Rediff.com« Back to articlePrint this article

Soap channels lose share of ad pie

April 28, 2006 11:59 IST

The share of general entertainment channels' television advertising revenue has slipped sharply to 39.5 per cent in 2005 from 47 per cent in 2004, even as their viewership has increased marginally from 33 per cent to 33.6 per cent.

Although this genre remains the single biggest recipient of advertising revenue, it had to contend with others like regional language channels as the total pie grew 12.75 per cent to Rs 5,412 crore (Rs billion) in 2005.

The share of regional language channels in advertising, inspite of a decline in viewership, has increased from 20.4 to 24.8 per cent, thanks mainly to the mushrooming of local advertisers, such as goldsmiths, saree showrooms and real estate developers.

Analysts estimate that a large portion of the new additions to the rank of advertisers -- the rank has grown from 6,849 in 2003 to 8,256 in 2005 -- is region-focused. This category prefers to buy the cheaper slots on regional channels and reach a relatively small audience. They do not consider it in their interests to reach the wider GEC audience, which anyway limit the frequency of their commercials due to the higher cost.

 "There has been a shift to more focused advertising," says TAM India Chief Executive Officer LV Krishnan. Other niche genres too -- news, Hindi films, infotainment, kids, music, lifestyle and fashion content -- have increased their shares of the advertising revenue.

Says media buying agency Mindshare's General Manager Sundar Raman, "If the advertiser's prime focus remained lifestyle, it would rather go to Zoom or Discovery Travel & Living."

Bhuma Shrivastava in New Delhi
Source: source image