The FICCI Frames’ session on B.comuilding Sustainable Business models for Niche Programming Content was moderated by Paritosh Joshi, CEO, Star CJ. The panel consisted of Atul Pandey, CEO, Sport Business, ZEE, also Monica Tata, General Manager Entertainment Networks, South Asia Turner International India Pvt. Ltd, Smeeta Chakrabarti, CEO NDTV Lifestyle, Ajay Chacko, President A+E Networks ITV18 JV and Rasika Tyagi, Senior Vice President – English Programming, Star India.
At the session Turner International India GM Entertainment Networks South Asia Monica Tata said that the concept of niche does not exist. “There are special interest channels for audiences who appreciate certain content. “
A&ENetworks TV 18 JV president Ajay Chacko agreed with Pande that the concept of niche exists in the minds of media buyers. “We should look at absolute numbers and not just the percentage of viewers for English content. The power of niche brands will be a force to be reckoned with going forward as digitization happens.”.
Chacko also noted that if a channel has a 22 million reach today the question is in a digital world do you still get that number? He feels that even at the current pricing if you get that number of paying customers one can have a strong business model. Tata raised the issue of a different ratings system that is needed to address special interest channels.
The issue for her is if the current system is valuing the audience that special interest channels deliver. Star CJ CEO Paritosh Joshi who moderated the session pointed out that Barc is developing a measurement system that understands not just numbers but also viewer’s affinity to content.
Star India senior VP English programming Rasika Tyagi noted that one shouldn’t just talk about absolute numbers but also about the quality of the audience being delivered by channels like Star World. “I may only deliver five million viewers but those viewers are hard to reach out to on other platforms. They have money and are opinionated. They dictate trends.”
She also said that paying Rs. 5 for a channel is not a sustainable business model in the long term. NDTV Lifestyle CEO Smeeta Chakrabarti noted that broadcasters have devalued content through the low pricing. You now have a situation where somebody pays Rs. 150 for a movie ticket but will not pay even Rs. 5 for a channel. “The way we look at specialist programming is that we cater to people’s passions. We build tribes and communities. Now they should be willing to pay for their passions.”
The issue also came up about content being able to travel. Tyagi noted that Star had done a music show about independent artistes. The show online was seen by 400,000 people. It will be sold as CDs. It was a music festival. She also feels that Koffee With Karan should travel through a book and a box set. “We have done five local shows and compete at a high level.” She however added that the channel is still some time away from doing a fiction show in English. One issue is if there are writers for this. There is market for this though especially among first generation English speakers. They are unlikely to relate much to a show from the US.
Tata said that content like Khumbkaran does travel. It is about a network’s relatability. She also adds that Turner which runs children’s channels has to be more careful compared to other broadcasters about what is being shown.
Zee CEO Sports business Atul Pande said that the aim is to get on more distribution platforms. “1.9 million viewers watched a golf event last year. We have a clear logic on pricing which is at a premium. The channel addresses specific consumers.”
He added that certain views have developed on niche content which are incorrect. 40 million people viewed a Soccer game last year. Yet when the channel went to the advertisers to sell soccer as an alternative to cricket a couple of eyars ago the advertisers said that soccer was niche.connect@animationxpress.com
