DTH player, Tata Sky has recently come out with two new product offerings to target the Northern and the Southern market of India. The first product ‘Daily Recharge’ allows consumers to recharge their subscription by only Rs 8/-and get all their desired channels on that day. This was strategically advertised during the Indian Premier League (IPL) in a campaign by Ogilvy & Mather who weaved 13 romantic stories to communicate the product features to the audience. On the other hand, to target the Southern market, the brand has used Telugu super star Mahesh Babu and Kannada actor Sudeep to launch the ‘My 99 pack’ nationwide, which allows consumers to pick and choose and create their own mix of channels.
Commenting on the strategy behind the positioning of their new products, Malay Dikshit, Chief Communications Officer, Tata Sky said, “We saw that while consumers do have the propensity to buy and consume content from set top boxes, cable TV or any other form of entertainment on TV, they require offerings in smaller bite sizes, like the prepaid cards in the telephonic sector or the sachets in the FMCG sector. So basically they are interested in your product, but in a smaller bite size. Secondly, in towns that we are now foraying into, Tier 3 and Tier 4, consumers are very value conscious, so here comes our product offering at Rs 8 for the Daily Recharge pack.With digitisation phase III still a year away, we are making inroads into these untapped markets. Also, we found out that in the urban areas, there is a chunk of huge population, who are so busy in their lives, that television viewing becomes occasional for them. They might not want to watch all the channels in the offerings, so for them is the base back of Rs 99 where they will have to recharge with one mandatory add-on pack. So basically we have not brought down the price per viewing, but have given them more choices.”
Excerpts from an interview with Dikshit:
Talking about your Daily Recharge pack, what is the idea behind the price point of Rs 8?
There is actually no scientific reason or strategy behind the pricing. It is just that our biggest selling pack ‘Dhamal Mix Pack’ is priced at Rs 240 and when you divide it by 30 days; it comes to Rs 8 for daily viewing. The recharge denominations start with Rs 8 and then go on till Rs 100, so there are smaller values of Rs 10, 20 and 50 in between.
Who is the core target audience for Tata Sky?
We are basically a grocery store, so from child who watches animation films, to someone who consumes news and Active Darshan, everyone is our consumer. So there is not one particular target group, where we focus our energy on. Like I said, it is a platform and a grocery store of all the channels. It is based on what the guy wants and composes for himself as a choice.
You have always been quite brave when it comes to advertising, last year your longest running TVC ‘Prison Break’ bagged a place in the Limca Book of Records. This time again, the advertising of your new product ‘Daily Recharge’ is quite different and innovative. What is the insight behind it?
We used the insight that ‘Daily milenge to pyaar toh hoga hi’, when two people meet daily, whether for business or anything, something happens in between them. We decided to show a love story brewing between the protagonists of the film through 13 episodes. Also our objective was to interact with the audience which is like ‘Interact with us daily Mr Consumer and we will becomes good friends’. The idea was to do something revolutionary and different, which befits an ad campaign. Once this was decided, our next biggest challenge was to pick up the right channels and programmes which will have destination viewing. In this case GroupM has done a fabulous job with clockwork precision on a daily basis, keeping IPL in the centre as the principal platform, surrounded by top 5 primetime daily soaps.
How will you be pushing your new products?
We are using surround sound media, along with traditional TV, digital, radio and outdoor. However, irrespective of the media and the positioning of the products, distribution will be a critical part of the game. Being available across kiranas, mom-and-pop stores in multitude will be difficult. But thanks, to our robust sales team and structures who are already at it, keeping a track of the stock and replenishing them is being taken care of.
What is your idea of having brand ambassadors on board? You had Aamir Khan few years back, any plans of having a new brand face?
Brand ambassador should always imbibe your brand ethos and core values, and if these things fit, then there is no harm in having one. In past history, we had Aamir as the ambassador, even though I was not on board, but as a lay man, I can say it helped our brand. On whether we will have a new brand face, we haven’t decided anything as of now. However, for the Southern market, we have taken help of both superstars Sudeep and Mahesh Babu to launch the ‘My 99 pack’ because of their wide appeal in both the states.
Regarding the marketing aspect what are the current challenges in the DTH industry?
Firstly it will be to keep our offerings relevant to the taste of the consumers and secondly, technology throws open so many options in front of the consumers. At the same time, we are also catering to India, which has won over from analog cable to digital, and there is also a set of evolved customers who are constantly upgrading. To add to this, the competitive space also heats up, with other players trying to catch up with Tata Sky. But those who are delivering good value, are the ones who stand to win the game and Tata Sky is doing well and is way ahead of the curve.