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Star restructures its ad sales division

11-August-2001
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Star restructures its ad sales division

Star India has restructured its ad sales division and created new segments to give a renewed push to advertising revenues. The restructuring involves having groups within the ad sales division focus on areas of customer relations management (CRM), inventory management and events.

According to L S Nayak, executive vice-president, ad sales, Star India Ltd, "The need for restructuring arose as it was felt Star must leverage its basket of channels more effectively, instead of selling channels separately which probably was a good tactic, say, four years back."

Star India feels that through conceptualising and subsequently airing events, an additional 5-10 per cent revenue can be garnered. Star India reportedly mopped up around Rs 550 crores revenue for the year-ended July 30, 2001.

The new set-up, is also part of an initiative to educate the advertisers and media planners of the benefits and drawbacks of buying air time on Star.

But, it is the events team which has more exciting things on its plate. From conceptualising events, to creating a hype on air to finally airing the events, Star will do it all, but at a cost.

For example, September is likely to be celebrated by Star as the `Star Wars Month' wherein all the Star Wars sequels will be aired on Fridays. This will be preceded by programmes like `Behind the Scene' (describing how the original Star Wars movie was refurbished and upgraded, for example). Specially-designed invitations will also go out from Star to celebrate this event.

Star India's events team will also customise on-ground events to be finally broadcast as per a client's need and budget. For example, at the time of its launch, Bajaj gave away five Bajaj Eliminator mobikes as prizes for a contest which was linked to watching Arnold Schwarzenegger movies on Star Movies.

Star India’s moves on CRM and inventory management is an effort to give value for money to its clients. Though Star India has increased ad rates by about 60 per cent, "frequent flyer-clients" can still get a good bargain, while the new ones can be guided towards the various benefits of different packages, Nayak said.

For example, a 30-second spot on Star Plus costs Rs 10,08,000. But if it is aired on the network's seven channels (excluding Star Sports and ESPN), then the 30-second spot will cost Rs 9,60,000 as per Star Sweepstakes wherein all spots must be equally rotated on all programmes. If Star Plus and two other channels are taken, then the rates for a 30-second spot will be Rs 9,12,000.

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