IIPM Admission 2010

Wednesday, March 17, 2010

OF MEAN STUNTS & MAST MUSIC!

MTV’s whopping growth in terms of ratings has further kindled marketer interest in the channel. The Gross Rating Points (GRPs) of MTV have grown by 150% in the year 2009 vs. 2008 . And over the last three years, the growth of the channel has been over 100%. Insiders in MTV claim that this unprecedented growth in the channel’s performance is largely driven by it’s ‘long format reality content’ that became the focal point of MTV honchos after the channel revamp in 2007. It was the Roadies’ huge success that made MTV realise that the big buck really lie here. As a part of the revamp exercise, the share of non music content was increased in the channel’s programming mix, visible in the slew of reality shows launched on the channel over the last three years. Sources in MTV agree that it was a much debated decision at that time but the gamble has eventually paid off and well as the increased ratings suggest.

Couple that with ratings that are not just highest among the music and youth category but also more than the the ratings of many big reality shows on GECs and you have a winner. Here’s a telling example: The season average of Roadies 6 was 3.11, higher than even star studded reality shows on GECs like Big Boss 2 (2.23, Colors), Sach Ka Saamna (2.92, Star) and Rakhi Ka Swayamvar (2.8, NDTV Imagine). Even the average ratings for Splitsvilla season two (1.5) are higher than many of these shows listed above (see table).

“Even with much small distribution network compared to GECs, we are already bigger than them in the 15-24 years SEC AB (MTV’s core target audience),” explains Patil. Sample this: In April 2009, MTV’s GRP average was 81 – higher than channels like Sahara One (45 GRPs) and SAB TV (49 GRPs). In week 17, MTV GRPs were 88, at par with Star Network’s alternate GEC Star One! And all this with just 4-5 hours of fresh programming (long format shows) as compared to 20-25 hours of weekly programming on GECs.

Moreover, the channel is stickier among its core audience than most GECs. With a reach of 41% (lower than GECs and second rung GECs) the time spent on MTV (64 minutes) is higher than channels like NDTV Imagine, Sony, Star One, et al (see graph). Says Rajesh Kamat, CEO, Colors: “Shows like Roadies and Splitsvilla get MTV appointment viewing from the youth audience. That is why advertisers with youth focus spend on the channel the way they spend on GECs.” For the record, Colors and MTV both come from the same Viacom stable.

For more articles, Click on IIPM Article.

Source : IIPM Editorial, 2010.

An Initiative of IIPM, Malay Chaudhuri and Arindam chaudhuri (Renowned Management Guru and Economist).

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