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Reliance Big TV eyes 3-m subscribers by this fiscal
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#1
Chennai, Nov. 17 Targeting long-term revenue growth and improved ARPU (average revenue per user), Reliance Big TV has “corrected” its entry level prices post the festival season (the minimum entry fee now is Rs 1,890, which was Rs 1,690 during the festival season and Rs 1,790 earlier).

According to Mr Sanjay Behl, CEO, Reliance Big TV, the company believes that pricing alone cannot shake the DTH (direct-to-home) market unless a concerted effort is made towards educating the consumer on benefits of the service.

To this end, the company is looking at aggressive above-the-line investments. Multi-pronged trade engagement programmes, price correction and “more focussed brand campaigns” are aimed at steering the company towards profitable business growth with the next target of three million subscribers by March 2010 from the current two million, says Mr Behl.

Marketing initiative

As part of its overall subscriber acquisition strategy, Reliance Big TV is planning a major marketing initiative across the country. It has allocated a marketing spend of over Rs 100 crore with 60 per cent of this budget being pumped into creating an above-the-line visibility for the brand.

Sales pattern

Pointing out that the sales pattern in the DTH sector is akin to the sales pattern of LCD TVs here, Mr Behl says consumers whilst upgrading their TV sets also keenly evaluate a DTH brand to enhance their overall viewing experience. Big TV has also partnered with Onida to offer a bundled proposition to TV buyers.

According to him, Big TV volumes in the festival period have gone up by 50 per cent. “With a focused strategy of targeting a quality customer base in top 45 cities, there has been a 25 per cent increase in ARPU as well.”

The current ARPU is Rs 200 a month (the minimum monthly recharge voucher is Rs 127 in the South, and Rs 150 in other geographies of the country).

Incentive programmes

The company is offering 236 channels. Mr Behl says a third of its revenue comes from the South.

Besides, the company has also announced special plans to its retail channel partners. The company has introduced some performance-based channel incentive programmes aimed at offering competitive deals across the entire spectrum of DTH distribution chain.

Apart from its standard retail margin, “we have initiated a number of on ground programmes with an objective to build channel momentum,” he says.

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#2
Now a days BIG TV is doing very well.it may achieve the goal.
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#3
You are right Mr.Bhat
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