A majority of TV viewership is concentrated in rural
India. Most of Indian population is still concentrated in rural areas. The
rural population has shown a substantial increase in viewership as compared to
urban and semi-urban areas. Several campaigns are running to promote new
connections.
A major DTH company ran a campaign lasting for
30 days and notched up 5,000 subscribers, in a rural area in Andhra Pradesh.
This kind of overwhelming response attempted to dispel the myth that DTH was
targeted at only the cosmopolitan viewers living in metros.
For the last few years, all the DTH operators in India
have been aggressively marketing their products in non-metro cities. Of the
total 134 million TV households in the country, 50% are in the rural areas, as
per the figures released by television audience measurement agency TAM Media
Research. Also, 30% of the 70 million TV households in rural India do not have
access to cable and satellite TV.
The market for digital TV is bigger in rural areas and
is growing at a much higher rate than in urban areas. Market leader, Dish TV
India, penetrated the rural market early on. It set up a distribution network
in small towns and cities to capture the regional market. DTH price in India
depends on the picture quality, technology used, duration of the package, and
other factors. It began in the year 2000 when the government gave approval to
DTH services in the country. The cost of a DTH license was $2.14 million and
the operator also had to pay 10% of its gross revenue as an annual license fee
to the government.
There are six players in the market with a combined
subscriber base of around 20 million and nearly 1 million new subscribers
signing up every month. It began in the year 2000 when the government gave
approval to DTH services in the country. The cost of a DTH license was $2.14
million and the operator also had to pay 10% of its gross revenue as an annual
license fee to the government. Besides Dish TV, Tata Sky, Airtel Digital TV,
there’s Sun Direct, which has primarily concentrated on the DTH market in the
south. Interestingly, all of them have a broadcasting/entertainment business or
a telecom company, the benefits of which are being leveraged to the maximum.
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