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| Interview with Prasar
Bharati deputy director general Vijayalaxmi Chhabra |
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'Our
persistent endeavour is to get DD its due rates, which should
match the high viewership it has'
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| Posted
on 11 April 2006 |
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A
day after
Prasar Bharati deputy director general Vijaya Laxmi Chhabra struck
an "unconventional" cricket marketing deal with Zee Telefilms,
we requested an immediate interview and she showed no qualms about
fixing one up for the very next day.
Fighting
through numerous client meetings and bargains, Chhabra is a picture
of professional satisfaction when she meets us finally, late in
the evening.
"It
has been a long but fruitful day," she offers proudly, while
we nurse guilt feelings of having stretched her for another hour
with a Q&A session. Determination and confidence personified
is this senior bureaucrat who has a street-smart marketing brain
ticking behind the officialese.
Over
to Chhabra, in conversation with indiantelevision.com's
Bijoy A K.
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You have completed six years heading marketing at Prasar Bharati.
Looking back, what's it been like?
When we started under the leadership of the then CEO RR Shah, we
had nothing to sell except the prime time news on DD-1. The journey
began slowly but with a steady pace and the big break came when
we successfully marketed the India-West Indies cricket series in
2001. The division offered to raise Rs 350 million and we went on
to raise Rs 550 million. This strengthened the view that more revenues
lie in direct marketing of events / properties on an in-house basis
by DD. Then the division progressed to make Rs 1.8 billion from
the 2005 Pakistan series and Rs 1.4 billion from the 2005 Sri Lanka
series.
Thus
we realised our strength and started selling feature films. During
those years, neither good films nor good money was coming from private
marketing agencies. This changed when the marketing division seized
the opportunity of unlocking huge revenue potential on DD through
the direct marketing of the films. Presently, we are generating
Rs 10 million each from every Friday - Saturday film. Feature films
have contributed Rs 1.10 billion to the revenues of Prasar Bharati
during the 2005 - 2006 fiscal. Rs 3 billion has come out of cricket.
Then
we took over the prime time segment from the private producers.
The slot selling system was discontinued and we established this
new system called Self Finance Scheme (SFS) in 2005. This way, we
realised that we can generate three times more money than what private
producers have been giving us through the old system. Presently,
we have taken over 90 per cent of the prime time slots on Doordarshan
and we are now in the process of establishing SFS in the mid-day
prime time segment.
The
team has been doing a good job. The Mumbai marketing division contributed
about Rs 5.6 billion to Prasar Bharati's recorded revenues of Rs
12.38 billion during the 2005 - 2006 fiscal. So yes, it feels very
good while looking back.
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How
did the market respond when you started the self-marketing initiative?
How did the organisation support you?
The agencies were not used to the Prasar Bharati marketing system.
They used to buy from producers. But once the industry realised
our efficiency and productivity, the outlook underwent a change.
The entire advertising industry gave us full support. The industry
has surely benefited since we provide them a single window system
-- which is very transparent -- for doing deals. The system is very
much in place that, even a Rs 1 billion deal can be done in a single
day.
In
a government organisation, you really need the support of your seniors
to conceptualise and implement new things. I was very lucky in this
case. I got tremendous support and encouragement from my CEO KS
Sarma and director-general Navin Kumar. They gave me full backing
in all my ventures. Whatever I have done and achieved wouldn't have
been possible without their support. My colleagues have also helped
and facilitated me in all the different things we did, though there
was bit of apprehension in those initial days.
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What is the big idea for Prasar Bharati in 2006? Which are the new
initiatives planned in terms of marketing and programming?
Now
since we have recorded some good revenues, a major chunk of investments
should be made in creating good qualitative content. Instead of
churning out run-of-the-mill stuff and thus replicating the programmes
dished out by satellite channels, DD should be making efforts towards
establishing its identity in the market.
Personally
speaking, my heart bleeds looking at the kind of programmes the
industry produces and consumes. I really miss those Tamas and
Buniyaad days. I believe that viewership and money shouldn't
be the only criterion that one should take care of while producing
shows.
But,
at the same time, when I say good qualitative content, it also means
commercially viable programmes. So speaking about the big idea for
the new fiscal, Doordarshan wants to come up with really good qualitative
programmes. Some good investments will be made in this sector. Lots
of Indian classics are going to be produced this fiscal.
On
the marketing front, the plan for this fiscal is to introduce and
establish SFS in DD's regional Kendras. When we have the necessary
know-how and the expertise, why we can't just do it? Of course,
it will be a challenging assignment for us. SFS is already activated
in DD Sahyadri. We are yet to finalise the next set of Kendras for
this initiative. However, I feel that, SFS will pick up fast in
Kendras such as Kolkata, Thiruvananthapuram and Bhubaneswar.
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As decreed in the downlinking policy guidelines issued by the government,
the revenue share for cricket -- between Prasar Bharati and the
channel which holds the rights -- is 75:25 in favour of the latter.
That means, Prasar Bharati will have to take a cut on returns from
cricket, from now onwards. Hence, cricket will cease to be a major
revenue driver for Prasar Bharati. How would you handle this challenge
this fiscal?
That
is part of the dynamics of the market. It is obvious that with no
telecast rights in hand, DD wouldn't be able to generate the same
kind of revenues. But we will try to overcome this handicap by effectively
operating SFS. Prasar Bharati is looking to acquire 100 per cent
of the slots to bridge the gap it will be losing out on cricket.
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What
kind of new revenue streams will you be exploring this fiscal?
Our efforts will be to beef up the present system. Of course,
DTH will play a major role as an additional source of revenue in
the new fiscal. With more private players entering the arena, it
will be a great challenge for us.
Speaking about other initiatives, we have already started selling
scroll advertisements in our Low Power Transmitter (LPT) stations
and High Power Transmitter (HPT) stations. Then, DD's first ever
reality talent hunt show Kalaagaarz has delivered decently.
We have also effectively explored the SMS domain through this activity.
Kalaagaarz has fetched us about Rs 4 billion.
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'Now
since we have recorded some good revenues, a major chunk of
investments should be made in creating good qualitative content'
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How much do you target to garner from the ongoing India-England
ODI series and the upcoming Abu Dhabi series?
No
comments at this stage.
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How did the Zee-DD deal to co-market the Abu Dhabi ODI series come
through?
This is crucial for us as the deal would help DD-1 to protect
its market rates. If I don't market this property, we will have to
take the money that the rights holder gives us without any questions.
We have spent four years establishing good rates for DD-1. All these
efforts will go waste if we don't have a presence in the marketing
campaign.
It
is not surprising that Zee agreed to co-market the ODI series with
Prasar Bharati. By associating with us, Zee is in a position to
reap the benefits of our experience as an efficient marketer of
cricket properties. And in its own right, Zee is a big name, and
thus, we both will benefit from each other's expertise and experience.
By selling the rights in one package through a joint rate card,
we will be making more money. This is because, there wouldn't be
any undercutting of the rates.
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Will you be making efforts to strike a similar deal with Nimbus,
which holds the five year India cricket rights?
It depends on the success of this initiative.
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In a 2003 interview to indiantelevision.com, you had reasoned
Prasar Bharati's decision to create a separate marketing division
by commenting that the yield per 10-second spot for DD hadn't increased.
Now, standing in 2006, please explain to us the progress you have
made so far through this new system.
We have gone a long way since then. The best thing that happened
is we have stabilised our rates. After Prasar Bharati has taken
over the DD National prime time, we have not only stabilised the
rates, but also have killed the trend of undercutting. All our bulk
buyers have been giving us good rates. Now, as I mentioned earlier,
the effort in this fiscal will be to come up with good qualitative
content, which would obviously help us to hike our rates.
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Hasn't the reported improvement in your Tam ratings inspired you
to hike your rates recently?
We have not touched the cart at all. The effective rates of
the channel have stabilised and have now gone up. I can't say we
have hiked the rights outright since most of the deals are being
done in bulk and for long term. However, our persistent endeavour
is to get DD its due rates, which should match with the high viewership
it has.
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During an earlier conversation, you had mentioned to us the need
for Doordarshan to promote its shows through publicity campaigns.
How far have you progressed on this front?
Outdoors promotion is something we want to get into to promote
our shows, but there is nothing concrete in this regard as yet.
In terms of channel promotions, the service has been improved. We
have structured all our on-air promotions now to give the best service
to each producer.
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Are there any unconventional marketing strategies you have initiated
in the recent times?
Not many. The association with Zee to co-market cricket can
be considered as one.
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How would you rate the performance of DD's regional Kendras in the
FY 2006?
I can't comment much on this since I am not directly connected
with the regional operations, except for DD Sahyadri. Each regional
channel is working very hard to deliver the best, though. DD's regional
channels have been facing tough competition down South, since the
C&S penetration in this region is very high - a fact we have
to live with. Performance-wise, DD Sahyadri, which posted revenues
of Rs 250 million in the just concluded fiscal, has been the highest
grosser among DD's regional channels.
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What do you have to say about dropping of popular programmes by
DD's regional channels to adjust cricket telecast?
When you don't show cricket on DD-1, then there are complaints
from viewers and court cases are filed. So, we are forced to show
cricket on the channel on public demand. It is just a myth that
we do it for money. Those slots that we are forced to drop during
cricket also bring us money. Hence, it is not just money. Being
the pubcaster, we will have to respond positively to people's demands,
likes and dislikes and in whatever we do, we give priority to public
interest.
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Have you started marketing the three World Cup Football matches
(two semi finals and final), which you will simulcast with ESPN
Star Sports?
Yes, we have already sold almost 100 per cent of the inventory.
We are selling a 10 seconds spot for Rs 60,000. The advertisers
we have roped in include Hutch, Pepsi, Nokia, Onida, Tata Motors
and Western Union Money Transfer.
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Are you still part of the core team of All India Radio (AIR)?
Since I am focusing on the marketing of Doordarshan, I am not
in a position to devote much of my time to AIR. However, I am part
of all key policy discussions. Marketing-wise, whenever we do bulk
deals and those relating to cricket, we always include AIR.
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What is your take on the FM radio scene, which is opening up now?
How would AIR cope with challenge from the private sector?
It is a welcome change. Both the public and FM radio players
will capitalise on this change. Having worked in AIR for a very
long time, I understand the power of radio as a medium. Private
FM stations will face tough competition from the AIR stations in
respective regions and vice versa. The competition will surely inspire
AIR to perform better. So, overall, the changes will do a lot of
good to the industry. Speaking about human resources, talented youngsters
will benefit from this boom in employment opportunities.
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