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STAR INDIA PVT.

LIMITE D

BUSINES S STRATE GY PROJECT

BUSINESS STRATEGY PROJECT

SUBMITTED BY |

DEEPALI CHANANA ,11BSP2170 PARUL ANAND, DHRUV VERMA GAURAV SIKRI SEC-E

STAR INDIA PVT LTD.

Contents
Contents..................................................................................................................... 2 INDUSTRY STRUCTURE................................................................................................3 Porters Five Forces Analysis of Entertainment Industry...........................................6 KEY SUCCESS FACTOR............................................................................................. 8 KEY SUCCESS FACTORS............................................................................................9 Industry Value Chain identify the main players / components. ............................12 Key Players - Indian Television Industry .................................................................12 INDUSTRY VALUE CHAIN.........................................................................................13 Industry Value Chain Of Television.........................................................................13 Value Chain Of Film Ecosystem..............................................................................14 Animation Entertainment Value Chain....................................................................16 Gaming Value Chain...............................................................................................17 Competition analysis for the Industry........................................................................18 STAR INDIA PVT.LTD..................................................................................................19 ................................................................................................................................. 19 ................................................................................................................................. 20 COMPETITION ANALYIS ..........................................................................................21 Average channel Share (%) (during prime time).....................................................21 COMPEITION IN THE NEWS .................................................................................22 Source : Business India July 2010 publication .........................................................22 Star Plus back to the #1 position; pushes COLORS to 2nd place................................22 Star Plus is back with a bang, as it becomes the #1 GEC as per the latest ratings... ............................................................................................................23 6 Ms model of Communication..............................................................................24 SWOT Strengths, Weaknesses, Opportunities, & Threats..................................................24 BCG Matrix................................................................................................................26 ANSOFFs MATRIX .....................................................................................................26 Sports Channels........................................................................................................ 30 Page4 Resources, Capabilities & core competencies of STAR INDIA PVT LTD......................28

STAR INDIA PVT LTD. 4PS ANALYSIS...........................................................................................................33 Product ................................................................................................................. 33 Price ...................................................................................................................... 33 PRICE.....................................................................................................................34 STP Analysis Segmentation..................................................................................34 STP Analysis Targeting........................................................................................35 POSITIONING..........................................................................................................36 Brand Positioning................................................................................................... 36 Promotional Strategies...........................................................................................37 .............................................................................................................................39 Direct Marketing ...................................................................................................39 PUBLIC RELATIONS.................................................................................................40 PRICING AND DISTRIBUTION STRATEGIES...............................................................40 PRODUCT STRATEGIES...........................................................................................41 Highlight strategies followed by the firm in last 10-15 yrs.........................................41 MARKETING & PROMOTION STRATEGIES OF STAR INDIA PVT. LIMITED:...............41 Celebration of festivals:......................................................................................43 SERVICE DIFFERENTIATION STRATEGIES...................................................................45 The Next Generation of Hindi entertainment..........................................................46 Is the Boundary of the Industry to which the firm belongs changing?.....................49 Going forward, what you perceive is its chosen strategy?......................................50 Conclusion............................................................................................................. 52

INDUSTRY STRUCTURE

The Indian economy continues to perform strongly and one of the key sectors that benets from this fast economic growth is the E&M industry. This is because the E&M industry is a cyclical industry that grows faster when the economy is expanding.

income elasticity wherein when incomes rise, more resources get spent on leisure and

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It also grows faster than the nominal GDP during all phases of economic activity due to its

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entertainment and less on necessities. Further, consumption spending itself is increasing due to rising disposable incomes on account of sustained growth in income levels, and this also builds the case for a strong bullish growth in the sector .

The size of E&M in India is currently estimated at INR 353 billion and is expected to grow at a compounded annual growth rate of 19 percent over the next ve years. The television industry continues to dominate the E&M industry by garnering a share of over 42 percent, which is expected to increase by a further 9 percent to reach about 51 percent. The share of the lm industry, which currently stands at 19 percent, is not expected to change materially over the next ve years. Print media, which stands at over 31 percent, is projected to lose some of its share in favour of the emerging segments.

In 2010, the Indian Media & Entertainment (M&E) industry registered a growth of 11% over 2009 and touched Rs. 652 billion, said a FICCI-KPMG report. Backed by positive industry sentiment and growing media consumption, the industry is estimated to achieve a growth rate of 13% in 2011. Overall the industry is expected to register a CAGR of 14% to touch Rs. 1,275 billion by 2015.

Overall for the M&E industry, 2010 was a year of great dynamism with growth across all sectors other than film. The report highlights a strong recovery in advertising spends as a key driver for growth. Advertising spends grew by 17% to Rs. 266 billion and accounted for 41% of overall industry size.

While television and print continued to dominate the Indian M&E industry, sectors such as gaming, digital advertising, and animation VFX grew at a faster rate and show tremendous potential in the coming years.

Contrary to most other markets in the world that continue to witness an erosion of the print media industry, in India, the sector witnessed a growth of 10% in 2010 and is expected to continue to grow at a similar pace over the next five years. Rising literacy levels and low print media penetration offer significant headroom for growth. Television meanwhile saw a tremendous increase in the net DTH subscriber base totalling to 28 million at the end of 2010. Backed by growth in advertising and subscription revenues, the television industry
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grew by 15.5% in 2010 and is expected to grow at a CAGR of 16% to touch Rs. 630 billion by 2015. Television is expected to account for almost half of the Indian M&E industry revenues, and more than twice the size of print, the second largest media sector.

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Porters Five Forces Analysis of Entertainment Industry

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Bargaining Power of Consumer Bargaining Power of Consumer(High) Consumer can switch channels Increased globalization Availability of a variety of alternative sources of entertainment Threat of New Entrants(Low) High sunk costs High capital requirement Difficult access to distribution Steeper learning curve because of mature market Competitiveness within the Industry

Competitiveness within the Industry will be very high in highly Fragmented Industry with high Fixed Cost, highly perishable products, highly diversified rivals, bargaining Power of Suppliers (Low), decreasing bargaining power of suppliers increasing number of content providers.

In pursuing advantage over its competitors a firm can adopt several competitive moves: Changing price- lowering or raising prices for temporary advantage. Improving on product differentiation- improving features, implementing innovations in manufacturing process and in the product itself. Creatively using channels of distribution- using vertical integration or a channel that is novel to the industry. Exploiting relationships with suppliers.

Threat of Substitutes A products price elasticity is affected by the substitute available. As the availability of substitute increases the demand becomes more elastic since customers have more choices .Threat of Substitutes Film Industry Significant sporting events like World Cups Significant cultural events Print media Internet. Supplier Power
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A producing industry requires raw materials such as labor, component and other supplies. This requirement leads to buyer supplier relationship between the industry and the firm that provides it the raw material used to create product. Supplier if powerful can exert an influence on the producing industry, such as selling raw material at higher prices to capture some of the industrys profit.

Threats of new entrants and entry barriers

Its not only incumbent rival that poses threat to a firm in an industry, the possibility that a new firm can enter also affects competition. In practicality every industry possesses characteristics that protect the high profit level of the firm in the market and inhibits additional players entering the market. This is called Barriers to Entry. These barriers could be arrived through various sources:

Government created barriers Patent and proprietary knowledge serve to restrict entry into an industry. Asset specificity inhibits entry into the industry. Organizational (internal) economies of scale.

KEY SUCCESS FACTOR


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The key factors that are driving the growth of the media and entertainment industry in India are the favorable demographics, growing literacy, increasing affluence, development of technology, government support and the growing interest in the Indian way of life. Entertainment demographics (population in age groups that are the highest consumers of entertainment) are more acute indicators of the future of the entertainment business: North America has 65 million in that demographic, while China and India have almost 700 million. In India alone over the next 10 years, 40% of our existing population will come from this demographic. The corresponding figure for the US is just 15%. Aided by the large number of Asians in the West, Asian culture will make inroads into the West.

The never before seen growth in the sector has been the result of the growing number of television channels, FM radio channels, rising popularity of social media, growing demand for content from mobile operators which is expected to further increase with the growth of 3G services and innovations of technology. spread reach of the industry. This has resulted in the availability of entertainment anywhere and at anytime at the touch of a button and has ensured wide

During the year 2010, the media and entertainment industry grew by 11 percent and recorded revenues of Rs.65, 200 core. The growth in advertising revenues by 17 per cent to Rs.26,600 core, increase in subscription revenues, increasing variety of rich content coupled with the opportunity for its monetization and the governments thrust to digitization are expected to aid in the robust growth of the sector.

KEY SUCCESS FACTORS Major Key success factors for different mediums are different-\ Television
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Subscription revenues are projected to be the key growth driver for the Indian television industry over the next eve years. Subscription revenues will increase both from the number of pay TV homes as well as increased subscription rates. The buoyancy of the Indian economy will drive the homes, both in rural and urban (second TV set homes) areas to buy televisions and subscribe for the pay services. New distribution platforms like DTH and IPTV will only increase the subscriber base and push up the subscription revenues.

Filmed entertainment Indians love to watch movies. And advancements in technology are helping the Indian elm industry in all the spheres elm production, elm exhibition and marketing. The industry is increasingly getting more corporatized. Several elm production, distribution and exhibition companies are coming out with public issues. More theatres across the country are getting upgraded to multiplexes and initiatives to set up more digital cinema halls in the country are already underway. This will not only improve the quality of prints and thereby make elm viewing a more pleasurable experience, but also reduce piracy of prints.

Print media A booming Indian economy, growing need for content and government initiatives that have opened up the sector to foreign investment are driving growth in the print media. With the literate population on the rise, more people in rural and urban areas are reading newspapers and magazines today. Also, there is more interest in India amongst the global investor community. This leads to demand for more Indian content from India. Foreign media too is evincing interest in investing in Indian publications. And the internet today offers a new avenue to generate more advertising revenues.

Radio The cheapest and oldest form of entertainment in the country, which was hitherto dominated by the AIR, is going to witness a sea-change very shortly. In 2005, the government opened up the sector to foreign investment and this is the key factor that will government for FM radio channels in 91 big and small towns and cities. This deluge of
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drive growth in this sector. As many as 338 licenses are being given out by the Indian

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radio stations will result in rising need for content and professionals. New concepts like satellite, internet and community radio have also begun to hit the market. Increasingly, radio is making a comeback in the lifestyles of Indians. The industry has been plagued by piracy and had been showing very sluggish growth over the last few years, both in India and globally. However, mobile music and licensed digital distribution services are projected to fuel the recovery of the music industry the world-over. The pace of growth in mobile music rejects the fact that consumers increasingly view their wireless device as an entertainment medium, using those devices to play games and listen to music, while carriers are actively promoting ancillary services such as ringtones to boost average revenue per user. Ringtones currently constitute the dominant component of the mobile music market. Licensed digital distribution services are also contributing signicantly to growth in all regions.

Live entertainment This segment of the entertainment industry, also known as event management, is growing at a fast and steady rate. While this industry is still evolving, Indian event managers have clearly demonstrated their capabilities in successfully managing several mega national and international events over the past few years. In fact, event managers are also developing properties around events. The growing number of corporate awards, television and sports events is helping this sector. With rising incomes, people are also spending more on wedding, parties and other personal functions. However, issues like high entertainment taxes in certain states, lack of world-class infrastructure and the unorganized nature of most event management companies, continue to somewhat check the potential growth in this segment of the industry.

Out-of-home advertising Outdoor media sites in India are predominantly owned or operated by small, local players and are typically, directly marketed by them to advertisers and advertising agencies. However, this segment too is witnessing a sea-change with technological innovations. (LED) video billboard. This is a segment that is seeing interesting technological
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Growing billboard advertising is fuelled by technologies such as light emitting diode

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innovations across the world and is likely to evolve in India too in the short-term. An estimated 28 million Indians are currently hooked on to the internet. And this rising number is leading to the growth of internet advertising, which today stands at approximately INR 1 billion. The internet is being used for a variety of reasons, besides work, such as chatting, leisure, doing transactions, writing blogs etc. This offers a huge opportunity to marketers to sell their products. And with broadband becoming increasingly popular, this segment is expected to grow by leaps and bounds

Industry Value Chain identify the main players / components. Key Players - Indian Television Industry Key Players - Indian Television Industry Largest TV network with 19 channels reaching 90% of the population Entered in 1991 and offers more than 10 channels in mass entertainment, sports, news,, music, movies etc. Pioneers of the Indian Television industry with 22 channels. It is present in broadcasting, cable distribution, production and distribution of films, creation of animation software Present with 3 channels focusing on
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Hindi entertainment and sports Based in South India with 14 channels in four languages and offers news, movies, music, kids shows. Present in India through two kids channels and has recently bought one more kids channel. INDUSTRY VALUE CHAIN

A value chain is a chain of activities for a firm operating in a specific industry. The business unit is the appropriate level for construction of a value chain, not the divisional level or corporate level. Products pass through all activities of the chain in order, and at each activity the product gains some value. The chain of activities gives the products more added value than the sum of the independent activities' values.

Industry Value Chain Of Television

Role in the TV Value Chain

Content providers operating independently or through broadcasters who re-package content

Further, content is

The distribution

companies, using

distributed through audio and video signals to transmit programs

various technolog make the content

available to audie Digicable


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Key Players

UTV Bajaj Brothers

to an audience Star Plus NDTV Sony Colors Zee TV

Hathw DEN

SriAdhikari

Television Network Ltd. Creative Eye Limited

Tata S

Big TV Bharti Airtel

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Challenges/ Considerations

3/4th of advertising impact on

Almost 75% of the

spends under Top 5 media buying agencies Measurement tool for audience needs improvement

revenue is garnered by LCO due to domination addressable subscriptions

of non-

analogue

High carriage fee to distributors

Value Chain Of Film Ecosystem

Production Indian film industry experiences high level of fragmentation across the entire value chain. A handful of players, such as Yash Raj Films are only present across couple of parts of the value chain. However, only very few players, such as Reliance Mediaworks are present throughout the value chain.

Indian film sector is known for producing the highest number of films globally. Till a few years back Indian cinema was known for churning out low budget films (average investment of half a million dollars), being very self-sufficient, with no co-productions and relatively lower number of international films coming to screens in India. Also financial transparency was not an evident feature of Indian cinema till few years back. By 2000, with the onset of big corporate houses entering film production, organized multiplexes taking off, the theatrical segment in India is gradually moving from being fragmented to more and
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more organized. The film industry has grown from half a billion dollars in 2000 to nearly US$2 billion in 2010. There are over 400 production houses in India. Nearly 30 corporate houses are involved in the film production business Distribution Digital distribution of content is enabling distribution across many platforms and ensuring new revenue models. In fact, content is gradually becoming platform [or screen] agnostic. Digitalization is helping in leveraging the same content across various platforms such as home video, internet and mobile along with other conventional theatrical platforms. Lately, digital TV distribution has picked up through digital cable, DTH, IPTV. Also, film prints and music libraries have gone digital. Digitalization across the distribution value chain has benefitted the industry in multiple ways. It has enabled content repurposing across platforms, making distribution of niche content feasible. Also, the end viewer gets access to improved picture and sound quality. Moreover, distribution of revenues across the value chain has become more transparent. Digitalization is helping film-makers reach out to a wider audience. Availability of digital prints has significantly reduced the release window for each delivery platform. It not only helps reduce the time to reach tier 2 and tier 3 cities through theatrical release but also helps realize higher value from ancillary revenue mediums such as home entertainment, internet and mobile. Exhibition Indian cinema is undergoing remarkable changes from where it began. The aggressive expansion of multiplexes, access to organized funding, foray of leading corporate houses into film production and exhibition, popularity of digital cinema prints have been some remarkable changes seen in the Indian film segment over the last decade. Even though the number of multiplexes is on the rise, the average number of screens is extremely low in India at 12 screens per million as compared to 117 screens per million in United States.
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Animation Entertainment Value Chain

Activ ities

Identifi cation of IP generati on of a new idea an existing

Prepar ation of the script, charact er design, storybo ard layout

Develo pment of specific ations regardi ng

Fina l soun d

Prom otion, distrib ution video DVD release and

recor ding, color

The charact er,

editin g, testin g

cinem a and TV screen ing

Involv es asset procure ment, fund schedul ing,

Develo pment

backgro und paint, inking and painting and visual effects

and speci al soun d effect s

and integrat ion

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of resourc es 5%

Percent age Effect Outsou rcing Domest ic

10%

45%

30%

Emergi ng Emergi ng

Emergi ng Mediu m

High High

Medi um High

Gaming Value Chain

Involves concept creation Publisher validates the concept identifies the market and

Creation of story 3-D Character board Pre

Programming 3-D Art Asset

&

Involves final sound recording, color testing special sound effects and

The

build is the

delivere

-production, drawing Game engine

Building: This Includes character modelling, set design

publish

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opportunity

decision (for console, PC and online)

modelling, texturing

Competition analysis for the Industry.

Find out the selected Companys competitive positioning. Benchmark against relevant best Indian and World class players against appropriate parameters
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Companys competitive positioning

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STAR INDIA PVT.LTD

STAR India -1990 launched ASIASat with Joint venture between Hutchinson & Hong Kong based Li Ka-Shing.

53 Asian Countries over 100 million viewers a day. STAR India Pvt ltd, a media & entertainment company, producers, broadcasts & distributes satellite television programmer.

It covers general entertainment, sports, movies, music and news and current affairs.

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COMPETITION ANALYIS
Average channel Share (%) (as such)

Star Plus

25%

Sony Zee TV

Average channel Share (%) (during prime time)

Star Plus Sony Zee TV Sahara One

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STAR INDIA PVT LTD.

COMPEITION IN THE NEWS

Source : Business India July 2010 publication

Star Plus back to the #1 position; pushes COLORS to 2nd place

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STAR INDIA PVT LTD.

Star Plus is back with a bang, as it becomes the #1 GEC as per the latest ratings... Star Plus is now again the #1 General Entertainment Channel, as per the latest ratings that have come out today!! COLORS had earlier pushed Star Plus from its #1 position, and had been having an easy ride at the top for many weeks. But now, Star Plus is back with a bang as they top the GRP chart with 300 points, while COLORS takes the second position with GRP of 286. Zee TV is placed third with a GRP of 246. The launches of the relatively new shows like Behenein from Hats Off Productions and Mann Ki Awaaz Pratigya, coming from Spellbound Productions have really worked in Star Plus' favour. Rajan Shahi's Yeh Rishta Kya Kehlata Hai and Sapna Babul Ka.. Bidaai have jumped up the ladder yet again in ratings, and this has made a big difference to the channel's GRP. Shows like Sajan Ghar Jaana Hain and Sabki Laadli Bebo have been consistent when it comes to ratings, and lot is now expected from their new launch Sasural Genda Phool. As per the recent ratings, Yeh Rishta Kya Kehlata Hai emerges as the #1 show across all channels, with an average rating of 7.1. Sapna Babul Ka Bidaai which had seen a drop in the last few months has again gained momentum, and has registered an average rating of 6.9. Behenein has an average of 3.4 and Pratigya has a rating of 3.3. Sabki Laadli Bebo has an average of 3.2, while Sajan Ghar Jaana Hai has garnered an average of 2.9. When asked about regaining the #1 position again, Anupam Vasudev, Executive VicePresident, Marketing Star India PVT Ltd said, "We do not think that leadership is a Star Plus viewers love the current exciting line-up of shows like Yeh Rishta, Bidaai &
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weekly game, and are committed to consistently creating great content. We are happy that

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Sabki Ladli Bebo, while appreciating the new shows like Pratigya, Behenein and Sasural Genda Phool. Star Plus has always been known for its superlative story-telling and our shows depict the changes that are taking place in the society today, with a healthy dose of realism, optimism, social concerns, edginess, and humor".

6 Ms model of Communication

Market: Across the demographics Mission: Committed to provide best entertainment to the viewers and along with that they are concerned about employee satisfaction and corporate social responsibility.

Message: We know our consumer and we are giving him what he wants. Media: Print Media, Satellite TV, Radio, Internet Money: Huge amount is spent in every segment Measurement: Consumer Research and TRP

SWOT Strengths, Weaknesses, Opportunities, & Threats


Diversity of Mgmt Team Focused and strong objectives & goals
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WEAKNESS Complexity of CIS technology Spending focus on analog not digital Collaborators

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BCG Matrix

ANSOFFs MATRIX

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Resources, Capabilities & core competencies of STAR INDIA PVT LTD

Launched in 2000 India Ka Sabsey Favorite Hindi Movie Channel. One of the largest Hindi movie libraries with over 600 quality titles pioneer in showing the biggest Hollywood blockbusters dubbed in Hindi

Launched in 2004. Targeted at the urban, upwardly mobile Indian viewer. Very popular programs are The Great Indian Laughter Challenge, Nach Baliye, Sarabhai vs Sarabhai, Instant Khichdi, Ssshhhh...Phir Koi Hai, Dill Mill Gayye, Miley Jab Hum Tum
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Launched May 23, 1994

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Latest and best in English entertainment - shows from around the world. Star World provides the latest choice in top-rating, award-winning entertainment from the USA, Australia and the UK.

Genres like drama, comedy, action, reality television, talk shows and live and exclusive international events,etc.

Launched May 23, 1994 Latest and best in English entertainment - shows from around the world. Star World provides the latest choice in top-rating, award-winning entertainment from the USA, Australia and the UK. Genres like drama, comedy, action, reality television, talk shows and live and exclusive international events,etc.

Launched June 7, 2004 Caters to viewers who have recently entered the fold of Cable and Satellite television.
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Targeted at small of towns and rural areas

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Re-running the best shows from the exhaustive Star Plus library.

Launched 1994 General entertainment channel - Tamil Nadu. 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.

Sports Channels

ESPN and STAR sports cover all famous sports tournament including: Wimbledon tennis tournament US open tennis tournament Australian open tennis tournament ICC world cup
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ICC champions trophy Formula one English premier league

First-class cricket action from around the globe. STAR CRICKET broadcasts live / non-live international and regional cricket events. STAR CRICKET is the one stop destination of all the cricket action, history, updates, views and reviews

Other Regional channels are:

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STAR INDIA PVT LTD.

Asianet (Malayalam)

Asianet Plus (Malayalam) Sitara (Telugu) Star Ananda (Bengali) Star Jalsha (Bengali) Star Majha (Marathi)
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Star Pravah (Marathi)

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Suvarna (Kannada

4PS ANALYSIS
Product

Price

Channels STAR PLUS STAR MOVIES

Price (Rs.) 17 24

Channels STAR SPORTS STAR CRICKET

Price (Rs.) 29 25

STAR WORLD

ESPN

29
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STAR ONE STAR GOLD

20 16

CHANNEL [V]

PRICE

STP

Analysis Segmentation

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STP Analysis Targeting

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POSITIONING

Brand Positioning
through various channels.
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Frame of Reference: Complete customer satisfaction by providing endless entertainment

STAR INDIA PVT LTD.

Point of Differentiation: STAR has become benchmark for Indian television channel industry.

Key Consumer Insight: Targeting the Indian families value-system. Point of Parity: Colors has an upper hand, while Zee has lower hand. Reason to Buy: STAR values its customers and provides for all its needs & wants by understanding customers value-system.

Promotional Strategies

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Direct Marketing

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PUBLIC RELATIONS

PRICING AND DISTRIBUTION STRATEGIES


Distribution mechanism Regulation ease Foreign Invst limits(%) Services Offered Pricing Technology

Cable DTH Terrestrial IPTV

Medium Harsh State-owned Easy

49 49 Not allowed 74

TV On demand TV TV, mobile TV On demand TV, telephony internet

100-400 150-200 Free 800-1000

Co-axial and fi Satellite sharp

Towers, averag

New, organise
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PRODUCT STRATEGIES

1) Product Positioning Strategy This is done by Star by using Marketing Mix variables, especially design and communication. 2) Product Repositioning Strategy This happened because of the following reasons: A competitive entry is positioned next to the brand, creating an adverse effect on its market share. Consumer preferences change. New consumer preference cluster with promising opportunities are discovered.

Highlight strategies followed by the firm in last 10-15 yrs

MARKETING & PROMOTION STRATEGIES OF STAR INDIA PVT. LIMITED:

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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. 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
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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.

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.
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STAR INDIA PVT LTD.

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.

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STAR INDIA PVT LTD.

SERVICE DIFFERENTIATION STRATEGIES

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
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channel.

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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.

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 atest 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. Locallyproduced 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
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programming unique to the channel includes live and exclusive events such as the

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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 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 top-flight Asian and international sports. ESPN and STAR sports cover all famous sports tournament including, Wimbledon tennis tournament,

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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)

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Is the Boundary of the Industry to which the firm belongs changing?

Increasing per capita consumption and media penetration: Indias growing per capita consumption and low media penetration are key drivers for the M&E industrys future growth. Increasing per capita consumption, helped by a growing middle class, is driving a rise in discretionary spends on leisure and entertainment. A 2010 report by Ernst & Young indicates that between 2004 and 2008, Indian household income grew by 11% in the countrys 20 largest cities.13 this increase in consumption signals a potential for growth in media penetration, also backed by Indias low advertising to GDP ratio. Currently at 0.34% half the world average of 0.75% and lower than the US, UK and China advertising spend is poised to increase as the economy grows.

Wireless broadband content consumption: Indian M&E companies have yet to face the digital disruption that has substantially transformed the business models of Their global counterparts. Internet penetration in India is currently 7%, very low compared with countries such as Brazil (31%), Russia (41%) and China (34%).14 However, the rapid convergence of networks, devices and content core elements of the digital entertainment process will dramatically alter the Indian M&E industry going forward. M&E companies in India are in a unique position to learn from the experiences of their global peers and to develop new digital business models as they seek to

Capitalize on growing digital media consumption. Regional markets: Consumption in India is dominated by Tier 2 and Tier 3 towns, which account for 73% of Indias urban consumption.20 Advertisers are shifting Spends to these regional towns to capitalize on increasing consumer spending amid growing saturation in the major metros (Delhi, Mumbai, Kolkata, Chennai, Bangalore, and Hyderabad). Between 1999 and 2009, the share of English-language newspapers in print

Advertising declined from 39% to 32% in favor of Hindi and regional-language newspapers. A similar trend is occurring in TV, where ad volumes on regional
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Channels have surpassed those on national channels. The growing importance of regional media is leading domestic and international M&E companies to invest in these markets. Similarly, regional M&E companies are looking to build scale and expand nationally.

Niche content: Changing lifestyle patterns and growing disposable income have spurred the demand for niche content, supported by strong advertiser interest in targeting wealthy and urban consumers. TV broadcasters have recently launched new niche channel genres such as home shopping, crime, science, travel and lifestyle, while newspapers have launched special interest supplements focused on luxury brands and youth.

Digitization of distribution: The digitization of the Indian M&E industrys distribution channels is a key growth driver, helping to increase industry revenues, curb piracy and reduce costs. The Indian fi lm industry is implementing a large rollout of digital cinema, currently at more than 1,800 digital screens. This has reduced

Piracy and substantially increased the scale and reach of theatrical releases across the country a game-changing phenomenon whereby 60% of box-office collections are Realized in the first week of a movies release. The digitization of Indias analogdominated TV distribution infrastructure is reducing the revenue leakages associated With underreporting and is increasing broadcasters subscription revenues. This is also expected to control the high carriage fees currently paid by broadcasters for Distribution on analog cable.

Going forward, what you perceive is its chosen strategy? Digitization is creating exciting opportunities across the broadcasting
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Value chain and providing more choice to consumers. DTH and cable operators are expanding aggressively and focusing on premium services. Broadcasters are leveraging the lower cost of digital delivery to expand by focusing on regional and niche content.

Broadcasting alliances: Fragmented analog cable operators dominate the Indian TV distribution industry. The bandwidth constraints of analog cable drive these operators to limit the number of channels on a frequency band and to charge carriage fees to broadcasters to increase the placement of their channels. Broadcasters have formed distribution alliances to strengthen their ability to negotiate with distributors, control their carriage fees and minimize losses in subscription revenues due to underreporting.

Focus on regional content: Consumption growth in Tier 2 and Tier 3 towns is driving advertiser interest in regional broadcast markets. A large local player typically dominates

These markets, with a strong focus on relevant regional content. Regional broadcasters have recently increased their presence in niche genres such as music, youth and Comedy in local languages. National broadcasters are actively looking to build a presence in regional markets by acquiring or partnering with local broadcasters.

Launch of niche channels: International and domestic broadcasters have launched niche channels in India. Changing lifestyle patterns and increasing disposable income have spurred the demand for niche content, which commands premium ad rates and reaches a focused target audience. Niche channel genres such as soccer, childrens

Channels and lifestyle are underdeveloped in India relative to mature markets such as the
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US and the UK

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Conclusion Enter into kids channel Similar to Pogo & Cartoon Network. To acquire broadcasting rights of events like IPL. Make utilization of the joint ventures for promotional activities. Launch channels having Religious & Scientific significance. Launch DVDs of old programmes which was all time favorite. Indias growing middle class, rising disposable incomes, high volume of content consumption and conducive regulatory environment hold significant potential for foreign investments across all segments of the M&E industry. Digital adoption, at a tipping point due to wireless broadband availability, will create additional opportunities for global companies to cater to a new generation of digital consumers. As global M&E companies start to compete again for growth opportunities globally, there is an increasing

Sense of urgency to capture the opportunities offered by the Indian market. In order to succeed in India, it is necessary for companies to understand and adapt to economic and cultural nuances and invest in content and services tailored for the local market. Global companies need to thoroughly assess the market and distribution

Channels to price content appropriately and adopt different strategies to serve the several internal markets that exist in the country. While M&E companies operating in emerging markets like India continue to be exposed to risks ranging from local competition, fraud, corruption and piracy, ongoing structural and regulatory reforms and the development of corporate governance norms will mitigate these threats.

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