TV expected to gain largest portion of telecom ad spends with 4G roll-out

The reason for this large growth in the ad spends of the telecom sector is due to the rolling out of 4G services by various players. Currently, Airtel is the only one that has rolled out its 4G services. However, other players such as Vodafone are expected to roll out its 4G services by December 2015

e4m by exchange4media Staff
Published: Nov 30, 2015 8:53 AM  | 4 min read
TV expected to gain largest portion of telecom ad spends with 4G roll-out

India is the world's 2nd largest telecommunication market, with over 1 billion subscribers as of May 2015. The wireless segment (97%) dominates the market. During FY 07-15, wireless subscriptions witnessed a CAGR of 25% to 970 million. It is also the 2nd largest country in terms of internet subscribers. India's telecommunication market is expected to experience further growth, fueled by non-voice revenues and higher penetration in rural market- IBEF. It is also one of the largest spender on advertising and marketing on various mediums.

According to the GroupM report, telecom, FMCG and auto sector are expected to be the highest spending brand categories during the year. A major portion of these ad spends goes towards television, which is followed by radio, print and digital. According to the Pitch-Madison report telecom/internet contributed 13.6% of the ad spends and was the second largest spender on the medium after FMCG. This category in 2015 is expected to see a very large growth of 51.2% on TV. While on radio its contribution was 9.4% in 2014 and in top 3 spenders, it is now expected to grow by a large 33.7%. Telecom on the print medium contributed to 5.9% of the ad spends which is expected to now grow by 48.8% in 2015.        

The reason for this large growth in the ad spends of the telecom sector is due to the rolling out of 4G services various players. Currently Airtel is the only one that has rolled out its 4G services. However, other players such as Vodafone are expected to roll out its 4G services by December 2015. New entrant Reliance Jio is also expected to roll out its 4G services by March 2016 said a media report. Apart from this Idea Cellular too is expected to launch its 4G services around the same time. Media planners as well as media industry experts expect to see a very large increase in ad spends from these players during their 4G services launch.

A recent S-Group Insights report of TAM Media Research showed a large rise in the ad spends of particularly Airtel in Q3 (July-September) in 2015. The ad volumes on TV of Airtel increased in Q3 to just under 1,500 hours of promotion from around 600-700 hours of promotion on TV during Q2 (April-June) 2015. Airtel which started the year on a low scale bounced back with heavy TV spends in Q3 this year. Airtel in Q3'2015 had more than 50% advertisement share on Television. According to TAM viewership data in Q3'2015 Airtel commercial was viewed 39 times by an average viewer Vs 20 times of IDEA & Vodafone each. Airtel promos also reached out to a higher % of TV universe (94% Cume Reach) than IDEA & Vodafone (90% Cume Reach each). A reason for this high spends on TV was the promotion of the launch its 4G product. 85% of the total Ad Volume on TV for Airtel went towards the promotion of 4G. It is 40% more than it used for the promotion of 3G in Q3 of 2014. The total duration of promotion on TV for Airtel also increased from 1,159 hours in Q3 2014 to 1,317 hours in Q3 2015.  

Radio is the 2nd most preferred medium for advertisement for Telecom players in terms of count of ads. It received 25% of total promotion in Q3'2015 for Telecom/Internet service category whereas the same figure for TV stood at 74%; Print receiving nearly 1% inventory for the category. Airtel which was shying away from the medium until Q2'2015, currently it holds the highest commercial duration on Radio. Its focus being on West Zone followed by South. Aircel & BSNL focus on South Zone whereas IDEA & Vodafone target West zone through advertisement on radio.

In print also Airtel holds the numero uno position for maximum ad volume. Times of India & Economic Times are the top 2 preferred publications for Airtel whereas Idea preferred to promote maximum on Dainik Jagran (Hindi) & Matrubhumi (Malayalam) in Q3'2015. Vodafone which was maintaining a competitive threshold of ad volume on print until Q1'2015 dropped it to a minimal level in next 2 quarters.

The category however has seen a drop in ad volume of 10% in Q3'2015 compared to Q3'2014. Tata Teleservices & Vodafone reduced the advertising volume by 49% & 37% respectively.

On a year trend the category has decreased the promo duration on TV in 2015 compared to 2014 but the numbers are actually higher than year 2012 and 2013. Main reason behind relatively higher numbers for the category in 2014 was heavy promotion of Airtel Money in first 3 Quarters of 2014 also Airtel 3G was promoted heavily in Q3.

With such large promotion and ad spends from Airtel on TV, radio and print for the launch of its 4G services, other telecom players are expected to do the same once they launch their 4G services soon. TV broadcasters can anticipate to get the largest share of the ad spends from the telecom companies in the next few months.   

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E4M Our strategy is to target younger audiences through Sports: Rajiv Dubey, Dabur

The Head of Media at Dabur India spoke exclusively to exchange4media on the World Cup, associating with Indian Idol, the company’s digital spending and much more

e4m by e4m Staff
Published: Oct 27, 2023 6:15 PM  | 1 min read
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With quirky campaigns, memes and moment marketing, timed with the ongoing World Cup and particularly the India-Pakistan matches, Dabur India has got considerable consumer attention for its popular brands – Red Paste, Cool King Hair Oil, Chyawanprash, Dabur Vita and the recently launched Bae Fresh Gel toothpaste.

The 140-year-old company is going big on key sporting events, World Television Premiere (WTP) movies and reality shows. It is now gearing up to become the title sponsor of popular talent show ‘Indian Idol’ on Sony TV for the first time, shared Rajiv Dubey, who leads the media strategy at Dabur.

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Swapan Seth's new book 'COOL' is out

The book is a reflection of the author's 'eclectic taste across categories'

e4m by e4m Staff
Published: Oct 27, 2023 6:07 PM  | 1 min read
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Advertising professional and art collector Swapan Seth has announced the launch of his new book COOL. The book is described as "a ready reckoner to the hip and the happening, of the known and the very unknown."

The book is a reflection of the author's "eclectic taste across categories: from boltholes to exotic hideaways."

COOL has been published by Simon & Schuster India and is available on Amazon.

Seth is an ad veteran with a long and illustrious career in the industry. He became the youngest-ever Creative Director at Clarion at age 24. He was VP at 26 at Trikaya Grey. Two years later, he started his agency Equus.

He writes for publications such as The Economic Times, Hindustan Times and India Today. This is his second book and he has previously published THIS IS ALL I HAVE TO SAY.

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Disney Star signs 9 sponsors for Asia Cup PAK

Charged by Thums Up, Nerolac Paint+, Amazon Pay, Jindal Panther, My11Circle, MRF, Samsung Galaxy Z Flip5, Wild Stone and Thums Up come on board

e4m by exchange4media Staff
Published: Aug 26, 2023 11:48 AM  | 1 min read
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e4m Staff Disney Star has signed nine broadcast and digital streaming sponsors for the upcoming Asia Cup.

Charged by Thums Up, Nerolac Paint+, Amazon Pay, Jindal Panther, My11Circle, MRF, Samsung Galaxy Z Flip5, Wild Stone and Thums Up have come on board for the upcoming tournament.
As reported earlier by exchange4media, Disney Star has sought Rs 26 crore for the co-presenting sponsorship on TV and Rs 30 crore for Disney+ Hotstar.

According to industry sources, the associate sponsorship on Star Sports has been priced at Rs 19.66 crore, whereas for the ‘powered by’ sponsorship on Disney+ Hotstar, the broadcaster is seeking Rs 18 crore.

As per the information available with exchange4media, Disney+ Hotstar has three sponsorship tiers-- co-presenting (Rs 30 crore), powered by (Rs 18 crore) and associate sponsorship (Rs 12 crore). The broadcaster is offering an estimated reach of 120-140 million for co-presenting sponsors, 90-100 million for powered by and 60-70 million for associate sponsorship.

A spot buy for 10 seconds has been priced at Rs 25 lakh for the India vs Pakistan matches, while for the non-India matches, the ad rate for 10 second is Rs 2.3 lakh. The India matches plus the final for ODIs has been priced at Rs 17 lakh per 10 seconds.

Asia Cup is scheduled to be held from 30 August, 2023, to September 17, 2023.

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Sorted 360 wins creative & social media mandate of Reliance Mall

The agency will manage offline and online campaigns for Reliance Mall

e4m by exchange4media Staff
Published: Aug 26, 2023 10:54 AM  | 1 min read
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Sorted 360, an integrated creative and social media agency, has won the mandate to providing brand solutions for Reliance Malls across India.

“Sorted 360 is set to enhance Reliance Malls' market presence with their unparalleled creative prowess and strategic thinking,” read a press release.

“Sorted 360's commitment to pushing the boundaries of creative communication aligns perfectly with Reliance Malls' ethos. With a pan-India presence spanning across 19 cities and growing, Reliance Malls has consistently captivated customers by offering an array of Reliance brands and third-party fashion & lifestyle brands. The mall has established an unparalleled connection with its patrons through superior quality, a remarkable value proposition, and an unmatched shopping experience,” it read further.

"We are thrilled to welcome Sorted 360 as our trusted partner in advancing our brand presence across the nation," said the Head of Marketing at Relaice Malls. "Their proven expertise in retail, shopping center management, and innovative creative strategies make them the perfect fit for our vision."

"Partnering with Reliance Malls is a testament to our commitment to shaping extraordinary brand experiences," remarked Prerana Anatharam, Co-founder of Sorted 360. "We are excited to leverage our strategic and creative acumen to further elevate Reliance Malls as the epitome of convenience, choice, and excellence."

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e4m by exchange4media Staff
Published: Aug 25, 2023 4:39 PM  | 1 min read

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e4m by exchange4media Staff
Published: Aug 25, 2023 4:38 PM  | 1 min read

KlugKlug onboards Hemang Mehta as Country Manager for Indias

Mehta was most recently Head of Agency Relationships at Network 18 Media & Investments

e4m by exchange4media Staff
Published: Aug 24, 2023 3:35 PM  | 1 min read
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KlugKlug has appointed Hemang Mehta as its Country Manager for India.

Mehta will play a pivotal role in driving KlugKlug's growth and expansion within the Indian market and be responsible for Sales & GTM Strategy

Prior to that, he has also represented organisations like Exponential (now VDX.tv), India Today Digital and Rediff.com. His expertise spans various domains including digital media sales, mobile marketing, media planning, and buying, social media marketing, and more.

Hemang Mehta expressed his enthusiasm about joining KlugKlug, saying, "I am thrilled to be a part of KlugKlug, a forward-thinking platform that is reshaping the influencer marketing landscape. As much as I look forward to collaborating with the exuberant team at KlugKlug, I am super excited to interact with the brands to deliver powerful data-backed Influencer solutions that will guarantee business outcomes."

Commenting on the appointment, Kalyan Kumar, Co-Founder and CEO of KlugKlug, stated, "We are excited to welcome Hemang Mehta to our team as the Country Manager for India. His extensive experience in digital media sales and marketing will be instrumental in driving our efforts to provide influencer marketing solutions to our clients. We believe Hemang's leadership will be key in scaling our operations and expanding our reach within the Indian market."

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