Monday, April 20, 2009

DTH market is going to witness a bloodbatch. Surbhi Chawla analyses tactics, strategies and, er, the dirges...


IIPM set to beat economic slowdown

“The quickest way of ending a war is to lose it,” is what George Orwell once said. But this logic is certainly not applicable to the ongoing war in the Indian Direct-To-Home (DTH) sector. The current industry estimates peg that there are about 10-12 million subscribers who have adopted this new technology, but the market right now is growing at an exponential rate and India has already surpassed Japan to become the leading DTH market in Asia. Interestingly, from an Indian point of view, the market right now is still considered to be at a nascent stage and there are already six major players in this market who are looking at expanding the market further at an exponential growth rate. Industry experts believe that the satellite TV market would be nothing less than 25 million by 2012. What’s more, it is expected that apart from Videocon (which has announced its plans to enter the DTH space by the end of February 2009), one can expect another 2-3 players to enter this industry in the near short-term. And this is not forgetting the fact that there is already a gruesome tussle amongst the current five players (not including DD Direct) that are actively looking at how to topple each other and bag more subscribers in their kitty.

From doing blatant comparative advertising to ground level tactics, the mud-slinging has gone to such an extent that the companies have even gone to steal the teaser ads of their arch rivals. One would remember how Airtel Digital had designed a teaser campaign to announce their arrival, where the ad had a plush red sofa landing with a thud and the tagline at the bottom reading – ‘See you at home’. One would also remember that even before Airtel Digital could break the campaign or get it to its envisioned end, BIG TV (from the ADAG stable) hijacked the teaser by floating their own campaign with a similar plush sofa falling with a more similar (and hurting) thud.

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Source : IIPM Editorial, 2009

An Initiative of IIPM, Malay Chaudhuri and Arindam chaudhuri (Renowned Management Guru and Economist).

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