TELEVISION INDUSTRY

"I do not want my house to be walled in on all sides and my windows to be stuffed. I want the culture of all the lands to be blown about my house as freely as possible. But I refuse to be blown off my feet by any".
:-By Mahatma Gandhi

Most relevant when it comes to culture and globalization. Today Indian television has become the mirror of cultural diversity present in the Indian society; it unites Indian society mainly through dependence on respective film industries while disparity still exists in terms of representation of identity and access.

Television Industry : At A Glance

One of the fastest growing sector in the economy TODAY: INR 148 Billion GROWTH: 24% CAGR EXPECTED: INR 247 Billion (Next 5 yrs)

Indian Television History

Existence for past four decades. For the first 17 years, it spread haltingly and transmission was mainly in black & white. In 1955 foreign investments in print media were disallowed.

Ignition Points

Introduction of Colour TV: Colour TV was introduced in the eighties by stateowned broadcaster Doordarshan (DD) timed with the 1982 Asian Games hosted by India . Broadcast of Satellite TV: The second spark came in the early nineties with the broadcast of satellite TV by foreign programmers like CNN followed by Star TV and a little later by domestic channels such as Zee TV and Sun TV into Indian homes.

Past Trends

Few soaps like Hum Log (1984) and Buniyaad Mythological dramas: Ramayan (1987-88) and Mahabharat (1988-89) The initial success had a snowball effect: more foreign programmers and Indian entrepreneurs flagged off their versions. From two channels prior to 1991, Indian viewers were exposed to more than 50 channels by 1996.

Current Trends

Soaps : Kyunki Saas Bhi Kabhi Bahu Thi, Kahaani Ghar Ghar Ki etc. Reality Shows : Indian Idol, MTv Youth Icon, Big Boss, KBC etc. Music Shows on Zoom, channel [V] etc.

Current Statistics

Number of channels

300 in 2005 105 million in 2005; Projected to grow to 128 million by 2010 55 million in 2005; Projected to grow to 90 million by 2010 INR 148 billion in 2005; Projected to grow to INR 427 billion by 2010 INR 54.5 billion in 2005; Projected to grow to INR 105 billion by 2010

Number of television households

Number of cable & satellite (C&S)

Connected homes

TV industry revenues

Television advertising revenues

Television subscription revenues

INR 86.5 billion in 2005; Projected to grow to INR 306 billion by 2010
INR 7 billion in 2005; Projected to grow to INR 16 billion by 2010

Television software revenues

Opportunities

The Indian television market is on the threshold of a major technological change. New distribution technologies such as digital cable, DTH and IPTV are planning to hit the market soon and broadcasters and cable operators are voluntarily opting for addressable cable systems. In fact, all spheres of the industry content, broadcasting, distribution and regulation are witnessing technological changes. The Telecom Regulatory Authority of India (TRAI)-appointed as the regulator for the industry in 2004. Downlinking Policy to regulate channels. On the content side, interactive and niche programming gained further impetus. Broadcasters launched increasing number of niche channels in order to draw more eyeballs.

Future

TV-enabled mobile handsets Tie-up of Broadcasters and telecom Providers (Eg: Bharti, Hutch and Reliance Infocomm) New distribution channels

VIEWRSHIP STATISTICS

Audience fragmentation

Audience fragmentation

2005 An Year of Introduction of New Channels

News Channels like CNN IBN, Times Now etc. 22 news channels can be viewed in India today.

25 new pay channels were launched in the last two years.

Interactive formats

Reality formats, a trend that began in 2004, continued to be popular in 2005. Audience-interaction SMS Voting Top reality shows : Zees Saregama, Sonys Fame Gurukul and Indian Idol 2 and Star Groups Nach Baliye.

Penetration
Increased number of TV households, especially in the lower socio-economic strata, is expected to further fuel the growth of subscription revenues. C&S households are projected to grow faster than the growth in the number of TV households and C&S homes.

7 Ps of service marketing.

Product :

Shows on TV : News, Sports, Reality Shows, Music Programs, Daily Soaps, etc

Place :
Distribution Eras : I Era working of DD/antenna II Era Through cable operators III Era DTH & CAS IV Ea Mobile TV, IPTV

7 Ps

Price
I Era- Amount paid on getting the Antenna & Cable wire II Era- Amount paid to the cable operators III Era- Amount incurred for Set-top boxes, Variable amount for Paid Channels, Fixed amount for certain FTA channels. IV Era- Broadband Connection Charges, Online Subscription Charges.

7 Ps

Promotion

Newspaper / Magazines Word Of Mouth Billboards Outdoor Advertising i.e. Transit Shelters

7 Ps

People

Customers Cable operators Actors, Producers, Directors (Production Houses) Channel Broadcasting Team

7 Ps

Physical Evidence
-

Information Companies involved (Eg: Production House, Channel etc.) Cast Members Special and Visual Effects Key Wardrobe locations

Processes

Scripting Scheduling Pre-production Processes Assembling Editing Delivering (Clearances and Releases) Marketing and promoting

STP

Segmentation

On the basis of Age

Child (Disney hour) Teenager (Hip-Hip Hurray, MTV roadies, REMIX ) Middle age ( KBC, Kyunki Saas Bhi Kabhi Bahu Thi, News, Indian idol.) Old Age (Bhakti Sagar, News)

Targeting And Positioning

Different Channels and Programmes target the different segments of population and position them accordingly.

Sanskar Channel positioned as Religious Channel MTV as Youth Channel Star and Zee as Family Channels

Indian Telly Awards

7th Annual awards

Best Kid's Programme
Miditech Pogo

Best Hindi Movie Channel

Best Hindi Entertainment Channel

News Channel - English

Best Production House

Balaji Telefilms

Major Players in the Industry

Balaji Telefilms Optymystix Cinevistaas Contiloe Films Creative Eye Miditech UTV Nimbus Metalight Pritish Nandy Communications

Small Screen, Big Buyouts

When Star started out, it spent Rs 50,000 to Rs 70,000 per episode on its serials. Today the cost of a Kyunki Saas Bhi Kabhi Bahu Thi is about Rs 1800,000 to Rs 2000,000 per episode . Zee is spending Rs 3 to Rs 5 crore just on publicity of our serial Betiyaan. Companies like Shri Adhikari Brothers, Balaji Telefilms, Creative Eye and Cinevistaas are public companies. The Aditya Birla Group-backed Applause Entertainment is getting into television serials . Filmmaker Ram Gopal Varma is following the same route for his television foray. UK's largest television production house Endemol, which launched its Indian operations last January, is making Big Boss for Sony and Great Indian Laughter Challenge Two for the Star Network. News Corp's Fox Entertainment's application for a 100 per cent Indian subsidiary is also awaiting FIPB clearance. ICICI has a 25 per cent stake in Miditech.

Television to Films
Cinevistaas - Yeh Mohabbat Hai,Shhhhand Garv- Pride and Honour Balaji - Kyonki Main Jhoot Nahin Bolta , Kucch To Hai and Krishna Cottage. Pritish Nandy's PNC Kaante, Jhankaar Beats, Chameli etc. Zee Telefilms - Gadar- Ek prem Katha

Thank You