A REPORT ON MARKETING STRATAGY OF STAR INDIA

Submitted in Partial Fulfillment for the Award of the Degree of Bachelor of Business Administration 2011-12 UNDER THE GUIDANCE OF Mr. Jagat Jyoti Barua FACULTY, MAIMS

SUBMITTED BY: (ABHIJEET KASHYAP)

Roll no 13014701710 Batch No. 2010-2013(BBA SEM 3rd Section B)

MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT Affiliated to Guru Gobind Singh Indraprastha University, Delhi PSP Area, Plot No. 1, Sector 22, Rohini Delhi 110086

LIST OF CONTENTS 00
01

Preface
Acknowledgement

I
II

02 03 04
04 05 06 07

Executive Summary Student Undertaking Certificate

Introduction Objectives Limitations Data Collections

III IV V
05-06 07 08 09

08 09 10 11 12 13 14 15 16 17 18 19 20
21 22

Television Historical Perspective Legal Environment Advent of Cable Television

Milestone of Television Era Programs that Revolutionized TV in India General Structure of Channels Star at its Best Star Plus

10 11-15 16-17 18 19-21 22 23 24 24-25 27-31 32-35 36-39 40-55

56 57-58

Other Star Channels Media Rivelrary(TRP Game) Growth Strategies of Major Players Marketing Strategy of Star India
Conclusion Bibliography

ACKNOWLEDGEMENT
I take this as an opportunity to thank with bottom of my heat all those without whom the journey of doing my project would not have been as pleasant as it has been to me. Working on my project was a constant learning experience with all sweat and tear which was its due but not without being richly stimulating experience of life time. For any project to be a success, it is very important to get the right guidance and support which I got from my Faculty Guide Mr. Jagat Jyoti Barua sir. I express my gratitude to my faculty guide for inspiring me throughout the project. I want to express my deep gratitude to our institution Maharaja Agrasen Institute Of

Management Studies, for giving me the opportunity to undertake this project and enhance
my knowledge. Finally I would like to convey my heartiest thanks to all my well wishers for their blessing and co-operation throughout my study. They boosted me up every day to work with a new and high spirit.

Abhijeet Kashyap Roll. No.: 13014701710

EXECUTIVE SUMMARY
This report is about the marketing stratagy of star India in Indian Market . The report starts with the introduction of television and its evolution and then continuous with the different channels aired by star India . It focus the light on the facts which make Star India so popular among the viewrs ,its market sharing ,TRPs in urban and rural consumer insight . To understand the above , some example of the channels are given which are customizing according to the market . The example of Star Plus ,Star Newsand other channels and their programmes are given to understand the TRPs game . Some more example are also given to understand the companies customization according to the consumers insight and recent changes in Indian television market. The report also shows the necessity of customizing the channels, distribution , promotion and price by the company.

STUDENT UNDERTAKING
This is to certify that I have completed the Project titled A Report on Marketing strategy of Star India Network in Maharaja Agrasen Instiute of Management Studies under the guidance of Mr Jagat Jyoti Barua in partial fulfillment of the requirement for the award of degree of Bachelor of Business Administration at Maharaja Agrasen Institute of Management Studies, Delhi. This is an original piece of work & I have not submitted it earlier elsewhere.

Name of the Student Abhijeet Kashyap

CERTIFICATE

This is to certify that the project titled A Report on Marketing Strategy of Star India India is an academic work done by Abhijeet Kashyap submitted in the partial fulfillment of the requirement for the award of the degree of Bachelor Of Business Administration from Maharaja Agrasen Institute of Management Studies, Delhi, under my guidance & direction. To the best of my knowledge and belief the data & information presented by him/her in the project has not been submitted earlier.

Mr Jagat Jyoti Barua Name of the Faculty Guide

OBJECTIVE OF THE STUDY

To study in detail about the Star India Network and various elements associated with it. To study about the marketing strategies of Star India To analyse strength weakness of the network To study the process followed for TRPs rating To study the media business To know whether strategies made by them will be a success or a failure

Limitations
1. Due to wide spread information of the data, the scope of project becomes very wide. 2. All the matter has been collected through secondary sources; hence, the errors might have crept in. 3. Given the time constraints, all the information could not be gathered.

Data collection
This project has been prepared on the basis of secondary data. It refers to the statistical material which is not originated by the investigator himself but obtained from someone else's records, or when Primary data is utilised for any other purpose at some subsequent enquiry it is termed as Secondary data. This type of data is generally taken from newspapers, magazines, bulletins, reports, journals etc. e.g. if the data published by RBI on currency, National Income, Exports or Imports, is used in some other statistical enquiry, it will be termed as Secondary data. According to M.M. Blair, "Secondary data are those already in existence for some other purpose than the answering of the question in hand."

Secondary sources were: Newspapers links Websites

INTRODUCTION
The Indian Entertainment and Media Industry
The Indian entertainment and media industry is one of the fastest-growing sectors in Indiaand has outperformed the Indian economy. The growth of this sector is a function of the overall growth of the economy, as it is a cyclically sensitive industry. The size of the industry as a whole was about US$7 billion in 2004. According to a PricewaterhouseCoopers report titled Indian Entertainment & Media Outlook 2010,the Indian entertainment and media (E&M) industry is poised to grow at a 12.4% CAGR and is expected to reach Rs 1040.8 billion by 2014. The report further estimates that, over the period 2010-2014, the television industry will grow at a stable rate of 12.9%, rising to Rs 488 billion from Rs 265.5 billion in 2009. Advertising revenues and the expansion of regional channels will be the main factors triggering growth. Television distribution is projected to garner 60% of television industry revenues in 2014, while the share of television advertising is expected to reach 35%, and that of television content 5%.1 The filmed entertainment and television segment dominates the industry, followed by the print, radio and music segments.

Increasing consumer spending and disposable income have contributed to the growth of this segment. The trend observed is that media penetration is varied across segments and across the different socio-economic classes. Media penetration is lower in lower socio-economic classes. Hence, efforts to increase penetration even slightly in these lower socio-economic classes are likely to deliver much better results simply due to the higher numbers. Advertising revenues are a key factor in the Indian media and entertainment industry. Indian advertising as a percentage of GDP is only 0.34%, which is far below the global average. Hence, there is an immense potential for growth.

Economic reforms in India have facilitated the emergence of a conducive environment for foreign direct investment (FDI). The liberalization era paved the way to greater FDI in the

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entertainment and media industry as the film, television and other segments were opened to FDI. FDI of 100% is now allowed for non-news publications, and 26% FDI is allowed for news publications. Facsimile editions of foreign journals are also now permitted in India. This helps foreign journals achieve significant savings on distribution costs. The government of India allows FDI of up to 20% in the FM radio sector.

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Television
Television occupies a major position in the entertainment and media industry. The Indian television system, which provides coverage to over 90% of Indias 100 million people, is one of the most dynamic and extensive systems in the world. TV households are growing at a staggering rate of 4% per annum. The number of TV households far exceeds the number of telephone-connected homes. The share of cable television households is growing at a remarkable rate of 4% per annum. Cable and satellite homes are expected to grow at a rate of 8-10%.

Historical perspective
The formation of a private radio service in Madras in 1924 heralded the advent of broadcasting in India. In the same year, the British colonial government granted a license to a private company, the Indian Broadcasting Company, to open radio stations in Bombay and Calcutta. The company went bankrupt in 1930, but the colonial government took over the two transmitters and the Department of Labor and Industries started operating them as the Indian State Broadcasting Corporation. In 1936, the Corporation was renamed All India Radio (AIR) and placed under the Department of Communications. When India became independent in 1947, AIR was made a separate department under the Ministry of Information and Broadcasting.

Radio broadcasting was of major importance in independent India because of its frontline role as a medium of communication to propagate the governments goals of achieving political integration, economic development and social modernization. The most important challenge the government faced following the countrys independence was to forge a nation out of the extremely diverse political, religious, geographic and linguistic entities that composed independent India. National integration was among the early objectives of All India Radio. It was in this context that television was introduced in 1959. The government had been reluctant to invest in television until then, because it was felt that a poor country like India could not afford the medium. Television had to prove its role in the development process before it could gain a foothold in the country. Television broadcasts started out of Delhi in September 1959, as part of All India Radios services. Programs were broadcast twice a week for an hour a day on topics 12

such as community health, citizens duties and rights, and traffic and road safety. In 1961, the broadcasts were expanded to include a school educational television project. In time, Indian films and programs consisting of compilations of musicals from Indian films were introduced as the first entertainment programs. A limited number of old U.S. and British shows were also telecast at times.

The first major expansion of television in India began in 1972, when a second television station was launched in Bombay. This was followed by stations in Srinagar and Amritsar in 1973, and Calcutta, Madras and Lucknow in 1975. Relay stations were also set up in a number of cities to extend the coverage of the regional stations. In 1975, the government first tested the possibilities of satellite-based television through the Satellite Instructional Television Experiment (SITE) program. SITE was designed to test whether satellite-based television services could play a role in socio-economic development. Using a U.S. ATS-6 satellite and uplink centres at Ahmedabad and Delhi, television programs were beamed down for about four hours a day to roughly 2,400 villages in six states. The programs dealt mainly with in- and out-of-school education, agricultural issues, planning and national integration. The program was fairly successful in demonstrating the effectiveness of satellite-based television in India and the lessons learned from SITE were used by the government in designing and utilizing its own domestic satellite service INSAT, launched in 1982.

By 1976, the television network had grown to eight television stations covering a population of 45 million spread over 75,000 square kilometres. The government constituted Doordarshan, the national television network, as a separate department under the Ministry of Information and Broadcasting. But with respect to critical issues of policy planning and financial decisionmaking, Doordarshan operated much like a government department. Doordarshan was headed by a Director General appointed by the Information and Broadcasting Ministry. By 1982,television had emerged as the governments pre-eminent media organization due to its national coverage. Two events triggered the rapid growth of television. INSAT-1A, the first of the countrys domestic communications satellites, became operational and made it possible to form a network of all of Doordarshans regional stations. For the first time, Doordarshan originated a nation-wide feed dubbed the National Programme, which was fed from Delhi to 13

the other stations. In November 1982, the country hosted the Asian Games and the government introduced colour broadcasts for the coverage of the games. To increase televisions reach, the government launched a crash program to set up low- and high-power transmitters that would pick up the satellite-distributed signals and re-transmit them to surrounding areas. In 1983, television signals were available to just 28% of the population, but by the end of 1985 this figure had doubled, and by 1990 over 90% of the population had access to television signals. In 1977, the number of TV sets sold was just 676,615. The number of television sets in India increased from around 500,000 in 1976, to 9 million in early 1987, and to around 47 million in 1994.

The advent of advertising on Doordarshan in the late 1970s transformed the history of Indian television. Advertising began in a very modest way, with under 1% of Doordarshans revenue derived from advertising revenues in 1976-77. But the introduction of the National Programme in 1982 made television more attractive to advertisers. Till that time, television had been funded through a combination of television licenses and allocations from the annual budget. The licenses were later abolished as advertising revenues increased to a substantial extent. In turn, Doordarshan began to shift its focus from educational and informational programs to entertainment programs. The commercialization of Doordarshan saw the development of soap operas, situation comedies, dramas, musical programs and quiz shows. But the entry of foreign programmers such as CNN, STAR TV, as well as other domestic channels like Zee TV and Sun TV, transformed the competitive environment of television. DD responded to this satellite TV invasion by launching a commercially driven entertainment channel and introduced entertainment programming on its terrestrial network. From the large urban areas, satellite TV delivered via cable moved into smaller towns, spurring the purchase of TV sets and even the upgrading from black & white to colour TVs.

The number of channels also increased substantially, from two in 1991 to more than 50 by 1996. There were an estimated 60,000 cable operators in the 1995-1996 period, with a subscriber base ranging from as low as 50 to as high as in the thousands. Large Indian business houses and American and European cable networks set up sophisticated head-ends capable of delivering more than 30 channels. These Multi-System Operators (MSOs) bought up local networks or franchized cable TV feeds to the smaller operators for a fee. As a consequence, the number of cable operators was reduced to 30,000. The government started taxing cable operators in a bid to 14

generate revenue. The rates varied from state to state. The Cable Act, 1995 was passed to regulate the cable business in the country. By 1990, Doordarshans revenues from advertising were about $300 million, accounting for about 70% of its annual expenditure. Doordarshans revenues were being siphoned away by the private satellite players. In 1999-2000, DDs revenues stood at Rs 5,971.9 million and AIRs at Rs 808.4 million. DDs earnings increased to Rs 6,375.1 million in 2000-2001, while AIRs dipped to Rs 739 million. The economic liberalization coupled with international broadcasting transformed the countrys television environment in a significant way. By 1991, entertainment and commercial programs had begun to take centre stage in the organizations programming strategies and advertising had become Doordarshans main source of funding. However, television in India was still a modest enterprise, with most parts of the country getting just one channel, while the major cities received two channels.

International satellite television was introduced in India by CNN through its coverage of the Gulf War in 1991. Three months later, Hong Kong-based Star TV (now owned by Rupert Murdochs News Corp.) started broadcasting five channels into India using the ASIASAT-1 satellite. By early 1992, nearly half a million Indian households were receiving Star TV telecasts. A year later, the figure was close to 2 million, and by the end of 1994, an estimated 12 million households (a little less than one-quarter of all television households) were receiving satellite channels. The 60,000 or so small-scale cable system operators that had mushroomed across the country made this increase in viewership possible. A number of Indian satellite-based television services were launched between 1991 and 1994; prominent among them was Zee TV, the first Hindi satellite channel. By the end of 1994, there were 12 satellite-based channels available in India, all of them using a handful of different satellites. Terrestrial broadcasting, which had been the sole preserve of the government, provides television coverage to over 90% of Indias 100 million people. By the end of 1996, nearly 50 million households owned a television set. International satellite broadcasting, introduced in 1991, swept across the country because of the rapid proliferation of small-scale cable systems. By the end of 1996, dozens of foreign and local

15

channels contributed towards an increase in advertising revenues. In 2002, there were 70 million television households in India, and it was the third largest television market in the world.

The proliferation of channels has put great pressure on the Indian television programming industry. Indian audiences clearly prefer locally produced programming over foreign programs. The new television services spend heavily on the development of indigenous programs. The number of hours of television programming produced in India increased 500% from 1991 to 1996. The entry of international television channels broadcast via satellite and disseminated through cable initiated and accelerated globalization. Satellite television technology brought education to remote parts of rural India through the pioneering SITE project.

Despite the rapid growth of television channels from 1991 to 1996, television programming continues to be dominated by the Indian film industry. Most national channels rely heavily on films to attract audiences. Almost all Indian films are musicals, and this allows for the development of inexpensive derivative programs.

In the initial years, entertainment programs on DD were fewer in number. The popularity of serials such as Hum Log (1984), Ramayana (1987-88) and Mahabharata (1988-89) catapulted Doordarshan to the status of a mass media. The mythological dramas Ramayana (1987-88) and Mahabharata (1988-89) set world records for viewership numbers for a single program. One of Doordarshans most popular programs, Chitrahaar, is a compilation of old film songs. All the private channels and music video channels such as MTV Asia and Channel V show a variation of Chitrahaar. A number of game shows are also based on movie themes. Other genres like soap operas, talk shows and situation comedies have also gained in popularity. International satellite programming has opened up competition in news and public affairs programming, with the BBC and CNN International challenging Doordarshans long-standing monopoly. Star TVs STAR Plus channel offers broad-based English language entertainment programs. Another significant peculiarity of Indian television programming has been the use of popularly called Hinglish formats, which offer programs in Hindi and English on the same channel and even have programs, including news shows that use both languages within a single telecast. This

16

strategy is meant to attract the sizable middle-class populations who have knowledge of both English and Hindi. In addition, the proliferation of Hindi channels has also been significant.

Doordarshan has scrambled to cope with the changed competitive environment, as satellite broadcasting has threatened Doordarshans existence. The governments monopoly over television over the years has resulted in Doordarshan being tightly controlled by successive governments. In principle, Doordarshan is answerable only to Parliament. Parliament lays down the guidelines that Doordarshan is expected to adhere to in its programming, and Doordarshans budget is debated and approved by Parliament. But the guidelines established by Parliament to ensure Doordarshans political neutrality are largely ignored in the face of the majority that ruling parties have held in Parliament. Doordarshan has been subject more to the will of the government than the oversight of Parliament. Successive governments and ruling political parties have used Doordarshan to further their political agendas, weakening its credibility as a neutral participant in the political process. There have been periodic attempts to reconstitute Doordarshan into a BBC-like public corporation, but governments have been reluctant to relinquish their hold on such a powerful medium.

Unlike the C&S broadcasters, DD does not own the rights to anything that it airs. Marketing is handled by producers of individual programs. In markets like the UK and US, satellite channels are like a niche medium. In India, C&S monopolizes more than 80% of the total advertising pie and is 100 times more important than the network with the largest reach Doordarshan. Star, Sony and Zee have overtaken DD despite starting later and using a fraction of its resources.

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Legal Environment
The government drew its right to operate the countrys broadcasting services as a monopoly from the Indian Telegraph Act of 1885, which empowers the government with the exclusive right to establish, maintain and work wireless services. In addition, the Constitution lists broadcasting as the sole domain of Parliament, effectively shutting out the states from making any laws with regard to television. Within the ambit of these provisions, it was assumed that it was the prerogative of the government to grant media autonomy or liberalization in any form. But the governments monopoly was challenged in the Indian Supreme Court in 1995. The Court held that the government monopoly over broadcasting was unconstitutional and while the government had the right to regulate broadcasting in the public interest, the Constitution forbade monopoly control over any medium by either individuals or the government. The Court directed the government to establish an independent public authority for controlling and regulating the use of the airwaves. Doordarshan and All India Radio were brought under a holding company called the Prasar Bharati under the Prasar Bharati Act, 1990. The Act served to give autonomy to the broadcasters, as their management was left to a supervisory board consisting of retired professionals and bureaucrats. In 2001, the government finally tabled the Convergence Bill, which envisaged a super convergence commission with control of broadcasting as its major plank.

In 2002, the Indian Parliament passed a bill to amend the Cable Television Networks (Regulation) Act, 1995. Cable TV operators would have to transmit or retransmit programs of any pay channel through an addressable system. For the free-to-air channels that were to form part of the basic tier, the government would decide the minimum number of channels and the 18

maximum rate that cable operators were to charge viewers. Making the conditional access system (CAS) mandatory for viewing pay channels was the most important piece of legislation to be passed by the Indian Parliament in 2002. The complexity of implementing CAS surfaced only in 2003, as it required massive investments and seeding of CAS boxes.

Advent of Cable Television

In 1992, the government liberated its markets, opening them up to cable television. MTV, Star Plus BBC and Prime Sports entered India. Zee TV was the first privately owned Indian channel to broadcast over cable. A few years later, CNN, Discovery Channel and National Geographic Channel made their foray into India. Star expanded its bouquet, introducing Star World, Star Sports, ESPN and Star Gold. Regional channels flourished along with a multitude of Hindi channels and a few English channels. By 2001, HBO and the History Channel were the other international channels to enter India. By 2001-2003, other international channels such as Nickelodeon, Cartoon Network, VH1, Disney and Toon Disney had entered the fray. In 2003, news channels started to boom. Today there are about 20 news channels.

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MILESTONES IN THE TELEVISION ERA

1959 Television programs are launched in India. 1962 Indian televisions first soap opera, Teesra Rasta, enthralls viewers. 1976 Television and AIR separate; Doordarshan comes into existence. 1978 First television commercials seen. 1982 To coincide with Delhi Asian Games, Doordarshan begins colour transmission. 1984 Hum Log, Doordarshans first soap opera in the colour era, is born. 1991 First India-targeted satellite channel, Zee TV, starts broadcasting. 1992 Government allows private participation in telecom services. 1994 Licenses are awarded to six basic service operators. 1995 Cable TV Networks (Regulation) Act comes into effect. 1997 Prasar Bharati (Broadcasting Corporation Bills of India Act 1990) comes into being; Government bans DTH; the Telecom Regulatory Authority of India (TRAI) is constituted. 1999 New telecom policy allows existing service providers to switch to a revenue-sharing regime. 2000 The Cable Act of 1995 is amended by the Cable Television Networks (Regulation) Amendment Act, 2000, to give it more effectiveness. Kaun Banega Crorepati and Kyunki Saas Bhi Kabhi Bahu Thi make Star Plus the No. 1 channel in India; the Communication Convergence Act is drafted and envisages the creation of a single, 20

independent and autonomous statutory authority that will regulate all aspects of telecommunication, broadcasting and other communication services; inter-circle long-distance markets liberalized.

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Programs that revolutionalized TVin India:

Chitrahaar, 1974, DD; Song-and-dance time and the pioneer Hum Log, 1984, the soap opera Yeh Jo hai Zindagi, 1984, sponsor Vicco Ramayan, 1987, DD, religion and television Chanakya, 1991, the last DD superhit AmulSurabhi, 1994, documentary The Bold and Beautiful, 1992, Star Plus; a soap opera that started a cultural invasion Tara, 1993, Zee Indias first female-centric soap Shanti, 1994, DD a big daytime hit depicting womens power Cricket World Cup, 1996, The India Pak match attracts 10 crore viewers Amanat, 1997, Zee, a serial that shaped Zees fortunes KBC, 2000, Star Plus, the program that turned around the fortunes of a channel Kunki Saas Bhi Kabhi Bahu thi, 2000, Star Plus: the return of family-oriented soap Chithi, 2001, Sun TV, a success that inspired translation

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Movies

General Entertainment

Special Interest

Hindi

Hindi

English

B4U Movies Zee Cinema Star Gold SET Max(shows cricket matches in cricket season) Filmy

English

HBO India Star Movies Zee Studio Zee Cafe

Zee TV Star Plus Star Utsav(recycled Star Plus serials) Sony Entertainment TV Sahara One SAB TV Star One Zee Smile(comedy)

Animal Planet History Channel Discovery Discovery Travel & Living A1 National Geographic

Hindi

English

National Geographic Discovery

AXN Star World Hallmark Zee Caf Zoom

Marathi

Zee Marathi DD Sahyadri ETV Marathi

General structure of channels

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Childrens Entertainment

General News

Business News

Hungama Disney Channel Toon Disney Cartoon Network Animax Pogo Nick

Hindi

Hindi

AajTak DD News Zee News Star News NDTV India Channel 7 Sahara Samay Mumbai Sahara SamayRashtriya India TV Tez (only headlines) Janmat (views channel)

CNBC Aawaz Zee Business

English

CNBC TV 18 NDTV Profit

International

Bloomberg

English

NDTV 24x7 Headlines Today Times Now CNN-IBN India Broadcasting News

International
CNN International BBC World Channel NewsAsia Sports

Music

Religion

MTV ETC VH1 Zee Music B4U Music Channel V

DD Sports Star Sports Zee Sports Ten Sports ESPN SET Max (Part-time: also shows movies)

Sadhna Sanskar Aastha TV Kitaab TV

Fashion Channels

Fashion TV Trendz

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STAR AT ITS BEST

Satellite Television Asian Region (STAR) is an Asian TV service owned by Rupert Murdoch's News Corporation. It is headquartered in Mumbai, with regional offices in cities Delhi and Chennai. STAR India, is said to be the leading media and entertainment company, has the highest reach among the country's broadcasters, beaming to over 168 million people every week across India and over 65 countries across the globe.[1] STAR India's portfolio includes 32 channels in eight languages including STAR Plus, STAR One, STAR Gold, Channel V, STAR Jalsha,STAR Pravah, STAR World, STAR Movies, STAR Utsav; along with the joint venture channels Asianet, Sky News, FX, Fox Crime, STAR Vijay, STAR News, STAR Ananda, ESPN, and STAR Sports among others. History The New Economic Policy of India, in 1993, led

to Globalisation, Privatisation and Liberalization of Indian markets. India witnesed a rapid spurt in growth of satellite television leading to a revolution in the television industry after 1993. Before 1993 The company was launched in 1990 by Subash Chandra Goyal as a part of Zee TV but was later bought by STAR TV (Asia). It started broadcasting five television channels on 1 January 1991 from AsiaSat 1 Satellite. Launch of The STAR TV Network pioneered satellite television in India and in the process catalyzed explosive growth in the media industry across the entire region. After 1993 In 1993 Rupert Murdoch's News Corporation purchased 63.6% of STAR for over $500 million, followed by the purchase of the remaining 36.4% in 1 January 1993. Murdoch declared that:[4] "(telecommunications) have proved an unambiguous threat to totalitarian regimes everywhere ... satellite broadcasting makes it possible for information-hungry residents of many closed societies to bypass state-controlled television channels"

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In the years after Murdoch purchased Star, an agreement with Subhash Chandra prohibited Star from creating Hindi-language programming, so Star relied mainly on English-language imported programming. Star was third in Indian market share (3%) behind Zee TV (12%) and Sony (11%). For four years until 1999, Star had losses of nearly US$500 million. Consequently, Murdoch revamped Star management; programming chief Sameer Nair decided to start creating Hindi-language programming to target "mass instead of class." International satellite programming has opened up competition in news and public affairs programming with BBC and CNN International challenging Doordarshan's long standing monopoly. Most of the other foreign broadcasters, for example, ESPN and the Discovery Channel, are focusing on special interest programming. Only StarTV's STAR Plus channel offers broad-based English language entertainment programs. Most of its programs are syndicated U.S. shows, for example soap operas like The Bold and the Beautiful and Santa Barbara and talk shows like Donahue and Oprah. Even when STAR Plus has a very large share of the audience in India, It is threatened by the launch of new channels. In August 2009, STAR Broadcasting Corporation revealed a restructure to its Asian broadcast businesses into four units - STAR (India), STAR (Greater China), STAR Select and Fox International Channels. Impact Today STAR Broadcasting Corporation broadcasts over 60 services in 13 languages. Shows include entertainment, sports, movies, music, news and documentaries. Reaching over 168 million people every week across India and over 65 countries across the globe, STAR Broadcasting Corporation is watched by approximately 120 million viewers every day.[6] STAR Broadcasting Corporation controls over 50,000 hours of Indian programming and also owns the world's largest contemporary Indian and International film library, with more than 800 titles, featuring superstars including Amitabh Bachchan, Shahrukh Khan, Aishwarya Rai Bachchan and International superstars like Angelina Jolie and Sean Connery. In partnership with leading companies in Asia, STAR Broadcasting Corporation businesses extend to filmed entertainment, television production, cable systems and distribution, direct-to-home services, terrestrial TV broadcasting, wireless and digital services. 26

STAR India also manages a portfolio of business ventures including DTH operator Tata Sky; cable system Hathway, channel distributor STAR Den, news channel operator MCCS, the film production and distribution business Fox Star Studios and STAR CJ Home Shopping. STAR India entered into High Definition broadcasting on 15 April 2011 with the launch of the HD versions of its popular channels. Newly launched channels are Star Plus HD, Star Movies HD, Star World HD, Star Gold HD and National Geographic Channel India HD. List of Channels provided

STAR Movies - an English language movie channel which broadcasts in India, Mainland China, Taiwan and Middle East.

STAR Movies HD - an English language movie channel which broadcasts to India, Philippines, Maldives, Singapore, Taiwan and Malaysia only.

STAR World - popular Indian English language entertainment channel appealing English speaking people in India, the Middle East, the Philippines and Southeast Asia.

STAR World HD - popular Indian English language entertainment channel appealing English speaking people in India, Malaysia, the Philippines and Maldives.

STAR Plus - India's most popular Hindi general entertainment channels. It was one of the five original STAR TV channels when it launched in 1991, and was dedicated to English language entertainment (which then became STAR World).

STAR Plus HD - India's most popular Hindi general entertainment channels. STAR Utsav -Hindi channel which shows some of the popular programs from STAR Plus. STAR One - Niche Hindi general entertainment channel. STAR Gold - Hindi movie channel. STAR Gold HD - Hindi movie channel. STAR Vijay - Tamil language general entertainment channel in India. STAR News - Hindi news channel. STAR Ananda - 24-hour Bengali language news channel in India. STAR Majha - Marathi language news channel in India. STAR Jalsha - Bengali general entertainment channel.[7] STAR Pravah - Marathi language general entertainment channel in India.

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Channel [V] - a music video channel. There are local versions of Channel [V] in India, Mainland China, Taiwan, Philippines, Thailand and Australia.

ESPN - broadcast by ESPN STAR Sports (ESS), a Joint Venture with ESPN Inc. STAR Sports - a sports channel which is the evolution of Prime Sports, devoted to different sporting events, such as cricket, auto racing, golf, and many more. Also broadcast by ESPN STAR Sports.

STAR Cricket - A sports channel broadcast by ESS, consisting of full cricket programming. Asianet - Malayalam Indian general entertainment channel. Asianet Plus - Malayalam Indian general entertainment channel. Asianet Sitara - Telugu Indian general entertainment channel. Asianet Suvarna - Kannada Indian general entertainment channel. Asianet Suvarna News 24X7 - Kannada A 24 hour news channel. Asianet News-Malayalam Indian news channel[8] ESPNews Asia - A 24 hour sports news channel. National Geographic Channel Nat Geo Adventure - 24-hour adventure programming, formerly known as A1. Nat Geo Wild - This channel is available in Singapore, Hong Kong, Middle East, Taiwan, Thailand, Indonesia, India and Sri Lanka.

National

Geographic

Channel

HD -

Available

in Singapore, Hong

Kong, Vietnam, India, Taiwan and Malaysia only.

Fox Crime - is the first and only 24-hour factual and fictional entertainment television channel dedicated to crime, investigation and mystery. Available in Singapore, Hong Kong,Vietnam, the Philippines, Indonesia, Thailand, Japan, Taiwan, India and Sri Lanka.

Soon to be available in Malaysia, Middle East and South Korea.

Fox History & Entertainment FX - a 24-hour channel offering a broad mix programming targeted at male audiences including comedy, action sports, drama series, reality shows, cars and swimsuit model programs. Available in Singapore, Hong Kong, Thailand, Vietnam,

the Philippines, Japan, Taiwan, South Korea, India, Indonesia and Malaysia only.

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STAR PLUS

STAR Plus is a Hindi language general entertainment television channel based in India. The channel is part of the STAR TV network's bouquet of channels. Star Plus' programming primarily consists of family dramas and telefilms. History

When it was first launched on 21 February 1992, Star Plus was an English language television channel showing international content from the U.S., U.K and Australia, with Zee TV being the Hindi language channel.[1] However, after STAR (subsequently acquired by News Corporation) ended its relationship with Zee TV, Star Plus was transformed into a Hindi language channel, withSTAR World becoming the network's English language channel. But competitors like Sony Entertainment Television and Zee TV were in the lead, and Star Plus struggled to survive with shows like Kora Kagaz and Saans. Star Plus found success in 2000 with Balaji Telefilms soaps such as Kyunki Saas Bhi Kabhi Bahu Thi, Kahaani Ghar Ghar Ki, Kasautii Zindagii Kay, Kahiin to Hoga and also with BAG Films the TV Show Kumkum Ek Pyara Sa Bandhan. In 2000, the company's CEO Sameer Nair and programming chief Tarun Katial introduced a number of new shows.[2] On April 3, 2010, following the Star Plus Parivaar Awards, Star Plus revealed its new logo. The new logo is a ruby-coloured star with the trademark swoosh in white and the name of the channel in a new font. The new colour is a key component of the channel. The new theme is"Rishta Wahi Soch Nayi" meaning the relationships are still the same but our thought are new. Star Plus HD along with Star Gold HD, Star Movies HD and Star World HD was launched on April 15, 2011. This channel carries the same schedule as Star Plus India with a different commercial feed and logo. Star Plus HD in the UK is set to launch by the end of 2011.[3]

29

30

STAR ONE

STAR One is an Indian television channel that primarily broadcasts Hindi entertainment based in Mumbai. Launched on 1 November 2004 with its show, Remix, the channel gained in popularity with television shows such as Remix, The Great Indian Laughter Challenge, Nach Baliye, Sarabhai vs Sarabhai, Instant Khichdi, Ssshhhh...Phir Koi Hai, Dill Mill Gayye, Miley Jab Hum Tum, Rang Badalti Odhani,Geet Hui Sabse Parayi and most recently Pyaar Kii Ye Ek Kahaani. Part of News Corporation's STAR TV network in Asia, STAR One is one of India's most popular general entertainment channels, which, in addition to sister network STAR Plus, also include Colors, Zee TV, Sony Entertainment Television, Imagine TV, SAB and Sahara One. STAR is a leading media and entertainment company in Asia. STAR broadcasts over 60 television services in 13 languages to more than 300 million viewers across 53 Asian countries. STAR and its joint venture channels cover all genres including general entertainment, news and current affairs. Star One Will undergo a revamp as Star Desh from ( 1st week of January 2012 )

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STAR NEWS

STAR News is the Hindi language news channel of STAR TV based in Mumbai.[1] The channel is a co-production of STAR Group (subsidiary of News Corporation) and ABP Pvt. Ltd. It presents a mix of rolling entertainment bulletins and specialized shows covering topics from crime to Cricket. History STAR News launched on November 15, 1991, it was at first a Bilingual English/Hindi News Service, and was initially run in partnership withNDTV. But when the agreement, with the NDTV expired, STAR News was transformed into an English-Hindi entertainment service. The Channel is sometimes accused of being partial towards Party Indian National Congress Other STAR News Channels

STAR Ananda - a Bengali entertainment channel. For more information about the channel and the new website itself, see under external links.

STAR Majha - A 24-hour National Marathi entertainment channel. For more information about the channel and the new website itself, see under external links.

Ratings

STAR News claims that "... attracting a 25% market share in six major metros. (Source: TAM, All Adults, C&S, 15+, 6 metros, Week 34 and 35)... "

Broadcasts outside India The international feeds of STAR News differ somewhat from the Indian version. Europe The old STAR News logo is still used in Europe despite the change in India. The text of the news ticker is in English and also featured is Star News Asia, a 30-minute English language entertainment bulletin that is shown in Asia on STAR World. 32

Hong Kong In Hong Kong, the programs are similar to India. The new STAR News logo is used and the news ticker is written in English. United States In the United States, the word "India" is incorporated in the logo to denote the Indian origin of the channel and the news ticker is in English. The programs are broadcast live from India, excluding Star News Asia, which is telecast in weekdays over repeat programming.

Star News Channel Satellite Live Telecast Mobile Van

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STAR CRICKET

Part

of

the ESPN-STAR network, STAR

Cricket is

24-hour

cricket

channel

targeting Indian audiences owned by STAR TV. A channel showcasing first-class cricket action from around the globe, it broadcasts live and prerecorded international and regional cricket events as well as programming customised for the Indian audience, including cricket news update, magazine and reality shows. It is the spin-off cricket sports channel of STAR Sports.[1][2][3] Availability India

STAR Cricket now available in Tata Sky, Reliance Big Tv, Sun Direct TV, Dish TV and Airtel Digital TV, DTH platforms.

Local cable operators all over India.

ESPN Star Sports (ESS) via its STAR Cricket channel was the The official broadcaster of the 2011 Cricket World Cup Final experienced all-time high TRPs, and had raised ad rates for 10 second slots during the finals to 24 lakh (US$53,500), prior to the finals.[4] A 24 hour HD simulcast of Star Cricket launched on 19th July and is available on Videocon D2h and Tata Sky. Sri Lanka

STAR Cricket now available in Dialog TV, Cable TV and SLT Peo TV

Bangladesh

STAR Cricket now available only in Dhaka & Chittagong by local operators

Pakistan

STAR Cricket is available on some cable operators in Pakistan 34

Broadcast International Cricket

ICC events from 2007 - 2015 Twenty20 Champions League

Cricket in Australia

International Cricket In Australia KFC Twenty20 Big Bash Ryobi One Day Cup Sheffield Shield

Cricket in England

International Cricket In England Liverpool Victoria County Championship Friends Provident t20 Clydesdale Bank 40

Cricket in West Indies

Caribbean Twenty20

35

STAR GOLD

STAR Gold is a Hindi movie channel that is part of the STAR TV network and is owned by News Corporation. It features a mix of contemporary as well as classic movies from the 1950s to the present time. STAR Gold possesses one of the largest Indian film libraries enabling it to offer a wide variety of films for the entire family.StarGOLD Changed Station Ident On 10th September 2011, 9:00 PM As Per Indian Time. History Star Gold HD India was launched on April 15, 2011. Its carries a slightly different schedule from Star Gold India and runs without commercials.

Previous logo for STAR Gold, used from 2000 to September 10, 2011 [edit]Operating Channels

Channel

Launched

STAR Gold India

2000

STAR Gold International 1996

STAR Gold Middle East 1999

STAR Gold UK

2006 in November

STAR Gold USA

2008

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MEDIA RIVELERY(TRP GAME) Mumbai: Rivals of SET MAX, the television channel that broadcasts the Indian Premier League (IPL), claim their Hindi soaps deliver higher viewership ratings than the quick-format cricket tournament. Star India Pvt. Ltd and Zee Entertainment Enterprises Ltd, which operate the general entertainment channels (GECs) Star Plus and Zee, respectively, say their year-long Hindi soaps have a more loyal viewership than IPL, which runs for a little over a month. But Multiscreen Media Pvt. Ltd, which owns SET MAX, as well as independent researchers say IPLs reach is broader than the Hindi viewership these channels are talking about. Media buyers also say IPL dents the overall viewership of GECs. Viewership levels determine how much money television channels can charge for advertisements shown during those programmes. Graphic: Kumar / Mint Star has released Yogesh

internal research that shows Hindi soaps deliver 30% higher ratings than IPL,

based on viewership figures of Hindi-

speaking areas from the TAM Media Research Pvt. Ltd. The Star study says the average rating for a half-hour slot of its soap Yeh Rishta Kya Kehlata Hai is 6.1, while the average rating for Balika Vadhu on Colors is 5.8. IPL 2010 delivers an 37 independent

average rating of 4.8 for the same time. In 2008, the average half-hour rating for an IPL match was 4.9, and it was 4.3 last year. Star has calculated the figures based on data over 52 weeks (8 March 2009-6 March 2010) for time slots between 8pm and 9.30pm. There is this myth in media circles that when the IPL season comes, everyone needs to duck for cover, said Anupam Vasudev, executive vice-president (marketing), Star. But what weve found is that several of our top soaps such as Yeh Rishta Kya Kehlata Hai deliver far better (ratings) than IPL matches. Weve looked at parameters such as reach, time spent, average television ratings, etc., he added. Average time spent watching soaps is also higher than time spent watching IPL, says the study. Viewers spent 16.9 minutes watching Yeh Rishta... and 16.4 minutes on Balika Vadhu. Average viewing time for IPL 2010 is 14.9 minutes, marginally up from 14.6 minutes in the last two years but still below what the Hindi soaps manage. The study calculated average IPL viewing time on the basis of six weeks each of 2008 and 2009, and nine days of 2010 in comparable time slots. Vasudev also denied reports that Stars advertising revenue was falling due to IPL. I cant comment on other channels, but our inventories (advertising slots) are going full, he said. Joy Chakraborthy, chief revenue officer, Zee, also said the IPL was not affecting the channels revenue. Competing brands continue to advertise on general entertainment channels, he said. Chakraborthy labelled IPL ads as blind spots. The breaks are short and people are getting confused about which ad is for what brand. Besides, theres too much inventory sold per match (on IPL) and its getting too intrusive, he said. But Rohit Gupta, president of network sales at Multiscreen Media, dismissed the Star study. It is not an apple-to-apple comparison, he said.

38

Why are they taking into account (only) Hindi speaking markets when everyone knows that cricket is a national phenomenon? If we were to look at figures at an all-India level, soaps would deliver at least 20-30% less than IPL, said Gupta. He added that more people swap channels during ad breaks on GECs than during IPL matches. The reason, explained L.V. Krishnan, chief executive of TAM Media Research, is that IPL breaks are 30-40 seconds long, while soaps on GECs take a three-minute break, offering viewers ample time to check out whats showing on other channels before returning to the soap. Krishnan agreed with the Star study that Hindi soaps viewership does not generally decline due to IPL. But the viewership in the Hindi-speaking markets does get affected when teams from these markets are on the field, especially when Mumbai Indians or Delhi Daredevils are playing, he said. Three of the eight IPL teams are from southern India and do not influence the Hindi-speaking viewership of GECs too much, he said. Despite the Star studys claims, advertisers are following IPL. Sony is expected to make nearly Rs700 crore from the Twenty20 cricket tournament, as reported earlier by Mint. If the (broadcast of) IPL is making huge revenues, the moneys got to come from somewhere. And its obviously from general entertainment channels, said Gupta of Multiscreen Media. IPL attracts what TAM calls light television viewers. On average, a housewife spends 160 miinutes a day watching television, while the chief wage earner spends 110 minutes. IPL causes viewer aggregation to happen, said Krishnan. The chief wage earner, who may have divided time on news, English-language film channel HBO, etc., is now on sports. Male and female viewers who were split across channels are now concentrated on two genressports and GEC. Anita Nayyar, chief executive of Havas Media India, did not comment on Stars study but said IPL does affect GEC viewerships. In the past two years, weve seen a 10-15% dip in viewership for the GECs during (IPL), she said. Because of that, revenues also take a hit.

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TRP GAME Star Plus top`s the chart in C&S homes Channel Date Day Start Time Programme TVR

Star Plus 20-Sep-11 Tue 19:00 SAATHIYA SAATH NIBHANA 4.66 Sony TV 20-Sep-11 Tue 20:28 KAUN BANEGA CROREPATI 4.32 Colors 20-Sep-11 Tue 20:00 BALIKA VADHU 3.19 Zee TV 19-Sep-11 Mon 21:00 PAVITRA RISHTA 3.15 Sony TV 19-Sep-11 Mon 22:30 BADE ACHHE LAGTE HAIN 3.08 Sony TV 24-Sep-11 Sat 21:59 C.I.D. 2.98 Colors 22-Sep-11 Thu 21:59 UTTARAN 2.98 Star Plus 23-Sep-11 Fri 21:30 YEH RISHTA KYA KEHLATA HAI 2.81 Star Plus 20-Sep-11 Tue 19:30 SASURAL GENDA PHOOL 2.78 Star Plus 20-Sep-11 Tue 20:00 IS PYAAR KO KYA NAAM DOON 2.76

This shows the dominancy of star group in Indian television industry

40

Growth Strategies of Major Players

Star India
Star India, the countrys second-largest media company after Bennett, Coleman & Co., belongs to the Hong Kong-based Star Group, which is in turn a subsidiary of New York-based News Corporation. Star India is the Star Groups most important asset in the Asian region. The company brought in nearly 70% of News Corps Asian revenues and 85% of its operating profits in 2005. Star India, along with other Star Asian channels, accounts for 11% of the parent companys operating income growth. News Corp in India Existing Structure CHANNEL Own Star Plus Star One Star Gold Star World Channel V Star Movies Star Utsav Star Vijay Joint ventures ESPN Star Sports National Geographic The History Channel 41 IPTV (part of pilot project) DTH (20% stake in Tata Sky) DISTRIBUTION Cable (26% stake SOFTWARE in 26% of Balaji telefilm

Hathway)

Star News Star Ananda

Distribution Disney Hungama Star Indias Growth Strategies Star India is one of the worlds largest media companies, with 100% of its business coming from TV. The companys strategy is to develop its operations in order to draw one-third of its revenue from other businesses. The company has plans to diversify into mobile entertainment, Internet, outdoor, specialized magazines, licensed merchandise, home video and retail locations.

Originally an English-language channel,Star Plus later turned to 24-hour Hindi programming in order to cater to a wider audience. A new channel called Star World was also introduced to increase audience reach. Starting in 2000, Star Plus ranked as Indias No. 1 cable channel for a continuous period of five years. By 2003, all the top 50 shows on television were Star Plus shows. The channel reached more than 50 million viewers every week and boasted 45 out of the 50 most-watched shows on Indian cable and satellite television.The acquisition of a 26% stake in the RajanRaheja-owned company Hathway Cable &Datacom enabled Star Plus to re-enter the cable network, which had around one million subscribers. In 2003, Star News took full control of Star News after a fiveyear exclusive supply contract with NDTV. Star One was launched in 2004 with the intention of keeping audiences for high-end Hindi entertainment within the Star fold. In the same year, Star UStav was launched in order to get people in the interiors to convert to cable TV. Stars distribution arrangement with the Disney and Hungama channels made up for Stars lack of childrens channels.

Star Plus became popular among Indian audiences, with many widely watched Indian dramas such as KahaaniGharGhar Ki and Kyunki Saas Bhi Kabhi Bahu Thi, as well as the Indian version of Who Wants To Be A Millionaire, known in India as Kaun Banega Crorepati, which 42

was presented by the Bollywood legend Amitabh Bachchan in 2000. But the second version of the program, hosted by Hindi film superstar Sharukhan, turned out to be a failure. Star Indias strength in media could be synergized with Star Cafs, which represent the retail boom in India. Star India also wants to introduce a Star Plus magazine in Hindi or a Channel V magazine in English. Star India is very optimistic about merchandising and home video, which are logical extensions considering Stars strength in programming. In this context, it is noteworthy to point out that NachBaliye and Remix, two popular shows on Star One, have a home video and music album release. The companys strategy also includes taking stakes in the area of content, as it has the best delivery platform. Star has a 26% stake in Balaji Telefilms. With respect to Internet, News Corporation created Fox Interactive Media for the diversification into Internet. Fox Interactive Media spent $580 million to buy Intermix Media, owner of social networking site MySpace.com. Altogether, it spent about $125 million on several websites in 2000. However, Indya.com was the only one that survived.

Star India is also taking majority stakes in several outdoor companies in cities like Mumbai, Ahmedabad, Hyderabad. There is a potential for outdoor companies to achieve a market share worth Rs 2500 crore in four years. The outdoor, Internet, film studio and cafe businesses can have margins of anywhere between 30% and 50%. Star Indias biggest strength is programming. Its biggest weakness is its utter and complete dependence on Star Plus for both advertising and distribution revenues. In spite of being one of the first media firms to unlock the value represented by media in India, it has been branded with the label of foreigner. Hence, diversification within broadcasting is the need of the hour. Product extensions, getting more from advertising and diversifying within broadcasting are all areas that Star needs to focus on. The acquisition of a 26% stake in Hathway Cable in 2000 was Stars first big investment in the distribution of DTH. DTH is the key to cashing in on Stars programming dominance in India by doing away with middlemen. Star is currently paid for only one-quarter of the homes it reaches. Its 20% share of revenues from 7 million subscribers at about Rs 500 crore a month amounts to Rs 840 crore. This far exceeds the Rs 300 crore that Star currently makes in distribution 43

revenues. Direct to Home (DTH), Internet Protocol Television (IPTV), and mobile TV all have the potential to enhance both advertising and distribution revenues for Star.

Star, which had been in business for over 14 years, is basically a Hindi broadcaster. The time has now come for Star to focus on South India channels as well as on other regional channels in Marathi and Bangla. Entry barriers in the south are high due to the dominance of Sun TV across all four southern states. Sun TV owns large chunks of the cable distribution business in which Star Vijay has been struggling for years to gain prominence. Hence, the strategy should be to focus on organic growth. Star can also integrate brands within programming to offer a new option to advertisers while charging a premium. Star must seize on the emerging multimedia opportunities offered by broadband, mobile TV, Internet and gaming. Optimistic estimates predict that by 2010, News Corp could be a billion-dollar company in India, with one-third of its revenue, or about Rs 1,300 crore, coming from several non-TV businesses. Stars strength lies in its ability to outspend the competition. It has always managed to pay for the best programming and deals. In Hindi entertainment, Star Plus continues to be the flagship. Stars growth depends to a great extent on its penetration in the South Indian market. Star One targets the upwardly mobile viewer based in metropolitan areas. Star Utsavs airs mostly re-runs of popular Star Plus soaps and is aimed at competition from SAB TV and Sahara Manoranjan. Star invested 4.5 crore (Rs 45 million) to establish Star Utsav. Star TV has a tie up with UTV for Vijay TV and has extended that to distribute the childrens channel, Hungama TV.

In 2006, Star Group set up a number of channels locally that were beamed in via satellite and direct to home (DTH) platforms. Star Group had set up three companies in India Touch Tele Content, PPV Movies and Content, and Star Games Development Company to manage, create, distribute and uplink these channels. This was one of the companys largest expansions since Star Groups inception in India in the 80s.

Star Group also bought out the Indian shareholders of PPV Movies and Star Games Development Company. Stars investment in these companies was helped by a Mauritius-based Star Group company called Star ISP. 44

Star Indias focus is to grow beyond a broadcasting company that operates TV channels. It has become a diversified media conglomerate with investments in different fields. Peter Mukherjee of Star once said: Its time that Star have to look at brands that fight for consumer attention beyond prime time. The reason is that TV touches viewers only during prime time, unlike other sectors such as mobile phone, which deliver much more customer touch points throughout the day.

MARKETING STRATEGY OF STAR INDIA

INTRODUCTION OF STAR INDIA PVT. LIMITED: India is the shining light of STAR's operations, driving both growth and profitability. STAR India has been delivering television services to India since economic reforms began in the country in 1991. Since then, set against the backdrop of unprecedented economic growth in the country, STAR India has developed into a leading television network with a national footprint. Today, STAR India is one of Indias most diversified media companies. STAR India broadcasts 20 channels in seven languages. Its television brands include STAR PLUS, STAR MOVIES, STAR WORLD, STAR ONE, STAR NEWS, STAR GOLD, STAR UTSAV, STAR VIJAY, STAR SPORTS, CHANNEL [V], ESPN, STAR ANANDA, Asianet, Asianet Plus, Suvarna and Sitara. STAR PLUS, STAR India flagship Hindi general entertainment channel, redefined Indian television with the launch of Kaun Banega Crorepati (Indian version of Who Wants To Be a Millionaire) in 2001, catapulting the channel to a leadership position it still holds today. Other leading channels in STAR Indias stable include Bengali general entertainment channel STAR JALSHA, which is No. 1 in West Bengal and Malayalam general entertainment channel Asianet, the No. 1 channel in the Southern state of Kerala. 45

STAR India has also taken the best of Indian content to a global audience, reaching the Indian Diaspora. STARs channels are now available in the U.S., the U.K., the Middle East, Australia, New Zealand, Singapore and Hong Kong. STAR India has also built alliances with an array of entities to augment its business. Its investments include cable (Hathway), DTH (Tata Sky), distribution (STAR DEN), Southern language broadcasting (STAR-Jupiter), filmed entertainment (FOX STAR Studios), news (MCCS) and home shopping (STAR-CJ).

1.0

ENVIRONMENTAL ANALYSIS OF INDIAN MASS CHANNEL MARKET IN CABLE INDUSTRY: Hindi entertainment television is the fuel for growth in the Cable and Satellite television industry with 46.8 per cent share of total viewership and 57.4 per cent share of total advertising revenue. Hindi Mass Channel market has the highest share among all genres of Hindi Channels (Mass, News, Movies). Major players in Hindi Mass Channel market are Star Plus, Sony and Zee TV with a combined market share of more than 90% in the prime time slot (Figure 1). Other players like Sahara One and SAB Television simply complete the list. The current analysis primarily focuses on the top three channels.

Channel Star Plus Sony Zee TV Sahara One SAB TV

Average Channel Share (%)(As such) 37.2 30.8 25.0 5.3 1.7

Channel Star Plus Sony Zee TV Sahara One SAB TV

Average Channel Share (%)(during prime time) 61.2 23.2 11.5 2.9 1.3

46

The analysis shows that Star Plus, which is the leader in this category due to its appealing content and packaging, yet it needs to innovate continuously to maintain the edge. Sony, now firmly second place, has offered certain innovative programmes but needs a greater variety.

2.0

SCOPE OF THE STUDY: The scope of the study is to emphasize importance of marketing and promotion strategies in mass TV channel market of India.

3.0

MARKETING & PROMOTION STRATEGIES OF STAR INDIA PVT. LIMITED: Following are the key marketing strategies which makes STAR India The market leader.

Maintaining aggressive promotion and packaging approach for all programmes. For Example, Star promoted recently started TV show Sach Ka Samna in such a way that it created excitement in viewers mind.

Hold on to the leadership position in 10-11 pm slot through timely innovations based on audience feedback. Hold feedback sessions in the form of discussions arranged for viewers of particular programmes. Again taking example of Sach Ka Samna, Star timed the program from 10-11 pm.

For the feedback of the program, STAR launched a website http://www.sachkasaamna.com which is having feedback session and a funny online lie detector test which we can use on our friends. So it creates a kind of excitement in viewers mind.

Expand the market by launching programmes that are relatable to all generations audience.

47

STAR concentrate on each age group of viewers and broadcast programmes at specific time. During morning time, Star broadcast spiritual programmes. For example, 06:00 - 06:30 Seva Ganga 06:30 - 07:00 Ek Nayee Zindagi During noon time Star broadcast TV serials for women, as women are generally free during noon period. For example, 12:00 - 12:30Bidaai 12:30 - 13:00 Yeh Rishta Kya Kehlata hai 13:00 - 13:30 Tujh Sang Preet Lagayi Sajna

At afternoon time, they broadcast programmes for children as they are free from school at this time. For example, Shaka Laka Boom Boom was being broadcasted at 7 pm.

Check competitors from gaining market share by introducing flanker programmes, e.g., airing a popular Hindi movie in the same time slot where competitors' main programme is aired. For example, world TV premier of popular Hindi movies like Jane Tu Ya Jane Na.

Advertisement of programmes by print media: Star advertises about their programmes by news papers, hoardings and internet in a pleasant manner to promote and advertise their current and new shows. This advertisement shows such a slogan or tagline about the next episode that create curiosity in viewers.

48

Celebration of festivals: India is a country of festivals. We have countless festivals in all seasons. Looking towards the Indian culture, STAR celebrates all the festivals in their daily shows.

They invite celebrities in their shows during festival season. They decorate the home of daily TV serials according to festivals and show them

celebrating festivals in pure Indian culture, which in tern attracts people towards the shows and hence channel.

Broadcasting famous TV show for full day:

STAR frequently broadcast some of their very famous TV shows during vacation season to promote their channel through popularity of that particular TV show. 49

For Example: Star telecasted famous comedy serial Sarabhai V/S Sarabhai full day as Sara Din Sarabhai.

Use appropriate medium for promotion, e.g., Hoardings of Kyunki Saas... at

supermarkets, restaurants, and theme parks, etc. - places that are frequently visited by families.

STAR Parivaar Awards: STAR organizes STAR Parivar Awards every year. In that, they invite people associated with STAR India and gives awards in various categories. This strategy has given STAR a family image

ESPN: Sports broadcaster ESPN Software Pvt. Ltd is preparing to flag off a high-voltage campaign to promote two big-ticket cricket tournaments that will be aired on its Star Sports channel, taking the cue from the marketing formula that made the Indian Premier League (IPL) such a big success. The broadcaster has lined up a Rs100 crores marketing campaign across media platforms to boost viewer and advertiser interest in the International Cricket Councils (ICC) Champions Trophy in September and Champions League in October.

4.0

SERVICE DIFFERENTIATION MANAGEMENT BY STAR:

50

STAR has covered all areas of entertainment through various channels. Currently STAR is having 21 channels in India which include music, movies, sports, entertainment and regional channel.

India's No. 1 Hindi entertainment channel Star Plus is India's No 1 satellite channel and has redefined Hindi television entertainment with a programming line-up that includes popular drama series, popular comedies, 'Bollywood' movie blockbusters, lifestyle, current affairs, kid's programmes and game shows.

Star Plus is India's No.1 channel for five years in a row The channel is the ideal campaign platform for any brand in India Is the ideal platform to reach out to the entire Indian family Star Plus is watched by over 75 million people every week

Regularly accounts for 42 to 46 of the top programmes in

India India Ka Sabsey Favorite Hindi Movie Channel Star Gold brings to the audiences a complete new cinema experience, with one of the largest libraries comprising of outstanding critical and commercial successes of recent years. The channel has an exclusive programming mix for the entire family and is synonymous with innovative programming properties that take the viewer closer to Bollywood than any other movie channel.

The Next Generation of Hindi entertainment Star One, STAR network's latest Hindi entertainment channel, is targeted at the urban, upwardly mobile Indian viewer. The channel has unleashed a new generation of Hindi entertainment with an innovative and diverse mix of programming that marks a turning point in the history of cable and satellite television. With its distinctive look and feel, cutting-edge production values and engrossing line-up of original programming, the channel has brought international trends in programming to Indian audiences.

51

Some of the very popular programs are Sarabhai v/s Sarabhai, Instant Khichdi and the smash hit, The Great Indian Laughter Challenge

Absolutely everybody loves Star World Star World is the ultimate destination for the most popular and critically acclaimed shows from around the world. Star World provides the latest choice in top-rating, award-winning entertainment from the USA, Australia and the UK. Spanning genres like drama, comedy, action, reality television, talk shows and live and exclusive international events, Star World is synonymous with the latest and best in English entertainment.

A trendy music and lifestyle hotspot for the Indian youth In India, youth with attitude connect with Channel [v]. The channel is a vibrant mix of the latest chart-topping music videos, artists, trends, popular VJs and youth culture. Locally-produced programming, packaging and local presenters ensure that Channel [v] reflects the humor, taste and attitude of its vast youth audience. Popstars 1, Popstars 2 and Samsung [v] Super Singer, programmes that have been widely imitated by others Come Home to Hollywood No other channel brings you closer to Hollywood than Star Movies. Showcasing the biggest blockbusters and featuring over 100 movies each month and a minimum of 40 premieres every year, Star Movies is the dream destination for the Hollywood buff. Exclusive deals with top film studios ensure access to the latest releases, while programming unique to the channel includes live and exclusive events such as the Academy Awards (The Oscars), Taurus Awards, and acclaimed specials such as Taken, Grid and Lost. Come home to Hollywood. Come home to Star Movies.

It is the only channel in India to telecast the Academy Awards, LIVE

52

Star Utsav caters to viewers who have recently entered the fold of Cable and Satellite television. It gives them the opportunity to revisit the glory years of Indian television programming by re-running the best shows from the exhaustive Star Plus library.

Star Vijay is a general entertainment channel that has taken Tamil Nadu by storm. With highly innovative programming, including soaps mounted on a massive scale, film review shows, comedy and spoof shows, quality Tamil movies and blockbuster Hollywood movies dubbed in Tamil, Star Vijay provides comprehensive entertainment for the entire family.

STAR NEWS offers 24-hour Hindi news that is relevant to todays Indians. It covers the full spectrum of news ranging from politics to business, investigative reports to consumer issues, crime to the environment.

The worldwide leader in sports ESPN brings viewers in Asia the most exciting sports action from around the world. The channels mix of regional and international programming ensures fans enjoy the most comprehensive sports coverage.

STAR SPORTS is a leader in sports programming and offers viewers a diverse array of topflight Asian and international sports.

53

ESPN and STAR sports cover all famous sports tournament including, Wimbledon tennis tournament, US open tennis tournament (ESPNSTAR.com/Tennis/US-Open), Australian open tennis tournament, ICC world cup, ICC champions trophy, Formula one, English premier league,

A channel totally dedicated to showcase first-class cricket action from around the globe, STAR CRICKET broadcasts live / non-live international and regional cricket events as well as programming meticulously customized for the Indian audiences, including cricket news update, magazine and reality shows. STAR CRICKET is the one stop destination of all the cricket action, history, updates, views and reviews.

Other Regional channels are: Asianet (Malayalam) Asianet Plus (Malayalam) Sitara (Telugu) Star Ananda (Bengali) Star Jalsha (Bengali) Star Majha (Marathi) Star Pravah (Marathi) Suvarna (Kannada)

6.0

MANAGEMENT OF SERVICE QUALITY BY STAR:

54

Strategic Concept: Providing superior service has been a challenging task for STAR and they have proved themselves in all areas of entertainment by providing endless entertainment. STAR always identifies their target customers and come with new ideas and entertainment shows to serve the viewers. When there was a bloom for reality shows in country, STAR introduced many reality shows for each generation. Those are, Voice of India The great Indian laughter challenge Nach baliye

Commitment of top management: Recently STAR announced Uday Shankar as CEO of STAR India. Top management of STAR is committed to provide best entertainment to the viewers and along with that they are concerned about employee satisfaction and corporate social responsibility.

High standards: STAR has standardized Indian television to such a height that other private channels are following the way of STAR. STAR has become benchmark for Indian television channel industry. With the given constraints STAR put their maximum efforts to provide all kind of entertainment to the viewers.

MANAGING PRODUCTIVITY BY STAR. STAR India in Mumbai, India, knew the time had come to digitize. STAR has more than 50,000 hours of videotape material sitting on their shelves and keeps adding new material at a rate of about 9,000 hours per year.

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STAR India MassStore Workflow Asset Management (WAM) suite which helps to store material in an orderly way, digitize new programs, save these newly created files in long-term digital storage, utilize these files in nonlinear editing suites, create videotape and DVD copies of stored files, and easily and efficiently manage the entire process including metadata.

STAR India utilizes an Avid Unity system with various editing workstations. STAR also has Apple Final Cut Pro editing systems. Each of these NLEs has its own way of formatting digital files.

8.0

CURRENT SCENARIO & SWOT ANALYSIS OF STAR:

The year 2008-09 has been a tough year for everyone. There was negative subscription growth from analog cable, with the only silver lining coming in from the healthy growth of subscription revenue from the new Direct to Home platforms. However, even in a bad year, STAR has seen growth.

According to industry sources, the overall advertising revenue of STAR India declined by around 7-8 per cent in 2008-09. However, its subscription revenue registered a high doubledigit growth.

STAR India remains a highly profitable business, with decent growth exposure as it secures a national footprint with the launch of new regional entertainment channels. MPA analysts suggest that STAR India could be worth more than 1.6 billion in EBITDA (earnings before interest, taxes, depreciation and amortization) by the financial year ending June 2013.

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STRENGTHS

1.Worldwide presence 2.Financial muscle 3.Strong in prime time slot 4.Association with big names 5.Good content 6.Effective packaging

WEAKNESSES

1.Not much strong in non prime time slot, so need to concentrate on that. 2.Excessively dependent on K series soaps, which may harm in long term.

OPPORTUNITIES

1.Lack of strong challengers 2.Strong network of channels for promotion

THREATS 1.Popular series on maturity phase and about to expire 2.New emerging channels like NDTV imagine, Colours getting popular

SWOT Analysis of STAR India Pvt. Limited

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CONCLUSION:
The TV channel Market is evolving continuously. The major players would like to consolidate their positions while new channels are increasingly posing a threat to them. With immense advertising revenues and viewership at stake, the channels need to continually assess and reassess their strategies. Catering to the taste of Indian viewers can often be a tricky proposition. Words like "Fresh and Innovative Programmes" and "Promotion Blitz" might sound trite but a lot of smart and hard effort goes in creating the appropriate content for the audience. A proper insight of audience taste is, therefore, a pre-requisite to any successful programme launch. The evolving integration of media vehicles (TV, Radio, Internet, Print, etc.) is also an interesting development and in future, many exciting activities are likely in this arena.

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16) KohliKhandekar, Vanitha (2007). Cover Story, Big Media Goes Online, Business World, April 16, p. 30-34. 17) Raturi, Prerna (2006). A New Milestone, The Strategist, Business Standard, Tuesday May 23, p. 3. 18) Mohan, Devendra (2003). Special Report, Fast-Forward in Fantasyland, Business India, April 28-May 11, p. 52-56. 19) Singh, Gurbir (2008). Indias Next Media Power House, Business World, March 24, p. 34-40.

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