged by the way he used to hold his drink. But all that has changed today. I am not at all in favour of the pub-going trends of today where it is about ‘wham bam thank you ma’am’; holding your drink in a particular fashion was an art in those days. Also, we were unofficially trained on how to be a bartender. So if there was a client who came and he was drinking whiskey with water, it was our job to see that he kept getting his refills and not asking him on what else would you have. It was all great fun and at the same time you had to work too. The days of yesteryears were so much more exciting.”

     

    Admitting the factors that have led the industry to undergo a sea-change, Mr Sanyal stated: “The advent of technology has made things a bit easier for everyone in advertising. The times have really changed today. Anyone who has a mobile and a laptop becomes a filmmaker and can do his own work at his own pace. But this has also led to things becoming more clinical; everything now has got into a box including media plans that are largely TRP-driven.”

     

    Being direct, Mr Sanyal didn’t hesitate when asked on his views on the state of the advertising industry today: “The advertising industry today is all about business. There are a few legends who still are wowing the industry with their work but they will all go away.  At the end of the day what are you doing in advertising – you are playing with human emotions. Also, what is happening is that I may have a relative who is the boss of a big client company but he cannot give me the business because the diktats are decided by people who sit across the transatlantic ocean. In a nutshell, globalisation is taking its toll on the industry. They are not allowing the Indian agencies to grow.”

     

    Still basking in the accolades that are coming his way from friends and family over the first book, Mr Sanyal is already tempted into writing a second book that may see the light of the day soon. If he were to go by suggestions thrown up by his friends at the venue, it would well be a book on his first job at Junior Statesman (JS, as it was popularly known), a magazine that was far ahead of its time.

     

    Life in a Rectangle: The world around 55B, Mirza Ghalib street; published by Fingerprint Publishing; price Rs 395/-

     

  • Moneycontrol unveils online investor event

    By A Correspondent

     

    moneycontrol.com has launched an online investor camp starting at 8am on May 8. The day-long event will include a host of investment experts who will answer queries from investors all over India.

     

    Master Your Money brings a unique opportunity to investors in India to go online and connect with leading experts, and get answers to their investment queries online. It provides a resource to millions of investors currently confronted by falling stock markets, high rates of inflation, skyrocketing real estate prices and the exploding value of gold.

     

    Master Your Money is open to all kinds of investors, from buyers of fixed deposits, government bonds and insurance, HNI stock and mutual fund investors, individual traders and corporate finance professionals. The unique online event covers stocks, bonds, insurance, gold and real estate. Master your Money is sponsored by Principal Mutual Funds (sponsor – Mutual Fund section), L&T Insurance (sponsor – Insurance section) and Aditya Trading (sponsor – Stocks section)

     

    “As a leading national portal dedicated to serving investors in India, we conceptualized Master Your Money to provide knowledge to the entire community of Indian investors,” said Joyson Thomas, COO, Web 18. Mr Thomas added that this is the fourth edition of Master Your Money and the first event which has attracted investors from all over the country.

     

  • Digitization is going to be the biggest reform in broadcast sector: Ambika Soni

    By Shruti Pushkarna

     

    High drama ensued at the Assocham event inNew Delhias local cable operators (LCOs) flagged black ribbons at the Minister for Information and Broadcasting, Mrs Ambika Soni. The Minister was attending the 6th Annual Summit on Entertainment and Media organized by Assocham, Focus 2012: Digitization for Inclusive Growth. As the theme suggests, one of the primary issues discussed at the event was Digitization of Cable television.

     

    The LCOs were protesting against the recent tariff order issued by the Telecom Regulatory Authority of India (TRAI), which they claim is an unfair order against all small operators. Following the heated arguments between cable operators present at the event venue and the Minister, one of the cable operators, Sandeep Mcgee who is based inEast Delhithreatened to commit suicide in front of the Minister. Mrs Soni, however, tried to pacify the operators’ fraternity and asked them to file a formal letter with all their grievances against the tariff order and the regulator. She also promised to address their concerns and, if need be, raise the same with the regulator.

     

    Addressing the concerns of broadcasters on the carriage fee mentioned in the same order, Mrs Soni said that the government will consult all stakeholders before taking a final call on the regulations decided by TRAI under which the Multi System Operators (MSOs) are allowed to charge a carriage fee from broadcasters.

     

    Earlier, in her inaugural address, the Minister emphasized the importance of digitization for the entire industry and all stakeholders: “Digitization is going to be the biggest reform in broadcast sector and enable operators to expand their revenue sources by providing more choice and variety to customers. Digitization is imperative to tabulate subscriber base and reduce carriage fee. Digitization will also help reduce all human error in the process.”

     

    Defending the tariff order issued by TRAI recently, she said that the government indulged in exhaustive consultations with all stakeholders on all issues including the carriage fee, and the main aim of the new regulations had been to benefit the consumer. Mrs Soni said: “The TRAI tariff order makes the viewer the most important beneficiary; the choice will be with the viewer.” As for the broadcasters, she said digitization would help reduce the dependence on TRPs and bring in transparency where every broadcaster would be in a position to identify exactly how many people are subscribing to the channel.

     

    On the issue of media regulation, Mrs Soni said: “Let’s not condemn self-regulation per se because even though self regulation is a slower way of correcting things, it is still a surer way as it involves converting minds and hearts in the process.” She added that in the whole race to growth, the provisions of the Cable Television Regulatory Act were overlooked and it was a fault in the functioning of the government that the act had been ignored.

     

    On the issue of Paid News, she said that while it was the worst phenomenon that existed, it’s not as easy to detect paid news. She was responding to scathing criticism of the media by the Chairman of Press Council of India, Justice Markandey Katju in his keynote address at the same event.