Television

Shop CJ eyes deals with Sun Direct and MSOs to expand reach

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NEW DELHI: The home shopping market in India is hotting up. With players like Best Deal TV and the newbie Big Deal TV for the south entering the market, the existing players are looking at upping their game plan.

In the midst of growing competition, Korean home shopping player Shop CJ is looking at expanding its distribution network and in turn increase its turnover to approximately Rs 1200 crore this fiscal.

Shop CJ is currently available on four DTH platforms namely Dish, Tata Sky, Airtel digital, and Videocon d2h. The company is now looking at entering into a distribution agreement with Sun Direct so as to make in-roads into the southern market. Moreover, with a presence on two major multi-system-operators (MSOs) namely Hathway Cable and Datacom and Den Networks, Shop CJ is also eyeing deals with other MSOs to reach the entire country.

Claiming that Shop CJ was the third largest shopping channel in India, Shop CJ chief financial officer N Ramakrishnan told Indiantelevision.com that the company spends less than 10 per cent on marketing the channel in India.

Ramakrishnan also said that Shop CJ, which believed in personal contact and word of mouth publicity, had for the first time launched a television commercial. The TVC showcases its product offering that syncs with the company’s philosophy to bring ultra-trendy, durable, cost-effective, innovative and customer-friendly products, which delight the customers. “The TVC also showcases the new brand identity and name change from Star CJ Alive to Shop CJ with the new brand tagline - ‘shop a new trend’, which signifies company’s product offering that are in synch with customers lifestyle and latest trend,” he said,

Ramakrishnan said that unlike most other shopping channels on TV, Shop CJ was not concentrating as much on electronic items as on kitchenware, clothes and other items that appealed to the homemaker.

Focusing on its core USP of product portfolio, content and multichannel business model, Shop CJ will reach out to its customers with a mix of Indian, international and private brands to offer them variety and choice. While some Korean goods are also sold on the channel, the channel’s concentration is more on Indian goods.

Shop CJ director and CEO Kenny Si Yeol Shin said that the Indian teleshopping market stood at $5,525 million at present and that the channel’s major sales came from Delhi and Mumbai.

“We are very optimistic on the home shopping industry in India as it has the potential to grow by leaps and bounds in the coming few years. Being a multichannel platform is a huge advantage for us as it gives us the opportunity to tap customers from various sources. However, the target groups for each of these mediums is different. TV viewing majorly happens by housewives and other two mediums of internet and mobile by working professionals. Hence we plan to reach the customers with differentiated content, which is relevant and engaging. Being a global leader, we want to change the face of home-shopping in India and we stand committed in our efforts to do so.”

Additionally, Shop CJ is also planning to improve its backend service in order to serve customers quickly and effectively. Being a multichannel platform, Shop CJ will also bring synergy between the three platforms by communicating about online buying option on the TV channel. Whereas on the mobile platform, it will have live streaming option where customer can watch shop CJ channel on their mobile.

Breaking away from the clutter of typical home-shopping channels in India selling sauna belts and slimming teas, Shop CJ has gauged the shifting trend in home-shopping and focused on providing a good product portfolio, engaging the customer through its unique programming, which is entertaining and informative.

Shop CJ’s product-mix, content and multi-channel business has helped the company retain customers at a repeat purchase ratio of 40 per cent.

In the Rs 40 billion TV home shopping market in India, Shop CJ competes with players like HomeShop18, Den Snapdeal TV-Shop, Best Deal TV and Big Deal TV.

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