Tag: Ashok Venkatramani

  • Home min tightens screws on TV channels. Director credentials to be reverified every 3 yrs

    By A Correspondent

     

    Television channels will have to get the credentials of their directors re-verified by the Union home ministry every three years, creating a major stumbling block in their smooth functioning. Adding to the bureaucratic hurdles, sources also said that directors would have to be cleared by MHA every time the same TV company launches a new channel.

     

    At present, the process of clearance of directors’ credentials by MHA has no time limit and can meander on for months, even years.

     

    Until now, security clearances given by the home ministry to TV channels was not time-bound, and companies were only required to report any change in their board of directors to the I&B ministry, which in turn would seek a clearance from the home ministry. There was also no requirement to have fresh MHA clearance every time the same company launched a new channel.

     

    Every broadcaster is granted a licence for 10 years, but after the home ministry clears all the directors on the company’s board.

     

    A few months ago, the I&B ministry had sent a letter to the home ministry seeking information on the validity of clearances for broadcasters. There was no such validity prescribed by the home ministry until then, but after I&B ministry’s query, MHA replied that security clearances would be valid only for a three-year period.

     

    KVL Narayan Rao

    KVL Narayan Rao, executive vice-chairperson, NDTV Group and president, News Broadcasters Association, said he is yet to see the ministry order but said all broadcaster will be affected. “If true, it’s bizarre, absurd and will affect the operations of all broadcasters – both proposed and existing.”

     

    He said approvals from the MHA take up to two years and if the nod for a director has a validity of just three years, existing broadcasters too will be affected. “Is this some way to regulate the media?” he questioned.

     

    Ashok Venkatramani, CEO of Media Content & Communication Services, that owns channels such as ABP News, said the move could cause delays in the launch of new channels as such approvals require 3-6 months. He questioned the rationale of the move: “Why does an Indian broadcaster, all directors of which are Indians, require an approval from India’s home ministry? Such a stipulation might be reasonable for an MNC broadcaster with foreign directors, not otherwise.”

     

    There are close to 300 companies running over 800 television channels in the country today. This move would mean that all clearances given to channels prior to October 2010-a majority of channels received clearances before this date -will be reviewed again by MHA and is likely to have a major impact on running of businesses.

     

    “We would visualise that the ministry should streamline processes, rationalise them rather than increase them. This is a repetition of a process,” Sunil Lulla, managing director and chief executive officer of Times Television Network.

     

    The query by the I&B ministry a few months back has also meant all new permissions issued by the ministry have stopped for the last six months, the last one being granted in May 2013.

     

    Another important fallout is that the I&B ministry has now started referring all new applications by broadcasters to MHA for their clearance, even if the application is by a registered broadcaster. Earlier, the ministry used to process new applications of registered broadcasters without any reference to MHA, unless if there was a change in the Board of Directors of the company.

     

    Source:The Economic Times

    Copyright © 2013, Bennett, Coleman & Co. Ltd. All Rights Reserved

    Licensed to republish

     

     

     

  • Viewers’ thumbs up to ABP News: MxMIndia – Ormax Media survey of News TV viewers

    By A Correspondent

     

    It’s been a week since Hindi, Bengali and Marathi news channels, Star News, Star Ananda and Star Majha were rechristened ABP News, ABP Ananda and ABP Majha respectively. MxM India commissioned Ormax Media, leading consumer insights and consulting firm, to conduct a survey on news television viewers to elicit their response to the rechristening.

     

    And the findings are overwhelmingly in favour of ABP News: that people are aware of the change, 85 percent feel that the name change is inconsequential and 10 percent even find the new channel better than before! And most importantly viewers seem to be echoing the Star News line with 92 percent of those survey saying other than the name, nothing had changed in the channel.

     

    Clearly, the findings of the survey conducted by Ormax Media indicate that viewers in the chosen target group have adopted considerably well to the rebranding of Star News as ABP News. Commenting on the results, Shailesh Kapoor, CEO, Ormax Media said, “The high awareness for the brand name change is a significant achievement for ABP. They have managed to make a smooth transition. The results tell us that the consumers have taken the name change in their stride comfortably.”

     

    In an interview with MxM India when the name change was announced, MCCS CEO Mr Ashok Venkatramani had remarked that out of the three 24-hour channels set to be rebranded, the Marathi and Bengali channels, Majha and Ananda as suffixes are unique and have grown in popularity and acceptance but the same is not true for the Hindi channel where the suffix is ‘News’ which is a generic term.

     

    Ormax Media conducted the survey on a target audience of males in the age group, 24-44 years in SEC ABC, who are regular Hindi news viewers. With a sample size of 200 respondents, the survey was conducted in 14 markets: Mumbai, Delhi, Pune, Kolhapur, Ahmedabad, Jamnagar, Indore, Gwalior, Ludhiana, Jalandhar, Lucknow, Kanpur, Bareilly and Allahabad.

     

    The findings of the survey, categorized under ‘awareness’, ‘impact of name change’ and ‘any other changes’, are as below:

     

    AWARENESS

    As far as awareness of the change in name is concerned, of the 200 respondents, 83 percent viewers were aware that Star News had become ABP News

     

    IMPACT OF NAME CHANGE

    • When asked what the name change from Star to ABP means to them, for 85 percent of the respondents, the name change was inconsequential to their watching the channel
    • 10 percent of the respondents claimed that they will watch the channel more after the name change stating better logo and better presentation as primary reasons for the preference.

    Some responses from these 10 percent viewers are:

    • “Naya look achcha laga channel ka”
    • “Pehle se zyaada fresh lag raha hai”
    • “Mujhe channel ka naya logo bahut pasand aaya”
    • “Presentation ka tareeka kuchch alag sa laga mujhe achcha laga”
    • “Display achcha ho gaya hai”

     

    And just 5 percent of the respondents said that they will watch the channel less after the name change citing lack of credibility due to absence of the Star brand name as the main reason.

     

    Some responses from this group of 5 percent viewers are listed below:

    • “Star News bada naam hai, ABP kabhi suna nahin”
    • “Pehle ka naam achha lagta tha, abhi ka naam ajeeb sa hai”
    • “ABP mein woh attraction nahin hai jo Star mein tha”
    • “Jab Star News tha toh wahan news sabse pehle aati thi, ab pata nahin kya hoga”
    • “Pehle Star company ka channel tha, abhi lagta hai kisi politician ne le liya hai”


    ANY OTHER CHANGES?

    • When asked if the viewers had noticed any other change in the channel apart from the change in name, 92 percent of the respondents said that nothing else had changed in the channel besides the name.
    • Only 8 percent of the respondents believed that apart from the channel name, brand logo and presentation style had also changed.

     

  • Only the logo will change: Venkatramani

     

    As the clock strikes 12 midnight, the logo on popular Hindi, Bengali and Marathi news channels Star News, Star Ananda and Star Majha will change. In fact as the communication from the channels has been emphasizing, save the brandname, nothing else will. Following the announcement of the discontinuation of the Star brand affiliation with MCCS (Media Content and Communications Pvt Ltd), the the Ananda Bazar Patrika and Star India jv, the three 24-hour channels will be rechristened. Star News to ABP News, Star Ananda to ABP Ananda and Star Majha to ABP Majha.

     

    MCCS unveiled its new logos for the three channels and kicked off its communication campaign around the rebranding on May 7. The creative communication campaign was developed by Lowe Mumbai and the media buying plan was formulated by Mindshare. The aggressive communication campaign based on the theme, “Our Stars don’t change, our News does not change, only our Name changes”, was launched across media, on TV, Print, Radio, Outdoor and Internet to familiarize viewers and stakeholders about the new name and logo.

     

    Just hours ahead of the rebranding, MxMIndia spoke to Mr Ashok Venkatramani, CEO, MCCS on the acceptability levels of the new name, measures being undertaken to retain viewership and the road ahead for MCCS.

     

    What time will the change happen?

    Tonight. 12 midnight.

     

    Since you spoke to us the day the announcement was made to now, what are the reports that your front-facing sales and editorial forces bring you – in terms of acceptability of the name… especially for Star News to ABP News?

    So far the feedback has been positive and encouraging. If I were to divide the stakeholders into three parts – the viewers, the newsmakers and the media buyers and the trade, for the first segment which comprises viewers, the change has not happened. It’s going to happen from tomorrow. But since the time we announced, there has been no change in our ratings. We report daily news, and as long as it is the same set of people doing the same set of news in the same manner, I don’t expect much change there. The second constituent which is the newsmaker, there is absolutely no issue there because ABP is a very strong name in the newspaper and magazine industry. It’s been there for long and ABP has very strong news credentials. The third segment which is the trade and media buyers, feedback has been positive… virtually no problem with the large houses. There again, ABP is not a new name, everyone buys print so they know. So it has been positive, and it’s best manifested in the sales that have happened in the last couple of months. I am fairly confident that we will be able to pull this through comfortably.

     

    But the biggest component is the viewer, which is untested yet and that’s where the ratings come in.

    Frankly, unlike the entertainment media where your ratings are linked to some big property and the fate of the channel is linked to that property, in a news channel, where even before the name change there is a fair degree of clutter and poor differentiation. Over a period of time, each channel has established rating levels based on consistency of its content. And that consistency is driven by the way we report, the speed of reporting, the honesty, the faces or the anchors who come on our channel, the kind of programmes we have. Now those things don’t change, the reporting and the people are the same. To my mind, just a logo change in the corner doesn’t dramatically change impact of the news channel. And if you take the two regional channels, Ananda and Majha, they are clear market leaders, and there again nothing changes- the anchors are the same, reporting is the same, and the position of the channel in the EPG is the same.

     

    Any attempts to retain viewership… like contests et al? And any specific measures to retain advertisers? And for the distribution trade?

    No, we are not resorting to any short-term activity to garner quick eyeballs because our genre doesn’t subscribe to that. What we can potentially do is break big stories but there is already so much action happening. What we are doing is engaging with our trade, media buyers and distributors. We are having a series of meetings with them, small personalized interactions where we can chat and exchange views with them. It’s more of a personalized engagement with the constituents rather than any on-air activity for the viewer.

     

    Given that there is a change, are there any specific areas that you are changing in the new channels?

    It would be exactly the same and deliberately so. We just want to do one measure at a time, so at this point there is no change other than the name change. But as we progress into the new name and once the new name gets fully established, people start recognizing it, and then we will look at other measures like relaunching the channel, changing the look and feel etc.

     

    When is that likely to happen?

    Too early to say.

     

    Our columnists Anil Thakraney had commented that this is possibly a good occasion for changing some of the typical things that are common on Hindi channels, like over-sensationalizing etc. Are you thinking of doing that now?

    No, actually if you watch the channel, we have done that for the last one-and-a-half years now. This is a common misconception most people have because they don’t see Hindi news channels on a regular basis. This is a genre problem where we have a lingering perception. For example, I have got out of astrology for a year now, I don’t have a single programme on the channel which talks about astrology. It’s been more than a year-and-a-half since we got out of religion. Now we have not gone out on the rooftops and shouted about it but all these things we’ve already done. We have only hard-hitting news on our channel from 5pm to 10pm. And we’ve done this because we felt this is the right thing to do for a genre not because our name is changing. To my mind, in a news channel, these changes take time to notice.

     

    A programme like ‘Asar’ with Aamir Khan would’ve obviously started on Star News because it was a Star Plus show. Will the preferred partner status continue to exist even after June 1?

    Yes, in fact they are still our shareholders. Secondly, all such deals are purely on a commercial basis but obviously relationships were strong. In fact not many people know that Satyamev Jayate used to be a programme on Star News started by Uday Shankar when he used to be here. And we didn’t have a problem in them doing Satyamev Jayate, so the relationship continues. They continue to be our distribution partners, they continue to distribute our channels internationally.

     

    There is this news that Star might also exit the JV because they say it is not really worth their while to have a stake when they don’t have any say. Is that something that you have factored in?

    Actually I don’t want to comment on it because it’s a JV issue which only the JV partners can address. And I think it is best addressed by Star and ABP. But I guess any commercial investment by any investor has to be based on commercial returns. Now how an investor evaluates investment in the news business depends entirely on the investor.

     

    Have you done any brand studies or surveys on the acceptability levels of the new names?

    Yes, we have done research. A name change always has to be a combination of some research and some amount of strategy. One can’t entirely depend on research, it’s like naming a baby, where you look at the ‘granth sahib’ and pick up the alphabet and choose your name. So I think for us, given the fact that ABP is a serious player in the news business and they have long-term ambitions to be in news, including broadcast news, it did make sense to have a master brand which can be built going forward. So it was a combination of strategy and research.

     

    How active will ABP be, or will it be the same with you running the enterprise and ABP being on the board level?

    Nothing changes even on that front. Even now both the shareholders, Star and ABP continue to be the parents allowing MCCS to do its own thing. They were always available to be tapped, whenever we needed inputs. Any dealing with them is also at commercial terms. I don’t see any change in that.

     

    The campaign of the name change kicked off rather early, from the time you made the announcement… was it part of the original design or was it something which changed later?

    Obviously we saw it coming and we had a headstart of a month or so. A couple of months were good enough for us to churn out a campaign, so that’s how it was.

     

    Will see a more robust online presence of the MCCS channels now, including an English news website?

    If you look at our entire strategy, not just online, it is driven by a simple definition of who we are and what we are. We believe that we are not a television news company, we are a news content company. If we are a news content company, we should be platform-agnostic and we should be available on all platforms where a viewer might like to consume news. So we developed all these websites and developed 3G platforms, mobile downloads etc. so that we are available in all platforms. For us the allied platforms were not like profit centres, we were happy to get the revenue but at the same time we wanted to be present in all the platforms. The problem is that the online rights of Star News were international, which is why we didn’t get .in at that point of time. So we had to go with another name. Now going forward, our strategy remains the same.

     

    Any new channels coming up in the immediate future?

    We are working on newer options… frankly, it’s a question of the right timing. It is not related to this name change or the JV, it is an independent aspect which we in MCCS have been exploring and continue to explore. I would probably wait and watch because next six months are going to be a huge turning point. For example, if the entire digitization process goes on well as planned, it has a big impact on news channels and also our own company in terms of how we project the next five years. If the digitization process gets postponed or deferred then I will be a little more cautious. We do have plans but whether I press the button or not, I’ll probably wait and watch.

     

    Will it be organic or inorganic or both?

    It could be both, it’s a question of a right opportunity.

     

    Say, for instance, if a NewsX is available, would that be an option?

    I wouldn’t rule out anything but I would evaluate everything for the value it brings and how much it costs. If it makes business sense, why not. But it’s not as if we would be chasing any particular company or a set of channels or anything like that.

     

  • A channel is vulnerable only if quality drops: Ashok Venkatramani, CEO, MCCS

    By A Correspondent

     

    A mechanical engineer from Mumbai and MBA from IIM, Ahmedabad, Mr Venkatramani started his career with Unilever, and was with the FMCG giant for 19 years. He held the position of Vice President and Business Head for Unilever inIndiatill February 2008, heading their largest and most profitable business – toilet soaps and skincare business.

     

    From Unilever, Mr Venkatramani moved to being appointed CEO of the Star-ABP JV which ran the news channels of Star India.

     

    While the buzz in MCCS that we are hearing is very positive, what we hear is that the end of the alliance will possibly see MCCS expanding into more channels… a Punjabi news channel, for instance?

    We are always on the look-out for growth and this development has nothing to do with it. I think we have the scope to grow organically and inorganically and we are constantly evaluating options.

     

    While it’s the content that should speak for a media entity and not its name, the fact is that Star is a household brand in the country. Do you see a setback for the Hindi and Marathi news channels since ABP may not necessarily strike a chord with viewers?

    No, not a set back at all. With the Marathi and Bengali channels, Majha and Ananda as suffixes are unique and have grown in popularity and acceptance. Of course, that’s not the case with Hindi where the suffix is ‘News’ and hence generic. So, yes, Hindi is a challenge on a relative scale, but not so with Marathi and Bengali.

     

    Would you expect more synergies with ABP print from now on?

    There will be no significant change on this front… it will be what it has always been.

     

    So will we now a see a blitz to communicate the name change?

    Yes, there will be an aggressive campaign to announce the change, especially in Hindi.

     

    Will the change impact MCCS… your key resources, and the way the business has been done?

    No change whatsoever.

     

    There have been many cases of brands changing in the past. In telecom in Mumbai, we’ve seen Max Touch becoming Hutch, Orange and finally Vodafone. But what is fine for telecom, may not be the case for media, right?

    Yes, there are several changes. UTI Bank to Axis Bank, L&T Cement to UltraTech Cement. When there is a name change, there’s no shift in consumer base. People don’t change their bank or telecom provider as long as the service quality is maintained.

     

    So you are vulnerable only if the quality drops, and that can happen even if the name doesn’t change!