Sunday, November 4, 2012

Sachmuch Kafi Bada Hai

Big FM, backed by the ADA Group, has forced private radio channels to reach grassroots levels, say PALLAVI SRIVASTAVA & RATAN BHAGAT

‘Veni Vidi Vici.’ This is what Emperor Julius Caesar pronounced when he conquered the almighty Romans. In India, we have witnessed the rise of a new Corporate Caesar. He’s a man, who was once virtually written off as one with a playboy image and little business acumen. In less than three years, after he ventured out on his own, he forced tectonic shifts in sectors like telecom and financial services. What are not so well-known are the waves that Anil Ambani created in the least likely area, Radio.

Like his late father, Dhirubhai, and estranged brother Mukesh, Anil thought Big for his Big 92.7 FM channel. Instantly, he created a buzz with a high-profile advertising and promotion strategy that included a brand ambassador like Abhishek Bachchan. Agrees Amit Kumar, Media Analyst, Kotak Securities, “Big 92.7 FM made a big-bang entry in radio; it launched aggressive campaigns, won maximum licenses, invested huge amounts and shook the existing players in the industry.”

B&E presents the Sun Tzu behind Big FM’s tactical warfare. Tactic No 1: Throw Big Bucks

Anil decided to invest Rs.4 billion in the venture to buy transmission equipment, set up infrastructure, and grab licenses in dozens of Indian cities. At the time of its entry, it had won 45 licenses. In comparison, Radio City won 16 licenses during the same phase of bidding. “Since we were clear that our target audience was SEC AB cities, we tactically opted for select markets, which account for 80% of the mass premium audience,” explains Ashit Kukian, Executive VP and National Head (Sales), Radio City.

However, Big FM plans to reach 200 million listeners across 45 cities, 1,000 towns and 50,000 villages.

Within a year, it has launched 40 stations, which makes it the biggest private FM network. “In smaller cities, we have created a ‘Radio Wave’. There are several cities, which had never experienced radio as an entertainment medium and welcomed it with open ears,” says Praveen Malhotra, VP (Sales), Big 92.7 FM. It has had several cities tuned in.

“The growth in radio has been at the bottom of the pyramid. It is our endeavor to attract local audiences and build a brand that connects with, and at, the grassroots,” explains Malhotra. With Big FM’s penetration, there’s suddenly a lot of excitement in virgin markets. For example, Big FM is the first private FM channel to reach cities like Jammu, Srinagar & Guwahati.


Source : IIPM Editorial, 2012.

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