Marketing strategies of MTV vs. CHANNEL[V]

Presented By:Puneet Gogna

MBM-II Sem

VS

MTV began broadcasting via satellite on the star network in 1991

When Murdoch’s New Corp. acquired Star TV, MTV left the Asian scene(1994)

MTV Networks Asia were launched in 1995

The History of Music Television in Asia

‘Channel V was the first in the market with a localized approach and MTV copycatted that’ says Channel V.

‘We’ve tried to stay clear of mud slinging but Channel V is throwing out more smoke than the ice machine in a rock concert’ says MTV Networks Asia

War within Asian Music industry

Rapid growth and zero profits Channel V restructured their operations,

Greater china and India feeds; Western music content for Israel and Japan; conversion to digital encryption.

Restructuring for the next phase of the industry development

Both channels increased their webcasting/online presence:

1. www.channelv.com2. www.mtvasia.com

China has been earmarked as the market of tomorrow.

Breakthroughs

Which channel is more hit Online?

VS

7.5 : 1

5 : 1

VS•India’s 2 biggest Music channels have turned into youth entertainment and reality •MTV and Channel V are fighting it strong to connect with youth since many years now•Our research shows that on online search trends MTV is far ahead of Channel V•In last 3 years the gap between the search trends for the 2 brands have increased manifold and MTV has completely out written channel V•MTV average search in last 7 years is 7.5 times of Channel V and for last 1 year is 5 times•MTV reality shows are the major searches and completely out shadow channel V shows• In year 2007 and 2008 the successful introduction of sequence of reality shows Roadies, splitsvilla and stunt mania are the major reason for increased search•In last 1 year ever since roadies 8 started the online search trend for MTV shows a steep upward trend

MTV is definitely the number 1 music channel for online audience

The most impressive finding is that people from Orrisa, MP and Punjab are the highest searcher and not the ones from Delhi and Mumbai

Roadies is definitely the most successful venture for MTV

Following are the mtv activities that gained maximum online interest:◦ ROADIES◦ MTV splitsvilla◦ MTV stunt mania

The search for new concept “girls night out” is among the rising online searches about mtv

Mtv trends last 1 year

Channel V is not as popular among online search compare to Mtv

A striking fact is that the online search zones for channel V are limited to only 5 states with Delhi, MP and Maharashtra as leading searchers

Now the question for channel V is why they have these limited online search regions?

Following is the list of channel V initiatives that gained high online rating◦ Roomies◦ TLC◦ Dare to Date◦ Love net

Roomies definitely was channel V’s different initiative and as far as online search points it was successful in creating buzz among the viewers

TLC the channel V reality show has also created considerable buzz among the online searchers

Channel V Trends last 1 year

The Battle contd…..

Is there room for two music channels in Asia?

Do we think MTV and Channel V should merge?

In this age of globalized markets, is it necessary to adapt the channels to local markets?

Has Channel V done enough to differentiate it from MTV Asia?

Strategic Questions

MTV dropped from Star TV in

1994: Disagreement on

local content

Channel V filled the vacuum:

Introduced new Channel with local content

MTV strikes back on may 1995:

Customizing its product to each major target and relied on

local stations In 5 years Channel V admitted losing $100 m: Lost to

the market traction

Both companies pursue the growth

area: India-moment of truth, China-

Gaunxi. The winner takes all

Branding is necessary: Co-

branding, Licensing,

Merchandising

What’s next? Merger/

Partnership, Webcasting,

Mobile Music, Artist Endorsement

VS

Corporate level Strategy: Winner takes all

Webcast: “Right now I don’t really view(competition) as a problem because MTV

has an Internet presence and they are the main brand”, says Robert Routh, Managing Director at JEFFERIES & co.

Merger: It could be partner with more sites in future: a prime candidate to

merge with Yahoo As evidenced by Viacom’s bid for MySpace MTV is looking to advance in

social networking arena. Mobile Music: Already have a production site on:

http://www.mtv.com/mobile/#/mobile/ Motorola has partnered with MTV International in launching ‘Head and

Body’, a new entertainment series especially produced for mobile handsets

Artist Endorsements: Work with Motorola for special arrangements

Corporate Strategy Level: MTV

Webcast: Channel [V] online chat(7/03/01) has launched a new online chat for

Australia’s premier music pay broadcaster Channel [V] Merger & Partnership: Wireless provider KONG ZHONG(KONG) has linked an agreement with

Channel V becoming the exclusive strategic partner of the music channel in mainland China.

Star intends to introduce Simcasts system for a wide range of interactive applications across its network of channels. The system has been deployed in successful trials in China and India, involving chat and voting applications on “Channel V” and the Hindi entertainment channel Star One

Mobile Music: Channel [V] India has tied up with cellular operator for its talent hunt show:

MOBILE SINGER Artist Endorsements: Mr. Amar K Deb. Head Honcho, Channel [V], told business line, “Talent

management is an area which is being looked at for generating seizeable revenues”.

Corporate Strategy Level: Channel [V]

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