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Invest in innovation and differentiation across the value chain: Uday Shankar

19-March-2010
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Invest in innovation and differentiation across the value chain: Uday Shankar

Delivering the keynote address at the concluding day of FICCI Frames 2010, Uday Shankar, CEO, Star India, stressed that there was hunger for good content. He also pointed out some of the serious concerns that this industry would face in the future, the first one being low level of innovative content and repetition of successful formats.

Shankar highlighted how the past decade had been for the television and broadcasting industry. He pointed out that C&S penetration had increased in the country in the last 10 years, while the number of channels had gone up from 132 channels in 2000 to more than 500 channels today. He further said that an average viewer spent approximately two hours and 45 minutes watching TV per day.

He then moved on to speak about what the next decade would look like for this industry. Citing some numbers, Shankar said that between 2007 and 2009, the Hindi GEC segment had seen a 25 per cent increase due to the launch of four new channels. He added, “Another thing that will change is the universe of the consumer, which in turn, is changing big gender myths about men not watching GECs, and so on.” Like quite a few speakers before him, Shankar too felt that the DTH industry held a lot of potential in the future.

At the same time, he also highlighted some serious concerns that this industry would face in the future. The first one, according to him, was low level of innovative content and repetition of successful formats. He further said, “Infrastructure also needs to be looked into, especially the cable industry, which continues to be analog. Moreover, the audience measurement is flawed as the ratings measure mass trends only.”

He also listed out things that should be done by players in the future. The main thing, according to him, was to invest in innovative content and build scale.

“These channels should also create direct connect with the consumer and work with the Government to build a robust media environment,” Shankar concluded.

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