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Indusind Entertainment and IN Mumbai's senior VP marketing George
Sebastian says: "We have demonstrated that organised cable
can be a catalyst in encouraging local advertisers to explore the
option of television advertising. Having said that, we also would
like to point out that we have fulfilled our responsibility of offering
quality content and quantifying reach and viewership."
Hathway Cable and Datacom DGM-marketing Haresh Gehaney says: "
Conversion of local advertisers is an ongoing and continuous process.
Local cable channels offer several options such as narrow-casting
which is not always possible on satellite channels. We have also
introduced intra-city split options. Ad agencies can use us as a
repeat medium to drill messages on a regular basis as they need
to have deep pockets to advertise continuously on satellite channels."
IN Mumbai has a FPC (fixed point chart) transmission and also features
in viewership surveys of TAM India. "The advertisements that
appear on the channel can be tracked and clients can be sure of
the fact that their advertisements have been carried on the channel.
In the case of unorganised cable channels, there is no accurate
information available on the kind of movies or the ads that have
been aired or the viewership profile," adds Sebastian.
The officials representing the cable channels also claim that their
offerings compete with satellite channels and even beats it on weekends.
Consider the following statistics for cable
regional in different parts of the country
|
Zone
|
Rank of the channel
|
Channel
|
Channel share
|
|
East
|
1.
3.
5.
11.
|
Cable regional
Star Plus
Sony
Zee
|
17.53
10.7
5.37
2.63
|
|
West
|
1.
2.
5.
11
|
Star Plus
Cable regional
Sony
Zee
|
17.36
16.46
7.81
5.08
|
|
North
|
1.
2.
3.
4.
|
Star Plus
Cable regional
Sony
Zee
|
23.81
18.94
7.35
5.5
|
|
South
|
1.
2.
5.
8.
|
Gemini
Sun
Cable regional
Star Plus
|
16.37
16.19
6.16
2.33
|
Source TAM India C&S 4 years plus 2002
(Week 1-46)
"In fact, CVO has televised film premieres much ahead of satellite
channels. For instance, CVO showed Chandni Bar, Bend it
like Beckham, Monsoon Wedding and Kuch Khatti Kuch
Meeti much before the satellite channels aired the same. The
marketing teams of the satellite channels take a long time to plan
their premieres whereas we have always capitalised on the first-mover
advantage," says Sebastian. IN Mumbai has a natural advantage
as the Hinduja group forayed into film distribution and financing
business many years back.
News is another area where these cable channels have started making
their presence felt. In Mumbai, both Hathway and IN Mumbai have
already launched multi-lingual local news coverage in local languages
such as Marathi and Hindi.
So what are the rates being offered by these cable channels? CVO
offers 10-second spot rates of Rs 1000-1500 (Monday to Saturday)
and Rs 2000-2500 on Sundays. IN Mumbai rates range between Rs 300-1500
per 10-seconds.
Hathway offers Rs 200 for a 10-second spot in Bangalore and Rs
150 for a 10-second spot in Pune. "In Mumbai, we have a flat
rate of Rs 120,000 for 3600 seconds. We also have other options
on our properties such as ITV dial a song," says Gehaney.
The regional cable channels have also managed to bag a substantial
chunk of small advertising categories such as cooperative banks,
coaching classes, sweetmeat shops, construction accessories such
as marbles, tile companies, boutiques and fitness centres.
"We have clients such as Diamond Sinks, Supreme Marbles, Kajoria
Tiles, C Bhogilal and Co amongst others. With several of these clients,
we have prepared the creatives and actually performed the funcion
of their advertising agency," says IN Mumbai's Sebastian.
Hathway's Gehaney adds: " We have clients such as HDFC Standard
Life, HPCL's Lal Ghoda lube, Cans and Homes, Saraswati coaching
classes, Godrej Sara Lee and restaurants, hair oils and OTC (over
the counter) products. Certain spenders like Hindustan Lever have
cut their budgets and are off cable channels. But FMCGs are still
big spenders."
Taking a cue from these successful acquisitions, several satellite
channels have also started emulating the business models of these
regional cable channels.
'Alpha Features', the latest ad revenue generation strategy announced
by Zee's Alpha Group of regional channels, plans to do away with
the myth that TV advertising is expensive.
The innovative concept aims at targeting the small entrepreneurs
and retailers in each region by giving them a chance to advertise
brands which need high local penetration and visibility.
By doing so, the Alpha channels, part of the Zee network, expect
to expand their revenue stream by tapping the retail segment which
they expect will contribute 50 per cent of the overall revenue of
the channels.
"Today, with the introduction of Alpha Features, we are bridging
the gap existing between an advertiser and viewer by offering them
a mutually beneficial relationship. The initiative will also enable
the advertising market to grow exponentially with the introduction
of cost effective advertisements. We have advertisers like Runwal
Builders, Chintamani Jewelers, Davars College, Raj Tours and Travels
to name a few," says Alpha Channels business head Prashant
Sanwal.
Also joining the fray are news channels like Sahara TV which is
planning to launch regional channels in different parts of the country
and tap the local advertisers.
"Conditional access system will be a boon for us considering
the kind of investments we have made in cutting edge content. In
fact, CVO was the first pay-channel of its kind and networks such
as Seven Star (Mumbai) and RPG (Kolkata) actually paid us to have
it in their bouquet. CAS will give us an opportunity to stabilise,
consolidate and restructure our existing operations," adds
IN Mumbai's Sebastian.
Looks as if these players are looking beyond the top 100 advertisers
and gearing to move to the lower rungs in the post CAS scenario.
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