Cable TV

DPOs, consumer data and the art of upselling content

It is tough for traditional players to have robust consumer profiling

DTH

KOLKATA: In the age of online content platforms, knowing what consumers want has become the key to customer acquisition and retention. While these platforms have tons of data to woo the target audience, it is tough for traditional players in cable distribution ecosystem, especially multi-system operators, to have robust consumer profiling.

However, (direct-to-home) DTH players like Tata Sky have already started innovating the area and MSOs are following suit slowly. At a distribution-related panel, ‘Broadcast and distribution challenges and the road ahead’, hosted by Indiantelevision.com, all the panellists agreed that if they need to upsell or cross-sell content, a significant amount of data is needed.

“We do a bit of analytics. In the DTH industry, there is only one way of communication, the return path data (RPD) is not there. However, we have tens of thousands of dongles, through which we get some back-channel data, the reverse path identification based on which we do some customer segmentation like what channels they are watching, which regions are focusing on which channels. We are seeing as a trend that there is an inclination towards watching more regional content that has accelerated during Covid2019 pandemic,” said Tata Sky chief financial officer G Sambasivan.

“We try and do a lot of upselling based on customer analytics so that our hit rate in terms of conversion is on the higher side so that we don’t do carpet bombing. We select those customers and we try to upsell channels to them based on our estimate of which will be appealing to which type of consumer,” he added. According to him, Tata Sky has tasted success in the method and so, keeps improving analytical capabilities.

IndusInd Media & Communications Ltd (IMCL) CEO Vynsley Fernandes said that the problem is bigger for MSOs due to two major issues. Firstly, RPD will come at a high cost. Secondly, unlike DTH players, MSOs don’t have access to last mile-consumers directly since local cable operators (LCOs) act as the medium of connection. However, he mentioned that some MSOs are studying consumers but have not deployed any system yet. Moreover, if they deploy anything there is a concern about what is a valid sample size. He also mentioned that IMCL has been working with LCOs to build its database. Although he acknowledges that it is not optimal like other industries, it is getting better slowly.

“Since the customers are with us for 25 years, it is impulse and intuition that helps us drive the ARPUs. Around 60 per cent customers go with DPO packages,” Metro Cast Network Services Pvt Ltd promoter Nagesh Narayandas Chhabria said. 

Indian Cable Net Company Ltd director Suresh Sethia also spoke of the broadband box integrated with the network of cable users that gives them data on who is watching what. They have at least 3000 such boxes.

Siti Networks Ltd CEO Anil Malhotra said that as they are in b2b business, they can’t have direct contact with consumers, especially with LCOs in the middle. “But whatever choices customers have made are saved in our back end. Based on that, if any upselling or marketing has to be done, we can easily do it. As our business model is b2b, we consider what operators are doing in real-time is better. On a single way of communication, there will be a limitation,” he added. 

PwC India Entertainment partner media and sports advisory leader Raman Kalra did not agree to this view as he thinks every business is b2c in the M&E sector. He cited the example of print industry that did not have a direct connection to consumers and now the industry is struggling to adjust with digitisation. 

“Until and unless you [DPOs] go and check with you customers and have a reverse path, you will always be conjecturing what your customers are watching. While in past we could not have it, going forward we can align our LCOs also to the idea that is important to know what our consumers are watching. It would help you to build a business for yourself as well as for your direct consumer. So, it’s time we get LCOs on partnership mode, teach them, educate them, and only then will it unlock. Otherwise, all will keep going in circles,” Star and Disney India distribution and international business president and head Gurjeev Singh Kapoor commented.

IndiaCast Media Distribution Pvt Ltd president Amit Arora said that they have to offer various propositions so they can hold on to consumers.

Latest Reads

https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/08/01/hindujasnxtdigital.jpg?itok=yrkn05T9
NXT Digital does a financial turnaround in FY 2020

MUMBAI: Among the early movers in the cable TV industry, the Hinduja group run - NXT Digital has turned out impressive financials for the financial year 2020. The topline has shown significant growth, it has turned EBIDTA positive and how; the red ink on its bottomline has been replaced by fat...

Cable TV Multi System Operators
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/07/23/Hathway.jpg?itok=amHhFgAF
Hathway reports higher profits despite lower revenue

The Mukesh Dhirubhai Ambani-controlled MSO and broadband internet services provider Hathway Cable and Datacom Ltd (Hathway) reported consolidated profit after tax (PAT) at Rs 66.06 crore for the quarter ended 30 June 2020.

Cable TV Multi System Operators
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/07/22/tv.jpg?itok=i1ZFo0dm
APOS 2020: Why Indian pay TV still holds a lot of potential

Even as the doomsayers have been predicting impending doom for India’s television business and tomtomming the growth of streaming services, Tata Sky CEO Harit Nagpal and IndiaCast Media Distribution Group CEO Anuj Gandhi believe that there’s tremendous scope to grow pay-TV in India.

Cable TV Multi System Operators
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/07/21/den.jpg?itok=_zxnxEWE
Den Networks reports higher profits despite lower revenue in Q1-2021

Indian cable TV and broadband services provider Den Networks Ltd (Den) reported 3.8 percent lower consolidated revenue for the quarter ended 30 June 2020 (Q1 2021, quarter or period under review) as compared to the corresponding year ago quarter (Q1 2020).

Cable TV Multi System Operators
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/07/17/hatway.jpg?itok=2j3huN60
GTPL Hathway reports higher subscription revenue, improved numbers for Q1-2021

GTPL Hathway Ltd (GTPL) reported 19.3 percent growth in revenue for the quarter ended 30 June 2020 (Q1-2021, quarter or period under review) and 8.9 percent growth in the operating profit for its cable TV business (CATV business) as compared to the corresponding year ago quarter Q1 2020.

Cable TV Local Cable Operators
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/07/02/Siti-Network-Limited.jpg?itok=5umQ1mPg
Siti Networks reports improved numbers for FY 2020

The Essel group’s MSO major Siti Networks Limited reported 5.3 percent higher consolidated simple EBIDTA for the year ended 31 March 2020 (FY 2020, year or period under review) as compared to the previous year FY 2019.

Cable TV Local Cable Operators
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/06/30/Siti-Network-Limited.jpg?itok=IdvZ5lLL
SITI Networks' FY20 Operating EBITDA surges 1.2X Y-o-Y to Rs.3,538 Mn

SITI Networks Limited (BSE: 532795, NSE: SITINET), an Essel Group Company, one of India’s largest Multi-System Operators (MSO), has released its Consolidated Audited Financial Results for Q4 and full year FY20, ending March 31, 2020.

Cable TV Local Cable Operators
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/06/30/mpa.jpg?itok=JhoQk6yC
MPA announces launch of APOS 2020 Virtual Series

APOS, the defining voice and global platform for the Asia Pacific media, telecoms and entertainment industry, is shifting online in 2020 with two virtual editions on 21-23 July and 1-3 September 2020.

Cable TV Multi System Operators
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/06/20/cyclone%20Amphan.jpg?itok=oLgBh002
Kolkata cable TV network rebuilding after cyclone Amphan

KOLKATA: Amid the Covid2019 crisis, several districts of West Bengal including Kolkata had been devastated by powerful cyclone Amphan last month. Cable TV and broadband service providers are reeling across the state due to huge infrastructural losses. Although the players are putting high effort to...

Cable TV Local Cable Operators

Sign up for our Newsletter

subscribe for latest stories

* indicates required