Hey ! India - You Are Not Alone

 

Fareen Siddiqui

“You are not alone in the crowded city!” the phase wouldn’t be effective if there was no existence of FM bands in metro cities where people spend a lot of time in traveling and have been living on their own, staying away from their families.   

            

      With the Indian Entertainment industry showering new avenues of Entertainment, the revival of Radio is surely seen through the private FM bands increasing rapidly in the country from six stations of AIR to nearly 300 licenses to operate FM stations in 100 cities, scenario has definitely taken a huge leap over the recent years.

 

      From Red FM to Radio Mirchi to Radio City to Go 92.5, the three major market players in the industry have positioned themselves differently among its users. While Red FM (The India Today Group), Radio Mirchi (The Times Group) and Radio City (Music Broadcasting Private Limited, MBPL) have positioned themselves as the channels for the masses, Go differs from them as the only channel which airs half of its contents in Hindi & half in English, targeting  a relatively niche audience.

 

       However whatever way radio approaches its listeners the key element which forms a bond between its listeners and the medium is definitely not only the songs but the content which they provide between playing two songs, it is through this medium only that the listener connects itself personally it feels as if one is talking to oneself, people laugh people cry, people confess,  people enjoy, accept themselves as how true they are - its for sure that no other medium can provide with such a personal touch. Its for sure that Radio needs to go beyond “Just Music” if a radio station is to differenciate itself. According to Donnach O’Drisscoll, CEO Absolute Radio, UK, “Besides, if the fight is only about music then, trust me , the Internet and I Pods will win.” According to him “What matters is the stuff that goes on between the two songs.

 

          If the figures are to be believed the fledging industry is worth $68.5 million, a value which is expected to double in the next two years. Its growth has been boosted by the increased listening of FM radio on people’s mobile phones, which have exploded in popularity over the last few years. There are now 69 million mobile phone users in India.

 

         India’s Radio Industry will grow faster than all the country’s entertainment and media segments, says Price Water Coopers’(PWC) latest report. By 2011, India’s radio industry is forecast to be worth 17 billion , says PWC report, the Indian Entertainment & Media Industry- A Growth Story Unfolds.

 

        The biggest challenge on FM radio’s path to multi- millionaire- dom is that there is zero differentiation between channels. The FM boom has been followed by the emergence of new concept of satellite, internet and community radio. The Indian Radio industry is set to be the top performer in terms of overall growth rate & growth in advertising spends  among the main segments of the Indian entertainment and Media Industry.” The report says. The switch from a fixed licensing regime to a revenue sharing model has contributed significantly to increase  profitability of radio channels. The new regulatory regime has decreased the license fee to 5.3% of the net revenues, compared with 40-50% earlier.

 

  The figures are enough to boost the morale of the Radio Industry players which is the main reason the FM players have lined up their massive expansion. Radio City which broadcasts in Five languages across seven cities- from the same station - is on its way in making its footprints in India’s Twenty largest cities. BIG  another heavyweight, is also about to expand with 45 stations to be added later this year, which will enable the network to reach more than 200 million listeners. All these channels have marketed  aggressively to get themselves associated with their frequency numbers & have been highly successful in doing so. But the content reigns supreme and the game is who can package and market their content better & to the revenue sharing regime of the Government. Each day a newer and innovative concept is aired to enhance listenership.

 

     Radio City’s ‘Musical-E- Azam’, Go’s ‘Legends’ series and ‘College Radio Challenge’, Red’s aggressive hoarding campaign and its recent on- air game show ‘Dhan Dhamaka’ and Mirchi’s success in positioning itself as a complete desi channel are all just the veritable tip of the iceberg. FM players have now begun styling their content to enhance appeal and market themselves better. The strategy has worked. Radio’s in its modernistic avatar is a media vehicle to be reckoned with.

 

    As the industry blossoms in India and the market becomes the ideal gauge of  performance, radio stations and media buyers are gradually realizing the benefits of synergy, a trend set to spiral upward in the days to come.

 

Fareen Siddiqui - Client Servicing, Ogilvy & Mather Advertising (O&M), Mumbai

 

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