ELECTRONIC MEDIA

TV AND RADIO

ELECTRONIC MEDIA:
Electronic Media are media that use electronics or electrochemical energy for the end user (audience) to access the content.

HISTORY OF TELEVISION:
Sep 15, 1959, TV was introduced in India. One hour telecasts from single studio in Akashvani Bhawan were transmitted two days a week. Aug 1965, daily transmission was started in Delhi. TV station established in Mumbai in 1972. Doordarshan (DD), India's National Channel, was established in 1959 as a part of All India Radio. Till 1975, only seven cities were covered by Television. Television was separated from Radio in 1976 and Doordarshan came into existence. National programme was introduced in 1982 and from then onwards, there has been steady progress in Doordarshan. Aug 15, 1982, colour TV introduced. First colour programme is the PMs address to the nation. Commercial TV started in 1976 but took off only in 1983 with the soap opera of lt. Manohar Shyam Joshis Hum Log. Till 1964 one needed a license to own a TV set. 1976-77 was a watershed in the history of Indian advertising. DD started accepting ads. First product to be advertised on Indian TV on Jan.1, 1976 was Gwalior Suitings. In June 1981 Network Associate of UTV pioneered cable TV in India. CNN was introduced in the wake of the Gulf War in 1991. Soon came STAR TV.

DD started five satellite channels from Aug.15, 1993 viz entertainment, music, sports, current affairs and business and Metro. Presently, Doordarshan operates 19 channels - two All India channels, 11 Regional Languages Satellite Channels (RLSC), four State Networks (SN), an International channel and a Sports Channel. Regular satellite transmissions began in 1982 (the same year color transmission began). DTH service started in 2000.

MERITS OF TV:
TV has immense impact. Excellent quality of production. Familiar, friendly voices and faces. Retailers also watch TV. Comprehensive technique. Animation and image building.

DEMERITS OF TV ADS:
Time consuming. Transient and immobile medium. Difficult to gain inquiries. Time constraint. Production costs. Effect of clutter.

TV COMMERCIALS:
It is the advertising message that is carried in a limited time span of 10 sec, 30 sec or 60 sec. The copy of the commercial includes the audio part and the video part. It also includes music and sound effects. TV advertising is nearly face-to-face personal selling, except that it is one way. TV commercial must have entertainment value. TV commercials are produced at a great cost. Before production one has to decide about the script, the cast, the set and the props.

This is followed by a shooting phase. After the commercial is complete it is subjected to post-production process consisting of editing, dubbing, special effects and super-impositions.

TV ADVERTISING SPENDS:
Channel Mainstream Hindi channels English and other entertainment channels Tamil channels Malayalam channels Kannada channels Others Total Amount (in crores) 1820 600 180 40 40 30 ______ 2170

INFOMERCIALS:
Infomercials are programme length commercials. They are being produced on TV they are longer and pass on more information to provoke consumers to action. Highly effective for relationship marketing. Broadcast TV is the preferred media for infomercials with a usage of 60%.

SATELLITE TV:
The cable TV industry exploded in the early 1990s when the broadcast industry was liberalized, and saw the entry of many foreign players like Rupert Murdoch's Star TV Network in 1991, MTV, and others. Five new channels belonging to the Hong Kong-based STAR TV gave Indians a fresh breath of life. MTV, STAR Plus, Star Movies, BBC and Prime Sports were the 5 channels.

Zee TV was the first private owned Indian channel to broadcast over cable. A few years later CNN, Discovery Channel, National Geographic Channel made its foray into India. Star expanded its bouquet introducing STAR World, STAR Sports, ESPN, Channel V and STAR Gold. Regional channels flourished along with a multitude of Hindi channels and a few English channels. By 2001 HBO and History Channel were the other international channels to enter India. By 2003 international channels such as Nickelodeon, Cartoon Network, VH1, Disney and Toon Disney came into foray. The most recent channels that have come up are UTV Movies, UTV Bindass, Zoom, Colours, 9X and 9XM. Colors - a partnership between US media giant Viacom and Indian media conglomerate Network18 Group - has been continually challenging the leading incumbents in this genre. Its rise has been attributed to Colors use of differentiated and disruptive programming and extensive marketing, promotional and distrbution activities. Some of its key launch shows Fear Factor - Khatron Ke Khiladi, and Jai Shree Krishna were the highest rated shows in its launch weeks. Initially the channel was launched as free-to-air but after its successful shows including Balika Vadhu, the channel converted itself into a pay-channel with effect from April 2009. The number of television channels in India has boomed in recent years, As per press reports, there are in excess of 150 applications to launch new channels awaiting permission from the Ministry of Information and Broadcasting. Approximately 400 broadcasting channels were given permission and 33 of these were awarded licences in 2008. 2008 was the year of launching specialised channels catering to the needs of up-scale and urban audiences. These new niche offerings included Showbiz, NDTV Lumiere, World Movies, E24, Firangi and Topper TV among others. Star India has aggressive plans in the home shopping space and plans to start a home shopping channel via a joint venture with CJ Home Shopping Co. of Seoul. As of 2010, over 500 TV Satellite television channels are broadcast in India. This includes channels from the state-owned Doordarshan, News Corporation owned STAR TV, Sony owned Sony Entertainment Television, Sun Network and Zee TV.

DIRECT-TO-HOME (DTH):
Defined as the reception of satellite programmes with a personal dish in an individual home. It does away with the need of the local cable operator. DTH service was first proposed in 1996. Finally reached India in 2000. DISH TV was the first DTH service provider in India. Nowadays there are many DTH service providers like VideoconD2H, DD Direct Plus, Airtel Digital TV and so on.

CHANNEL VIEWERSHIP VS. REVENUES

CHANNEL SHARE OF VIEWERSHIP (%) SHARE OF REVENUES (%) ROI INDEX

Mass Entertainment Regional Language News Hindi Film English Entertainment Sports Infotainment/Kids Music Total

46.8 39.6 2.00 3.5 1.6 3.9 1.8 0.9 100

57.4 17.2 11.3 4.7 4.00 2.7 1.6 1.1 100

1.2 0.4 5.7 1.4 2.5 0.7 0.9 1.2 1.00

REGIONAL TV MARKET:
TAMIL NADU Sun TV KalaignarTV KTV Vijay TV Jaya TV Raj TV A.P Gemini TV Teja TV Eenadu TV Maa Telugu Zee Telugu KARNATAKA Udaya TV ETV Kannada Udaya Movies Zee Kannada KERALA Asia Net Surya TV Asianet Plus Kiran TV Kairali Amrita TV MARATHI Zee Marathi ETV Marathi Zee Talkies Star Pravah Star Majha W.B Aakassh Bangla Zee Bangla ETV Bangla Star Jalsha Star Ananda

CURRENT STATUS OF TV IN INDIA:

As per the TAM Annual Universe Update - 2010, India now has over 134 million households with television sets, of which over 103 million have access to Cable TV or Satellite TV, including 20 million households that are DTH subscribers. TV owning households have been growing at between 8-10%, while growth in Satellite/Cable homes exceeded 15% and DTH subscribers grew 28% over 2009. There have been some major changes in the past year or two and the change that are coming in are more rapid. This will create opportunity for some people and anxiety for others. TV remains important, in India between 2 to 4 hours of TV is consumed a day, whereas in the US, nearly 5 hours of TV is consumed a day, and these figures have been constant for the past 20 years. More than $130 billion is spent on TV advertisement. Advertisement is growing across the world and in India it is more rapid as compared to any other country. We live comfortably in mostly linear TV. What is changing is time shift TV, personalized TV and On demand TV. The business is changing and it is going to change even rapidly in the coming years. This is because of new technology and the control of getting what one wants, with the consumer. For example, Sony has come out with a DVR which can record programs 24 hours a day and 7 days a week. All this technology is not the future but is here today. This also means that the consumer is the boss and people want technology.. Television content segment has maintained a steady and healthy growth rate of 16.5% from 200408. Its share in the television industry too has not changed materially and stands at 4% in 2008. In 2008, it stands at an estimated Rs. 10.1 billion in 2007, which is up from Rs. 9.4 billion in 2007. Growth achieved by the television content industry is on account of significant increase in the number of television channels in India. In addition, this growth has necessitated the requirement for differentiation and hence higher emphasis is being placed on the quality of television content being produced.

INTERACTIVE TV:
It is a convergence technology that will convert the one-way passive TV viewing into a two-way interactive experience. The technology would enable television viewers accessing remote servers and the internet through their television and the digital set top device. To begin with, you can watch programmes of your choice at any given time. You can watch more than one programme simultaneously; or watch one and record another. Viewers will not be restricted to watching movies being screened by the channel they happen to be watching but

can choose the one they wish to see. They can select from a menu on the screen and access a list of movies from which they can choose the one they wish to see. While you are still watching television, in the new order you can also have video on-demand, electronic programming guides, customised local information like news and weather, video recording, t-commerce and internet access. What's more television will move out from the box to fit snugly into your mobile phones pretty shortly. Whether you are struck in a traffic jam or delayed in a meeting you need not miss your favourite programme. From your mobile you can dial a number and request a 1-minute download (mobisode) of a 24-minute episode. Incredible as it may sound, interactive TV does not use technology that will require you to change your television set. All that is required is a digital set top box and a compatible remote. Experts say, it would be quite affordable to the common man.

RADIO
HISTORY OF RADIO
1923 Radio Club, Mumbai broadcast the first radio programme. July 21, 1924 First voice emerged out of radio in Chennai. 1957 Vividh Bharti service started. 1967 AIR started commercial services called Akashvani ka Panchrangi Programme. 1970 AIR adopted the concept of sponsored programmes Slowly, AIR overshadowed Radio Ceylon Boom period lasted till 1981.

Indian Broadcasting Corporation

23rd July, 1927 IBC was set up in Mumbai. Forerunner of the present AIR. After govt. take over, company renamed as Indian State Broadcasting Corporation. 1936 Company restarted for the third time under the name All India Radio. 1957 AIR officially renamed as Akashwani. At Present:

Number of Radio Stations in India: 312 Number of Radio Receivers: 116,000,000 Radio Receivers per 1,000: 112.6

RADIO ADVERTISING Strengths :

Offer local coverage. Permeates all economic and social strata Message broadcasted repeatedly. Reach uneducated village folk

Weaknesses:
Audio medium only Limited commercial time available. Limited availability of commercial radio.

ADVANTAGES:
Most suitable medium for a diverse audience. Most interactive medium available. Immensely flexible, adaptable and suitable for modern life. We can do many other things while listening to radio. Has great impact in terms of ad recall. Improves campaign efficiency as a multiplier medium It cannot be zapped. One of the greatest advantages of radio is to be with the consumer at the right time, at the right place and with the right message at the right cost.

LIMITATIONS:
Possibilities of distortion in communication. Repetitions are monotonous. Short advertising life. Commercial clutter No durability of message.

COMPARISON BETWEEN TV AND RADIO TV

Audio visual has the greatest impact. Useful for those products which require demonstration. Reach very wide Drawback Doesnt offer demographic selectivity

RADIO:
Transistors are mobile and ubiquitous. Many time spots available near the popular news casts all over the day which TV cant offer. Greater flexibility for ads. Possible to exercise cost control. Can be heard from anywhere whereas TV requires compulsory seating near the set Current events and happenings can be introduced simultaneously

FM Broadcasting
Started by AIR since 80s in metros. Introduction of private participation from 15th August, 1993. FM channel would be best suited in the beginning for brand building with specific target audience in mind. Audio re-kindles visual association of a previously viewed ad Offer excellent music experience. FM is the ideal medium for niche-marketing. Has potential for commuters. The total number of private FM radio stations India has increased to 69 Radio Mirchi, along with its alliances, has retained its number one position in the Indian FM radio industry, with over 41.2 million listeners, as per the recently published Indian Readership Survey (IRS) quarter 1 (Q1), 2010..

FM Channels FM Channels Radio Mirchi Locations Mumbai, Delhi, Kolkata, Chennai, Indore, Pune, Ahmedabad Mumbai, Delhi ,Kolkata, Bangalore, Lucknow Mumbai, Delhi Mumbai Group TOI

Radio City

GW Capital

Red Go

India Today Mid-Day Multimedia

Some Facts About Radio

The first Radio wave was transmitted in 1887. Bulovo Watch - First brand to be advertised on radio in the US in 1926. In India AIR covers 95% population and 86% area of the country. 37% of rural population still gets information from radio and only 27% get from TV. Radio stations generated revenue of INR 8 bn in 2008; expected to reach INR 18 bn by 2012. Share of Radio advertising was 3.3 % in 2008; expected to reach 4 % in 2012

Performance of the Indian radio Industry in 2008

In 2008, the Indian radio advertising industry recorded a growth of 20.3% over the previous year. Over the last 4 years, from 2004-08, the Indian radio industry has grown at a CAGR of 36.4%.The radio advertising industry stood at Rs. 8.3 billion in 2008, which was up from Rs. 6.9 billion in 2007. The bulk of revenues of the radio advertising industry come from private FM broadcasters and the balance from the State broadcaster All India Radio (AIR) In terms of share of ad pie, radio industry has been able to increase its share to 3.8% in 2008, which is marginally up from 3.6% in 2007, thus almost doubling its share over the period 2004-08.

Growth of the Indian Radio Industry

In Rs. billion

2004

2005

2006

2007

2008

CAGR 2004-08 36.4%

Radio advertising % share Radio share in ad pie

2.4

3.2 33.3%

5.0 56.3% 3.1%

6.9 38% 3.6%

8.3 20.3% 3.8%

2.1%

2.5%

16.2%

Key developments in the Indian Radio Industry in 2008 Mergers and acquisitions allowed in private FM radio business.
During 2008, the Government made regulatory changes aimed at promoting the growth of the radio sector and increasing its financial flexibility. The changes involved allows FM radio broadcasting companies to create subsidiaries, enter into mergers or de-mergers and amalgamation of companies by way of transfer of shares, without any change in ownership of the company and without any prior permission of the Ministry of Information and Broadcasting. BCCL acquires Virgin Radio UK for Rs. 448 crore. Radio sectors first out-bound investment took place in 2008 with Bennett Coleman and Company Ltd. (BCCL) acquiring Virgin Radio Holdings from UKbased SMG Plc for a consideration of $106 million (Rs. 448 crore). Virgin Radio is a music station, which operates under a FM licence in London and an AM licence in the rest of the UK. They will invest 15 million in developing and relaunching the brand over the next few months. Indian radio goes international. Reliance Anil Dhirubhai Ambani Group (R-ADAG) has launched a 24-hour FM radio station in Singapore that will broadcast Indian film music, news and other entertainment trivia in a collaborative venture with local station Media Corp. Radio. The station is called Big Bollywood 96.3 FM. This is the first time an Indian FM station is going offshore. The channel will play celebrity interviews, songs and gossip. Phase III FM expansion. The Phase II of FM licensing has been both exciting and challenging for the radio industry. The Phase II expansion saw the Government issuing 245 licenses, and it is believed the Ministry of Information and Broadcasting is likely to roll out in excess of 600 licenses (in over 250 additional towns) in Phase III. The industry is also hopeful of TRAI recommendations being given the go-ahead. Some of these include allowing sports and current affairs news, increase in FDI from 20% to 26% i.e. same as print and allowing multiple frequencies in radio per city. On the matter of allowing news on radio, TRAI in its recommendations has suggested that radio broadcasters should be allowed to broadcast news provided that they use content only from All India Radio, Doordarshan, authorized television news channels, United News of India, Press Trust of India and any other authorized news agency. There is also a debate that if the FM radio industry is not allowed to broadcast news in the air waves, the same should not be allowed on Satellite radio as well. Presently, there seems to be an anomaly that Satellite radio, with an allowance of 100% FDI, is allowed to broadcast news whereas FM radio, with an allowance of 20% FDI, is not allowed to broadcast news.

Number of radio-listeners increases. As per IRS 2008/2009 radio listenership has increased. Total listening has increased in some cities to as high as 22 hours per week. Average time spent on radio as per the IRS has increased from 70.4 minutes to 81.1 minutes for radio in 2007-08.Source IRS Political advertisements allowed on radio. As a run up to the General Elections, political advertisements were allowed on radio via Government notification. This helped radio broadcasters emerge as a strong media ally for most political parties in their campaigns. As per press reports, approximately Rs. 50 crores was spent on radio alone by political parties in these elections. IPL on radio. Radio was also the beneficiary from IPL with respect to advertising revenues. Most radio stations tied up with IPL teams from their respective states for launching various contests that enticed listeners with tickets to South Africa in addition to other goodies. Most radio stations also provided regular updates on the score and this too resulted in more listeners tuning into radio to listen, as well as participate in contests. Radio stations were also able to earn additional revenues from SMSs from listeners participating in these contests.

Outlook for the Indian Radio Industry 2009-2013

Spending on radio advertising is growing rapidly, and now accounts for around 4% of total media spend. The Indian radio advertising industry is projected to grow by 18% over the next five years, reaching to Rs. 19 billion in 2013 from the present Rs. 8.3 billion in 2008, which is more than double its current size. In terms of share of ad pie, it is projected that the radio advertising industry will be able to increase its share from 3.8% in 2008 to 5.2 % in 2013.

Radio Re-invented Satellite Radio Net Radio Digital Radio & Podcasting

ELECTRONIC MEDIA
(TV AND RADIO)
Assignment of Advertising

Session: 2010-11

Submitted to: Prof.J.N. Bhargava MONIRBA

Submitted by : Kritika Verma Maryam Zafar Ansar III semester MONIRBA