Aug 20, 2008

Business - Reliance launches BIG DTH,targets 40% marketshare

MUMBAI: Big TV, Reliance Communications' fully digital home entertainment service on the direct-to-home (DTH) platform, is available starting Rs 1490.

The package includes a three-month complimentary subscription. Besides, the DTH service also offers multiple price points and packages targeting various customer segments.


Big TV, which launched today, is offering 202 channels. It has taken eight Ku-band transponders and will be adding four by the year-end to increase its channel carriage capacity.

Said Reliance ADA Group chairman Anil Ambani, “ The huge potential of a quality and value offering in the home entertainment service market offers us a unique opportunity to tap the strengths and synergies of the telecommunications and entertainment sectors embedded within the Reliance ADA Group. With the launch of Big TV DTH, we aim to offer a unique viewing experience to millions of Indian homes to further accelerate the growth momentum and enhance value for the many shareholders of Reliance Communications.”

Big TV is targeting a 40 per cent market share in the first year and expects the DTH operators to mop up 11-12 million subscribers during this period.

Big TV expects that the entry of new DTH operators will expand the market. "We expect the pay-TV DTH subscribers to touch 60 million by 2015. Currently there are six million subscribers," said Big TV president Arun Kapoor said.

The company has set up 100,000 outlets in 6500 towns across the country to make its DTH service available to consumers..

Technology: Big TV is using Mpeg 4 technology which will allow it to beam 30 channels per transponder. The aim is to have 350 channels within the first quarter of next year.


Big TV will launch 10 HD channels later in the year. It will also have DVR (digital video recorder) where consumers can store hundreds of hours of content for later viewing.

Special features: One of Big TV's USP is its 32 cinema channels. The company has 600 films in its library split evenly between Hindi, English and regional. Films are offered through pay per view and subscription video on demand (Svod). There is even a preview channel so that consumers know what is on offer and when.

The Hindi and regional movie channels will be available at a monthly subscription of Rs 50.

Pricing: This is another area where Big TV is looking to differentiate itself. The offers range from Rs 1490 to Rs. 4990. With this one gets three months free access to the Big Cinema Subscription Pack. There is also a free regional pack that comes with this.

For Rs 2490, customers get a three-month free premium pack or a six-month free popular pack. By paying Rs 3990, one gets free subscription of the premium pack for a year. Big TV’s premium pack has the likes of World Movies, Zee Studio, Ten Sports and ESPN Star Sports.

The premium pack has 146 channels while the popular pack has 133 channels.

For Rs 4990, subscribers get a year free of the Max Pack. There are 158 channels on offer here. In addition, Big TV is also focussing on the South with offers. For instance there is the South Smart 2990 offer. One gets six months free of the South Premium Pack in this scheme. This no doubt is an attempt to try and take on Sun’s DTH platform which has grown rapidly.

One can also create a pack of ones own. The company calls this pizza pricing. There are four starter packs ranging from Rs 100 for which one gets 44 channels to Rs. 175, for which one gets 93 channels. One can then add to this by choosing from a list of 10 top up packs and channels. There is also a starter pack for the South.

Heavy on marketing: Reliance Communications group head branding and communications Sanjay Behl noted that if the company is to get a 40 per cent share, then its marketing activity would also have to be as big.

Big TV has taken 15,000 spots which will air on television channels over three weeks. Some of them have television stars endorsing the product.

Big TV has also taken 700 sponsorship spots including the Champions Trophy. There will be 70,000 radio spots over three weeks. There will also be a contest.

In print, there will be full-page ads. There will be more than 500 inserts over 14 days. Cinema halls will be used. In addition to the ad being screened, there will also be a demonstration zone.

"On the Internet an innovation done is called My Big TV application. Here one can create a video of how one consumes TV and then transmit it across social sites like Orkut. It will also use 10,000 outdoor sites and 80,000 retail signages," Behl said.

The overarching theme of the marketing campaign is Ho Tho Big Ho. The focus will be on the product features of the service.

Big TV will also take advantage of the fact that Reliance Mobile has 50 million loyal customers. They will be given a segmented offer. Reliance Energy and Reliance Insurance customers will also get offers that are mutually beneficial, Kapoor added.

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