Top Story

e4m_logo.png

Home >> Media - TV >> Article

New Era to invest Rs 100 cr in DTH

02-August-2004
Font Size   16
New Era to invest Rs 100 cr in DTH

New Era Entertainment, part of Zee Network promoted by Subhash Chandra is planning to invest over Rs 100 crore in the next one year in its Dish TV direct-to-home (DTH) venture.

The company, which started to offer DTH service under Dish TV brand in October 2003, has 1,50,000 subscribers across the country. “Under Dish TV, currently we offer 104 channels. By end of the year 2005, we would be offering a total of about 250 channels,” said Ashish Kaul, vice-president - corporate brand development group, Essel Corporate Group.

In the DTH business, service is highly customised and “subscribers ask for very niche channels of their interest,” he said. For instance, in the sports category, the provider needs to provide channels specific to aqua sports and golf.

“Similarly, in the movie category, we need to offer classic movies, latest movies or action movies, etc. So for each category, we are offering different channels,” he added.

The company is expecting to reach 20 million subscribers by the end of next year. Unlike other products, the company did not target major cities and metros to launch Dish TV.

Instead, based on an internal survey that showed that there were a lot of villages in India, where cable TV had not still penetrated, the company tapped the rural opportunity first. “We started Dish TV in rural areas and today 90 per cent of our subscribers are from rural India,” Mr Kaul said.

In sparsely populated regions, cable television operators are reluctant to offer services as the costs are too high, he said.

The company is now turning attention to major cities and metros for Dish TV. “We are planning to increase our marketing activity towards this shortly,” added Mr Kaul.

So far, New Era is the only operator present in the DTH segment. Star TV and the Tatas are jointly planning to launch Space TV - a DTH service - by the end of this year.

There is enough room for both, Mr Kaul said. “Television penetration itself is too low in India. Less than five crore households have cable TV in India.

There is a huge potential for us to address the rest of the market,” he added.

In India, Dish TV needs an initial investment of Rs 7,000. Zee offers basic package of 38 channels for Rs 100, excluding taxes every month while the complete bouquet cost is Rs 200 every month.

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 terms of affiliates, India ranks on the top. Spurred by the fast growth of mobile users and hence internet users, there are millions of websites, apps, WAP-sites and blogs using affiliate marketing...

Insecurity in the workplace due to the idea of AI encroaching on your job, or being sidelined at work because of your small town background? Sandeep Goyal has the right answers to help you deal with w...

As National Sales Head at News18.com, Ashish aims to bring on board a maximum number of advertising partners and consolidate the network’s position as a leader in the space.