Top Story

e4m_logo.png

Home >> International >> Article

Zee's connectivity dips, woos consumers to hook-on

14-June-2001
Font Size   16
Zee's connectivity dips, woos consumers to hook-on

As Zee bouquet goes digital and encrypted, it is facing problem in restoring connectivity. High subscription cost of Zee TV, delay in distribution of 'integrated receivers and decoders' and relatively low pull of other Zee channels are the reasons reported.

Zee, however, is fighting hard. Consumer awareness and call-for-action through ads and newspaper inserts, multiple packages for the cable operators and launch of special programming is likely to work for Zee.

Posing as a consumer, when exchange4media contacted Zee Network, we were told that Zee bouquet is available in 'attractive' packages. While Zee TV alone is priced at a steep Rs. 16 per household a month, the entire set of 15 channels is available for Rs. 30. To receive and decode the encrypted signals, as cable operator has to buy IRD box costing Rs. 14,000 a piece. Every channel would require a separate box, therefore, a sizable investment from the operator.

" A family drama that makes you laugh, cry, think...a pradhan mantri who attempts to... Hey! you will never know. Because you are no longer plugged to Zee" reads a newspaper insert, cajoling viewers to "demand what you deserve."

Turing pay was inevitable for Zee. According to exchange4media estimates, Zee can potentially earn over 225 crores from subscription revenues. This estimate assumes a conservative 40% conversion of overall urban connectivity into pay homes.

Among the channels, which have gone pay, the maximum connectivity encashed by any network so far is by ESPN Star Sports network. But even they have not been able to get the cable operators to cough up for more than a million homes so far. Each of their channels costs less than what Zee is charging cable operators per household per month.

Yet, even at the height of World Cup Cricket the ESPN Star Sports network could push up to much less than a million homes’ acceptance by cable operators. Besides, Zee is relevant only in three large regions – North, West and East, whereas ESPN Star Sports has universal appeal across the country. Hence, even a 40% conversion rate by Zee seems like a Herculean task by any standards. This is not to say that they will not reach these homes, it’s just that the cable operators even while distributing to these homes will agree to pay for just a fraction of this connectivity.s

The satellite universe data is as per NRS 2000. Read the details of the estimates by clicking, "Zee TV poised to earn over Rs. 225 crores by turning pay: An exchange4media estimate"

Zee went encrypted and pay on 11th June. The Zee bouquet consists of 15 channels and covers virtually all genres of programming.

Tags

Vijay Mansukhani, speaks to exchange4media about the resurgence of Onida, the scope of growth of consumer electronics market in India and the reasons why Indian consumer electronics brands don’t compete on a global scale

Projjol Banerjea opens up about hiring Anne Macdonald and GroupM's Rob Norman, and the brand's new identity

Meera Iyer tells exchange4media that in FY 2016/17, bigbasket clocked a revenue of Rs 1,400 crore. The online supermarket currently stands at 70,000 orders a day, with operations in 25 cities.

CMO, Kashyap Vadapalli on the start-up’s marketing play, why it has decided to stay away from IPL and response to its furniture rental apps

In an exclusive data shared with e4m, Pan Masala/Zarda/Gutkha had the highest jump of 185 per cent in terms of ad volumes in the first 14 matches

Bose, who has a career spanning over two decades, was DNA’s Editor-in-Chief. He has previously been associated with the India Today Group

Vijay Mansukhani, speaks to exchange4media about the resurgence of Onida, the scope of growth of consumer electronics market in India and the reasons why Indian consumer electronics brands don’t compe...