From the desk of Strategic Resources
For any query, discussion or feedback, please contact Pavan Chandra, Head of Strategic Resources at pchandra@zenithoptimediaindia.com, +91-124-4195100. Office Address: 10th Floor, Vatika Tower, Block-B, Sector 54 Gurgaon -122002, Haryana, India.

Volume: XVIV

January, 2009

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In these hyper charged times where news comes in as fast as it becomes outdated, we need a source that can keep track of what matters to us. At ZenithOptimedia we have created Wavelength to apprise all of us of the happenings in three areas i.e. 1. Trends in Digital, Retail, OOH, Consumers and the International Advertising 2. Media & Advertising Research 3. Environment

Also included here are innovations and news that ZenithOptimedia is making across its network globally, under three sections 1. ZO Zone 2. Fast Forward 3. Touchpoints.

Simply click on any of the sections on our snazzy control panel and you will have the latest updates at your fingertips. Wavelength will reach you in the first week of every month so that you have information that leads to insights.

Drop in a mail at pchandra@zenithoptimediaindia.com with your suggestions and comments.

Emerging Trends: Digital

1. MySpace screens Slumdog Millionaire - Jan 21

MySpace has launched a special programme that is sure to make its users the target of much envy. Black Curtain Screenings will allow MySpace users to watch eagerly awaited new releases for free. Hari Krishnan, country manager, MySpace India, says in an official communiqué, "We're giving our users an entirely new experience and the opportunity to enjoy the most anticipated and hyped movies before anyone else. Users don't have to pay for the privilege or scout for passes -- they only need to create a profile on Black Curtain India and take along a printout of the profile to gain entry at the theatre.

Source: Agencyfaqs

2. Beep a new advertising platform on mobile phones - December 18

3. IAMAI conference: Mobile will rule the ad world – Jan 19

The mobile medium has been striving to find a place in media plans, and with more awareness of its numerous attributes, it stands a chance of becoming the most sought-after medium in the times to come. According to Maroo, advertisers are looking for solutions that are non-intrusive, targeted, contextual, integrated, transparent and interactive, many forces were working to make available inventory that could work across platforms -- voice, SMS, WAP and video can be contextually targeted with simple interactive tools.

Source: Agencyfaqs

4. Nielsen: 57 per cent respondents stream ads on the Net – Dec 29

Nielsen, the marketing research firm, has released the findings of an online survey on multimedia consumption and ownership patterns in India. Console video game systems are more popular as 9 per cent of the respondents said they own one, while only 7 per cent respondents said they have handheld video game systems. Respondents preferred playing video games on their computers or portable phone devices as compared to playing games on video game consoles or handheld video game systems. Increased penetration of the Internet has led to a rise in streaming or downloading of audio and video files.

Media items streamed from the Internet include music or other audio tracks (66 per cent), music videos (59 per cent), ads or movie trailers (57 per cent), TV shows or clips from TV shows (46 per cent), full-length movies/ movie clips (42 per cent) and video games (32 per cent).

Source: Agencyfaqs

Emerging Trends: OOH

5. Amul will now 'linger' on Satyam fiasco – Jan 19

The country's bestselling table-butter brand, Amul, is well known for its topical, spoof-based outdoor ad campaigns.Continuing with tradition, Amul has now spoofed the Satyam fiasco, not sparing the chief executive officer, Ramalinga Raju and his alleged fraud of Rs 7,136 crore. The campaign creative depicts a caricature of Raju in the "eye-wiping" pose that was splashed across newspapers and magazines soon after the news broke.

Source: Agencyfaqs

6. Platinum Outdoor helps Idea Cellular 'breeze' into Punjab – Jan 15

Idea Cellular was launched across markets in India with a number of outdoor innovations. The service was launched in Punjab and outdoor was a key element in the media mix used to communicate the evolved 'Idea' in the progressive telecom service circle of that state.

Source: Agencyfaqs

7. Western Railways to get 4,000 LCD screens on trains – Jan 12

Train commuters in Mumbai will now get used to seeing sleek LCD screens displaying content and advertisements in their compartments. OOH media company Hype Integracomm has entered into a private-public partnership with Western Railways in Mumbai to install LCD screens in all of its 67 trains. Apart from being an innovative advertising medium with great reach, these screens will also be a good medium for presenting socially relevant messages.

Source: Agencyfaqs

Emerging Trends: International

8. Most Media to suffer “retrenchment” in 2009 – Jan 3

According to a new report by FitchRatings, the company forecasts that the contraction in output among the major advanced economies will represent the steepest decline since the Second World War, with GDP in the U.S. to decline approximately 1.2%, while inflation is forecast to be 2.7%. Regarding the advertising environment, the Fitch media team is more cautious than most major advertising forecasts, none of which currently predict advertising to be nearly as weak as 2001, reports The Center for Media Research. Political and Olympic spending masked the local market weakness in 2008, but the report says the absence of these revenue sources in 2009 will expose the depth of this weakness.

Source: Radio Business Report

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Media & Advertising Research Watch

AdEx Findings

9. 'Virgin Mobile', 'Lux Strawberry Cream' and 'Vodafone Customer Care' were the Top 3 new brands advertised on TV during 2008*.

Source: Indiantelevision

10. 'Food & Beverages' sector leads with 13 per cent share of overall TV ad volumes followed by 'Personal Care/Personal Hygiene' and 'Services' sector with 9 per cent and 6 per cent share respectively during 2008*.

Source: Indiantelevision

10. 'HUL' leads with 14 per cent share of overall FMCG sector advertising on TV followed by 'Reckitt Beckiser (India)' and 'ITC' with seven per cent and four per cent share respectively during 2008.

Source: Indiantelevision

12. Compared to 2007, average ads of FMCG sector aired per day on TV recorded a rise of 21 per cent during 2008.

Source: Indiantelevision

Television and Media

13. Dubai plays host to Gold Awards 2008 for Indian television – Dec 27

Global Village in Dubai came alive on December 20, 2008, with the who’s who of Indian television descending for the Gold Awards 2008. The event was organised by Vikas Kalantri and Pooja Ghai of White Leaf Entertainment. ‘Sapna Babul Ka Bidaai’ led the awards tally, bagging four Gold Awards, including ‘Best Show’. The awards function was anchored by TV actors Ali Asgar and Suresh Menon. The Awards function was peppered by the hilarious commentary of the two anchors and multi-cultural performance by local dancers along with the guests.

Source: Exchange4media

14. DTH industry goes niche in its expansion drive - December 29, 08

Salil Kapoor, COO, DishTV, elaborated, "DishTV addresses the needs of viewers living away from their native place and outside their language area by providing the depth and width of regional language content. The industry boasts of offering its viewers more choice of channels and content and assured telecast quality. It is also one of the few broadcasting services that can penetrate in even the most remote areas of the country. When it comes to revenue generations, the regional markets do represent a huge chunk of revenues for the sector, however, in some cases, it is equally distributed between metros and regional markets.

Source: Exchange4media

15. IPTV only for niche audience, but has a long way to go in India – Jan 20

After launching its DTH service in 2008, Bharti Airtel has now announced the launch of its Internet Protocol Television (IPTV) service, Airtel Digital TV Interactive. For instance, ordering pizzas and movie tickets from one's TV set, allowing the viewer to pause and rewind live TV as well as auto-record and store favourite programmes for seven days, and even claims a Movie on Demand service with 100 blockbuster titles, which allows access to any movie at any time. According to Anamika Mehta, COO, Lodestar Universal, "The adoption rate of IPTV services in India as of now will not be a rapid one, however, it will see a slow growth rate as IPTV is absolutely niche. It would be too early to expect huge numbers, however, it is a great product in terms of interactivity and features, and more supreme in technology.

Source: Exchange4media

16. Suspend the proposed curbs, news channels urge Prime Minister - January 14, 09

Alarmed at the Government's move to put curbs on live reporting of emergency situations and other restrictions on TV coverage by amending the existing rules, editors of leading news channels have written a letter to Prime Minister Dr Manmohan Singh, urging him not to go ahead with the proposed measures. "The proposed measures to gag the electronic media have caused immense disquiet in the journalistic fraternity and amongst all those who believe in the freedom of expression," the editors said in their letter to Dr Singh. The letter further said, "As editors, we believe that the media is the watchdog to keep democracy and democratic principles alive.

Source: Exchange4media

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Environment Watch: Advertising & Media

Regulation

17. Nokia 'takes back' to give back to the environment – Jan 2

Nokia has launched a green initiative to make India's environment better. Last week, the mobile phone supplier announced a Take Back campaign to initiate an e-waste recycling programme. Under the initiative, the company will encourage people to dispose of mobile handsets and other accessories such as chargers once their utility is over. The initiative is valid for all brands of mobiles. The campaign will be initiated in three cities -- Bengaluru, Delhi and Gurgaon, and Ludhiana -- for the initial month.The company has laid out 1,300 recycling bins nationally and it will be working with qualified recyclers around the world to ensure that the recycling process is conducted responsibly and effectively. Only 3 per cent of the respondents said that they had recycled their old mobiles.

Source: Agencyfaqs

18. Henkel launches new CSR initiative – Jan 27

Henkel India has launched a corporate social responsibility called, 'Eco-learn' to inculcate environmental concern and sustainability in the youth. This programme aims at integrating principles of environment and natural resource management into core business systems and practices. Speaking on the occasion, Roland Schroeder, global director - sustainability laundry and homecare business sector of Henkel said: "Even against the background of the recent economic crisis sustainability will stay high on the agenda since there is a constant pressure on the world's natural resources. Eco-Learn will target the B-schools in the country in the first stage and engineering colleges in the second stage.

Source: Business Standard

19. Maruti Suzuki offers lessons to promote safe driving – Dec 30

Maruti Suzuki celebrated its 25th birthday this year -- the first Maruti 800 rolled out on Indian roads in December 1983. To celebrate the occasion and highlight its concerns about road safety, last week, Maruti launched a corporate social responsibility (CSR) campaign, called National Road Safety Mission. Of these, around one lakh people will be from the underprivileged sections of society, who are keen to take up driving as a profession, and they will be taught free of cost. Maruti already runs two Institutes of Driving Training and Research (IDTR) in Delhi and 47 Maruti Driving Schools (MDS) all over the country. Maruti Suzuki has already imparted safe driving skills to 450,000 people through its training institutes.

Source: Exchange4Media

Retail

20. Centre plans 40 generic drug stores by March – Jan 25

Mumbai, Jan. 25 The Government-assisted retail stores to sell unbranded generic medicines have begun to open across certain States as part of the Centre's multi-stakeholder strategy to get affordable medicines to people. The shops will be run by NGOs, selected in consultation with the respective State governments, and a two-track supply will be tied up through PSUs and private drug companies to ensure alternative supply chains and an enhanced basket of products, the official said. The generics shop, located in Government hospitals or locations provided by State governments will not be subsidised and will have to run as self-propelled units, the official added.

Source: The Hindu Business

Radio

21. IndustrySpeak: Digitally speaking, radio is just on the verge of an explosion – Jan 19

While print and television have gone digital in a big way, radio has not tapped into the medium in a full-fledged way. In the West, podcasts have come a long way. In fact, mobile podcast has become a norm and is just a matter of time for this to pick up in a big way in India. The Mirchi website is exceedingly popular -- it just got voted the most popular website in the radio and television category by Metrix-Nielsen in a survey spanning 1.5 million voters." Having a different take, Bhatia said, "Digital radio cannot become the future of radio because digitalisation will kill the salience of radio as a mass medium.

Source: Exchange4Media

22. Music royalty issue: ‘Don’t kill the golden goose’, radio industry tells music industry - Jan 27

The Indian Performing Rights Society (IPRS) has filed a criminal case against Radio City President Apurva Purohit and other officials of Radio City for copyright violation despite the fact that a civil case is already going on in the Bombay High Court and the matter is sub judice. Though music royalty has been a contentious issue for quite a while, some headway seemed to have been made on December 15, 2008, following the meeting called by the I&B Ministry between the music and radio industries along with the Registrar of Copyrights and Secretary, HRD, to start a cumulative process for nationalising music royalties for radio. The first step towards consensus of royalty between music industry and FM radio has been taken.

Source: Exchange4Media

23. RAM-less Chennai FM players devise ways to keep track of listeners - Jan 27

Perception, top of the mind recall, listerners' initiative, knee jerk decisions and programming manoeuvres -- all these have evolved as the various tools at the hands of the Chennai FM players to fight the challenges imposed by the absence of a common audience measurement system. Taking a closer look at how the city is fairing as the only metro without RAM, has thrown some light on the surviving tips of these stations vis-à-vis their brand building initiatives and monetising processes. Ideating more and more differentiating content in terms of the RJ quotient or programme format is what has kept most of the stations busy, and this, in turn, help them build their own identities before the advertisers.

Source: Exchange4Media

Others

24. New stamp duty rule worries ad industry – Jan 14

The High Court today did not give any relief to the advertising industry, which has filed a petition against new law which levies stamp duty on advertising-related contracts. Earlier, there was no stamp duty on contracts entered into by advertising agencies with their clients, and with the media companies. But in 2005, state government amended Bombay Stamp Act, and provided for duty on "all instruments related to advertisements in mass media for promotion of a product". The main argument against the amendment is that constitution does not allow state governments to levy tax on advertisements in newspapers, radio, or TV.

Source: Business Standard

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Touch Points

Touchpoints is a unique tool for ZenithOptimedia clients that provide clear actionable metrics for all contact points used in marketing products and services.

For a detailed presentation on Touchpoints contact Mr. Pavan Chandra at pchandra@zenithoptimediaindia.com or call at +91-9899-3767-68

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ZO Zone

ICL - 20 20 Tournament Season 1 Vs Season 2

Season 1 Avg: 0.2
Season 2 Avg: 0.6

Rating for ICL 20 20 Season 2 was higher as compared to Season 1 .

Source: TAM

Season 1 – 30 Nov 07 - 16 Dec 07
Season 2 – 10 Oct 08 - 16 Nov 08

TV ratings for Semi Final & Final Matches – Season 1 / Season 2

Season 2 had higher TVR both for Semi – Final & Final

Source: TAM

Season 1 – 30 Nov 07 – 16 Dec 07
Season 2 – 10 Oct 08 - 16 Nov 08

Monthly Media Expenditure

Source: MAP
Down weighted fig

TV Ratings for final and semi final matches w.r.t Audiences

Source: TAM

Season 1 – 30 Nov 07 – 16 Dec 07
Season 2 – 10 Oct 08 - 16 Nov 08

DTH Category – Brand wise Spends

Source: MAP
Down weighted fig

Medium Breakup

1968 Mn

2006 - 07

4166 Mn

2007 - 08

Source: MAP
Down weighted fig

Genre Breakup

2006 - 07

2007 - 08

Source: MAP
Down weighted fig

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Fast Forward

Google Local Search now covers 41 Indian cities

Google India has said its Local Search service, which enables users to find information on local businesses like restaurants, shops and hotels, now covers 41 cities across India. Previously, the service used to provide information about eight cities in the country. Google Local Search was introduced in India in August 2007. Besides B2C (business-to-consumer) information, the service also hosts B2B (business-to-business) information of merchants, manufacturers and service providers.

The cities currently being covered by Google Local Search are Ahmedabad, Bangalore, Kolkata, Chennai, Delhi, Mumbai, Hyderabad, Pune, Noida, Gurgaon, Faridabad, Vadodara, Surat, Kanpur, Jaipur, Chandigarh, Nagpur, Rajkot, Ernakulam, Cochin, Ghaziabad, Bhubaneswar, Aurangabad, Lucknow, Nashik, Indore, Goa, Bhopal, Agra, Guntur, Visakhapatnam, Jalandhar, Amritsar, Coimbatore, Tiruchirapalli, Patna, Vijayawada, Mangalore, Ludhiana, Mysore and Raipur.

According to Alok Goel, product manager, Google India and head of Google Local Search in India, most of the traffic for online searches in India comes from Tier II and III cities. “Around eight to ten lakh people in India make queries about local businesses online and around 90 per cent of those searches come from these cities. Thus to expand our horizons and reach more people, we have launched our services in more Indian cities. Very soon we will be launching our nation-wide service for Local Search,”.

Google also offers similar service on mobile platform through its SMS Search. Launched in November 2008, Google SMS Search allows users to SMS their query to 9-77-33-00000 at the cost of a regular SMS and get instant answers. “Mobile will drive internet penetration in local India and hence we have introduced the local search service on the mobile platform as well,” Alok Goel has added.

Presently, Google Local Search supports searches in 15 Indian languages and provides search results along with maps to help users find out the exact location of the businesses. The company also has a service called Local Business Centre which allows local businesses to list their services for free.

HOME

This tracker has been compiled from external sources and does not necessarily reflect the views of the company.
Links provided will take you to the full articles appended at the end of the file.

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Full Articles

1. MySpace screens Slumdog Millionaire
January 21
Agencyfaqs

MySpace has launched a special programme that is sure to make its users the target of much envy. Black Curtain Screenings will allow MySpace users to watch eagerly awaited new releases for free. The initiative starts with an exclusive screening of the much hyped Slumdog Millionaire on January 23 at Fame Theatre in Mumbai.

Hari Krishnan, country manager, MySpace India, says in an official communiqué, “We're giving our users an entirely new experience and the opportunity to enjoy the most anticipated and hyped movies before anyone else. India has a rich history and a vibrant movie industry. We believe that Black Curtain Screenings will not only engage and excite users, but also provide a powerful platform for movie studios to effectively promote their film.”

Users don't have to pay for the privilege or scout for passes – they only need to create a profile on Black Curtain India and take along a printout of the profile to gain entry at the theatre. Apart from screening the movie, MySpace will be doling out many value additions to the audience, such as interactive games, photo opportunities and an opportunity to meet celebrities.

Speaking to afaqs! about the interesting initiative, Tarun Tripathi, director, marketing, MySpace India, says, “MySpace, as a platform, has always allowed the youth to engage in popular culture. Through Black Curtain Screenings, we are looking to create a unique experience for our users by providing them free access to movies. We not only hope to get many more much-anticipated movies for our users, but we will also try to screen them a day before the public release.”

Though Tripathi refuses to divulge the specifics, he says that the social networking site is in talks with several movie studios to make this entertainment marketing initiative a success. He says that MySpace will aim at screening at least one motion picture per month, and if things go well, the number could rise to two movies per month.

Talking about the mutual benefit aspect of the deal, Tripathi says, “This platform is aimed at enhancing brand and user engagement, and provides a highly effective marketing method for movie distributors. The MySpace India community is a highly creative and culturally aware group of individuals, who provide an exciting pool of target key opinion formers to build discussion and interest amongst their peers about a new release."

MySpace intends to screen its movies in multiplexes in the near future and may also look at cracking a deal with a multiplex chain to make the process more organised.

2. Tata Indicom gets a Second Life
January 20
Agencyfaqs

Tata Teleservices Ltd (TTSL), in partnership with Mumbai based Indusgeeks Solutions, India's first and largest virtual world development and services firm, has announced the extension of its Suno Dil Ki Awaaz brand campaign into the virtual world.

TTSL aims to take the campaign to the virtual world, Second Life, through a marketing initiative comprising an interactive virtual talent hunt competition.

With this move, TTSL lays claim to many firsts: the first telecom operator to have a presence in the virtual world with a mass media campaign; the first to offer a virtual talent hunt, which will invite participation from people all over the world; and the first to have its brand ambassadors, in their virtual avatars, engage with visitors from the Indian subcontinent in an interactive forum.

Other brands that have had a tryst with Second Life include Amul and CRY. Indusgeeks was responsible for the CRY campaign, too.

As part of the initiative, Tata Indicom will create and own an 'island' in the virtual world of Second Life. Users can visit this island, participate in the talent hunt, get a deeper understanding of the company's products and offerings and enjoy the softer properties on the island, including games, songs and other interactive programs.

Lloyd Mathias, chief marketing officer, TTSL, says, "With the exciting Second Life initiative, we continue with our tradition of launching many industry firsts. The digital world is evolving at a fantastic pace – cutting across geographical and cultural barriers – and we firmly believe that the virtual world has a huge outreach potential for businesses.

“As a company at the cutting edge of technology, TTSL always scouts for relevant and innovative technologies and opportunities. We feel our association with Second Life will redefine the concept of outreach and take digital interactivity to the next level, for it will allow Tata Indicom to engage with the growing digital audience in a manner that is relevant to them."

Second Life is an Internet enabled virtual world in which users can create their virtual identities to interact with the virtual identities of other users. Members of Second Life can participate in individual or group activities and create and trade items like virtual property and services. Members have to pay for the space they purchase on Second Life. Second Life is developed by the US based Linden Lab.

Now here are some interesting figures regarding the virtual world. According to Gartner Inc., by 2011, 80 per cent of active Internet users will interact with virtual worlds; by 2010, 20 per cent of global Tier I retailers will have a marketing presence in online games and virtual worlds. As far as Second Life is concerned, it has 15 million registered users and around 1.5 million active/unique users.

Brands such as Coca-Cola, IBM, Microsoft, GE, Nokia, Toyota and Intel have already made their presence felt globally in Second Life.

Mathias lists the opportunities for Brand Tata Indicom in Second Life: “The youth, as a target group, are increasingly walking into Brand Indicom. Though our TG remains the masses in general, we can't ignore the younger lot. So, what better to engage them with the brand than a virtual world in which they can have their own avatars? This will help them take part actively in the brand development and experience process.”

Mathias adds, “The Second Life experience caters to a semi-escapist feeling, too, which we all have longed for some time or the other. As far as the virtual talent hunt is concerned, it will take an 'event based' approach, rather than a 'static build' approach, which is the key to interacting with the community. Other features like the Suno Dil Ki Awaaz Phone Network will allow likeminded people to find each other. This is a unique service designed to enhance the Second Life experience."

Siddharth Banerjee, chief executive officer, Indusgeeks Solutions, says, "We are thrilled to partner with TTSL and create a benchmark initiative. TTSL has demonstrated true thought leadership in the domain of digital marketing by using this interactive, immersive, 3D medium to convey its brand story. Indusgeeks is glad to be partnering Tata Indicom in this first initiative of its kind in the Indian context."

To promote and spread awareness about Tata Indicom's foray into Second Life and engage consumers initially, the brand plans to use the digital medium to a large extent. This will include banner ads on various social networking sites such as Facebook and Orkut, gaming portals and other popular sites. Viral campaigns will be used, too.

The Tata Indicom website will carry a banner ad that helps the user register and log in for the Second Life experience. The brand also plans to tap traditional media by placing tags on its TV ads, as well as other print and outdoor collateral. Indusgeeks will be responsible for the creative execution of all these initiatives.

The campaign will ideally engage the 18-35 year old consumer in Tier I and Tier II cities. As far as the ad spend goes, TTSL officials maintain that the figure for online engagement is a single digit percentage.

It will be worth a wait to see whether Tata Indicom is able to pull off a success story with Second Life, a phenomenon that is yet to grip the Orkut-Facebook crazy Indian youth.

3. IAMAI conference: Mobile will rule the ad world
January 19
Agencyfaqs

If the joke that people engage more with their mobile phones than they do with their spouses is indeed true, then it’s good news for the medium, especially where advertising is concerned.

The mobile medium has been striving to find a place in media plans, and with more awareness of its numerous attributes, it stands a chance of becoming the most sought-after medium in the times to come. Several industry people put forth this point of view at the Mobile Ad Conference, organised at the ITC Grand Central in Mumbai on January 16 by the Internet and Mobile Association of India (IAMAI).

Jai Maroo, director, Shemaroo Entertainment, began with the interesting observation that more than 50 per cent people keep their mobiles within a distance of five feet while sleeping. A person looks at his mobile screen every 11-15 minutes. It's not just a personal medium that engages, but also an in-home and out-of-home medium.

"These reasons answer the question 'why mobile'. Even television, which commands the biggest chunk of the ad pie, doesn't offer these benefits. Advertisers have tried WAP and push SMSes, but are looking at better ways to reach targeted consumers," Maroo added.

According to Maroo, advertisers are looking for solutions that are non-intrusive, targeted, contextual, integrated, transparent and interactive. He cited the example of Google, which features ads relevant to the search criteria.

He said that many forces were working to make available inventory that could work across platforms – voice, SMS, WAP and video can be contextually targeted with simple interactive tools.

The biggest opportunity for an advertiser is SMS and voice. While there are only 14-20 per cent users for mobile content, the penetration of SMS is 90 per cent and that of voice, 100 per cent.

Dhritiman Chakraborty, vice-president, sales, ACL Wireless, said that this “always there” medium has the capability to reach the consumers at a personal level and serve the right ad at the right time. He said the Toyota Yaris was the first successful product launch on mobile – it used a highly engaging mobisode of the television series, Prison Break.

“Someday, mobile will rule the ad world,” he stated, adding that it would be the measurability of the medium that would make it happen. “No readership survey or audience measurement survey can effectively gauge the effectiveness of an ad. They only talk about the effectiveness of the medium. But mobile will be able to address that,” Chakraborty asserted.

Advertisers have an equally important role to play in this. “It is imperative to have great content to hold user interest and get customer eyeballs. Ads need to be subtle, contextually relevant and viral in nature," he added.

4. Nielsen: 57 per cent respondents stream ads on the Net
December 29
Agencyfaqs

Nielsen, the marketing research firm, has released the findings of an online survey on multimedia consumption and ownership patterns in India. In all, 501 respondents, including 409 males and 92 females, from India participated in the survey, and 266 of them were aged below 30 years.

According to the findings of the survey, 94 per cent of the respondents claimed that they own TV sets, out of which only 84 per cent use them. Around 82 per cent claimed that they own a personal computer, out of which 78 per cent said they use them.

The ownership of CD players stands at 70 per cent. Some 65 per cent respondents claimed that they own a DVD player. The usage pattern of CD and DVD players stands at 55 per cent and 49 per cent, respectively. About 63 per cent of the respondents surveyed said they had bought a DVD personally in the past six months, while 59 per cent respondents claimed that they had bought new music CDs.

Console video game systems are more popular as 9 per cent of the respondents said they own one, while only 7 per cent respondents said they have handheld video game systems.

According to the findings, 36 per cent respondents own video and web-enabled mobile handsets, while 67 per cent own mobiles which cannot be used to browse the web or watch a video.

It was also revealed that 85 per cent respondents spent at least some time in an average week listening to music on a computer, portable device or mobile device. About 75 per cent listened to music on CDs, while 63 per cent respondents watched, streamed or downloaded movies on a computer or portable phone/ device.

Respondents preferred playing video games on their computers or portable phone devices as compared to playing games on video game consoles or handheld video game systems. Of the respondents, 59 per cent spent at least some time playing video games on their computer or portable phone devices, while 27 per cent spent some time in an average week on game consoles or handheld video game systems.

Increased penetration of the Internet has led to a rise in streaming or downloading of audio and video files. Media items streamed from the Internet include music or other audio tracks (66 per cent), music videos (59 per cent), ads or movie trailers (57 per cent), TV shows or clips from TV shows (46 per cent), full-length movies/ movie clips (42 per cent) and video games (32 per cent).

Media items downloaded by the respondents include music or other audio tracks (63 per cent), music videos (46 per cent), ads or movie trailers (33 per cent), TV shows or clips from TV shows (30 per cent), full-length movies/ movie clips (40 per cent) and video games (30 per cent).

5. Amul will now 'linger' on Satyam fiasco
January 19
Agencyfaqs

The country's bestselling table-butter brand, Amul, is well known for its topical, spoof-based outdoor ad campaigns. Be it politics, sports, movies, lifestyle or current affairs, Amul has covered them all in its campaigns. Viewers and passers by keep a keen eye on the campaigns, which change three to six times every month, depending on recent happenings.

Continuing with tradition, Amul has now spoofed the Satyam fiasco, not sparing the chief executive officer, Ramalinga Raju and his alleged fraud of Rs 7,136 crore.

The campaign creative depicts a caricature of Raju in the “eye-wiping” pose that was splashed across newspapers and magazines soon after the news broke. The copy reads, ‘Satyam, Sharam, Scandalam’, a play on the devotional ‘Satyam, Shivam, Sundaram’, which means ‘Truth is God and God is Beautiful’.

Rahul daCunha, creative director, daCunha Associates, says, "We conceptualised the idea in 20 minutes after the news of the scam was out and the creatives left for the South Indian market the same day. In Mumbai, the hoardings were put up two days later."

He shares that this campaign has received an amazing response because everyone felt a part of it. "Usually, our Amul campaigns get a quick response and it did this time, too," he says.

Amul recently spoofed the much talked about movie, Ghajini, displaying a caricature of actor Aamir Khan, complete with body tattoos that said, ‘Get Amul’, ‘I Slice Bread’ and ‘I Make Sandwich’.

When Omar Abdullah was recently elected chief minister of Jammu and Kashmir, the campaign read, ‘Omar, Amul la!’, along with a caricature of Abdullah in a ‘shikara’ (a Kashmiri boat).

RS Sodhi, chief general manager, Gujarat Cooperative Milk Marketing Federation (GCMMF), says, "The Amul Topical Campaign on billboards has been the longest continuous running campaign on hoardings. It was started almost four decades ago. The topical campaign gets displayed in all the major cities of India, covering almost all the territories of the country."

Sodhi adds that every topical ad owes its genesis to an event or incident in the country or abroad. Since the frequency depends on the topicality of the issue, the topic may get changed after even just a day if a recent development warrants it.

On an average, around 55-60 topical ads are displayed in a year on hoardings across India.

"The topicals are on local, regional, national or international issues. That’s why some topicals are displayed in select markets and not on a national basis," says Sodhi.

Whether these creatives are changed weekly or fortnightly, whether they are based on national or international issues, the fact is that they are enjoyed by everyone who lays eyes on them. But for Amul and daCunha Associates, it is work as usual. After all, it is their 'bread and butter'.

6. Platinum Outdoor helps Idea Cellular 'breeze' into Punjab
January 15
Agencyfaqs

Idea
Cellular was launched across markets in India with a number of outdoor innovations. The service was launched in Punjab on December 19, 2008, and outdoor was a key element in the media mix used to communicate the evolved 'Idea' in the progressive telecom service circle of that state.

The role of outdoor was to create rapid awareness as well as build a visual continuum across media to create an all-round impact in an innovative fashion, keeping in mind the media limitations in Punjab, especially Chandigarh, Mohali and Panchkula.

Madison Media's OOH agency, Platinum Outdoor, the incumbent agency of Spice Telecom (recently acquired by Idea Cellular), was entrusted with the job of planning and executing the launch in 72 cities in Punjab.
The outdoor comprised three different innovations. First, a 3D motorised windmill innovation was created on Idea's hoarding, promoting windmill projects. The hoarding read, “For the people, by the people”, along with an image of brand ambassador Abhishek Bachchan holding a mobile handset, displaying the Idea service. The windmill was attached to a motor and rotated like a real one. The movement ensured eyeballs for the brand and helped the brand 'breeze' into the state.

In another hoarding, several 'Yes-es’ were arranged in the form of a bridge. Timed neons were used to light up each 'Yes', one at a time.

Another innovation comprised a large LED with an Idea creative fitted at the main utility format in Sector 34 in Chandigarh. This was the first time an LED display was put up in Punjab for OOH purposes.

The overnight brand transition from Spice to Idea was a challenge for Platinum Outdoor, but the idea was executed very well within the expected timelines.

Innovation was the key to breaking the clutter for the brand launch. Thus innovative outdoor was effectively used to grab eyeballs.

7. Western Railways to get 4,000 LCD screens on trains
January 12
Agencyfaqs

Train commuters in Mumbai will now get used to seeing sleek LCD screens displaying content and advertisements in their compartments. OOH media company Hype Integracomm has entered into a private-public partnership with Western Railways in Mumbai to install LCD screens in all of its 67 trains.

The contract is valid for five years and will function on a build-operate-transfer (BOT) basis. Till now, 72 screens have been installed in the first phase. Around 4,000 screens will be installed in all, with six screens in each coach of the nine and 12 coach trains. While Hype Integracomm will earn revenue from the advertisements on the screens, Western Railways will get a licence fee of Rs 35 crore for the duration of the contract.

On January 9, Shamsunder Gupta, chief public relations officer, Western Railways, inaugurated the new facility at the Mumbai Central car shed. L Jaipal Reddy, chairperson, Hype Integracomm, L Vinay Reddy, managing director, Hype Integracomm, and Jignesh Sharma, executive director and chief executive officer, Hype Integracomm, were also present on the occasion.

The network of these screens, called Smile TV, will play a mix of entertainment, information and advertising for 18 hours a day in all the trains. The screens will run contests, display SMS jokes, travel clips and also show non-commercial content such as safety messages and other public interest messages.

To start with, the screens will show recorded content. However, the company is developing solutions for real-time content as well. Apart from being an innovative advertising medium with great reach, these screens will also be a good medium for presenting socially relevant messages.

Sharma informs afaqs! that the screens have gone through various tests and have been made tamper proof, damage proof and absolutely secure. In fact, the company has hired a special agency for the maintenance of the screens.

Discussing the categories which could benefit from advertising on the medium, he says, “I believe screens like these offer a wide reach to advertisers from sectors such as FMCG, financial products, automobiles and lifestyle.”

The TV screens will be seen by the large number of Western Railway (Churchgate to Dahanu Road) commuters, which translates to more than 2.6 million passengers per day – almost 43 per cent of Mumbai’s total suburban rail traffic.

For the record, Hype Integracomm owns media assets in Mumbai, Bengaluru, Hyderabad and Pune. The media assets are in the form of bus shelters, bus bays, green kiosks (tree guards), mobile toilets and public utilities. In Bengaluru, Hype is associated with the Nirmala chain of toilets, a project of the Infosys Foundation.

8. Most Media to suffer “retrenchment” in 2009
January 3
Radio Business Report

According to a new report by FitchRatings, the company forecasts that the contraction in output among the major advanced economies will represent the steepest decline since the Second World War, with GDP in the U.S. to decline approximately 1.2%, while inflation is forecast to be 2.7%.

Regarding the advertising environment, the Fitch media team is more cautious than most major advertising forecasts, none of which currently predict advertising to be nearly as weak as 2001, reports The Center for Media Research.

Fitch's cautious view about advertising is, in part, supported by these underlying conditions:
The 2001 ad downturn was concentrated in national advertising, while the 2008-2010 downturn will include both local and national components. Political and Olympic spending masked the local market weakness in 2008, but the report says the absence of these revenue sources in 2009 will expose the depth of this weakness.

This weakness in local markets will be compounded by national advertising pressures due to the impact of the credit market events that hit while many large national advertisers were planning their 2009 ad spending budgets, forcing many companies to emphasize capital preservation and liquidity, not just earnings growth.

With advertising being one of the most easily scalable fixed costs, some major advertisers could plan to pull back on national campaigns considerably until there is more visibility in the market.

Five of the top 10 advertising categories, or over 40% of the ad mix (according to Advertising Age), will be under meaningful pressure next year, says the report:

No.1 Retail (12% of total)
No.2 Automotive (12%)
No.5 Financial Services (6%)
No.6 General Services (6%)
No.9 Airlines, Hotels and Car Rentals (4%)

And, notes the report, advertising inventory has proliferated (from online and emerging mediums as well as traditional ones) since previous downturns. Media companies are likely to compete more heavily on price in this downturn to fill the vast supply of ad space available.
Advertisers have many more options in the current environment than at any other time for maintaining a presence with consumers while trimming their budgets and scaling back high CPM campaigns, says the report. Even healthy advertisers are likely to use this increased bargaining power to command better price terms and concessions from media companies.
The study offers trends and outlooks for several advertising subsectors in the report, as estimated by Fitch:

Radio has no unionized workforces, and convert a higher percentage of EBITDA to free cash flow giving them more cushion to endure the secular challenges. Listenership is likely to continue to fall, though available inventory should remain relatively stable, and pricing could be up on some advertisers. Internet streaming provides additional day parts to sell. The continued roll-out of factory-installed HD radio into automobiles could provide upside to listenership.

Newspaper industry revenue growth will be negative for the foreseeable future as both ad pricing and linage will be under pressure within each of the four main components of newspaper companies' revenue streams. Fitch believes more newspapers and newspaper groups will default, be shut down and be liquidated in 2009 and several cities could go without a daily print newspaper by 2010.

Few markets will be able to support more than two directories and most markets will eventually only be able to support one book. Another year of accelerated declines in yellow pages advertising could significantly pressure the intermediate-term solvency of the two pure-play incumbent directories companies.

Fitch expects the larger players to rationalize available print advertising inventory through consolidation and closing down titles. Several categories that used to have multiple titles will likely have advertising bases that can support only one major title. With limited catalysts for growth in the core print product, magazine publishers have become more proactive online.
Fitch believes the potential negative effects of increased inventory from digital roll-outs should be tempered by increasing appeal to national advertisers, as well as decreases in price per unit. Cost structures should benefit from digital billboards, as displays can be centrally managed without physical deployment of work crews. Low CPMs and better networked national sales pitches, position outdoor advertising companies to endure the downturn and rebound with the economy.

Cable industry ad inventory has grown significantly over the past several years, causing a deceleration of the decades-long increase in ad dollars, but cable continues to be a targeted medium, at a lower price relative to broadcast and with significant reach. Fitch expects it to continue to gain share from broadcast. Fitch expects the cable networks to continue to embrace VOD and digital strategies, which could provide some modest upside to revenue growth.

Online could be negatively affected by advertisers scaling back experimental expenditures in favor of more proven, performance-based mediums. Search is likely to be more healthy than display. Remnant advertising is likely to be hit by a shakeout in the ad network space. While CPM growth is likely to moderate and could be under pressure, online video and social networking are likely to support growth. Regulatory issues associated with privacy could be a factor as firms attempt to implement more behavioral targeting. Over the longer term, online advertising is expected to rebound from economic weakness and continue to capture share from traditional outlets.

13. Dubai plays host to Gold Awards 2008 for Indian television
December 27
Exchange4media

Global Village in Dubai came alive on December 20, 2008, with the who’s who of Indian television descending for the Gold Awards 2008. The event was organised by Vikas Kalantri and Pooja Ghai of White Leaf Entertainment. ‘Sapna Babul Ka Bidaai’ led the awards tally, bagging four Gold Awards, including ‘Best Show’.

The awards function was anchored by TV actors Ali Asgar and Suresh Menon. The Awards function was peppered by the hilarious commentary of the two anchors and multi-cultural performance by local dancers along with the guests. Both Asgar and Menon also gave away their own ‘Balti’ Awards.

The complete list of winners of the Gold Awards 2008:

1. Best Actor (Male) Shabbir Ahluwalia – Kayaamat
2. Best Actor (Female) Divyanka Tripathi – Dulhann
3. Best Supporting Actor (Male) – Alok Nath – Sapna Babul Ka Bidaai
4. Best Supporting Actor (Female)- Aroona Irani – Naagin
5. Best Actor Negative (Male) – Chetan Hansraj – Kahaani Ghar Ghar Ki
6. Best Actor Negative (Female) – Sanjeeda Sheikh – Kayaamat
7. Gold Debut (Male) Kinshuk Mahajan – Sapna Babul Ka Bidaai
8. Gold Debut (Female) – Parul Chauhan – Sapna Babul Ka Bidaai
9. Best Comic Role (Male) – Deven Bhojani – Baa Bahoo Aur Baby
10. Best Comic Role (Female) – Suchita Trivedi – Baa Bahoo Aur Baby
11. Best Anchor – Abhigyan Prakash
12. Best Show – Sapna Babul Ka Bidaai
13. Best Comedy Show – Comedy Circus
14. Best Reality Show – Nach Baliye

14. DTH industry goes niche in its expansion drive
December 29
Exchange4media

Regional markets have been growing in importance and are increasingly being considered by all media – print, television, radio – for further expansion. For the direct-to-home (DTH) sector, regional has always been an attractive market. It is now taking a step forward and going niche – for instance, introducing western content for urban audiences and regional content for rural audiences.

DishTV had initially created a strong base in the regional markets and only later did it expand to the urban markets.

Salil Kapoor, COO, DishTV, elaborated, “DishTV addresses the needs of viewers living away from their native place and outside their language area by providing the depth and width of regional language content. This linguistic minority is able to view the programmes in their mother tongue and stay updated on the happenings in their native city or state. We look for a substantial chunk of revenues coming from regional markets in the coming time. Advertisers from sectors like FMCG, lifestyle, automobile, etc., have approached us and we are in consideration to partner with them for these markets.”

Sanjay Behl, Head - Brand and Marketing, Reliance Communications, said, “Regional markets have always been our primetime focus and we have different propositions for different regions. We also customise our advertising and value propositions according to that region.”
The industry boasts of offering its viewers more choice of channels and content and assured telecast quality. It is also one of the few broadcasting services that can penetrate in even the most remote areas of the country.

When it comes to revenue generations, the regional markets do represent a huge chunk of revenues for the sector, however, in some cases, it is equally distributed between metros and regional markets. But it is the larger towns or cities that help this industry to garner huge revenues.

15. IPTV only for niche audience, but has a long way to go in India
January 20
Exchange4media

After launching its DTH service in 2008, Bharti Airtel has now announced the launch of its Internet Protocol Television (IPTV) service, Airtel Digital TV Interactive. The service is already available in Delhi, Gurgaon and Noida, commencing the day of the launch (January 19, 2009). It is expected to be launched in other cities soon.

Airtel’s IPTV service offers interactivity, too. For instance, ordering pizzas and movie tickets from one’s TV set, allowing the viewer to pause and rewind live TV as well as auto-record and store favourite programmes for seven days, and even claims a Movie on Demand service with 100 blockbuster titles, which allows access to any movie at any time.

At present, state-owned MTNL and BSNL are the only ones providing IPTV services. Reliance Communications, too, is expected to launch its IPTV service soon.

But is the Indian market ready for this service? What are the opportunities and roadblocks? exchange4media finds out.

According to Anamika Mehta, COO, Lodestar Universal, “The adoption rate of IPTV services in India as of now will not be a rapid one, however, it will see a slow growth rate as IPTV is absolutely niche. One drawback is the low penetration of Internet in India. Interactive services do help in the popularity of a product, however, it depends on how much is the customer willing to adopt it, and that is a challenge.”

Chandradeep Mitra, President, Mudra Max, stated, “IPTV is more niche than DTH, and right now is in testing waters. It would be too early to expect huge numbers, however, it is a great product in terms of interactivity and features, and more supreme in technology. On paper, IPTV is a great product, while globally it has seen limited success, in India, the service has a long way to go.”

“For IPTV to do really well, the service needs to be good and the bandwidth issue needs to be addressed. In fact, the dark horse here I believe is digital cable, if only they put their act together, they can give worthwhile competition,” he pointed out.

So far, IPTV has failed to attract audiences. However, it is seen as an absolute niche market. Media planners believe that IPTV will take few years to come close to the DTH numbers, nevertheless it is far more superior and interactive compared to DTH services. The low broadband penetration acts as a drawback to the growth of this service.

Bharti Airtel Ltd, a group company of Bharti Enterprises, is one of Asia’s leading integrated telecom services providers with operations in India and Sri Lanka, and has an aggregate of over 88 million customers. Bharti Airtel has been voted as India’s most innovative company in a survey conducted by The Wall Street Journal.

16. Suspend the proposed curbs, news channels urge Prime Minister
January 14
Exchange4media

Alarmed at the Government’s move to put curbs on live reporting of emergency situations and other restrictions on TV coverage by amending the existing rules, editors of leading news channels have written a letter to Prime Minister Dr Manmohan Singh, urging him not to go ahead with the proposed measures. They have called these measures ‘draconian’ and ‘historical blunder’.

The editors have also sought an urgent meeting with the Prime Minister to discuss the issue. Earlier, the broadcasters had a meeting with Minister of State for Information and Broadcasting, Anand Sharma.

Commenting on the issue, Ashutosh, Managing Editor, IBN7, said, “The Government added regulation is not acceptable. The amendment to the Cable Television Networks Rule, 1995, will curb the freedom of the press, which is our fundamental right. No commissioner can tell us the kind of footage we can use on our news channels. We are in complete favour of self regulation. In fact, the Government had been talking of self regulation all this while, so what happened now? We have already set guidelines under the leadership of retired Chief Justice of India, Justice Verma, who is Chairman of the National Broadcasters Association (NBA).”
“The proposed measures to gag the electronic media have caused immense disquiet in the journalistic fraternity and amongst all those who believe in the freedom of expression,” the editors said in their letter to Dr Singh.

The letter further said, “As editors, we believe that the media is the watchdog to keep democracy and democratic principles alive. If instruments of the state begin to regulate us, the damage to democracy and all stakeholders in democracy would be irreparable. It is all the more surprising that this is happening when you are directly holding charge of the Ministry of Information and Broadcasting.”

The letter stressed, “We are aware that our right to keep a vigil also brings with it a responsibility to function according to the highest standards of ethics and national interest. We firmly believe that in a democracy media needs self-regulation and not regulation. The electronic media fraternity has already made significant movement in this direction. In view of this, we urge you to immediately suspend the proposed measures.”

The editors urged in the letter, “We would like to personally meet and impress upon you the historical blunder that these measures would be. They would for all times taint this government as one that tried to impose draconian measures on media and forever remind us that the emergency is not yet a closed chapter in this country.”

The letter has been signed by Rajdeep Sardesai (IBN Network), Ajit Anjum (News 24), Arnab Goswani (Times Now), Ashutosh (IBN7), Barkha Dutt (NDTV 24x7), Deepak Chaurasia (Star News), Milind Khandekar (Star News), NK Singh (ETV), Pankaj Pachauri (NDTV India), QW Naqwi (Aaj Tak), Satish K Singh (Zee News), Shazi Zaman (Star News), Supriya Prasad (News 24), Vinay Tiwari (CNN-IBN), and Vinod Kapri (India TV).

The amendments to the Cable Television Networks Rule, 1995, would now include monitoring stories on sex, crimes, footage of narco-analysis admissions, among others.

According to the Act:

District Magistrates and Sub-divisional Magistrates, besides Commissioners of Police, will have the power to block live transmission by any channel and confiscate transmission equipment.

Visuals and footage will be provided through a nodal agency in any such situation deemed ‘nationally important’.

Officers will have the power to decide whether repeat telecast of a footage is necessary (and thereby in the national interest) or not.

They will also decided if any information is unauthenticated and should, therefore, be blocked.

Decisions regarding the nature of phone-in of reporters and victims or their interviews and if these disturb public order, will also rest with these officers. They will also decide if such phone-ins and interviews are against national interest.

The amendments have been proposed in the aftermath of the 26/11 Mumbai terror attacks.
It may be recalled that in December 2008, NBA had agreed to their own set of six guidelines that include no live contact with militants or hostages, no mention of security operation details and no images of people killed. But as it seems security agencies and the Government are still not convinced that media groups will not overstep the line again.

17. Nokia 'takes back' to give back to the environment
January 02
Agencyfaqs

Nokia has launched a green initiative to make India’s environment better. Last week, the mobile phone supplier announced a Take Back campaign to initiate an e-waste recycling programme.

Under the initiative, the company will encourage people to dispose of mobile handsets and other accessories such as chargers once their utility is over. The initiative is valid for all brands of mobiles.

The campaign will be initiated in three cities – Bengaluru, Delhi and Gurgaon, and Ludhiana – for the initial month. Subsequently, it will be taken to other parts of the country in a phased manner.

D Shivakumar, vice-president and managing director, Nokia India, says in an official communiqué, “Nokia is a responsible brand and company. We want to contribute positively in every associated community and the issues that concern the community.”

He adds, “Ecology is one of the biggest concerns today and, as an industry leader, Nokia has designed India's first Take-Back programme for mobile handsets. This programme covers not just Nokia handsets, but all mobile phones. That is Nokia's unique contribution.”

For the purpose, Nokia has set up recycling bins across Nokia priority dealer and Nokia care centres. For every handset received, the company will plant a tree and also hand out a surprise gift to the donor.

Amrish Bakaya, director, corporate affairs, Nokia India, tells afaqs!, “For this campaign, we have taken several initiatives such as training our staff to give useful information to customers and equipped them well to handle the inquiries on the subject. Apart from this initiative, we have plans to come out with ecofriendly mobiles as well.”

The company has laid out 1,300 recycling bins nationally and it will be working with qualified recyclers around the world to ensure that the recycling process is conducted responsibly and effectively.

The initiative results from a survey that Nokia conducted across 6,500 respondents in 13 countries, including India, which threw up the fact that though people, on an average, have owned around five mobiles per person, very few of these have been recycled.

Only 3 per cent of the respondents said that they had recycled their old mobiles. The majority, 44 per cent, said they simply kept the mobiles at home. Others said they had given their mobiles a new life by passing them on to friends and family or selling them.

Bakaya adds, “We realise that it will be a slow-burn process with the awareness level on e-waste recycling as low as it is in India, but we have started building up on that and are confident that the movement will gain momentum as awareness increases.”

A survey revealed that India comes lowest in the category of awareness about e-waste recycling, with a dismal rating of 17 per cent. One useful insight that came out of the survey is the fact that if every Nokia user recycles just one unused mobile, nearly 80,000 tonnes of raw material can be accumulated.

18. Henkel launches new CSR initiative
January 27
Business Standard

Henkel India has launched a corporate social responsibility called, ‘Eco-learn' to inculcate environmental concern and sustainability in the youth. Henkel India is developing a CD, capable of making a positive and profitable difference to the outlook of business students in India. This programme aims at integrating principles of environment and natural resource management into core business systems and practices.

Speaking on the occasion, Roland Schroeder, global director - sustainability laundry and homecare business sector of Henkel said: "Even against the background of the recent economic crisis sustainability will stay high on the agenda since there is a constant pressure on the world's natural resources. It is the key challenge within the concept of sustainability to foster innovation while keeping the equal balance between i) ecology , ii) economy/ employment and iii) equity/ equality (the three 'e' s). However, with regard to future generations 'education' should be taken into account as well and it might be seen as a fourth 'e'."

Eco-Learn will target the B-schools in the country in the first stage and engineering colleges in the second stage.

19. Maruti Suzuki offers lessons to promote safe driving
December 30
Agencyfaqs

Maruti Suzuki celebrated its 25th birthday this year – the first Maruti 800 rolled out on Indian roads in December 1983. To celebrate the occasion and highlight its concerns about road safety, last week, Maruti launched a corporate social responsibility (CSR) campaign, called National Road Safety Mission.

Under the campaign, Maruti will provide driving lessons to five lakh people in the next three years. Of these, around one lakh people will be from the underprivileged sections of society, who are keen to take up driving as a profession, and they will be taught free of cost.

Maruti already runs two Institutes of Driving Training and Research (IDTR) in Delhi and 47 Maruti Driving Schools (MDS) all over the country. While the IDTRs have been set up in collaboration with the Delhi government, the MDSes have been set up with the support of Maruti’s vast dealer network.

Maruti Suzuki has already imparted safe driving skills to 450,000 people through its training institutes. The National Road Safety Mission will utilise the services of these institutes.

“We realise that training 500,000 people is a small contribution when you look at the scale of the problem. We hope to be the catalyst for other organisations to join the road safety effort,” says Shinzo Nakanishi, managing director and chief executive officer, Maruti Suzuki India, in a press statement.

“By involving underprivileged people, we seek to improve their employability in the market and give them skills that will increase their chances of landing a job,” a company spokesperson tells afaqs!

Maruti Suzuki has come out with a new logo created specially for the National Road Safety Mission.

It will promote the initiative through various media and applications will be accepted on a first come first served basis.

20. Centre plans 40 generic drug stores by March
January 25
The Hindu Business

The Government-assisted retail stores to sell unbranded generic medicines have begun to open across certain States as part of the Centre’s multi-stakeholder strategy to get affordable medicines to people.

The plan involves drug-making public sector units, pharmaceutical companies and non-government organisations . And several State governments, including that of Maharashtra, Assam, Tamil Nadu, West Bengal, Bihar and Gujarat, are said to have shown interest in these ‘Jan Aushadhi 24X7 generic drug stores’ (JA).

The Centre’s Expression of Interest call received about 76 responses from corporates and 60 from NGOs, a Ministry official told Business Line. The Bureau of Public Sector Enterprises, under the former Chemicals and Fertilisers Secretary, Ms Satwant Reddy, will streamline the process, besides coordinating with the PSUs.

The plan is for 20-40 JA stores across States by this March, though a more definite picture will emerge next month. The shops will be run by NGOs, selected in consultation with the respective State governments, and a two-track supply will be tied up through PSUs and private drug companies to ensure alternative supply chains and an enhanced basket of products, the official said.

The generics shop, located in Government hospitals or locations provided by State governments will not be subsidised and will have to run as self-propelled units, the official added.

Companies will be allowed margins between 18 and 25 per cent, the official said, and yet, the cost of generic medicines sold at JA shops will be lower than other retailers, he said. For instance, a 10-tablet strip of a new generation antibiotic, priced around Rs 150 in the retail market, sells around Rs 30 in Amritsar’s generic shop, the official said.
Amritsar saw the country’s first JA store open last November, and the unit clocks credit sales, including Government hospitals, of about Rs 90,000 a week, the official said.
Retail sales average about Rs 20,000 a week, he added. The Punjab and Haryana Governments are powering ahead with plans to open more stores, besides sourcing from JA for Government-funded programmes.

New Delhi will see its first store in early February, even as Punjab will see its second store at Mohali and Haryana will open stores at Gurgaon and Panchkula in close succession. Plans are afoot for stores in Guwahati and Jorhat in Assam. The Centre’s National Informatics Centre has also been roped in for customised software so the shops can go online and monitor supplies, bills etc, the official said.

Pitfalls

Private pharma retailers caution that the roll-out needs to be thorough to prevent it from getting mired in red-tape or bureaucratic processes. Also, said a drug-company representative, doctors need to be encouraged to prescribe unbranded generic drugs or medicines that are chemically similar to an original branded drug, but much less expensive. To address such issues, the recently formed Department of Pharmaceuticals is planning to bring out an index publication of generic medicines that will be circulated possibly next month, the Ministry source said.

21. IndustrySpeak: Digitally speaking, radio is just on the verge of an explosion
January 19
Exchange4Media

While print and television have gone digital in a big way, radio has not tapped into the medium in a full-fledged way. The opportunities are there, in fact, quite a few FM players are going the Internet way with websites, blogs, social networking, and virals. However, it will be a while before Internet radio makes its appearance. The digital medium is still a young medium and is a mere 2 per cent of the media spends. Radio industry’s share of the advertising pie stands at 3.5 per cent.

Government laws as of now do not permit Internet radio, therefore, FM stations cannot exploit this medium. However, some FM stations like Big FM and My FM have gone the podcast way and are airing popular shows like breakfast shows or humorous capsules. After the Bangalore launch, Big FM plans to take the podcasting fever to other cities as well.
In the West, podcasts have come a long way. In fact, mobile podcast has become a norm and is just a matter of time for this to pick up in a big way in India. Most FM stations have their own websites, which are interactive, informative and even feature music and video clips.
exchange4media takes an indepth look at the scope and roadblocks in the way of radio going digital in India.

Making the most of digital

Prashant Panday, CEO, Radio Mirchi, pointed out, “At present, unfortunately, no one in India is making any use of Internet at all, at least from the radio streaming point of view. All broadcasters have reasonably well-developed websites. The websites are mostly used for networking, blogs, and information, and so on. The Mirchi website is exceedingly popular – it just got voted the most popular website in the radio and television category by Metrix-Nielsen in a survey spanning 1.5 million voters.”

Abraham Thomas, COO, Red FM, stated, “It has been Red FM’s endeavour to extend itself beyond radio to offer its content and properties across platforms. We have been using digital as a means to build listener interactivity and promote our various properties through dedicated social networks, specially created content, engagement through online contests, blogs, and virals, to name a few.”

Anand Chakravarthy, Senior Vice President - Marketing, Big FM, told exchange4media, “We have a specialised division called Big Digital in Big FM, which offers clients digital solutions. It also offers VAS products for mobile service products. Mobile VAS is a great source of income for digital platform in radio, where we offer content to cellular service providers, which they can monetise and we get the benefit. First and second source of revenue being SMS and mobile VAS, the third source of revenue is creating solutions for clients – radio services for all kinds of clients. We use our website, where we create online solutions for clients as they want not only radio solutions, but online solutions too. We use digital solutions to create value for clients and give them radio plus digital (mobile solutions or online solutions) and this is just the tip of the iceberg.”

Harrish M Bhatia, VP - Northern Region, AROI, and COO, My FM (Synergy Media Entertainment Ltd), said, “My FM launched its website simultaneously during the launch phase of the radio station and we have on-air links available on the website. The online portal is also very interactive, allowing listeners and users to connect with My FM and express their opinions and thoughts. There are several properties on the website that allow My FM’s listeners to participate in the My FM family through My Blog, My Poll, My Downloads, My Song Request, and My Podcasts, to name a few.”

Jayyant Bhokare, COO, Radio Indigo, informed, “Today, we cater to half a million users on our website on a monthly average, thereby creating a base for people to interact with the station, getting feedbacks. This has benefited us a lot and helped us do a much better job. As we get larger in this network, you can also get into options like giving movie tickets or even ordering a pizza through our website, and there are so many things that are possible and we can provide our consumers.”

So, is digital the future?

According to Panday, “Generally speaking, yes. Digital in the larger context is also the way that radio will go. Internet radio will grow in India as Internet penetration increases. Music royalty issue and Internet streaming also need to be sorted out. Apart from the Net, I look at telecom models emerging as well as methods of digital broadcasting like DAB or DRM. Many things will change as the move towards digital gains pace. Consumers will get more choice; broadcasters newer streams of revenues. The exact shape of this new world is not well defined yet.”

According to Thomas, “The FM industry will be able to truly use the digital platform once it is able to offer FM on a digital platform. Currently, that is not allowed by the Government and until that time, all digital efforts are directed towards brand promotional activities like online marketing, social networking, SEO, mobile marketing, etc.”

According to Chakravarthy of Big FM, “The opportunity is big because one of the biggest USPs of radio is interactivity. Secondly, in India a large number of listenership happens on mobile phones and, therefore, there is already a close relationship between the FM station and mobile phones. The other important aspect is that fairly decent revenue streams come to radio through SMS. Currently, Internet radio cannot be exploited because Government laws do not allow it. Music royalty issues are yet to be sorted out, and once that happens, opportunities are certainly high.”

Having a different take, Bhatia said, “Digital radio cannot become the future of radio because digitalisation will kill the salience of radio as a mass medium. Although technology can enhance the penetration of radio, its essence lies in being an easily accessible, cheap and common medium of communication. The current model of FM radio is providing increased employment opportunities, digitalisation would kill employment generation.”

Bhokare opined, “Digital is the future of radio, in fact, the two can be integrated very well. Website is an extention of the station outside, since we are allowed to podcast on the web. It has a lot of potential and throws a lot of value for us. From the mobile aspect, too, it is another extension since we are on a move, and through the mobile it enhances the quality of listenership. I think digital is an immediate future in radio.”

Radhieka, Corporate Ad Manager, Tomato FM, noted, “It’s always good to progress technologically, but not on a weak foundation and uneconomical operations. These are the basic problems faced by the broadcasters, which need to be addressed before the country takes the next leap to digital radio. Digital radio will surely offer the consumers more choice with better quality. But quality costs money and broadcasters are under pressure to make savings. They must balance the importance of sound quality against the cost of providing new services.”

How to reap the benefits?

Radio Mirchi’s Panday said, “The first thing we need is critical mass. We have that with mobile phones, but not with Internet penetration. The second thing is to remove all forms of barriers – music royalty, regulatory issues. The third thing is to make it affordable – music royalty. And then we must have some unique and engaging content. In many ways, this is the most challenging. What is it that listeners will want from their ‘converged’ devices? A lot of effort is on – not only from the broadcasters, but from many others as well. I don’t have anything specific to offer at this stage. Mirchi is also making its efforts.”

According to Red FM’s Thomas, “All new technology is designed keeping in mind media convergence. The technology on offer today allows radio content to become platform independent, the ultimate benefit is of convenience and choice to the consumer. We look at radio as a medium; our business is creating Red as a media brand offering content across multiple platforms. In India, Internet on mobile is what is poised to really expand. Already, mobile phones are the preferred mode of listening to radio and it won’t be long before the line between mobile, Internet and radio disappears for the consumer.”

Radio by 2010-12

Big FM’s Chakravarthy hoped that by then radio would surpass by large amount and hopefully even surpass television. “It’s a challenge, and not necessarily impossible. Over a period of time, the category will grow more, and more consumers will come into this category, it will become far more powerful even in terms of advertisers. You will find the content more exciting and not only relevant, but using newer formats and new kinds of stations. If the Phase III opens up, it will be an advantage and help spread our networks. If multiple frequencies open up, that will be another development and news and current affairs will again grow the category,” he added.

On an optimistic note, Bhokare of Radio Indigo said, “The future of radio is really bright, and we are already getting there. As a medium, it is a really fantastic medium to reach out to people..”

22. Music royalty issue: ‘Don’t kill the golden goose’, radio industry tells music industry
January 27
Exchange4Media

The Indian Performing Rights Society (IPRS) has filed a criminal case against Radio City President Apurva Purohit and other officials of Radio City for copyright violation despite the fact that a civil case is already going on in the Bombay High Court and the matter is sub judice.

Reacting sharply to this, Uday Chawla, Secretary General, Association of Radio Operators of India (AROI), told exchange4media that the radio industry was very hurt by the intermediating attitude of the music industry towards the radio industry and towards its President, Apurva Purohit.

He added, “Our approach has always been that the radio and music industries are interdependent on each other and hence, the growth of one industry will lead to growth of the other.”

He informed that AROI had called two expert lawyers from EU, one of whom advised the music and broadcast industry, so as to enable the radio industry to understand international norms and follow it with detailed discussions with music industry. “The music industry should not kill the goose that lays the golden eggs, but take an egg every day. The unreasonable demand of the music industry is killing the radio industry,” he alleged.

Chawla further said, “We have also strongly objected to this intermediating attitude. We request the music industry to preferably unite and sit across the table to resolve all issues. The music industry’s approach has been very unreasonable, and now they are trying to hit the radio industry below the belt by using intimidating techniques, which will have no effect except for damaging the relations between the two interdependent industries. We request the saner views in the music industry to prevail upon the IPRS and the other numerous bodies claiming to represent the music industry to sit across the table with AROI and resolve all long standing issues, and if required, using services of independent international neutral experts.”
Though music royalty has been a contentious issue for quite a while, some headway seemed to have been made on December 15, 2008, following the meeting called by the I&B Ministry between the music and radio industries along with the Registrar of Copyrights and Secretary, HRD, to start a cumulative process for nationalising music royalties for radio. The first step towards consensus of royalty between music industry and FM radio has been taken.

Set up in August 1969, IPRS is a non-profit body representing owners of music – composers, lyricists, publishers, etc. IPRS is also registered under Section 33 of the Copyright Act, 1957 as the only Copyright Society in the country to do business of issuing licences for usage of music and collect royalties from them, for and on behalf of its members, that is, the owners of music and distribute this royalty amongst them after deducting its administrative costs.

23. RAM-less Chennai FM players devise ways to keep track of listeners
January 27
Exchange4Media

Perception, top of the mind recall, listerners’ initiative, knee jerk decisions and programming manoeuvres – all these have evolved as the various tools at the hands of the Chennai FM players to fight the challenges imposed by the absence of a common audience measurement system. Taking a closer look at how the city is fairing as the only metro without RAM, has thrown some light on the surviving tips of these stations vis-à-vis their brand building initiatives and monetising processes.

The Methods

Talking about the listenership measurement methods used by the FM stations, PB Ramaswamy, Cluster Director, Big FM, Tamil Nadu, said, “We do research every quarter on listenership. Top of mind recall and all other parameters required are used through a research agency and we use this data for Chennai.”

Speaking of the methods, Rajeev Nambiar, CEO, Hello FM, said, “Currently, we are working with a research agency. It is our belief that those listeners who take the initiative to interact with a station and its RJs also sample the whole spectrum and hence, a better critic to gauge show popularity and the complete nuance of the medium.”

According to an experienced media planner from Chennai, “Most of the FM stations are caught up in their brand building stage and a lot of their focus goes into creating an USP for the station. Ideating more and more differentiating content in terms of the RJ quotient or programme format is what has kept most of the stations busy, and this, in turn, help them build their own identities before the advertisers.”

Ashok Sankethi, CEO, Kaybase, a Chennai-based market research company, said, “The method we use for our client is very random, with emphasis on the previous day recall. Since we provide a monthly report, it gives the station the advantage of more continuous tracking. We use similar methods for our clients in Kerala. And often the radio station clients happen to be our independent clients and that makes it easier for the advertisers to depend on our reports.”

The Challenges

Commenting on the challenges faced by the FM stations, Ramaswamy said, “When we have a measurement system, it becomes easier to go to an advertiser and justify our position. In Chennai, it is really a challenge because almost all the radio stations will have to initiate their own research to study the market.”

According to Nambiar, “In the absence of measurement, every decision maker in the advertising fraternity are preview to various facts and figures. Hence, one needs to facilitate sampling, and it is the measure of response that makes final judgment of the station to drive further communication. Also, the factor that plays in is the popularity by hearsay and the station what your kith and kin hear on their radio sets. What they consume is what they buy, from the perspective of a local advertiser.”

The stations are thus trying to sell mostly on the USPs and the results earned by their pan-India counterparts in other markets. But what has left the industry players complaining is the fact that process oriented approach to brand building is not resorted to. Rate wars, freebies, value packs are all that rule to fill ad breaks. Just as RAM is highly welcomed among the FM players in Chennai, it is also felt by some that RAM should look at a more friendly costing for its services.

24. New stamp duty rule worries ad industry
January 14
Business Standard

The High Court today did not give any relief to the advertising industry, which has filed a petition against new law which levies stamp duty on advertising-related contracts.

The division bench of Chief Justice Swatanter Kumar and Justice Dhananjay Chandrachud made it clear that advertising firms will have to furnish the information regarding such contracts, as required by collector, stamps.

Earlier, there was no stamp duty on contracts entered into by advertising agencies with their clients, and with the media companies.

But in 2005, state government amended Bombay Stamp Act, and provided for duty on "all instruments related to advertisements in mass media for promotion of a product".
Advertising Agencies Association Of India, Indian Society of Advertisers and Indian Newspaper Society alongwith a few others then filed the present petition, saying that amendment was unconstitutional.

The main argument against the amendment is that constitution does not allow state governments to levy tax on advertisements in newspapers, radio, or TV. It falls in union government's domain.

However, additional government pleader Niranjan Pandit said that word mass media covered other media like hoardings, mobile vans, neon signs, etc too.
State has no plan to levy stamp duty on advertisments in newspapers, radio and TV, Pandit told the court.

According to Pandit, the contracts between clients and agencies would attract stamp duty.
Moreover, he said, the advertisements in magazines too would attract duty, as magazines do not fall in the 'newspaper' category.

The petitioners, on the other hand, are contending that the amendment violates the spirit of article 19, which guarantees freedom of speech, and freedom of press.
"Right to advertise is a facet of right to free speech," the petition says, adding that even Supreme Court has accepted in previous cases that there is a link between "unhindered" advertising and freedom of press.

Pandit said that as of now, the government can collect stamp duty with regard to advertising in other forms of media -- save newspapers, radio and TV as court has passed no restraining order.
Petition will come up for hearing in due course.

Source: Business Standard

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