MAM

Hiking ad rates a tough task for music channels

https://www.indiantelevision.com/sites/default/files/styles/smartcrop_800x800/public/images/tv-images/2018/04/09/MTV.jpg?itok=v_boubDl

MUMBAI: MTV India has decided to hike its ad rates even as it has readied international format show launches, something the youth-music genre has found it difficult to enforce in a cluttered environment.

The change in positioning of music channels has followed a market logic - that non-music content can command higher ad rates. Channel [V] had launched some big-ticket shows in the past for the same reason and has recently started airing a fiction show. UTV Bindass also has a mix of non-fiction and fiction shows where they claim to charge a premium.

While the youth-music channels do have shows where they can ask for a premium, making them profitable has not been easy as content costs are higher.

Can pure play music channels up ad rates?

Says 9X Media EVP network sales Pawan Jailkhani, “9XM time and again has got rate hikes from the market because the channel is most stable and dependable in terms of deliveries and it is one of the most cost efficient and relevant channels in the client’s plan.”

So does the industry, which is marred with high competition, similar or no exclusive content, and high cost of non-fiction, have to increase its ad rates to survive? Media executives believe that they have to. Jailkhani says, “The music genre has to have rate hikes as it is still undervalued in terms of rates vis-?-vis deliveries.”

But some media pundits feel players need to understand that there has to be consistency in their performance.

A media buyer said it will be hard for youth and music channels to ask for higher rates. “Advertisers have already put in money on Cricket World Cup and now IPL. They may not be interested on spending more money on these channels this year.”

The existing players can be broadly categorised under three categories. The youth channels consist of MTV, Channel [V] and UTV Bindass; the pure play music channels are 9XM, Mastiii, Music India, B4U Music and Zing; and the Bollywood entertainment/trade channels include Zoom, ETC, E24 and Big Magic (earlier known as Imagine Showbiz).

So will MTV‘s decision lead to an ad rate hike in the youth channel category? Channel [V] has no such plans. EVP and GM Prem Kamath believes that whenever advertisers see value in the offering, they do pay premium. “Advertisers look for fair value," he says.

UTV Software Communications‘ Bindass did not want to participate in this story.

For the pure play music channels, the game will get tougher.

How will players like Zing and ETC be impacted? Says Zee Entertainment Enterprises Ltd (Zeel) chief revenue officer and head, niche channels Joy Chakraborthy, “Increasing the ad rates is a continuous process. In the new fiscal, we are signing deals on incremental price.”

Latest Reads

https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/31/one.jpg?itok=efpfseBd
New OnePlus film advises cybersurfers to ‘disconnect’

MUMBAI: Smartphone maker OnePlus has released a new campaign titled ‘Stop at Nothing’ which emphasises the need to use the technology around you productively while also taking the time to disconnect. Featuring actor and writer Kalki Koechlin and produced by Lightstream, the film has been shot...

MAM Marketing MAM
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/31/ipl.jpg?itok=Zhxw67oN
Chennai Super Kings is driving IPL13’s social media popularity: Wavemaker Mesh Report

IPL buzz volume is on track to go two times from the last season, reaching more than 60 million, indicated the Wavemaker Mesh report, released recently. Last year, the buzz volume was 37 million. 

MAM Marketing MAM
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/30/natione.jpg?itok=I0H_cUp4
Notione allies with Eventoss for integrated brand building

NEW DELHI: Eventoss Entertainment has won the digital media mandate for Notione, an Indian agro-based food and beverages brand. Eventoss will handle website, digital and social media operations and provide integrated communication services to enhance Notione’s brand visibility and strengthen its...

MAM Media and Advertising Account
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/30/oats.jpg?itok=TYeDAuok
Quaker India promotes ‘DIY Brekkies’ ‘for healthy breakfasts

NEW DELHI: Quaker India has launched Do It Yourself (DIY) Brekkies, a digital campaign to promote everyday healthy breakfast eating. The snackable video series (60-90 seconds) on YouTube offers a variety of recipes to add an ‘oat-a-licious’ twist to everyday breakfast dishes and will continue to...

MAM Marketing MAM
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/30/taco.jpg?itok=fKg0lxmU
Taco Bell launches ‘Best at the Best Prices’ campaign

NEW DELHI: Taco Bell has announced the launch of its new ‘Best Of Bell’ menu, which offers the fast food chain’s signature menu items at ‘surprising prices’.

MAM Marketing MAM
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/30/aviii.jpg?itok=vzPLZXp9
TRP rat-race is destroying business models, country: ABP's Avinash Pandey

NEW DELHI: The business models of how news broadcasting is done in India needs a huge overhaul, opined ABP News Network CEO Avinash Pandey in a virtual fireside discussion with Indiantelevision.com founder, CEO, and editor-in-chief Anil Wanvari on day two of the News Television Awards Summit....

MAM Marketing MAM
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/30/mohit_joshi.jpg?itok=6oJhf4jX
Mohit Joshi elevated to CEO, Havas Media Group

Mumbai: Havas Group India has announced the elevation of Mohit Joshi to CEO of Havas Media Group with immediate effect. This appointment comes as part of the acceleration of the group's overall growth strategy. Prior to this Mohit was MD Havas Media Group. He will continue to report to Rana Barua,...

MAM Media and Advertising People
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/30/hero-harley.jpg?itok=E7q6iu2-
Will Hero be the saviour Harley-Davidson needs?

NEW DELHI: The world's largest two-wheeler manufacturing brand Hero MotoCorp earlier this week announced a distribution agreement with Harley-Davidson for the Indian market. As per the agreement, Hero will sell and service Harley motorcycles across the country. The development comes closely after...

MAM Marketing MAM
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/29/tvs.jpg?itok=SriRnGDH
TVS Motor Company clocks revenue growth of 6% in Q2

CHENNAI: TVS Motor has reported revenue of Rs 4,617 crore in the second quarter of 2020-21 as against Rs 4,353 crore in the second quarter of 2019-20, registering a growth of 6 per cent. The two-wheeler maker’s PBT before exceptional items has grown by 14 per cent at Rs 267 crore during this...

MAM Marketing MAM

Sign up for our Newsletter

subscribe for latest stories

* indicates required