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| Interview with Star
India senior VP - ad sales Monica Tata |
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"One has to take away
as much as one can from competition"
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| Posted
on 8 April 2003 |
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Monica
Tata has completed a decade with the Star India network. She started
her career with Sanjay Dalmia's Independent Television and Sunday
Mail. In between, she spent some time with Midday group of publications
before joining Star India in December 1992.
Tata
has grown with the organisation and is currently senior vice president
- ad sales for Star Gold, Star World, Star Movies and Channel [V].
Tata has a team of 35 people reporting to her. An ambitious hardcore
professional, Tata sees herself heading a network after five years
or so.
In
a tête-à-tête with indiantelevision.com's Ashwin
Kotian,
Tata spoke about the changes in the marketplace in the last decade.
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Has
the business of deal making between agencies and channels changed
in the last decade?
The
television industry and satellite channels domain is a dynamic and
a constantly evolving medium. Ten years back, the Star Network was
lagging behind and we used to sell on the basis of perceptions and
relationships. Now, we have the numbers too. But, more importantly,
the relationships have become stronger.
In
recent years, one has seen a lot of focus in deal making. Due to
consolidation, agencies (media and creative) are under tremendous
pressure. This pressure has filtered down to everyone down the line.
The change in attitude is reflected day-in-day-out as agencies grapple
with shorter deadlines and increased client expectations. Everyone
wants to have an edge over the other.
However,
in this kind of an extremely competitive scenario, everyone involved
has become too business oriented. People in the business could be
a bit more human and realise that there is a life beyond TRPs, GRPs.
Clients are putting pressure on agencies to extract more out of
each advertising rupee or dollar. There is greater emphasis on going
beyond the normal plain vanilla offerings. Sponsorships across media
has become the name of the game even in TV related airtime selling.
There
are some changes in the marketplace and advertiser - as mindsets
are changing. It is a welcome sign. Somehow, most planners and buyers
are still struck to the past notions and connotations of media buying.
However, there is a certain threshold limit beyond which it doesn't
make sense to devalue a property.
In
the future, I see auctions and bids becoming a likely possibility.
However, technology needs to be improve and the time lag in decision
making process needs to reduce dramatically in all parts of the
country. The response factor has to be quicker.
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What efforts are being made to ensure that the advertisers/clients
are not alienated?
As
far as advertisers are concerned, the emphasis is on trust and value
creation. We are moving away from the traditional give-take or buyer-seller
mode to partnerships. There is an ardent need to create long term
relationships and associations. We aspire to give back value.
As
I mentioned earlier, we used to depend on relations and perceptions.
As the leader, we are now moving on to the next dimension of "client
servicing" in air-time sales. As leaders, the Star network
is taking steps to unfold the path forward. This is also counter
the perception in the market place that air time sellers are not
doing enough - in terms of what is being referred to in traditional
marketing as - "after-sales".
We
shall ensure that we maintain an ongoing dialogue with advertisers.
This is to break away from the general perception that air-time
sellers indulge in a lot of "hit-n-run" and don't keep
in touch with advertisers once the deal is done. We are examining
different ways of going that extra mile. We are proactively seeking
feedback from the advertisers about the response and benefits of
placing ads on our channels.
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| "We
are moving away from the traditional give-take or buyer-seller
mode to partnerships. There is an ardent need to create long
term relationships and associations. We aspire to give back
value." |
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Does
the sales pitch and negotiation process change in the case of different
channels?
The process of rate negotiations varies from channel to channel.
There are different norms and methodologies for general entertainment
channels and for the special interest channels - I don't refer to
them as niche channels. In the case of the general entertainment
channels, the game is number driven and is entirely ratings driven.
The
mantra "the more the merrier" holds true. But,
in the case of the special interest channels, the sales pitch revolves
around the environment. The environment offered by these special
interest channels goes beyond the usual metrics of ratings. For
example, consider English entertainment channels such as Star World.
It might not have numbers but its USP (unique selling proposition)
is audience/viewer loyalty. There are people who would only watch
such channels.
In
the case of special interest channels, there are a lot of opportunities
to customise packages and properties. However, one has to ensure
that the customisation is in sync with the core brand premise or
proposition. There has to be some kind of integration.
There
is a need to improvise and innovate. I must admit that it is easier
to attain these tasks in the case of certain channels and more difficult
in the case of others such as Star World. You will eventually see
greater localisation in Star World and we shall announce some mega
plans soon. The channel has a loyal and exclusive audience. It has
very little duplication too. The viewers are highly involved with
the channel and highly addicted.
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Give
us some examples of cases where you conducted innovations?
For instance, in the case of Star Movies, we have the right environment
and substantial ratings within the English movie genre. However,
we felt the need to go beyond. We packaged the proposal in such
a way that the channel had a great look and feel around it. We also
promised advertisers that we would keep the clutter at minimal or
zilch levels.
There
is no commercial break for the first 45 minutes and viewers get
engrossed. We created festivals around different topical events
of happenings. More importantly, these festivals fitted with the
brand propositions. These might be little things but add a lot of
value to the table while negotiating with advertisers and agencies.
To sum up the argument, it is all about bringing greater perceived
value and effective customisation.
Successful
examples of customisation on Channel [V] include Coke [V] Popstars,
Bada Bisleri Bada contest, Kelloggs Cheese it Cheez Out,
Kwality Walls Dil ka connection and Panga Castrol.
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Category-wise,
which are the top advertisers on the network channels you handle?
Our top advertisers are still the FMCGs (fast moving consumer goods),
colas, automobiles and white goods. We have seen increased spends
in healthcare - even ministry of health campaigns. Insurance is
yet to bloom fully because of the IRDA (Insurance Regulatory Authority
of India) and I&B ministry regulations. Even in the south, we
have roped in some small-average advertisers such as Henkel. We
are making efforts to bag the smaller advertisers.
On
Channel [V], we have seen new categories coming in - telecom, computers,
credit cards, automobiles and even white goods. With Channel [V],
we have broken several exclusive campaigns first much before the
other competitors bagged the campaigns.
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| "In
terms of channel shares, we have catapulted far ahead of MAX
and are running neck to neck with Zee Cinema. During the weekend,
we have forged ahead of Zee Cinema." |
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What
are your plans for Star Gold??
We believe that Star Gold has the potential to replicate the success
of Star Plus. The entire Nimbu mar ke campaign was more of
an attitudinal campaign. It worked wonders for the brand "Star
Gold" and encouraged sampling.
We
have taken several steps to reposition the channel offerings. Consider
for example, the Solid Gold and the Special Gold slots.
In fact, our strategy of dubbing action-packed English blockbusters
in the Saturday 8 pm slot has paid rich dividends. In terms of channel
shares, we have catapulted far ahead of MAX and are running neck
to neck with Zee Cinema. During the weekend, we have forged ahead
of Zee Cinema.
You
will see a lot of similar initiatives in the near future. Eventually,
we plan to air our recent acquisitions including the cross-over
diaspora films on Gold.
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Do
events and news play important roles in the make up of a pure movie
channel?
I
feel that combining the two (events and movies) is a misfit and
the strategy lacks clear-cut long-term vision.
If
you notice, even Bollywood based events are not doing well in terms
of viewership. There is a decline. Initially, there was a craze
and excitement but it is waning. If you notice, there has been a
sharp reduction in the actual number of events held. If such events
have to succeed, then they must be as big as the Oscars.
In
the case of Star Movies, the channel has benefited tremendously
due to exclusivity in screening the Oscar awards. It is an event
whose premium value cannot be disputed. Over the years, it has neither
lost its sheen nor its "ask" in the market.
Another
property which is losing sheen is news related to Bollywood. This
is due to the constant coverage given by news channels to Bollywood.
There could be an opportunity in creating properties such as Bollywood
News (what Star News had earlier with Samar Khan as host) but one
needs to look at it more carefully.
Telefilms
is another category which hasn't taken off in India. Indian viewers
love to associate with films which have a Bollywood feel. Normally,
the tele-film makers cannot afford stars. They also compromise on
the production values. All these aspects have succeeded in alienating
audiences. But there is potential and one needs to indulge in re-thinking.
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Will
in-TV product placements be an added revenue stream for channels?
It certainly
can be a revenue stream but we still have a long way to go before
perfecting the mechanics. One can do it across a network which has
several dominant channels in - different genres - which are miles
ahead of competition. Having said that, it requires extra effort.
However,
one has to strike a balance between customising the content in an
acceptable manner so that it doesn't upset the viewers. Moreover,
there has to be a clear-cut limit beyond which creative aspects
wouldn't be touched. There is a possibility that things might become
chaotic. One needs to develop stringent yardsticks to monitor.
Successful
examples of customisation include Coke [V] Popstars, Bada Bisleri
Bada contest, Kelloggs Cheese it Cheez Out, Kwality Walls Dil
ka connection and Panga Castrol. In most of these cases,
we managed to get a multimedia 360 degree spin around the programmes
which benefited the brands. In the case of Channel [V], we were
helped by the fact that some of the programming is developed indigenously.
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| "Collections
have improved dramatically over the last two years. The IBF
has been very proactive and all the channels have benefitted
tremendously" |
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Tell
us about channel outstandings and collections?
Collections
have improved dramatically over the last two years. The Indian Broadcasting
Federation (IBF) has been very proactive and all the channels have
benefited tremendously. At Star India, we have a separate division
which is involved with collections. This team works closely with
the sales team. Of course, the financial year-end sees some usual
glitches such as shifting towards April.
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How do you cope up with the pressures of increasing targets?
Targets
are a way of life. The key is to increase yields. As it is, ad budgets
have remained static. One has to capture a greater share of the
existing market in each genre. One has to take away as much as one
can from competition. It is not an easy task but not impossible
too. It all depends on developing packages which add value. Clients
have to be assured of value. One needs to look beyond effective
rates. Targets can be achieved with self-belief. We believe that
we are the best.
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