A

Project work
On
Marketing
“Marketing Strategy of

Submitted to: Submitted

By:
Shalini Srivastava
Heera Singh
Introduction

Radio Mirchi is the most popular private FM radio channel in India

with the largest operating network and a presence in 33 cities & 6
Metros. The case traces the emergence of Radio Mirchi as a
leader in the Indian FM radio industry.

 Operated by Entertainment Network India Ltd (ENIL)

 Promoters: Bennett, Coleman & Co. and Time Infotainment

Media Ltd.

 Radio Mirchi is Star SBU of ENIL , started October 2001

ENIL is promoted by Bennett, Coleman & Co. Limited

(BCCL) which is one of the largest media and
entertainment companies in India, operating in various
media segments such as print media and television
broadcasting. Before we begin, let’s know a little about
Radio Mirchi. The original avatar of Radio Mirchi was
Times FM, which is probably the most famous radio in
India which began its operation in 1993. Until 1993, AIR, a
government undertaking, was the only radio broadcaster
in India. The government then took the initiative to
privatize the radio broadcasting sector. It sold airtime
blocks on its FM channels to private operators, who
developed their own program content. The Times Group
operated its brand, Times FM, till June 1998. After that,
the government decided not to renew contracts given to
private operators. In 2000, the government announced
the auction of 108 FM frequencies across India. ENIL won
the largest number of frequencies, thereby acquiring a
national footprint, and becoming the only commercial FM
broadcaster present in all 4 Metros, with an exclusive
presence in 7 cities. Earlier available in the seven cities of
Mumbai, Delhi, Kolkata, Chennai, Pune, Indore and
Ahmedabad, now it is also available in key markets of
Bangalore, Hyderabad, Jaipur, Patna & Jalandhar thereby
taking the tally to 12 stations across India. It's the largest
private FM Radio operator in the country in terms of
number of operational stations and revenue.

CONSUMER BEHAVIOUR:

The research conducted by IMRB at major cities in India,

In Delhi of the total average listenership of 16.9 lakhs.

Radio Mirchi has a listenership of around 12.1 lakhs.

Radio City has a listenership of 2.9 lakhs,

Which means that the market share of Radio Mirchi is

72%, the target segment of the organization are the
house wives and old people who amount to the top of the
spectrum. The listener ship Share of Radio Mirchi is 60 %
when compared with all the other private FM stations,
their success can be attributed to the fact that they are
city centric; they talk in the lingo that is used in the city.
They talk for the social causes of their particular society.
Marketing Plan

This marketing plan is designed for the Brand Radio

Mirchi 98.3FM. Substantial opportunities exist to tap into
the market of Global News and International market. The
advantage of this opportunities influence the behavior of
target market in such a way that will increase the sales of
Radio Mirchi even more. The market profile is refined by
doing loads of research from internet to know the actual
market share, attitudes and behaviors towards the music
and benefits provided by them. The results were
combined with demographic, geographical and
psychographic information. But the major area that has
highest concentration is demographic. The market is
divided amongst children, youngsters, young adults and
even aged people like to listens today’s music. All of
these are taken care very well and represents high
potential for future market growth. As Radio Mirchi has
the top class wide network, with great support from their
advertisers and distributers, they do not face a high
threat from their competitors.
RADIO INDUSTRY
Radio has been the most cost effective source of
entertainment in India for a long time. For a long time,
the radio industry was dominated by the state
broadcaster- All India Radio. However, the radio sector
has been gradually liberalized and has been opened for
private and foreign investment. Radio industry recorded
an impressive performance in 2007, having recorded a
growth of 24 per cent over the previous year and is
estimated at Rs. 6.2 billion in 2007, up from Rs. 5 billion
in 2006. In the last four years 2004-07, the radio industry
recorded the second highest cumulative growth of 37 per
cent on an overall basis after online advertising. The
radio industry is projected to grow to Rs. 17 billion by
2011, implying a 28% CAGR over the next five years.
ENIL currently operates radio stations under the brand
name ‘Radio Mirchi’ in 25 cities.
Though Radio Mirchi FM radio stations are located in
diverse regions in India it's been successful in attracting
local audiences in each of these markets. This is largely
due to a superior understanding of audience preferences,
which enables it to provide content customized to the
taste, language and culture of the local audience.
Before 2000, there were only two music stations, but
after that radio industry came up with private Channels
with different frequencies. Today we have 10 music
stations.
♣ Help in June 2005 Mumbai flood. ♣ Showing
responsibility towards various NGO ♣ RJ’s mainly
attracted by package that has been offered to them by
competitors. SOCIAL ♣ Only 10 year of license is valid.
♣ Up to 15 % annual hike In licensee fee ♣ To enter in
the industry, high one time entry fee has to be given ♣
CUSTOMER ENVIRONMENT
The target market for the Radio Mirchi has normally been
defined in five different stages: DEMOGRAPHIC: This
market shows the greatest potential, as AGE factor
dominant other factor in Radio Industry. Secondly,
GENDER factor. GEOGRAPHIC: Currently, Radio Mirchi has
a presence in more than 33 cities, including the 6 metros
of India. This market also shows great deal for them.
BEHAVIORAL: Listener who listens to Radio Mirchi is very
loyal to them as per survey mention above. SITUATIONAL:
For many different occasions Mirchi came up with unique
game or any kind of attractive show. For egs. New Year’s,
Diwali, R.D.Burman’s birthday etc. customers are highly
attracted to all these innovative shows and participated.
PSYCHOGRAPHIC: Music has become a very important
part of our lifestyle that we cannot ignore, neither Radio
Mirchi. That is why, they always keep track record of
latest and customers demand.
Serve each and every section of public starting from the
children to 70+ aged. 10♣ It delivers the best
combination of innovative content and interesting
initiatives. ♣ Radio Mirchi known for giving superior
quality music and benefits to their customers. ♣ •The
information for this analysis is generated through the
following programs:
SHOW TIME(weekdays) TARGET AUDIENCE 7a.m – 11a.m
Everyone Hi Delhi 11a.m – 2p.m Female oriented
Khoobsurat 2p.m – 5p.m Quizzes related to Total Filmy
bollywood 5p.m – 8p.m Everyone Sunset Samosa 8p.m –
11p.m Play old music Purani Jeans 11p.m – 1a.m Ask
solution for Dr. Love relationship problems INTERNAL
ENVIRONMENT STRENGTHS
According to the latest listenership figures released by
IMRB International's Media♣ & Bronze medal for Best
Activity generating Brand Awareness and Trial
recruitment at the Promotion Mar the '983 - Kismat Khol
De' Contest won the Gold medal for Best Activity
generating Brand Loyalty at the Promotion Marketing
Awards of Asia – 2004.  Also won awards for its
successful brand building. ♣ Their wide and national
footprint enables our advertisers to reach the largest
number of listeners among private operators in high
income cities and adjoining areas. ♣ Also with
BLITZKRIEG 2008 (ICFAI Business School), COBWEB 2008
(college fest of LHMC) and SPANDAN 2008 (college fest of
Vivekananda College). ♣ Radio Mirchi has partnered with
VIBGYOR 2008 (college fest of International School of
Business and Media). ♣ The research reveals that Radio
Mirchi enjoys the highest \"loyalty\" among its listeners. ♣
IMRB conducts the in-car listening research every
fortnight in Delhi, and findings indicate that Radio Mirchi
is the favored station on the roads with a share over 50
per cent on an average since launch. ♣Panel Unit,
confirms Radio Mirchi as the leading FM Radio station
ahead of Red FM and Radio City. With 12.1 laky daily
listeners, Radio Mirchi leads with a 72 per cent share of
the market. Keting Awards of Asia – 2004.

MARKETING MIX
The punch line of Radio Mirchi (Mirchi sunnewale always
khush) focuses on its customer and the quality of music
provided by them. They try to come up with new
innovative ideas thereby making their radio the most
preferred station with largest listenership. There latest
innovation is in the style of radio jockeys. Generally, radio
jockeys speak non-stop quite fast entertaining the
masses. But there is new RJ named Sudh who talks at a
slower pace but in a weird tone. His way of telling jokes
attracts people to him. Price & Place are the two factors
which has no impact on the customer’s( .i.e. radio
listeners) of Radio Mirchi since they don’t pay for listening
radio and it is available everywhere(rather in pockets of
every pers 98.3 FM - It uses the tagline \"Sakat hot
maga!\" in Bangalore. 17• 98.3 FM Tagline \"Mirchi Sunne
Wale Always Khush\" Started On 23 July 2007 • 98.3 FM
Tagline \"Radio Mirchi - It's hot\"... •on in the form of
mobile) Promotion: Radio Mirchi promotes its radio
station in different cities in their local language. Following
are few examples:
To come up with something related to daily
NEWS. It will go to attract that market which is yet not
being touch by any private channel.• Since it is a Brand,
so give 100 percent to their existing products to maintain
its quality and power. • To increase prime time
advertising rates. As a result clients will get reduce but
listenership increases which would later attract clients
again. • 98.3 FM - Tagline \"Radio Mirchi Shune monk
always khush \"

MAIN TARGETS OF RADIO MIRCHI…

THE ETHNIC TIES:

It is the human nature that we desire to be associated with people whom we are
attached to and hence ethnic ties play a more important role, if the station is able to
satisfy your sense of identity , you are definitely going to be loyal to it.

GENDER:

Especially with the community radio growing at a fast pace in India, it is necessary that
the stations cater to the needs on the basis of gender issues, women talking to women
is a growing trend in the industry. Talking about gender related issues and gender
bonding have become a good part of life.

DEMAND FOR PUBLIC SERVICES:

the demand to be update with the news and the events that might effect you is a
growingf concern among people. as you cannot carry a television service its good if you
have an in car fm stereo and get to know the traffic updates and the weather updates.

LOCAL FLAVOUR:

the local lingo goes with the general public, the youngsters when they are involved in
the process of choosing a person or need ot talk about the local issues these channels
play an important part.

POLITICS:

politics have a major role to play on the minds of people hence the content that is aired
on the medium of radio is supervised by government rules.

LISTENERS OF DISPERSION ACROSS SEC’S AGE AND GROUPS

% SPLITOF LISTENERS

STATION SEC SEC SEC SEC 15- 20- 25- 35- 45+
A B C D 19 24 34 44
YRS YRS YRS
YRS

% 14 21 38 27 12 15 29 22 23
POPULATIO
N

RADIO 23 21 26 33 21 19 23 20 20
MIRCHI

RADIO CITY 22 21 24 30 22 19 24 9 17

RED 21 22 31 26 20 22 22 14 22

GO 30 22 27 18 7 20 21 16 26

FM 1 22 20 22 41 4 8 20 21 47
 FM2 30 15 15 19 8 9 28 28 27

The lead players. Radio Mirchi and Radio City have similar listenership profiles - a skew
towards younger age groups and SEC A and D. GO has a distinct skew towards SEC A
due to its programming content. Broadly, most of the stations have identical
programming currently and are thus attracting audiences that are very similar. Stations
have not been able to carve out a niche for themselves, in anyof the
markets.Interestingly, a research commissioned by RED FM inDelhi carried out by
Development and Research Studies( DRS ) has proved that listeners cannot really
identifystations accurately. In 74% of the cases, listeners attributed their favourite radio
programme to the wrong FM station! This suggests a call-for-action for stronger brand
positioning exercises by the stations - and ensuring that they do not sound just like next
competitor.