The Hindu Business Line : NDTV Imagine puts off plan to enter regional space

Mr Sameer Nair, who heads entertainment business of NDTV, as CEO of NDTV Imagine, says 2009 will be a critical year for the television industry, and the broadcaster will focus on consolidating existing businesses.

It will be launching two new soaps produced by Balaji Telefilms in January 2009, and the game show 1 vs. 100 by July.

NDTV Imagine’s business consists of the General Entertainment Channel (GEC) launched in January 2008, a multi-platform world movie business with Lumière, the Imagine Showbiz channel and a film production business. Differentiated programming, in the form of NDTV Imagine’s Ramayan launched on prime time or Colors, the other new entrants huge success with shows like Big Boss and Balika Vadhu has broken many long held presumptions.

“Next year, the four leading general entertainment channels will be forced to fight it out more aggressively, night by night, slot by slot,” says Mr Nair who also predicts consolidation in the media.

While revenue projections are being recalibrated given the slowing economy, costs are also being reduced.

“The real impact of the advertising downturn can only be judged after the first quarter of next year. But this year also saw talent costs, carriage fees shoot through the roof, and that should come down too,” says Mr Nair.

Marketing spends next year are expected to amount to 75 per cent of what the channel spend during its first year, says Mr Nair.

The new Balaji shows delayed by the television production strike will be the producer’s first soaps on prime time (10 p.m., 10.30 p.m. slots) since the end of Star’s long running serials Kyunki and Kahani.

Balaji Telefilms was tied to Star during prime time under an exclusive agreement. NDTV Imagine is now available on the digital TV platform EchoStar in America, says Mr Nair.

Subscription revenue from international markets such as the UK, West Asia, North Africa and South Asia would contribute 15-20 per cent of revenues in three to four years, he says.

The film production business has three projects of budgets between Rs 4 crore and Rs 20 crore, one each in Hindi, Tamil and Bengali on the floors.