Financial Daily from THE HINDU group of publications
Monday, Jan 21, 2002
Financial Daily from THE HINDU group of publications Monday, Jan 21, 2002 |
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Life
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Radio/TV Columns - Telewatch Will it pay to go pay? Menka Shivdasani
This is one battle that always gives you a sense of deja vu. The year begins; channels such as ESPN and Star Sports hike their rates, cable operators protest, the broadcaster switches off signals and viewers are left fuming. Last fortnight, ESPN Star Sports announced a `bonanza' of 261 days of live and exclusive international cricket, but even as the announcement was being made, signals for the Hindujas' In Cable Network were switched off, and the latter took the issue to the courts. "As the industry matures the world over, pay TV becomes the norm,'' said Manu Sawhney, Managing Director of ESPN Software India Pvt. Ltd, justifying the annual price revision, which has resulted in rates going up from Rs 16-24 per subscriber per month. Sawhney believes that the Indian viewer is discerning enough to not mind paying a little more provided he or she gets value in terms of content. ``Sports programming is expensive,'' he says, ``and cable operators have to realise it is the driver programme for them to increase penetration." Sawhney also accuses cable operators of under-declaring connectivity in order to avoid paying the broadcaster. This is a complaint that representatives of several pay channel have made in the last few years, and I remember when I asked one cable operator about it some time ago, he had acknowledged that the problem existed but justified it by saying there was no other way for cable operators to earn revenues considering how much they had to pay out to broadcasters and how little they received in return from their customers. It's an issue that is going to snowball over the next few months, especially with operators in cities like Delhi as well joining the fray. I think Manu Sawhney is right when he says customers do not mind paying that little extra if they get value. It is also true that we are still paying very low rates — how can anyone protest about Rs 100 or even Rs 200 for 100 channels? The problem, however, is that customers have no choice; they are forced to take whatever channels the cable operator chooses to give them, and pay for fare that they may not want. Until the problem of addressability — in itself a complex issue — is solved, there cannot be any easy solutions. A beginning was made in this direction in Orissa last year when cable network company Ortel Communications started offering conditional access system (CAS) services on a trial basis to its cable TV subscribers, allowing cable homes to pick and choose TV channels they would like to watch. It is a facility that needs to be quickly extended across the country. Until then, every year — or even every few months — we are going to witness clashes between broadcasters and cable operators. Who loses in the end? Ask the Consumer Guidance Society of India, which is urging customers to go to court because they are being deprived of "exciting" channels like ESPN and Star Sports!
Time for the movies
Shruti Bajpai, Director, Marketing, HBO South Asia, was in Mumbai the other day, talking about how her channel had been rated the favourite among cable operators, and how there were plans to continuously add value. ``It's easy to prove yourself if you are good,'' says Shruti, ``but once you get there, you have to keep refreshing yourself." Shruti has a point when she says that in hard times, it is special interest channels like hers that are more likely to survive, since they deliver more focused audiences to the advertisers. HBO is now in its second year and Shruti says it has reached 10 million homes and has 100 advertisers — ``almost double the expectations we had for ourselves". This month, every Monday at 9.30 p.m., watch out for their Super Pets. Beethoven 2nd, which is about a St. Bernard and ED, about a baseman who happens to be a chimp, are over, but on January 21, get set for `Bingo', your date with a cocker spaniel and `K-9' on January 28, about a streetwise canine cop.
Happenings of the fortnight
Sunny Deol also won an award for outstanding performance for this film. The true star of the evening, however, was the unassuming Asha Bhosle who was honoured with the Hall of Fame. "Don't work for awards," she advised younger singers. "Sing every song as if it is your first. If you remember that, you will keep getting awards." Too bad in an era where most people look for quick accolades, few people believe in this.
The author can be reached at menkashivdasani@ftnetwork.com
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