Music Broadcast Private Limited (MBPL) plans to begin FM radio channel by the end of June. MBPL will be the first private player to begin FM radio operations in the country. The company has tied up with Star Group for providing content, advertising and marketing support for its FM radio project.
MBPL holds FM licence for six cities, it plans to begin operations in Bangalore on June 29. Among the companies whose agreement have been executed include Radio Mid-Day, Entertainment Network (India), Sun TV, Udaya TV, Millennium Broadcasting, Radio Today, India FM and Vertex Broadcasting.
The I&B ministry had executed agreements for 37 FM radio licences in four metros and 15 other cities last year. It had also announced then that it had forfeited a total of Rs 18.85 crore advance licence fee of 12 companies, which failed to submit bank guarantees.
Among the companies, which failed to submit their bank guarantees included New Media Broadcasting Private Limited, which had bagged the largest number of 29 stations of the total 108 FM stations.
Our typical marketing budget is usually 10 per cent of the topline spend