Nov 6, 2008

Entertainment - MTV India's alternate revenue streams

Purvita Chatterjee


Mumbai, Nov. 5 Extending its alternative revenues streams, MTV India is now planning to enter the stationery segment in collaboration with Ballarpur Industries Ltd to launch a rage of notebooks and diaries under the MTV brand.

MTV’s consumer products division has already introduced a host of products under its brand name — from bed sheets to apparel — and is now extending itself to the stationery segment.

Besides, other new launches include a collaboration with the jeans wear brand of Wrangler to manufacture helmets under the MTV franchise.

“Today, nearly 20 per cent of top line revenues come from alternate revenue streams but at the same time, we expect distribution revenues to explode in the future,” said Mr Asish Patil, General Manager, MTV India.

Roadies


While under-penetration of cable and satellite households is expected to contribute to this trend, the re-positioned channel is also betting on the youth segment to increase its footprint in the country.

In fact, MTV is using its highest TRP-driven programme — Roadies — and building it as a mini sub-brand.

“Roadies will be entering its sixth season and is the only format which has already been taken to Pakistan. We are now bringing out home videos of the series,” said Mr Patil.

Besides, Roadies has already released merchandise under its brand and so have other popular shows like ‘TV Bakras’ which has stuffed toys under its name.

In fact, the Viacom channel claims that it has ‘bullet proofed’ itself from the vagaries of the financial market and has yet to witness a downturn in its sales revenues.

“Our ad sales and distribution revenues have been growing between 30-40 per cent and we have not been affected by the recessionary trends.

“Having struck annual deals with advertisers, we believe we have bullet-proofed ourselves. In fact, we believe that in times of recession, people turn to the entertainment industry,” added Mr Patil.

Product drivers


Besides, the channel’s other division — Viacom Branded Solutions — which has been creating customised solutions for its clients, has been the largest alternate revenue-generating stream, giving 15 per cent of its top line revenues. Other revenue-generating streams comprise digital (online and mobile) and consumer products under which MTV has already launched a line of Clothing (MTV Gear) by licensing its brand to a Bangalore-based clothing manufacturer (Primus Clothing).

Recently, the channel launched a new division — CAT (Celebrity Content, Acquisitions & Talent) — to make MTV not just a Bollywood & Pop platform but a singular destination for all celebrities and talent.

“This new division will be used as a commercial proposition and our ad sales team is already working on creating compelling content to promote this activity,” added Mr Patil.

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