While
speaking to indiantelevision.com, INCableNet COO Rajiv Vyas says:
"We have already shared the drafts of our agreements with the
distributors. The final draft will be finalised in close consultations
with the distributors and LMOs. However, our efforts to introduce
transparency into the MSO-LMO deals has reached a dead end because
broadcasters haven't declared their prices as yet."
When questioned about commissions and incentives to be offered
to the LMOs, Vyas offers: "First the broadcasters have to specify
the prices of their individual pay channels and bouquets in writing
rather than verbally talking about them. The deals involving the
LMOs will depend on the seeding. The commissions will vary from
channel to channel depending on the 'push' or 'pull' factor of the
channel. It will be structured in such a way that the ground staff
will be inclined to aggressively promote the pay channel and sell
it to the viewers."
When questioned whether LMOs will get an equal share of the commissions
shared by broadcasters with MSOs, Vyas says: "Part of the revenues
will be deployed into marketing efforts such as creation of value-added
packages for the viewers. We have created consumer-friendly 'product
bouquets' that will include a mix of STB rentals coupled with FTA
and pay channels."
It is expected that all the MSOs will take a short term hit to
build a long-term base while deploying STBs in the households.
However, Vyas adds that the fall in revenues will be offset by
other opportunities. "The possibilities are endless. Pay per
view will be a great revenue stream. Initially, the PPV opportunities
will revolve around movie releases, sports and special events -
for instance a Falguni Pathak Navratri festival. One can even have
capsuled channels - for instance, the ten best innings of Sachin
Tendulkar amongst others. The LMOs will definitely get their share
for promoting such offerings."
INCableNet is advanced talks with channels such as MTV for their
co-branded credit cards that will eventually be sold through the
LMO route post CAS. "The bank will develop special coded forms
that will be sold and the LMOs will get commissions if the prospects
are converted," Vyas says.
Vyas points out that the marketing of cable offerings will be 'restricted'
to the extent of one's imagination - but one needs to adapt them
to the Indian context. "Game shows such as Housie could become
a regular feature on certain channels. There is a distinct possibility
that major sports events organisers might approach MSOs for one-off
events."
Summing up the discussions, Vyas says: "I would say that the
post-CAS scenario will be exciting in terms of value driven offerings
that help to enhance viewer experience. The idea is to create a
WOW experience - raise the bar for service levels to such heights
that the other service provider will find it difficult to upstage
us."
Also read:
INCableNet CAS systems in
place for 1 September deadline: Rajiv Vyas
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