broadcaster’s the emerging retailers

8/3/2019 Broadcasters the emerging Retailers

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ANKIT BANGA PRESENTATION

Considerable growth in the teleshopping business

in the last decade:

From slots to 24 hours channels From sale of exclusive non branded products to

sale of branded products

The bad perception of teleshopping in India

Problem Formulation


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A research to understand the trends that have led to the growth ofTeleshopping Channels in India

Broadcastersthe emergingRetailers

Prepared by:

MR. ANKIT BANGA

Under the guidance of:

MR. SUNIL KHANNA

(Faculty)


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Definitions

Overview

Objectives

Research Methodology

Determining Growth

Challenges then

Trends

Challenges now

SWOT

Recommendations Annexure

Whats in!


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Defining Teleshopping/Home

Shopping

Teleshopping or home shopping

is defined as media activity that

permits or requests consumers

to directly respond to the

advertiser.

Defining Trends

Trends refer to movements and

developments that lead to a

certain phenomena/situation.


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Overview

DRTV Origin

Early 1990s Indian Scenario

Mid 1990s 1st US based Network

Mid 1995, Indias 1st Teleshopping Network

Product Range

Time Slots Infomercials Slots-Segments-

Channel Below Expectation growth.

Closed down of Networks

Plans for 24hours Channel

which never realized

Today 24 hours Channels


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Objective

To examine the major trends that has led to the growth ofteleshopping business in India

SubObjective 1

To analyze, how the

challenges posed a decade

ago has been addressed

SubObjective 2

To underline major

challenges and threats

posing the industry today

Objectives

Null Hypothesis

Trends such as increase in disposable income, pricing of the

products, convenience and value ads offered on the

teleshopping channels have led to the growth of this industry

in India.


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Qualitative Research

PrimaryDATA

Personal Interaction with:

Mr. Siddhartha Dutt, Marketing Head, STAR CJ ALIVE Mr Ashwini Sharma,Director, Broadcasting & Programming- Homeshop18

Mr Vineet, Marketing Head, Homeshop18

Consumer Interaction

SECONDARYDATA

E&Y Report 2009, Press Releases of Teleshopping Network, Published Articles

in Business Standard, Company websites, Interviews publshed etc


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No of Channels/Networks

Running Networks vs Closed Down

No of hours of programming

Sales of the NetworksFrom the sale non branded (miraculousproducts) or international products tobranded quality products

Average time to convince people haslowered

No of calls ProcessedNo of customers


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Purchasing habits of Indians

Bad product quality

Cultural resistance

Low trustLow TV penetration

Odd timings & Expensive TV Slots

Abundant supply of imitation product at cheaper price

Payment Mechanism

Limited reach of the teleshopping networks

Higher pricing for the products

Bad programming


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Increasing TvPenetration

Increase inaverage annualIncome

Non access toproducts

Convenience

Shopping

Growth inDisposableIncome

CrediblePlayersentering theindustry

Emergence ofNuclearfamilies withbothHusband &Wife working

GrowingYoungshopperswith HighIncomesconvenienceShopping

Cost of Slots

Over allproposition

Retail sectorhas grown


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InefficientDelivery

Mechanism Distribution ofchannels

Serving PANIndia To build

Credibility in theMarket

To increasePayment through

Credit card/debitcard

Getting crediblebrands on board

ReverseLogistics

Skilled Talent

BuildingLoyalty Quality

Programming andproducts

Government

Regulation


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STRENGTHS

High Reach

High TV penetration

TV as Medium

Cash on delivery and delivery at peoplesdoorstep

Money back guarantee

Lesser Price with value adds

Credible Brands

Strong Backing/Foreign investors

WEAKNESS

Delivery Locations

Talent

Quality of Programs & products

Delivery time

OPPORTUNITY

Credible Players

Growth in Credit Card Holders

Other product Categories

Markets where unavailability of products

THREATS

Revenue Source

Malls and Retail Giants

Predatory perception

SWOT


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Selecting the Right Products

Choose the Right price

Better programming

Retain Anchors for long period of time

Programming Content

Merchandise Selling

Rope in Celebrities

Build Online Communities

Loyalty Cards

Shorter Slots with high frequency Tam Analysis

Relationship Management

Customer

Under promise but over deliver

Setup Low risk payment mechanism


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Thank you

Open to discussion for more details @ toll free 1800-100-7656


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S/No Tele Shopping

Network/Channel

Year Slot/24Hrs Status

1 Asian Sky Shop 1995 Slot Running

2 TSN 1995 Slot Running

3 Amway India 1998 Slot Close down

4 Dee's home shopping 1998 Slot Close Down

5 TVC 2000 Slot Running

6 Interwood 2000 Slot Close Down

7 Duitdirect 2000 Slot Close Down

8 TSNM 2000 Slot Close Down

8 Telebrands 1995 Slot Running

10 Telebuy 2001 Slot Running

11 Shop 24seven 2002 Slot Running

12 Star Warnaco 2002 Slot Close Down

13 Global Sky shop 2002 Slot Running

14 Teleone 2003 Slot Running

15 World Wide Shopping 2003 SlotR

unning

16 AAA teleshoping 2005 Slot Running

17 TV teleshopping 2005 Slot Running

18 Shradha Sky Shop 2006 Slot Running

19 Tele Mart 2006 Slot Running

20 Home Shop18 2008 24 hours Running &

Transformed

21 STAR CJ Slot 2009 Slot Transformed


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Source: E&Y Studies, 2009

*All figures in billion


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Consumers Profile:

Age: 19 years to 26 years

Area: Mumbai & Delhi (Metros) Occupation: Students or Service (Very few were

business or Housewives)

Sample Size: 120pax (Convenience sampling)


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Mr Santanu Dasgupta, Vice-President (Corporate Affairs & Strategy),

Whirlpool of India:

He says that as a mass brand, it wants to be available on all channels.

People are seemingly interested in demonstrations on TV and TV

channels too spend a lot more time detailing the product. It gets you a

lot of publicity, he says, adding that we do it without getting into a

conflict with the other trade channels.

Mr Nikhil Ahuja, Assistant Manager, Lotus Herbals, which is a brand

partner on the channel:

He says home shopping from the Internet and TV channels accounts for

about 25 per cent of sales. New customers from new places areanother advantage, he says.

broadcaster’s the emerging retailers

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