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: XVI

July, 2008

In these hyper charged times where news comes in as fast as it becomes outdated, we need a source that can keep track of what matters to us.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. Email still emerges as a strong medium when it comes to connecting with the audience online – July 21

 

Source: Agencyfaqs

 

 

 

2. Marketers see online media as a profitable advertising investment – July 10

With inflation influencing shoppers’ spending habits, advertisers are now vying for ad media which gives them the highest returns. Consequently, the internet is emerging as a sought after media as the return on spending can be tracked accurately. A FICCI-PwC report on India pegs the online advertising market in 2008 at Rs 420 crore and predicts that the market will touch Rs 1,100 crore by 2011. Not only is the internet becoming popular with shoppers as a means of information but also for product comparison. With the digital media in the upswing, social networking portals such as Facebook and Orkut are also emerging as popular vehicles for advertising. Mobile advertising also seems promising. The mobile market is estimated to be worth Rs 40 crore in 2008 and is expected to touch Rs 500 crore by 2013. Meanwhile, blog posts are also becoming a part of the digital marketing strategy. Advertisers believe that reading positive blog reviews from users on products have more impact on a prospective buyer than a TVC (television commercial).

 

Source: Business Standard

 

 

 

3. Online gaming emerges as a new advertising tool for marketers – July 07

As brands continue to evolve their campaigns on the Internet, advertising through online games is becoming popular with marketers. Advertisers have realized that consumers may overlook brands in display and search ads. However, it’s hard to do so when they are actively involved in playing a game that has the brand as its central theme or character. According to the Internet and Mobile Association of India (IAMAI), size of the online gaming market in India was Rs 21 crore (in January 2007), of which advergames, in-game placements and display ads contribute 11% or Rs 2.3 crore. Online gaming is picking pace with consumers, as it offers high level of brand engagement. In advergames, consumers can virtually touch or experience the brand. The advergames focus on building brand connection and ensuring lower costs and higher payoffs. The advergames give marketers an opportunity to take the brand proposition to consumers in a way with which they are comfortable.

 

Source: Agencyfaqs

 

 

 

Emerging Trends: OOH

 

 

4. OOH outgrows billboards and transcends toward newer media – July 02, July 17

The OOH industry in India is on a trend-setting spree. Marketers are now looking beyond the once favourite OOH prop-the bill boards. Unlike in the past, advertisers are now investing in areas other than conventional hoardings. Players are now experimenting with new forms such as OOH furniture, transit media and digital signage. The focus is on digital screens that allow multiple-utilisation of inventory for a certain target audience. Another vehicle that has now become a popular OOH tool is 3D screens. These 3D displays make images appear in a three dimension mode, addressing the need for innovative ways to capture consumers’ attention, build brand awareness and increase message retention. Marketers feel advertising on these screens would help capture the moving audience easily, cut through the clutter and reach masses more easily and effectively. The screens are aimed to create a ‘wow’ effect on customers, as they can be seen without 3D glasses. However, a major challenge in this medium is the cost incurred.

 

Source: DNA, Agencyfaqs

 

 

 

5. With Kurkure, Airtel and Max New York Life Insurance joining the band wagon, the Indian railways is emerging as the new OOH tool by serving as a medium for players to humanise their brands– July 16

 

Source: Exchange4media

 

 

 

Emerging Trends: International

 

6. Global ad spend continues to rise despite mounting economic pressures – July 28

According to The Nielsen Company's Global Ad View Pulse report, despite mounting economic pressures global ad spends have increased by over 4% in the first quarter of 2008. In the period, ad spending in Africa grew by over 16%, and the Asia Pacific region recorded almost 10% growth. In the more developed regions of North America and Europe, growth was considerably slower. The report also states that uncertainties linked to the world economic situation and the increase in oil and commodity prices have reached Asian and Oceanian nations, and the effects of these pressures may slow the region's overall upward trend. The rise of advertising expenditure in Asia Pacific has been attributed to strong growth in China, India and Indonesia. In other markets, growth remained flat. Globally, healthcare retained the majority share of ad spending, with just over 10% of all advertising activity. FMCG advertising spend also grew at a significant rate of 6.7%, recording growth across all regions. Ad spends in the clothing and accessories sector grew by 5.5%. Television remained the highest-grossing medium for advertising spend, recording a 6.9% yearly growth rate globally. Television accounted for 60% of global ad spend while newspapers represented almost 24% of the expenditure.

 

Source: Indiantelevision

 

 
 

7. Interactive media sees an increase in ad spend – July 22

A study from WPP's GroupM, the world's leading full-service media investment management operations firm, showed that interactive media's share of worldwide advertising expenditures is expected to hit 15% in 2009, almost double from four years ago (2005), and will remain the main source of growth as ad spending in traditional media continues to decline.  Ad spending on interactive media—internet, mobile and gaming—reached 11% in 2007, sparked mostly by gains recorded in the US and Western Europe, as well as by the increased use and availability of improved handsets, inexpensive laptops, faster broadband, and extensive Wi-Fi connections. The survey covered 35 countries and showed the digital advertising's share of total ad investment rising from 8% in 2005 to 15% in 2009.

 

 

Source: Centre for Media Research
 

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Media & Advertising Research Watch

 

8. India ranks among the top 3 media and entertainment markets – July 22

According to PricewaterhouseCoopers, India’s media and entertainment market is expected to grow 18.5% annually, and is expected to reach $36 billion by 2012. The report also added that rapid economic growth and the freeing of entertainment and media markets will fuel expansion in India, which is expected to be the fastest-growing territory in Asia Pacific during the next five years (2013), making India one of the top three markets for global collaborations in entertainment and media.

 

Source: Economic Times

 

 

 

AdEx Findings

 

 

9. TV advertising of cellular phone services has seen growth of two times during January-May 2008, compared to January-May 2007, whereas the print advertising of cellular services decreased by 25% during January–May 2008, compared to January–May 2007.

 

Source: Indiantelevision, Exchange4media

 

 

 

10. TV advertising of the soaps category witnessed 19% growth during January-May 2008, compared to January-May 2007 whereas the print advertising, in this market, recorded a 5% drop during January-May 2008, compared to January-May 2007.

 

Source: Indiantelevision, Exchange4media

 

 

 

11. Print ad volumes of domestic airlines declined by 36% in January-May 2008, compared to the same period in 2007.

 

Source: Exchange4media

 

 

 

12. TV advertising witnessed 26% growth during the first half of 2008, compared to the same period in 2007.

 

Source: Indiantelevision

 

 

 

13. Print ad volumes have seen a rise of 5% during the first half of 2008, compared to the same period in 2007.  TV Channel promotions in print saw a rise of 29% during the first half of 2008, compared to the same period in 2007.  Radio channel promotion grew by 73% during this period.

 

Source: Exchange4media

 

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Environment Watch: Advertising & Media

Regulation

 

14. BARC to guide and supervise the television rating process – July 25

Concerned about the monopoly of the TAM Media Research agency over the Rs 8,000 crore television advertising industry, the Information and Broadcasting (I&B) ministry has sought TRAI’s intervention on the system and framework of such agencies. The ministry is keen that the framework should ensure transparency, independence of rating agencies and increased coverage, reflecting the plurality of regions and viewership. TRAI has recommended the Broadcast Audience Research Council (BARC) to be recognized as the institutional framework, which would incorporate BARC’s technical committee to guide and supervise the various processes of rating, and resort to an open, transparent bidding process for the stages involved in the rating process. In addition BARC should provide information and reports, as requested by the ministry from time to time. For this purpose, BARC needs to sign a Memorandum of Understanding with the ministry for its organizational structure, functions and methodology (including eligibility conditions for selection of rating agencies).  BARC will also be required to display the rate card for various reports and discounts offered on its website.

 

Source: The Times of India, Indiantelevision

 

 

Radio

 

15. Radio, a bigger hit in regional markets, compared to metros – July 18

According to the Radio Audience Measurement (RAM) study, on radio penetration and viewership pattern, FM stations are more popular in regional markets. Their popularity can be attributed to the regional languages, which play a big role in retaining listeners. The other reason may be that in metros people are too busy to tune in to FM stations.

 

Source: Indiantelevision

 

 

 

16. Radio adopts a multi-faceted approach to increase its interactive quotient – July 14

With the listeners becoming more mobile, radio is also keeping pace. For the industry to expand, FM is keeping abreast with the latest in technology. With almost all cars, all music systems and a substantial number of cell phones coming equipped with an FM receiver, coupled with the availability of a free-of-cost medium, stations can achieve a penetration unmatched by other media. Another trend in offing is the mushrooming of newer modes of distribution for the medium, which will fuel the penetration of FM in the country. Radio has also shown a transition from mobile to the internet as a part of its granular approach to reach out to a larger audience. By having a web presence, stations are able to give their advertisers a better mileage for their investments. From podcasts to the SMS short code service to blogs to WAP portals, radio has left no stone unturned to increase the interactive quotient with its audience.

 

Source: India Radio Bulletin

 

 

 

17. Telecom hits it off with radio – July 14

According to AdEx data, Reliance Communications Ltd, Hindustan Unilever Ltd and Tata Teleservices clocked 287,000, 206,000 and 164,000 seconds of airtime, respectively, filling the top three spots in the advertisers’ list in May 2008. Cellular phone service was recorded as the number one category, with 617,000 seconds of airtime. Other categories recorded in the overall AdEx data were TV channel promotions, independent retailers, properties/real estate and publications/books, with 482,000 seconds, 453,000 seconds, 399,000 seconds and 263,000 seconds, respectively.

 

Source: India Radio Bulletin

 

 

 

18. Radio also gets the movie bug – July 17

The movie industry in India is now aggressively targeting radio as a medium for advertising.  Though it has been a long association, it has definitely acquired a new dimension as FM stations across the country now have interactive and innovative integration with their programmes. As a result, movies are being promoted through on-air and on-ground activities. Moreover, advertisers have been positive about such associations as they get to ride on the popularity of the movies and stars, and also associate with them and reach out to the target audience. With listeners giving a thumbs up to movie associations on radio, popularity of these shows, through mass participation, has proved the potency of radio as a medium for advertisers and media planners alike.

 

Source: Exchange4media

 

Others

 

19. The economic slowdown affects the Indian advertising industry – July 09

The slowdown in auto, consumer durables, fast moving consumer goods, retail, banking and insurance sectors has affected the Rs 19,600 crore advertising industry in India. According to AdEx India, the advertising tracking unit of TAM India, the total advertising volume in print media dropped by 12% for April-June 2008, compared to April-June 2007. The ad duration for radio dipped 3%, while that for television dipped by 12%.

 

Source: Indian Business Insight
 

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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

  

Kya Aap Paanchvi Paas se Tez Hain vs. 10 ka Dum

 

IPL ratings (CS 15+ Male)

 

 

Source: TAM

Period: 1st Jun 2008 – 2nd Aug 2008
Market: HSM
TG: CS 4+
 

Change In Channel Share

 

Source: TAM

Period: 1st Jun 2008 – 2nd Aug 2008
9th Mar 2008 – 24th May 2008
Market: HSM
TG: CS 4+

 

Advertising Spend Analysis for Refrigerator Category for the Year 2006 & 2007 - Refrigerators
 

Monthly Media Expenditure

 

Source: IMRB & AC Nielson
 (Reported Figures)

Refrigerator Category – Brandwise spends

       

Source: IMRB & AC Nielson
 (Reported Figures)

 

Medium Breakup

 

Source: IMRB & AC Nielson
 (Reported Figures)
 

Genre Breakup

Source: IMRB & AC Nielson
 (Reported Figures)

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Fast Forward

   

Google rules internet search in India; Rediff leads local search engines

August 20, 2008

 

Google sites ranked as the top search property in India with more than one billion searches conducted in June 2008, representing 81 per cent of the market, according to a study by US-based internet research firm comScore Networks. The study also reveals that an average internet user in India conducts about 53 searches a month, as against the worldwide average of 93.

Yahoo Sites ranked second with 9.4 per cent market share, followed by Ask Network (1.9 per cent) and Microsoft sites (1.7 per cent). Rediff.com ranked fifth with 1.5 per cent share. Facebook and People Group (Shaadi.com) had 0.8 per cent market share each, while CNET Networks and Wikipedia sites had 0.4 per cent each.

The comScore study, which includes internet users of 15 years and above and excludes searches from public computers such as internet cafes and access from mobile phones or PDAs, states that more than 23 million Indian internet users conducted 1.24 billion total searches in June 2008.  

“The Indian search market is dominated by global internet brands, with Google attracting the wide majority of searches,” Jack Flanagan, executive vice president, comScore, has said. “As the top local player in the search market, Indian web portal Rediff.com attracts slightly less than 2 per cent of all searches, indicating that there is substantial room for growth among the local internet brands.”

“Though India represents more than 15 per cent of the world’s population, it accounts for less than two per cent of global internet searches,” Jack Flanagan has added. “It will be interesting to see if this gap narrows as more people in India gain internet access and ramp up their use of search over time.”

 

 

Tips on Building Online Traffic

 

Okay so you have a brilliant web site. You are a treasure house in the field of your expertise. You have placed your knowledge in your website. You have a great product and now you want to utilize the web media to advertise and launch it. Unfortunately though, after you have launched your website with much fan fare, there does not seem to be enough traffic to it. Not many people are coming to your website and your online business is not paying as much as you thought it would.

Let’s look at some useful tips to ensure building up some online traffic for your website:

Utilize forums to the fullest extent. If you have a Facebook account, if LikedIN excites you, if my space is where you hang out the most, then advertise your website there. This is called social media marketing. Mail your friends, acquaintances, the yahoo groups that you are a part of or the web communities about your website. This will at least ensure first time hits.

Use the internet news forums like Yahoo News or Google news to publish press releases of your website. This is guaranteed to grab the attention of many.

Keywords – there is no way we can stress the importance of keywords any further. For a website to be popular and survive the daily onslaught of latest and new websites, you must have the appropriate keywords in the content of your website. In this era of search engine optimization, the better your keywords are more are the chances of your getting regular traffic.

Although your target is generating traffic for sales and generating revenue, there is no alternative to telling the truth. Honesty, believe it or not, is still the best policy. Tell your buyers and visitors the truth – do not fool them, do not use flowery offers and language to convince them – some day or the other they will see through that. So keep it simple and honest, people will keep visiting your blog because they know that they have reliable and quality information in your website.

Do not sell your product or website as if it is meant only for sale. Use a catchy headline – make your reader think and ponder over the headline – make them interested in the headline of your advertisement.

You may use different marketing tactics to get traffic to your website but the concern is that the traffic should not just be quantity but quality as well. You may have 100 visitors every day, but only 5 may generate actual sale. So you must employ the correct marketing strategy based on your product or content in order to build the traffic flow to your website. If it is a product that you are selling then may be a click-per-banner marketing strategy may come handy. If you are selling content then may be content marketing will generate more quality traffic for your website.

There is no alternative to testing and researching the various traffic sources before deciding on the channel that best suits your needs.

 

Spread the Word

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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.

© 2008 Zenith Optimedia.

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Full Articles

 

1. Email marketing: keeping up with the times

Agencyfaqs

July 21, 2008

 

Online advertisers today have a range of options at their disposal – video ads, micro sites, viral campaigns, blogs and social networks. However, there is an ad platform which is one of the oldest and still surviving, and that is email. According to online research firm JuxtConsult's India Online 2008 report, 91 per cent of online Indians send and receive emails.

 

With so many engaging platforms, do marketers still consider email marketing relevant? “Visiting the email inbox at least once a week is a compulsive habit of Internet users. Hence, email marketing is still a sure shot direct marketing tool for conveying new promotions or generating interest,” says a Rediff.com spokesperson. Rediff's email service has more than 65 million registered users and it sends out emailers based on their interests. The site also earns ad revenue from display advertising and sponsorships.

 

An email ad on Rediffmail

Email marketing may not be on the top of every marketer's list, but it's not time to write it off yet. Just as display advertising has evolved with changes in technology, so has email marketing, which usually consists of sending text and image messages to the customer. One of the reasons email marketing had to evolve is that the customer has become less tolerant of spam mail. Spam or unsolicited emails are a major cause of concern across markets and marketers who indulge in it risk getting blacklisted by the Internet service provider (ISP).

 

RupeeMail is an email marketing service developed to be distinctly different from spam and gratifying to the customer as well. RupeeMail sends out advertisers' emails to its members based on their preferences and enables them to accumulate cash points for reading these mails.

 

Sunil Puri, director, RupeeMail, says, “Email marketing is not as developed in India as in the West because there is a lot of spam. However, email is a very non-obtrusive and personalized medium as compared to getting a call or an SMS on a mobile. It also allows for audiovisual elements.”

 

Puri says that RupeeMail follows the rules of permission marketing because emailers or ad based emails are only sent to people who want to see them. There are over one lakh subscribers on RupeeMail. Puri says that top brands don't go for email marketing because they don't want to get mixed up with spam, which can ruin their image.

 

Advertisers who use email marketing regularly belong to sectors such as finance, real estate, online shopping and matrimonial and job sites. Recently, HSBC Bank did an interesting email innovation during its sponsorship of the Wimbledon Cup. Users logging into Sify Mail found the compose, reply and delete buttons replaced by tennis terms such as serve, return, all court and love all. Lakshmi Goyal, senior vice-president and head, brand research and media, HSBC, says, “Given that tennis is a relatively niche sport, there was a need to do something unique, something never ever done before on this high reach vehicle (email).

 

The campaign flow was designed such that HSBC would be present all through the user's mail experience, with branding right from the login to the inbox.” Goyal agrees that it is difficult for brands to get their messages across with the presence of spam. “Email marketing is relevant given its ability to reach the right audience. It's important to ensure that any offer we pass on to our audience is of high relevance to them.”

 

Group M's Mindshare Interaction developed the campaign. Harish Nair, business group head, Interaction, says, “Earlier, email marketing was about acquisitions because there was a small audience. It was also frustrating for the customers. But now, marketers have more options and they are selective about their email campaigns.”

 

Nair says, “Email marketing is mostly about sending emailers. We wanted to do something innovative that would register in the user’s mind.” He claims that the campaign received 40 million impressions and 85,000 clicks.

 

The open-up rate (the number of times an email is clicked to open) for email campaigns vary between 5 per cent and 30 per cent, depending on the content and relevance of the email. Puri says the open-up rate for unsolicited emails is 1 per cent. For permission based emails, it is 8-10 per cent, and for special interest emails, which the user has subscribed for, it can be 25-30 per cent. Compared to the click throughs on banners, which average 1 per cent, this is not bad. Banners allow for more interactivity. As marketers start experimenting on email, the medium is becoming more interactive too. Google integrates its search ads in its email service, Gmail, and displays them according to the context of the email being read.

 

 

 

 

2. Advertisers warm up to online spend

Business Standard

July 10, 2008

 

Inflation is affecting consumer spending and advertisers say they will now spend only on media which gives them the highest measurable returns. TV, for instance, grabs the biggest ad pie due to its mass appeal and the ready availability of TRPs, used to assess its returns.

 

Advertisers are increasingly turning to the internet as the return on spending can be tracked accurately. A FICCI-PwC report pegs the online advertising market in 2008 at Rs 420 crore and predicts it will touch Rs 1,100 crore by 2011.

 

Nokia India, for instance, has been running big campaigns like Millan of the Villains and ‘Do the Music' (involving AR Rahman where users remix tracks from Rahman's latest movie and win a session with the composer). Colgate Palmolive, ITC, Dell, Viacom18 Media, Canon, Intel, Tata Housing, Reliance ADAG companies, Maruti, Toyota, Airtel, Hutch are other prominent names taking the digital space seriously.

 

Anuj Poddar, senior vice-president, Viacom18 Media (owner MTV), and chief, Digital Media, says: "I won't say we plan to cut our advertising spends as our absolute ad spends have increased. But there will be a shift from print to online as print is the most expensive medium and I can't measure the effectiveness of the money put into it."

 

Almost every show of MTV is online now. Consider Canon. Last year, its ad spend split was (in percentage): Print 50; outdoor 25; TV 25. This year the split is: Print 15; outdoor 25; TV 50; SMS 5; online 5.

 

Alok Bharadwaj, senior vice-president, Canon India, explains: "We plan online spend of 10 per cent by next year as this is where the target audience is. People seek more information and will go online to get it. So, why not advertise where people go to read?"

 

Parminder Singh, business head, technology, Google India, says: "Wherever people see an ad, they will turn to internet not only for information but also for product comparison. Thus, the medium becomes important." Poddar says: "MTV is a youth brand and since 84 per cent of the internet users are below 30, it makes sense to put money here."

 

A Maruti-Suzuki spokesperson agrees: "The online user profile matches the profile of our customers. This demographic convergence offers a huge opportunity to us, especially with our youthful and stylish fleet offerings like the Estilo, Swift and SX4." Maruti had some successful initiatives in the online medium with its Zen Estilo and lately the Swift Dzire, putting up videos on YouTube.
 

There are challenges, though, as Amar Deep Singh, vice-president, business development and client consulting, Interactive Avenues , sums up: "Companies are increasingly looking at digital media .This will become a substantial part of their marketing spends only when the user base becomes significantly large. This is likely to happen within the next two years with rapid growth in internet access and hardware costs coming down."

 

 

 

3. The game is changing for brands

Agencyfaqs

July 07, 2008

 

As brands continue to evolve their campaigns on the Internet, an interesting platform that is becoming popular with marketers is online gaming. Advertisers have realized that consumers may overlook brands in display and search ads. However, it’s hard to do so when they are actively involved in playing a game that has the brand as its central theme or character.

 

According to the Internet and Mobile Association of India (IAMAI), the size of the online gaming market in India (as in January 2007) is Rs 21 crore, of which advertising – advergames, in-game placements and display ads – contribute 11 per cent, or Rs 2.3 crore. Of course, these figures are over a year old and industry professionals estimate the industry to be valued much higher.

 

Why play around?

Why are marketers experimenting with gaming? One of the key drivers is engagement with the brand. Raj Menon, chief operating officer, Contests2win, says, “In advergames, consumers can virtually touch or experience the brand. On an average, consumers spend between three and five minutes on a game. All this while, they are immersed in the brand. By the time they’re through with the game, the brand message is completely communicated.” Contests2win has created games for brands such as Airtel, Pepsi, Bajaj Allianz, Intel, Maybelline and Bingo.

 

For instance, the Bingo game (http://www.contests2win.com/quizzes/15456/Bingo-Mad-Angles-Achaari-Masti-Attack) was for Bingo’s Mad Angles Achari Masti, which was based on the TV commercial featuring a mad scientist. In the game, the old man is placed in a maternity ward, where he has to save a packet of chips from the pregnant women. Ravi Desai, senior brand manager, Bingo, ITC, says the game was a natural fit with the overall campaign for the product. “The thought around the brand should be embedded in the game. There’s no point in just placing your logo in the game. It will not impact gamers until the brand is integrated well into the game,” says Desai.

 

He adds, “The idea is to try and use another touch point to leave an impression on the target audience, that is, the youth. The more you penetrate into a medium they are comfortable with, the more it works to your benefit.” Bingo has already experimented with an interactive website, a mobile game and a viral video.

 

But not any or every brand can be used in these games. Amar Deep Singh, vice-president, Interactive Avenues, says, “The natural fit between the game and the brand is very important. However, it can be an important part of a campaign if the target group matches the gaming audience, and also if it is able to create an interesting way to convey the brand proposition. For example, the Intel Centrino campaign used Need More Horsepower? Within racing games as a strategic placement.” Interactive Avenues has developed advergames for brands such as Colgate Max Fresh, John Players, Cinthol and ESPN.

 

While advergames are specially created with a brand in mind, brand placements in games display the brand within a relevant game. Rohit Sharma, chief operating officer, Zapak.com, says, “When games are made based on brands, or simply include brands plugged in as a means of in-game advertising, the brands gain top of the mind recall and even brand loyalty.

 

During game-play, the brand has a captive audience as gamers log in and spend time on the game.” Zapak has developed advergames for brands such as Adidas, Bru, Apollo, Perk, Gillette, HSBC and LIC. Sharma claims that advergaming contributes 25-30 per cent of the company’s revenues and this is expected to grow to 50 per cent by the end of 2008.

 

Zapak created Perky Island

(http://www.zapak.com/gameplayint.zpk?gid=916&gameid=916&gnrid=5&gname=Perky%20Island&srcsearch=gname) for the brand, Perk. The game was based on the product’s tagline, ‘Take It Lightly’, and involved thwarting pirate ships by shooting Perk bars at them. Chella Pandyan, category manager, Perk, Cadbury India, says, “The youth is spending more time on non-television activities such as gaming. The game was an opportunity to take the brand proposition to the consumer in a way with which they are comfortable.” Pandyan is happy with the response the game received and the company is planning to launch another game soon for the brand.

 

Building brand connect

The concept of a game developed for a brand has to be carefully chosen to match with the brand’s values and message. Suhail Baghdadi, general manager, marketing, Indiagames, says, “Most branded games are usually developed in agreement with the licensor (owner of the brand). They aim to capture the essence of the brand and add certain elements that are unique to the game version. Each one of these elements is integrated keeping the brand values in mind and aimed at defining what the brand would like to communicate through the game.”

 

Indiagames is based on a subscription model, but it also creates promotional games for movies and TV shows. Recently, it created a game for STAR TV’s Kya Aap Paanchvi Pass Se Tez Hain?

 

Therefore, the more brand elements in the game, the more it adds to brand recall. Media2win, a digital agency, created a game for Garnier’s Sun Control Daily Moisturiser (http://www.media2win.com/contests/garnier/sun_control/), where the female character has to complete a number of tasks before getting tanned in the sun. Namrata Balwani, national business head, Media2win, says, “The consumer spends more time (in a game) in terms of interaction than he would on a simple page with product info. While the consumer knows it’s a branded game, there is more openness to receiving brand information since it is woven into an entertaining format. For Garnier, the branded game had to provide a lot of information about the brand as well as the product within a few minutes of interaction.”

 

Media2win also developed a game for Max New York Life to promote an insurance plan called Smart Steps, meant for children. Interestingly, the game was targeted at parents and was part of a microsite developed for the product, www.super-parents.com. The game required parents to cross three levels, indicating the growth phases of children. Describing why the company chose a game format, Anisha Motwani, senior vice-president, marketing, Max New York Life, says, “Insurance can be an extremely educative, albeit boring subject.

 

To make it interesting, we built it into the game, where parents learnt about the pitfalls in bringing up a child and about planning for the child’s future.” She adds that the company is planning to launch another game.

 

Costs and payoff

While the brand connect is important, there is also the cost factor to be considered. More gaming elements naturally mean higher cost. The cost can vary between Rs 50,000 and Rs 5, 00,000. The average cost of an advergame, according to industry sources, is Rs 3.5-4 lakh. Commenting on the factors that affect cost, Baghdadi says, “The cost of the game depends on factors such as the platform for which it is being developed, licensing costs, and marketing and distribution costs. The complexity of the game, the level of graphics and programming efforts involved also add to the costs. Licensing costs can run from a few thousands to millions of dollars.”

 

The pickup of a game can be measured in many ways. The common parameters are the number of people who played the game, the average time they spent on it, and the number of times they came back to play (game-play). It can also be measured in terms of the number of downloads. According to Sharma, the average response rate per month in terms of unique players at Zapak.com is three lakh, the number of game-plays is five million and the average time spent is more than three minutes.

 

Certainly, advergaming is a growing phenomena and big brands are making it part of their digital campaigns. This only goes on to show that branded gaming is here to stay.

 

 

 
 

4a. Hoardings are no longer OOH media’s pet

DNA

July 02, 2008  

 

 “Indeed, unless the billboards fall, I’ll never see a tree at all.”

—Ogden Nash

 

The American bard and many a likeminded person, who have denounced billboards for so long, have reason to cheer now. Even diehard patrons are looking beyond billboards, once the favorite prop for the outdoor advertising industry. Unlike in the past, the cash-rich new entrants in the out-of-home (OOH) advertising are investing in areas other than conventional hoardings.

 

Take for example privately-funded Laqshya, which has invested more in non-billboard-based media. Other players are also experimenting with new forms such as OOH furniture, transit media and digital signages. Even Digital Signage Networks (DSN) and OOH Media are mainly focused on digital screens that allow multiple-utilization of inventory for a certain target audience.

 

Soumitra Bhattacharya, CEO, Laqshya Outdoors, says, “The OOH industry is changing, so we’re adapting to it. Laqshya’s acquisition strategy is based on media other than billboards. Mostly, it’s advertiser-driven. If his objectives are not met through hoardings, it’s natural for us to provide him with options. But that doesn’t mean we’re ruling out hoardings from our business completely.”

 

Internationally, the out-of-home (OOH) media sector has seen an increasing number of street-signages adapting to local environment and, at times, even jaw-dropping infrastructure.

 

But in India, the market has largely remained indifferent to it, primarily due to lack of innovation amongst OOH media specialists and slow absorption of new technologies. Some players in the business say the Indian market is different.

Indrajit Sen, CEO, Stroer India, says a certain herd mentality is visible in use of hoardings. “Innovation and moving beyond hoardings is inevitable since the OOH advertising now gives a margin of only 25-30% against 70-80% even 6-7 years ago. Today, rising family incomes mean less dependence on hoardings on their rooftops,” he says.

 

The local civic administrations such as the Bombay Municipal Corporation (BMC) believe hoardings lack aesthetic quality. So, they now allow the private sector to maintain civic amenities in exchange for advertising rights and FSI (floor space index) benefits.

 

R A Rajeev, additional municipal commissioner, Greater Mumbai, says outdoor media owners often flout norms.

 

“In the race for a few more bucks, advertising industry compromises on safety and security of hoarding structures and also add to the clutter,” Rajeev said during his address at the Outdoor Advertising Convention (OAC) on Friday.

 

The signs are clear that thousands of outdoor media owners, currently starved of funding in a largely unorganized OOH media sector, will need to adapt and invest more in OOH media beyond billboards and hoardings.

 

Advertiser needs are evolving too. This is in line with changing ad spend patterns as media plans slowly become less dependant on television advertising. Siddharth Mehra, AGM— marketing, Spice Mobile, says, “An advertiser now seeks more engagement and connect through OOH media. Unless the message is really strong, simple hoardings have to make way for more dynamic outdoor media.”

 

However, advertising veterans exercise caution and advise not to rule out billboards yet.

 

Mangesh Borse, director, Symbiosis Advertising, believes large-format advertising, primarily through billboards, will continue to be a preferred part in media plans.

 

Borse alluded to brands such as Amul, which used topical billboard advertising to establish itself. “Even in the US, after its initial tryst with street furniture and transit media, the share of this form of OOH advertising actually went down. Billboards are noticed, and the bigger they are, the better is the impact,” Borse said.

 

Sam Balsara, chairman and MD, Madison Communications, says, “There’s a sense that we’re trying to fix something that isn’t broke yet. At 7% of the ad pie, OOH media grew at 28% last year. So, certainly something must be right about the existing majority share of billboards. But let’s understand that outdoor is an intermediate business. Doubling the prices won’t mean the market will double.”

 

 

 

4b. Absolute 3D Visions gives India its first spectacle-free 3D screens

Agencyfaqs

July 17, 2008

 

Absolute 3D Visions, a part of the MM Group, has introduced the first 3D digital screens in OOH advertising. These 3D screens do not require the special viewing aid, the blue-red spectacles, normally required to view 3D moving pictures.

 

VS Veerasami, chief executive officer, Absolute 3D Visions (A3D), says, “3D screens work using two types of technology. Some companies use lenticular technology and some use barrier technology. A3D uses barrier technology and this allows the viewer to see the 3D image naturally. The technology subdivides the LCD image into complex repeating segments which, when viewed and then integrated by human binocular vision, presents 3D views of the scenes.”

 

Veerasami has been in advertising for 22 years. He started off with wall painting, followed by digital signs with MM Digital Signs in Tamil Nadu. Exploring the idea of launching something new in the digital signage world, he came up with 3D technology and started Absolute 3D Visions. Starting with lenticular static displays, A3D moved on to auto-stereoscopic 3D digital signage. Auto-stereoscopy is a method of displaying three dimensional (3D) images without the use of special glasses. It produces depth perception even when the image seen by the viewer is produced by a flat device. After three years, the first ever 3D display was launched at Coimbatore airport, Tamil Nadu, on January 18, 2008.

 

Veerasami says that the digital signage at Coimbatore airport was A3D's pilot programme and it had decided to launch the next 3D digital signage network in the next three months. Soon, it realized that the cost and time taken (for content creation for 3D displays) were too much for advertisers. The company finally decided to create its own 3D displays. The business model reworked, A3D, in addition to setting up 3D digital signage networks, also became a content creation company. It provides options to create full 3D videos or to adapt existing 2D videos to the 3D screens.

 

Veerasami says no one has bothered to enter and launch this technology because of the cost and time taken in content creation. The 3D displays make images appear to hover mid-air, addressing the need for innovative ways to capture consumers’ attention, build brand awareness and increase message retention. Advertising on these screens helps capture the moving audience easily, cuts through the clutter and reaches masses more easily and effectively. It’s new, exciting and creates a ‘wow’ effect on the customers.

 

Also, 3D itself is always a craze and, when people can see it without any 3D glasses, it creates excitement among all ages. The challenge in this medium is the cost incurred. Veerasami says, “We strive hard to decrease the cost of the auto-stereoscopic 3D displays to about 50 per cent more than that of the ordinary 2D LCD screens. The time taken for creating content and the cost of content creation are also a challenge, but now we have a special team that creates the content very effectively and in a timely manner.” While the company is in the process of finalizing the costs, Veerasami informs that a 42 inch display will cost approximately Rs 1.5 lakh which includes the screen and the 3D software player.

 

A 3D offers displays of varying sizes. It offers screen sizes ranging from eight inches to 60 inches. These screens can be used in theatres, malls, flights and wherever 2D digital signage exists. New Saravana Stores and Saravana Jewellers are the main advertisers using the 3D screens at Coimbatore airport. Diamond retailers, Kirtilals, also rented the screens to display a video, A Day with Kirtilals, for seven days.

 

A 3D is in discussions with various advertising companies for tie ups to establish a digital signage network for 3D screens in cinema theatres and multiplexes across India. It also aims at establishing new market opportunities in Brazil, West Asia, Malaysia and South Africa.

 

Veerasami says, “Our future plan is to penetrate into digital signage and replace 2D networks with 3D. We are now ready to bring alive the world of spectacle-free 3D display and capture both the OOH and retail sectors. By 2010, we aim to capture 30 per cent of the digital market in India and earn revenue close to Rs 200 crore.”

 
 

 

 

5. Industry Speak: Indian Railways, the new OOH media vehicle

Exchange4media

July 16, 08

 

Ever since the success of the Kurkure Express, Indian’s first ever cross-country branded train, which was flagged off by Railway Minister Lalu Prasad Yadav on April 19, 2007, brands like Airtel, and recently Max New York Life Insurance, have begun using long distance trains to humanize their brands.

 

exchange4media speaks to industry experts on the latest transit media to address issues like will cross-country trains become the next big thing in OOH; what is the status of local branded trains; whether the statutory authorities like the municipal corporation, etc., should take a cue from the Indian Railways, so that OOH can be a streamed lined.

 

Expressing his views on the transit medium, Indrajit Sen, CEO, Stroeer OOH Media India, said, “Transit is always an important medium in the OOH space. FMCG as well as utility brands like Financial – investments and insurance, Consumables, Mobile Services, etc., have always found it very effective. So, its not surprising that the Railways monetize its natural assets.”

 

“The way one uses it depends on whether the distances are short or long. Technology also supports innovations like on-line news and other coverage inside running trains as well as networked ads in all stations in a route, etc. Stroeer has been a pioneer in transit advertising and currently services the entire network of the German railway system.

 

The fact that road transport also provide similar opportunities have also been recognized and buses with displays covering entire exteriors are already common. Within cities, there are distraction issues, and in very crowded roads like in Mumbai and Pune, issues like very limited visibility for ads on sides or back of taxis are slowing down investment. But, that would not be the case in – say – in Delhi or Chennai or many other cities. Transit is already happening – it’s only left to the users and the transit owners how best to utilize the opportunities,” Sen added.

 

Sriram Iyer, CEO, Street Culture, is very upbeat about the medium. He said, “For mass appeal brand like cellular service providers, FMCG goods and certain financial products, long distance train branding works like magic. The humungous exterior display provides a spectacular front at every station for the locals to absorb the message. The interiors provide a captive audience who is staring at it for long hours. The initiative by the Indian railways to exploit this medium is commendable and well thought out. For the relevant advertisers it is another affirmation of outdoors ability to deliver captive audiences.”

 

However, Iyer felt that comparing long distance trains with local/intra-city rail network would not be right. “What a local train in Mumbai or the Metro in Delhi and Kolkatta deliver, are audiences commuting repeatedly in a definable geographic area. The messages targeted to these commuters could be anything in the realm of consumption. The ability to define the demographic and psychographics of the local traveler makes targeting a relatively easy job. The vast differences in the SEC of long distance train passengers, has made the medium attractive only to the bold advertiser. But just like other outdoor media, which has evolved and asserted its importance, even this medium will soon have its die-hard fans,” Iyer pointed out.

 

Ajaz Memon, Director, Network Media Solutions, too felt that the Railways was a great medium, but only if used in a better way. He, however, pointed out that BMC and the Railways were two different streams, which were currently poles apart. “The railway network can offer the highest number of eyeballs compared to any other transit medium. Both local and long-distance trains have their own utility as long as you make the creative medium-specific. For example, long-distance trains should carry a more national and generic message, where as the local ones should carry a city-specific message,” Memon observed.

 

“The BMC is still making up its mind on whether it is pro or anti-OOH. It treats the OOH industry more like a necessary evil than an active partner. Since the BMC is first a regulator before anything else, its role cannot be compared to the Railways in terms of promoting the medium. At best, BMC can, with foresight, envision new avenues for generating revenues for itself without compromising on aesthetics, which rightly seems to be its new mantra,” he pointed out.

 

In contrast, Soumitra S Bhattacharyya ,CEO, Laqshya Outdoor, isn’t as upbeat as others. He said, “Train branding has always been there and it is not new. Earlier, there were total train brandings, but more of the small patches on the outside or inside. This time probably they are trying to do it a little better. Long distance train branding does not seem to be interesting as of now for two reasons – firstly, because the media budget is still spent on the top 6-7 towns, so why pay for a long distance train that goes through a top town just once a day. And secondly, because I am sure after a few 100 km the entire train becomes filthy so why go for these brandings?”

 

“Having said that, there is tremendous potential for the EMU or locals that ply within the city. These trains do not have the above two negatives and if done well (for example, in conjunction with full station branding) can attract the advertiser. The problem is that the concessionaire who has the station probably does not have the train so coordination suffers,” Bhattacharyya added.

 

Giving his creative angle on the long distance train is Santosh Padhi, National Creative Director, Leo Burnett. While calling for a balance between the spends on the media and the creative, Padhi asked, “I think when you have the entire elephant, why just use a part of the elephant, and make the elephant look like much smaller than what it is? One must never under estimate what it can do, both in terms of physical and mental imprints, which is why we need to over come the half-hearted approach, which has been our weakness over the years, and it’s time for us to over come the same.”

 

“Getting the entire train to advertise is a great way of approaching the consumers and engage them with your brand apart from just branding. But one must understand the fact that if one is spending crores on the buying the medium, then one must spend some on the creative, so that those crores will come alive and make some sense to the brand, that way the campaigns will be remembered for the content which connects human beings,” Padhi further said.

 

 

 
 

6. Global ad spend up by four per cent in Q1: Nielsen

Indiantelevision

July 28, 2008

 

Despite mounting economic pressures, global ad spends has grown over four per cent in the first quarter of 2008, according to the latest figures from The Nielsen Company's Global AdView Pulse report. In the period from January to March 2008, ad spending in Africa grew by over 16 per cent, and the Asia Pacific region recorded almost 10 per cent growth. In the more developed regions of North America and Europe, growth was considerably slower.

 

North America's ad spending figures climbed by just 1 per cent and remained flat in Europe (-0.4%). As a result these two regions lost one point of share respectively to Asia Pacific. The Global AdView Pulse findings reveal significant variations in overall ad spending trends across the regions. North America experienced slight total growth (1.2 per cent), despite a softening US economy and the recent Writers' Guild of America strike. These negative factors were offset somewhat by political advertising related to the US presidential elections.

 

Although Canada's media environment was affected by the strikes, the stronger economic situation in Canada allowed the local advertising market to close the first three months of the year with a percentage growth higher than the one registered in the USA.

 

Of the three regions surveyed, Asia Pacific showed the most growth across the quarter, registering 10 per cent. All four major media types (television, magazines, print and radio) contributed to this growth. This region is expected to benefit further from economic development in fast-growing Asian markets.

 

The report also states that elements of uncertainty linked to the world economic situation and the increase in oil and commodity prices have reached Asian and Oceanian soil, and the effects of these pressures may slow this region's overall upwards trend. The rise of ad spending in Asia Pacific has been attributed to strong growth in China, India and Indonesia. In other markets, growth remained flat.

 

According to Nielsen analysts in China, the Chinese economy is expected to remain strong in 2008. Nielsen is forecasting increased growth this year, due to the popularity of Internet video advertising and local search.

 

The ad market in Europe remained flat over the first quarter of 2008. Television, which accounts for almost 50 per cent of total European advertising spend, is the only media type showing positive growth (+2.2%). The slow economic growth of many European markets and the effects of economic uncertainty have had an impact on advertising trends across the region. However there is an expectation that the recent Uefa Euro and the upcoming Olympic Games will have a positive influence on advertising spend in the second half of the year.

 

According to Nielsen experts in Germany, the first three months of 2008 saw almost 30 million Euros being invested in campaigns with a direct or associated reference to the UEFA European Football Championship in that country. Even in Norway, where the economy is going from strength to strength, there are now signs of more moderate development.

 

According to market analysts from Nielsen Norway, the main drivers behind this moderation are a marked decline in economic growth among Norway's trading partners, a stronger Krone and several interest rate rises in the past year.

 

South Africa's ad market grew by 15.3 per cent over the quarter. Television and print have the lion's share, but Internet advertising is gaining momentum in this market, growing by 67 per cent across the three-month period.

 

According to Nielsen analysts, television viewing in South Africa may have been affected by a power crisis in early 2008, causing widespread blackouts across the country. the extent of the impact, however, is as yet unknown. Globally, healthcare retains the majority share of ad spending, with just over 10 per cent of all advertising activity. With nine percent of global consumers ranking their health as their biggest concern today, we may see this figure continue to rise.

 

Fast Moving Consumer Goods (FMCG) advertising spend is also growing at a significant rate (+6.7 per cent), recording growth across all regions. Ad spend in the clothing and accessories sector grew by 5.5 per cent.

 

Television remains the highest-grossing medium for advertising spend, recording a 6.9 per cent yearly growth rate globally and growth in every region. Television currently accounts for 60 per cent of global ad spend. Newspapers, representing almost 24 per cent of spend, remained flat (0.4 per cent) and magazines showed a 0.9 per cent decline globally.

 

 

 
 

7. Digital Media On The Rise Globally

Center for Media Research

July 22, 2008

 

A new study from WPP's GroupM shows that Interactive media's share of worldwide advertising expenditures is expected to hit 15 percent in 2009, almost double from four years ago, and will remain the main source of growth as ad spending in traditional media continues to decline.

 

Ad spending in interactive media - internet, mobile and gaming - reached 11 percent in 2007, sparked mostly by gains recorded in the US and Western Europe, as well as by the increased use and availability of improved handsets, inexpensive laptops, faster broadband, and extensive Wi-Fi connections.

 

The survey covers 35 countries and shows digital advertising's share of total ad investment rising from 8 percent in 2005 to 15 percent in 2009:

 

 

The "Interaction: Addressable, Searchable, Social and Mobile" study finds that internet advertising has been the principal source of media investment growth in western nations since 2001 as spending in traditional media has leveled off.

 

Among other key findings of the report:

 

·         Almost 45 percent of 2007 interactive ad spending counted as display, a figure that is expected to fall slightly. Paid search advertising accounted for 38 percent and is expected to grow

·         Google commanded a median 86 percent share of 2007 search inquiries in the survey's sample of 35 countries, somewhat ahead of other industry samples

·         The mean online shopping spend per user in 2007 was estimated at $471, and the only country to break the $1,000 mark was Denmark

·         The survey also revealed a particularly strong positive correlation between broadband penetration and annual online spend per individual

·         There is also strong positive correlation between the amount of broadband a country has and the internet's share of advertising investment

·         Demographics alone will sustain growth in internet use among consumers for at least another generation, and possibly two, as those under 25 years old carry their habits into middle age and beyond

·         The amount of time consumers spend online is increasing from a mean of 27 minutes daily in 2005 to a projected 46 minutes next year

 

The increased time was generally not a result of consumers' spending less time with TV, radio and print, but rather carving out more time to spend online each year, or possibly multitasking Rob Norman, global CEO of GroupM Interaction, says "...

 

There's little doubt that interactive channels are increasingly vital to delivering reach and engagement and will only become more so in the coming years..."

 

 

 
 

8. India among top 3 media, entertainment markets: PWC

Economic Times

July 22, 2008

 

India continues to be one of the top three markets for global collaborations in entertainment and media, because of a 'relatively friendly foreign investment regime,' an official of PricewaterhouseCoopers (PwC) said.

 

The country's media and entertainment market is expected to grow 18.5 percent a year to reach $36 billion by 2012, while the Asian industry will likely grow 8.8 per cent a year over the next five years to $508 billion, PwC estimates.

 

"There is no question that India is within all the companies that I speak to, it is either number one, two or three that they talk to us about India,"

 

Marcel Fenez, Global Managing Partner, Entertainment & Media Practice with PwC said late on Monday. Other emerging markets set for rapid growth include Saudi Arabia, Indonesia, Vietnam, Turkey and Pakistan, he added. Rapid economic growth and the freeing of entertainment and media markets will fuel expansion in India which we expect will be the fastest-growing territory in Asia Pacific during the next five years, PWC said in a report.

 

"You do get these big players who will by definition tend to do large deals but you also see a lot of smaller investments and a large number of them that will become increasingly important because those will tend to be emerging media," Fenez said.

 

Double digit annual growth is projected for every segment except recorded music, professional books and consumer and educational book publishing, according to PwC's Global Entertainment and Media Outlook 2008-2012.

 

 

 
 

9a. Overview of Cellular Phone Services advertising on TV during January-May 2008

 

·         TV advertising of Cellular Phone Services has seen growth of two times during January - May 2008 compared to January - May 2007.

·         Regional Channels accounted for 30 per cent share of overall Cellular Phone Services advertising on TV.

·         'Vodafone Essar Ltd' topped in Cellular Phone Services advertising on TV during January - May 2008.

·         'Virgin Mobile' topped the chart of new Cellular Phone Services advertised on TV during January - May 2008.

 

Source: Indiantelevision

 

 

 

 

9b. Cell phone services advertising in print drops 25 pc during Jan-May ’08

 

·         Print Advertising of Cellular Phone Services decreased by 25% during Jan - May'08 compared to Jan - May'07.

·         'Reliance Communication Ltd' was the top advertiser of Cellular Phone Services in Print during Jan - May '08.

·         ‘Virgin Mobile' topped the list of new Cellular Phone Service brands advertised in Print during Jan-May'08.

·         High share of advertising of Cellular Phone Services in Non Metro Newspapers.

·         Maximum usage of ‘Multiple Promotion' and 'Add on Promotion' by the Cellular Phone Service providers during Jan - May '08.

 

Source: Exchange4media

 

 

 

 

10a. Overview of Soaps category advertising on TV during January - May 2008

 

·         TV advertising of Soaps* category witnessed 19 per cent growth during January - May 2008 compared to January - May 2007.

·         'Protection- Ayurvedic/Medicated' segments has garnered a high share of 49 per cent of Soaps* category on TV during January - May 2008.

·         'Hindustan Unilever Ltd' leads in advertising of Soaps*on TV in January - May 2008.

·         'Vivel Satin Soft' was number one new brand in Soaps* category on TV during January - May 2008.

·         Average Ads/Day of Soaps* on TV increased by 14 per cent during January - May 2008 compared to January - May 2007.

 

Source: Indiantelevision

 

 

 

 

10b. Soaps advertising in print dips 5 pc during January-May 2008

 

·         Print advertising of Soaps*category recorded a 5% drop during Jan-May'08 compared to Jan-May'07.

·         High share of advertising under 'Protection-Ayurvedic/Medicated' segments of Soaps* in Print during Jan-May'08.

·         Maximum advertising share of Soaps* in North zone Publications during Jan-May'08.

·         ‘Hindustan Unilever Ltd' leads in Print advertising of Soaps* category during Jan-May'08.

·         ‘Venus Toilet Soaps' topped the chart of new Soap* brands advertised in Print during Jan-May'08.

·         ‘Contest Promotion' was preferred for advertising of Soaps* category during Jan-May '08.

Source: Exchane4media

 

 

 
 

11. Domestic airlines advertising in print drop 36 pc in Jan-May 2008

 

·         Print ad volumes of Domestic Airlines declined by 36% in Jan - May '08 compared to the same period in 2007.

·         ‘Full Service’ Domestic Airlines had maximum share of overall advertising of Domestic Airlines in Print.

·         ‘Kingfisher Airlines Ltd' was the top advertiser under Domestic Airlines sector in Print during Jan - May '08.

·          Domestic Airlines did maximum advertising in Metro Newspapers during Jan - May '08.

·         Contest Promotional ad campaign was preferred more for advertising of Domestic Airlines in Print during Jan -May '08.

 

Source: Exchane4media

 

 

 
 

12. Overview of TV advertising during H1 2008 - Part 1

 

·         TV advertising witnessed 26 per cent growth during the first half of 2008 compared to same period in 2007.

·         'Cellular phone services' was the top category on TV during January - June 2008.

·         'HUL' and 'Reckitt Benckiser (India) Ltd' maintained their respective first and second rank on TV during the first half of 2008 and 2007.

·         'Ganapati Herbal Care Pvt Ltd' topped the chart of exclusive advertisers on TV during H1 2008.

 

Source: Indiantelevision

 

 

 

 

13. Print ad volumes up 5 pc during first half of 2008

 

·          Print ad volumes has seen a rise of 5% during H1 '08 compared to H1 '07.

·          Non Metro Newspapers had a larger share of overall Print advertising during H1 '08.

·          ‘Education’ sector leads in Print advertising during H1 ’08..

·          ‘Educational Institutions' was the top category in Print during H1'08.

·          ‘Tata Motors Ltd' was number one advertiser in Print during Jan - Jun '08.

 

Source: Exchane4media

 

 

 

 

14a. Industry-led body should guide TV ratings: TRAI

The Times of India

July 25 2008

 

Ruling out government intervention in the form of regulation, TRAI on Thursday said that an industry-led body should be responsible for the operational issues of television rating agencies. The regulator has issued draft recommendations on policy guidelines and operational issues for television rating points (TRPs).

 

TRAI has recommended that the industry initiative – Broadcast Audience Research Council - should be recognized as the institutional framework. Its technical committee can guide and supervise the various processes of rating and while the council should not undertake audience measurement directly, it can resort to an open, transparent bidding process for the various stages involved in the rating process.

 

Concerned over the alleged monopoly of the TAM Media Research agency over the Rs 8,000 crore television advertising, the information and broadcasting (I&B) ministry had sought TRAI’s intervention on the system and framework of such agencies. The ministry was keen that the framework should ensure transparency, independence of rating agencies and increased coverage reflecting the plurality of regions and viewership.

 

At present, two private agencies - TAM Media Research and Audience Measurement and Analytics (aMap) - evaluate TV ratings on a commercial basis. But their operations are limited to cities with a population above one lakh. Within big cities too, their sample size is limited to a total of about 7000 (TAM) and 6000 (aMAP) metered homes.

 

All states except J&K, Bihar, Jharkhand and the northeast states are covered by TAM, while aMap samples cover all states except J&K and northeast but include Jammu and Guwahati. While TAM provides weekly data, aMAP gives daily updates. The regulator has suggested that the council’s board of directors can include two nominees of the I&B ministry besides members from the ministry of statistics and programme implementation, National Council of Applied Economic Research (NCAER) and Indian Statistical Institute (ISI), Kolkata.

 

It has asked the I&B ministry to draft the key eligibility norms for the selection of rating agencies and their performance obligation norms. The addresses and location of homes where people-meters are installed should be kept confidential and the council should have a complaints redressal mechanism, the regulator said.

 

14b. TRAI for self-regulation on TV ratings

Indiantelevision

July 24, 2008

 

The Telecom Regulatory Authority of India gave the green signal to the Broadcast Audience Research Council (BARC), an industry initiative, to conduct studies relating to television rating points.

 

In its recommendations following a directive to it from the Information and Broadcasting ministry to find a suitable alternative to existing audience measurement mechanisms, TRAI said that two nominees of the ministry must function on the board of directors of BARC which should initiate activities by January 2009.

 

TRAI feels that for the present, self-regulation may work best and a framework laying specific guidelines including certain reporting requirements would effectively address the shortcomings. As in other countries, the industry-led body can be recognized to perform specified functions. Once BARC starts functioning, the inadequacies of the present system will have to be effectively addressed in close and coordinated manner with the ministry.

 

TRAI is of the view that any form of governmental intervention in the form of an enactment is not desirable at this stage. Therefore, self regulation through the industry-led not-for-profit body BARC, has been recommended with government guidelines covering BARC’s organizational structure, functioning and methodology.

 

TRAI also feels that BARC should not undertake audience measurement directly and should resort to an open, transparent bidding process for the various stages involved in the rating process. The ministry should provide the key eligibility norms for the selection of rating agencies and their performance obligation norms.

 

In addition BARC should provide such information and reports as may be asked for by the ministry from time to time. TRAI said the addresses and location of homes where people meters are installed should be kept totally confidential, and BARC should have a Complaints Redressal Mechanism in place.

 

For this purpose, BARC should sign a Memorandum of Understanding with the ministry for its organizational structure, functions and methodology (including eligibility conditions for selection of rating agencies).

 

BARC will display the rate card for the various reports and discounts offered thereon on its website. TRAI also said the Request for Proposal inviting bids from the rating agencies should be finalized by BARC after duly considering the eligibility conditions and performance obligations as provided by the Ministry from time to time. At least two bidders should be selected for each stage of the activity in the rating process.
 

There should be a Technical Committee within BARC to guide and supervise the various processes of ratings and to include nominees from the Ministry of Statistics and Programme Implementation, National Council of Applied Economic Research (NCAER) and Indian Statistical Institute (ISI), Kolkata.

 

BARC’s Technical Committee should decide the sample size which should cover different platforms, including terrestrial/Prasar Bharati channels, cable and satellite platforms, rural and urban areas, and all the states.

 

Referring to the use of technology capable of capturing data over different platforms, TRAI said no single company/legal person, Either directly or through its associates shall have substantial equity (more than 10 per cent) holding in more than one rating agency.

 

Furthermore, a promoter company/legal person/directors of rating agency cannot have stakes in broadcaster, advertiser and advertising agency either directly or through its associates. Similarly, a broadcaster, advertiser or advertising agency will not be permitted any stake in rating agencies.

 

Comprehensive mandatory audit of the rating system will be carried out by independent qualified auditing firms having experience of TV ratings audit, conducted at least once in three years.

 

BARC and the rating agencies should invest in programmes to educate the general public about the work of audience measurement at regular intervals in various parts of the country and through detailed information available on their websites.

 

TRAI had released a Consultation Paper on 28 March 2008. This was followed by an open house discussion in Delhi on 15 May. The sector regulator deliberated on various issues emanating from the written submissions of the stakeholders, open house discussions, meetings with the industry associations, and international practices.

 

The draft recommendations are based on the study of all the responses received from the various stakeholders. At present, two private agencies - Tam and aMap - are carrying out TV ratings on a commercial basis. Their operations are limited to a few large cities with a population above 100,000. Within big cities too, their sample size is limited to a total of about 7000 (Tam) and 6000 (aMAP) metered homes. All states except J&K, NorthEast, Bihar and Jharkhand are covered by TAM Media Research, while aMap sample covers all states except J&K and NorthEast but includes Jammu and Guwahati.

 

The television industry in India is estimated at Rs 226 billion as its annual revenues (2007). Of this 35 per cent, that is about Rs 80 billion comes from television advertising. Television ratings are primarily meant to guide the broadcasters, the media agencies and the advertisers to determine their programme scheduling, ad spend and the placement of the advertisement. They have often also influenced the content as well as pricing of channels.

 

 

 

 

15. FM consumption is more in regional markets: RAM

Indiantelevision

July 18, 2008

 

FM stations are consumed more in regional markets. As per Radio Audience Measurement (Ram) study on radio penetration and viewership pattern, Bangalore and Kolkata listeners spend more time on FM stations than in metros like Delhi and Mumbai.

 

The study is conducted in Delhi, Mumbai, Bangalore and Kolkata. According to the Ram data (12+, 1-28 June), average daily time spent listening on weekdays is 212 minutes in Bangalore and it is 207 minutes on weekends.

 

The eastern market of Kolkata, which has regional players like Aamar FM and Friends FM, stands next to Bangalore. Here the weekend consumption is higher than a regular weekday. On weekdays average daily time spent is 190 minutes as compared to 197 minutes on weekends.

 

Says Tam Media CEO LV Krishnan, "Regional language plays a big role in retaining listeners and this is one of the reasons why consumption of FM stations is higher in regional markets. The other reason may be because in metros people are too busy to tune in to FM stations."

 

Unlike any other place in Bangalore, listeners start tuning in as early as 6:30 am and peak at 7 to 7:30 am. The spike in the morning hour’s listenership may be accredited to the fact that listeners tune in for the early morning show 'Shuvprabhatam', which is offered by almost all stations.

 

 

 

 

16. FM in the Digital Age

India Radio Bulletin

July 14, 2008

 

As listeners become more mobile, FM stations in India have kept up with the trends by using the mobile phone technology to bolster listeners’ ties to radio stations. And radio is the best medium to spread its reach to more people. According to Sunil Kumar, managing director at Big River Radio (India), “with almost all cars, all music systems and a substantial number of cell phones coming in equipped with an FM receiver, coupled with the availability of the medium free of cost, stations can achieve a reach no other medium can match.”

 

For the industry to expand, FM players understand the need for the medium to keep up with technology. Rana Barua, national head – marketing and programming, Radio City, believes that a lot more experimentation needs to be made for the medium to grow.

 

“The other trend is going to be newer modes of distribution for the medium, whether it is through your mobile phone or the Internet, which will fuel the penetration of FM in the country,” noted Barua at last year’s India Radio Forum.

 

One year on, it seems that many stations are moving beyond mobile phones by going online. The Internet gives radio stations the opportunity to reach a wider audience. By having a web presence, stations are able to give their advertisers a better mileage for their investments, said Kamal Mohandas, station head, Big FM Bangalore when she spoke to India Radio Bulletin about her station’s podcast launch late last year.
 

As the first radio station to offer podcast back in October 2007, Big FM has been a believer in adapting to the technology. Mohandas shares that one of the benefits of having an online presence is “it doesn’t restrict my station to being local,” as the podcast service gives a wider reach and exposure.

 

Apart from Big FM, MY FM and Radio City are among some of the stations, which have leveraged the digital technology to bring themselves closer to their listeners.

 

MY FM has been an avid user of the mobile technology in increasing the station’s accessibility to its listeners. Through its set up of a SMS short code service, it has managed to increase its interactive quotient with its audience.

 

“Through this service, listeners are not just able to connect with the RJs, but they are also able to participate in improving our station, by sharing their opinions and suggestions with us,” says Harrish M. Bhatia, COO, MY FM.

 

In January this year, MY FM launched its website at www.myfmindia.com. Bhatia says the unique features on the site have also helped the station to develop a closer relationship with the listeners.

 

“We have a feature called MY SPACE that lets our listeners blog about a topic or an issue they feel strongly about,” shares the COO. Of course, the station’s podcasts of some of its programmes help to increase the station’s accessibility.

 

Apurva Purohit, CEO, Radio City, claims her station is constantly evaluating various technologies and platforms, which will be the enabler of convergence for a unified consumer experience in the years to come.”

 

When it launched its WAP portal last year, in association with Hungama Mobile, Radio City was the first station to use technology in creating a platform for interactivity in the mobile domain.

 

Through the WAP portal, Radio City listeners are also able to directly connect with the station’s RJs, proving yet that by harnessing technology, the station was able to provide seamless interactivity with the Whatte Fun brand, says Purohit.

 

The CEO adds that the harnessing of digital technology by FM stations is not without its own set of challenges. “As seen internationally, there is much more that can be done in the web domain by way of streaming content online. However, the quality of this experience depends on the broadband capabilities at the listeners’ end. Since such capabilities vary from place to place, it may limit the intended brand experience, which is undesirable,” she says.

 

According to Alexi Paspalas, product development head, BBC World Service Future Media, his company has experienced the massive benefits of the Internet age. At the recent India Radio Forum held in Mumbai in May 2008, Paspalas shared with forum delegates that since the introduction of the podcasting service on the BBC website, the company has seen increasing revenues from podcast advertising.

 

He adds that an online presence is able to create potential revenue generation means. For example, the BBC plans to compile of a library of content, which will be monetized. The company is already exploiting the potential of digitalization by getting on YouTube with news and other programming. BBC radio has also found itself on Second Life, the popular virtual world on the Internet, in which it recreated the popular event. Through these additional exposures, Paspalas stresses that the branding values for BBC has been significantly improved.

 

Explaining the kinds of backend mechanisms required to enable stations in “going digital”, Gyanranjan Mohapatra, technical in-charge, Radio Choklate, says, “Mobiles commonly tune into a VHF signal, as does FM, which is alike to audio and vice versa. As it is audible to FM, the voice on the mobile can be transmitted on air. That’s why it is one way to harness itself to the digital era.”

 

At Radio Choklate, Mohapatra reveals that any calls to and from mobile phones are connected to telephone hybrid equipment, and the digital signal (AES/EBU) is connected to a console for on air purposes.

 

Through the Internet, stations are able to transmit such events as sports commentary, happenings around the Internet and also vice versa can be broadcast as per Radio Choklate requirements and programming needs, he adds.

 

A station’s ability to harness the power of technology depends on the availability of infrastructures and readiness, costs and talent. “The service providers in this field are not equipped locally,” says Mohapatra. “And for a ‘C’ station like Radio Choklate, the costs will be an enormous burden.”

 

He adds, “There is also a lack of skilled manpower in the technical background with less experience in FM technology.”

 

Apart from FM leveraging on the mobile technology, technology has also harnessed the potential of FM. In February 2008, Idea Cellular tied up with Geodesic’s Mundu Radio to launch IDEA Radio. Built on Geodesic’s award-winning Mundu Radio technology, the service enables the provider’s 20 million subscribers to seamlessly tune into a range of entertainment channels without the need to carry a separate device, or to be within the limited range of FM radio stations.

 

“Mobile devices are the preferred mode of entertainment today, and the Idea Radio implementation is representative of Geodesic’s stated strategy to provide innovative, revenue-enhancing mobile solutions to service providers,” comments Kiran Kulkarni, managing director, Geodesic of the tie-up.

 

Through these station examples, it appears that Indian FM stations are on the right track when it comes to delivering high quality content through the most advanced digital means possible. The only question is whether or not the infrastructure is readily in place to allow for a high Internet interactivity to happen.

 

MY FM’s Bhatia has no doubt that the user base of SMS and online will increase with time, given “the Internet penetration increasing and more growth of Internet users recorded in the tier two and three towns.”

 

 

 

 

17. Radio still high on telco’s ad agenda

India Radio Bulletin

July 14, 2008

 

Reliance Communications Ltd, Hindustan Unilever Ltd and Tata Teleservices filled up the top three spots of the advertisers list in May 2008, according to the AdEx data. Monitoring 40 radio stations across seven cities, the data showed that the three advertisers clocked up 287,000, 206,000 and 164,000 seconds of airtime, respectively.

 

Citywise, Reliance Communications Ltd topped the advertiser list in Hyderabad (34,000 seconds), Jaipur (26,000 seconds) and Kolkata (89,000 seconds). While Hindustan Unilever Ltd came first in Delhi (49,000 seconds) and Mumbai (42,000 seconds).

 

Cellular phone service was recorded as the number one category, having spent 617,000 seconds of airtime. In the monitored cities, the category ranked first in Jaipur and Kolkata, which recorded 89,000 and 138,000 seconds of ad spend, respectively.

 

Apart from Reliance Communications Ltd, the other advertisers that represented the category in the cities include Tata Teleservices, Bharti Airtel Ltd, Vodafone Essar Ltd, and Idea Cellular Ltd. In fact, the top four advertisers in Jaipur comprised of telecommunication companies, recording a combined airtime value of 88,000 seconds.

 

Tata Teleservices appeared in the top 10 advertisers list in all of the cities monitored, except for Mumbai. The advertiser recorded the highest ad spend in Kolkata, with 38,000 seconds of airtime, bringing it up to the second spot. In the other cities, the company recorded an average of 23,400 seconds.

 

Other categories recorded in the overall AdEx data were TV channel promotions, independent retailers, properties/real estate and publications/books, with 482,000 seconds, 453,000 seconds, 399,000 seconds and 263,000 seconds, respectively.

 

TV channel promotions appeared in all of the cities monitored, with the exceptions of Hyderabad and Chennai. The category spent the most amount of ad spend in Delhi, with 163,000 seconds. However, the category topped the list in Mumbai with 146,000, followed by independent retailers and cellular phone services, with 104,000 and 75,000 seconds, respectively.

 

Brand-wise, the ones that appeared in the top five list overall are Reliance Mobile (287,000 seconds), Lifebuoy Toilet Soap (93,000 seconds), American Tourister (84,000 seconds), Vodafone Cellular Phone (84,000 seconds) and Intel Core 2 Quadra (75,000 seconds).
 

In the cities, Reliance Mobile topped the brands list in Jaipur, Mumbai, Delhi, Kolkata and Hyderabad with 26,000, 33,000, 39,000, 89,000 and 34,000 seconds, respectively. While in Bangalore, the brand came in

 

 

 

 

18. Now, movies actively wooing radio

Exchange4media

July 17 2008

 

Movies seeking brand associations with radio is not a new phenomenon, but what is an encouraging trend is the growth in the number of such associations. Today, radio is not a mere afterthought to promote a new release, but a strong participant in a film’s release and success. Exchange4media asks the industry players to share their views on such associations.

 

Gone are the days when promotions were limited to jingles or ads. Various FM stations across the country now have interactive and innovative integration with their programmes.

 

Red FM has associated with Rani-Ssaif starrer ‘Thoda Pyaar Thoda Magic’; SFM has tied up with the latest Batman flick ‘The Dark Knight’ in Tamil Nadu and Andhra Pradesh; Fever FM has tied up with ‘Love Story 2050’, while Radio One is associating with upcoming comedy ‘Ugly Aur Pagli’. Most of these movies are being promoted through on-air and on-ground activities.

 

On whether movie associations help garner listeners, Anuj Singh, National Marketing Head and Station Head, Red FM Mumbai, said, “Brands are now exploiting synergies with various radio properties and shows. Such activities have garnered a huge response from the listeners as it was relevant as well as entertaining for them. We aim for the same engagement and seamless integration in all our brand associations.”

 

Gowri Satyamoorthy Kapre, National Marketing and Promotions Head, Fever FM, said, These initiatives have helped in giving our listeners an opportunity to interact with Fever FM. So yes, there has been a spike in listenership in each city post these associations and contests.”

 

Having a different take on movie associations garnering listeners is Vehrnon Ibrahim, National Programming Director, Radio One. He said, “Movie associations are successful, but not in garnering listeners, instead in retaining them. It’s a simple function, in a world without differentiation in format, brands do the job.”

 

With FM stations by and large being successful in garnering listeners to their shows, what is also important is how the advertisers have responded to movie associations. Anuj Singh pointed out, “Red FM’s initiatives have been widely appreciated by both listeners and clients and have also won many awards for us.”

 

According to Kapre, “Advertisers are very enthusiastic about this medium and all the innovative solutions available on it. Radio is emerging as a vibrant, lively platform and advertisers are willing to exploit this vibrancy. Also, advertisers now-a-days appreciate creative integration of their brand, rather than a mere placement.”
 

Raj Gopal Iyer, Station Head West, Radio One, said, “Yes, advertisers have been positive about such initiatives as they get to ride on the popularity of the movies and stars, and also associate with them and reach out to their target audience. The key here is to create exciting integration for the brands to associate with. ‘Dating Fataafat with Ugly Aur Pagli’ is an example.”

 

With listeners giving a thumbs up to movie associations in radio, popularity of these shows through mass participation prove beyond doubt potency of radio as a medium for advertisers and media planners alike.

 

 

19. AD GROWTH FOLLOWS INDUSTRY TRENDS (in auto, consumer durables, fast moving consumer goods, retail, banking and insurance sectors)

Economic Times. Indian Business Insight

July 09, 2008

 

The general economic slowdown has affected the Rs19,600 crore advertising industry in India. According to AdEx India, the advertising tracking unit of TAM India, the total advertising volume in print media dropped by 12 percent for Apr-Jun 2008, compared to Apr-Jun 2007. The ad duration for radio dipped three percent, while that for television dipped by 12 percent. The slowdown in auto, consumer durables, fast moving consumer goods, retail, banking and insurance sectors affected the ad industry.

 

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