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It`s a thing of massive gratification for me to do my summer training in DISHTV and present this project on topic To access the visibility ofDISH TV andscope for HD STB in Bathinda and Mansa Districts. Survey measure the visibility of the company product over the outlays of retailers which insures the brand reach among customers and its market share. Noticeably- About the scope ofHD STB in the markets of Bathinda andMansa. This project attempts to find out present situation and reason behind thedrop and suggest measures to overcome it

Project Report on Dish Tv

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Page 1: Project Report on Dish Tv

It`s a thing of massive gratification for me to do my summer training in DISHTV and

present this project on topic To access the visibility ofDISH TV andscope for HD STB

in Bathinda and Mansa Districts.

Survey measure the visibility of the company product over the outlays of

retailers which insures the brand reach among customers and its market share.

Noticeably- About the scope ofHD STB in the markets of Bathinda andMansa. This

project attempts to find out present situation and reason behind thedrop and suggest

measures to overcome it

Page 2: Project Report on Dish Tv

ACKNOWLEDGEMENT

I express my sincere gratitude to my industry guide Mr. PREM PAUL THAKUR

MARKETING, DISH TV INDIA LTD, for his able guidance, continuous support and

cooperation throughout my project, without which the present work would not have

been possible.

I would also like to thank the dealers of Panchkula and Ambala Districts, for the

support and help in the successful completion of my project

Arun singh

signature

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Table of Contents

1. Introduction

1 .  1 . DTH Industry

1 .2. Current Scenario

1 .3. Industry Porter`s Analysis

1 .4. Company Overview

1 .5. About Dish TV

1 .6. Product Life Cycle

1 .7. Types of Products and Services

1 .8. Organizational Chart

1 .9. Promoters

1 .1 . SWOT Analysis

1 .1 1 .Market Position

1 .1 2. Review About Various DTH Players

1 .  1 3.DTH Market Structure

2. Literature Review

2.1 Back Ground of the Company

2.2 Government Policy

3. Research Methodology

3.1 Objectives of the Project

3.2 Research Methodology

3.3 Research Design

3.4 Limitations

3.5 Market Visit

3.6 Analysis and Interpretation

3.7 Findings

3.8 Recommendations

4. Bibliography

5. Annexure

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Synopsis

The development of the DTH (Direct to home) sector has experienced a majorprocess of

transformation in terms of its growth, technological content andmarket structure in the

last decade. Any company which is successful is becauseof its reach among customers

which is possible through the effective toolsthrough which a company communicates

and attracts its customer. Dish TV isthe most famous brand and have a sophisticated

place and market leaderposition in the mind of customer. This is due to its strongbrand

image.

The attempt behind this project was to find out the visibility of DISH TV as abrand over

the retail outlets and its competitors` position over these outlets, sothat company would be

able to find out its lagging area and can focus moreeffectively to target more and more

customer and to communicate them more easily.

An attempt has also been made in the project to access the scope of HD STB in

the concerned markets of Panchkula and Ambala

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INTRODUCTION

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1.1 Industry Overview

A fter a slow start, the DTH market in India is fuelled by fierce Competition

between the incumbentDish TV and challenger Tata Sky, plus several new

entrants, but pricing and exclusivity remain key Contentious issues.

History:

The history of Indian Television dates back to the launch of Doordarshan, thecountryµs

national television network in1 959 when the transmission was inblack & white. The 9th

Asian games which were held in1 982 in the countryµscapital New Delhi heralded the

mark of color television broadcast in India.

In1991, Indian economy was liberalized from the license raj and majorinitiatives like

inviting FDI, deregulation of domestic businesses emerged. Thisled to the influx of

foreign channels like Star TV and creation of domesticsatellite channels like Sun TV

and Zee TV. This virtually destroyed themonopoly held by Doordarshan.

In1 992, the cable TV industry started which changed the way the averageIndian

watches the television. Every city in India had a new breed ofentrepreneurs called as

cablewallahs or Local Cable Operators (LCO) taking incharge of distribution. Since this

was a disorganized sector carrying newchannels on the existing infrastructure required

new investments which theoperators were reluctant to make. This led to the emergence

of a new breed offirms called as Multi System Operators (MSO) who had heavy

financialmuscles to make capital investments and liaised between the cable operators

andthe channels. MSOs provide the feed to the local o perators for a fee.

In1 995, government felt the need of regulation in Cable TV and passed theCable TV

network (Regulation) Act. This was also the time when the stateowned Doordarshan and

All India Radio came under a new holding called as Prasar Bharati to give them enough

autonomy. The LCOs reported a lower number of connections where as the broadcasters

demanded a higher rate.

MSOs were finding it difficult to operate under these conditions. This led to

anamendment of the Cable TVnetworks (Regulation)Act in 20 0  2 to

provideConditional Access System (CAS). With CAS, the last mile distribution couldbe

addressable with accuracy and digitalization of broadcast was also possible.CAS was

rolled out in 20 0  3 staring from Chennai and later to parts of Delhi,Mumbai and

Kolkata. On the DTH front, TRAI issued the guidelines foroperating DTH.

Countryµs first DTH license was awarded to Dish TV in 20 0  3 which started

operations in 20 0  4. Prasar Bharati also started its product DD-Direct+.

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In 20 0 7, TRAI proposed a new initiative by name Headend-In-The-Sky(HITS) model

as an alternative to the existing cable distribution. Instead of theMSOs providing the

bundle, there will be a single HITS operator who willprepare the bundle of channels and

beam it to the Headend in the satellite. Withthe average Indian getting younger, and hence

more likely to spend onnonessentials, the entertainment industry has the potential to grow

explosivelyin the future. Now the industry is ready to enter a second stage of

growthpowered by the twin engines of technology (availability of quality infrastructureand

the accelerated penetration of digital connectivity) and an enablingregulatory

environment.

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1.2 Current Scenario:

In the current context of the global financialmeltdown, the Direct to Home(DTH)

industry in India is in the throes of multifarious challenges andopportunities. The big

game is all about shaping up grandiose plans to masterthe winning rules to garner as

much portion of the Indian DTH pie as possibleby a handful of players.

Since the DTH space denotes big value, akin to the space occupied bytelevision and

telephony, inter-firm rivalries have thrown up price wars,discount schemes, procurement

of transponders, ambitious targets for improvingthe subscription base, popular bouquet of

channels, set top boxes with superiorquality of videos, improving content, etc as a

desperate means to entice theIndian viewer. A neat 20 per cent annual growth is being

witnessed in the DTHsector in India with over16 million households having digital pay-

TV.According to Harsh Bijoor, a brand consultantSince Dish TV, the biggestmarket

player on the Indian soil, has not scraped even five per cent of the pie,there is plenty left

for other players to eat.In the early 20 0  8, five major players,Zee`s Dish TV, Tata Sky,

Reliance ADAG, Sun Direct and Bharti Telemediaformed an umbrella body ± DTH

Operators Association of India (DOAI). DishTV is the largest DTH provider with a

subscriber base of around 5million. TataSky, a DTH joint-venture Company between Star

(owned by Rupert Murdoch)and the Tata Group (20 : 80 ), now has around 3.4 million

connections and theforecast for 20 1  2 is that it will further increase to eight million, Sun

Direct, the80 : 20 JV between the Maran family and the Astro Group of Malaysia, over

2.3million, Big Tv about1 .2 million and Airtel Digital Tv about0 .3 millionsubscribers

(Source: Business Standard, May1 , 20 0  9).

According to sources, DD Direct Plus has a subscriber base of about 3-4million

subscribers, mostly in the remote corners of the country not connectedby terrestrial or

cable television. DTH operations in India could be enhanced ifthe dearth of satellite

capacity is removed by increasing the number of availableKu-band transponders that at

present is1 2 on Insat 4A, which in turn wouldmean more channels for viewing.Tax

burdens on DTH are another area ofcomplaint for operators. Around 40 per cent of

revenues are siphoned off to paytaxes and license fee and another12 per cent for services

imposed by the Central government. Apart from this, there are entertainment taxes that

differ

from state to state.

DTH stands for Direct To Home which is a direct mode of transmission

between Broadcaster` and Subscriber` through satellite.

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Broadcast centre collects the signals from different programming sources (like sony, zee, and star). It processes the signals and beams it to the satellite. Satellite will reprocess the signals and retransmits the signal to the subscribers.

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1.3 porter’s Analysis of DTH industry :

1. Threat of substitutes:

DTH faces stiff competition from the terrestrial cable and IPTV. As per the industry estimates, here are 130 million TV homes of which 85 millions are served by cable and around 16 million by DTH with the remaining taken by terrestrial transmission.

Terrestrial television :

Doordarshan is the world’s largest terrestrial broadcaster with over 1400 terrestrial TV transmitters. The reach provided by this route is phenomenal with Doordarshan covering 88% of india’s geographical area. Covering the remaining 12% area required substantial capital investment which does not outweigh the benefits. The transmission was done originally in Analog mode but beginning from 2002, doordarshan has partnered with BBC resources the consulting wing of BBC, in offering digital terrestrial TV. The transmission could be received

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using a low cost Yagi antenna. However, due to lack of attractive content it does not seem to be a formidable threat for DTH.

Cable TV:

Cable TV currently operates in 2 modes viz. through CAS covering cities likeChennai,

Delhi, Mumbai and Kolkatta, and through non-addressable system inthe rest of the

country. As seen from the above diagram Cable TV enjoys themaximum share as

compared to other medium. In case of CAS controlled areas,the subscriber has to buy

Set Top Box (STB) to see the pay channels. On theother hand, in areas where non-

addressable system is used, nearly all thechannels are available without the need of any

separate receiver by payinganywhere between Rs1 0 0  to Rs 350 per month depending

on the place.

Due to phenomenal reach of Cable TV, it poses a serious threat to the growth of

DTH industry.

Internet Protocol Television (IPTV):

IPTV is a service where television signals are digitally sent over thetelecommunications

line. It is often presented as a bouquet of Video (IPTV),Audio (Telephone) and Data

(Broadband Internet) services. With widespreadadoption of broadband in the country

and the growing techno savvy population,IPTV has a potential to become a huge

success.

IPTV takes the interactivity to a newer level. In regular mediums, all thechannels are

pushed to the consumer regardless of his preference. IPTVencourages a two-way

request response model where the consumer chooses theprograms he wants to view.

Right now thos medium is totally unregulated andcable companies are urging the TRAI

to issue a consultation paper process toinclude IPTV under the aegis of Cable TV act.

IPTV is a considerable threat to DTH in urban and semi urban areas where

broadband has made its mark.

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2. Bargaining power of suppliers:

DTH industry relies on three major supplies: Customer Premise Equipment(CPE)

comprising of the satellite dish, Set Top Box with the necessary Accesscard, the Ku band

transponders in the orbiting satellites and content. With Indiaovertaking Japan as Asiaµs

largest DTH, the bargaining power of Indian DTHoperators with CPE supplies have

increased.

However, the availability of transponders is increasingly becoming difficult.The Ku

band transponder is generally provided by Astrix, the commercial wingof ISRO either

through its own satellites or by leasing transponders fromsuppliers. With only two

domestic satellite launches between 20 0  7 and 20 1 0  and increasing DTH players,

Astrix is in a better position to use DTH as its cashcow for the next 5 to 1 0  years. Also

the crash of INSAT 4C and NSS-8 hasworsened the situation of DTH players.

As there is not much of regulation particularly in terms of channel pricing,acquiring

content from the broadcasters is also difficult. DTH vendors are at themercy of the

broadcasters.

3. Bargaining power of buyers:

With enough options to choose both from the pont of alternate mediums likeCable,

IPTV and Terrestrial broadcast and from the point of increasing DTHoperators, the

consumer is at his will to decide.

Customers will continue to have a high bargaining power until DTH platforms

try to differentiate them as superior players with bettercontent and clarity.

4. Inter firm rivalry:

With 6 operational players, the inter firm rivalry is quite high. The competitionfrom state

owned DD-Direct to private players is negligible from the contentpoint of view as the

number of channels offered by DD-Direct is very limited.However, DD-Direct does not

charge any monthly subscription fee which posesa threat to the private players.

Between Dish TV and Tata Sky there is an intense rivalry exhibited by pricewars and

discount schemes offered to new connections. Being the first mover,Dish TV has price

advantage in both the STB as well as procuring thetransponders. On the other hand, Tata

Sky claims its STB having superior DVDquality video.

Other than price wars and intense competition in increasing customer base,there is also a

competition at acquiring the content. Dish TV, Tata Sky and SunDirect are part of big

groups that also have popular bouquet of channels likeZee, Star and Sun respectively. The

channels indirectly refuse content for DTHoperators by charging exorbitantly or

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mandating that all the channels of theirbouquet to be transmitted when the vendor is

already capacity constraint.

5. Threat of new entrants:

With already 6 players in the DTH space, threat of new entrants is relativelylow. There is

already enough competition which will discouragenew firms toenter this business. While

getting a license is relatively easy, the barriers toentry are high when it comes to pricing

of CPE and getting the requiredtransponders.

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1.4 COMPANY OVERVIEW

ABOUT ESSEL GROUP

THE ESSEL PHILOSPHY

The Easel group strives to offer the best to the communities that it serves shareholders, customers, employees and vendors. ‘Faith in innovative and organized growth’ is the dictum that drives all business decisions. A multicultural organization with a strong customer focus, Essel group companies reach out every day millions of consumers across the globe.

Essel group is among India’s most prominent business houses with a diverse portfolio of assets in media, packaging, entertainment, technology enabled services, infrastructure development and education. The Group started businessin1 976 with a commodity

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trading and export firm, Rama Associates Limited,and has since then metamorphosed into a conglomerate that is a symbol of theingenuity and power of Indian entrepreneurship, with worldwide operations anda workforce of nearly 8,0 0 0  dedicated employees.

MEDIA______________________________________________________

_____________ Zee Entertainment Enterprise Ltd-  India's largest media and

general television entertainment network with a range of businessesencompassing the

content-to-consumer value chain. Zee News Ltd  - a cluster ofnews and regional

entertainment channels touching the lives of millions ofIndians.DNA  - an English

language newspaper in a joint venture with theDainik Bhaskar Group.

TECHNOLOGY___________________________________________

__________________ Dish TV  - India's first direct-to-home (DTH)

entertainment service, brings the latest in digital technology to televisionviewers,

broadcasting high quality programmes straight from the satellite to theconsumer's

home. Wire & Wireless India Ltd  - the largest cable distributionsystem in India,

present in 45 cities. Intrex India - a revolution in the financialservices industry with two

innovative businesses and unique paymentinstruments - the countryµs first ever cashless

/trade exchange and a multi-purpose stored value card.Procall - Indiaµs first and only

digital PTT telephonyservice, powered by Motorolaµs iDEN technology .Cyquator

Technologies

Limited ± an IT infrastructure outsourcing company that provides end-to-end

Internet Data center and high-end managed hosting services.  Digital Media

Convergence Limited -  personalized, entertaining and informative multimedia

and textual content.Cornershop - a wide range of mobile content andinteractivity

services, the first to launch reality-based TV interactivity for votingand polling.

PACKAGING______________________________________________

_________________ Essel Propack - the worldµs largest specialty packaging

company manufacturing laminated tubes for personal care, pharmaceutical, food

and industrial businesses.

ENTERTAINMENT______________________________________

_____________________ E-City Property Management Services -  the first

organized corporate entity in the convergence of entertainment, retail andtechnology with

interests in realty development, mall-based propertymanagement, digital cinema solutions,

film distribution and syndication.ETC

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Networks -  among leading television networks in India with two channels -

ETC Hindi and ETC Punjabi.

Pan India Network Infravest Pvt Ltd ±  Playwin, India's first and largest

online gaming company, provides infrastructure, data communication,

marketing support and service to facilitate a secure online lottery network.

Essel Sports ± pioneering sports initiatives with Indian Cricket League and

Mumbai Football Club to promote India in the global sports arena through an all

inclusive spirit of free and fair competition.

Suncity Projects ±  a pioneer in conceiving and executing a profusion of urbane

real estate projects arraying from townships to group housing to luxury

apartments to shopping malls and office complexes.

Asian Sky Shop- Indiaµs first Direct Response Television Marketing venture.

E-City Bioscope Entertainment Pvt Ltd ±  a chain of multiplex cinema±cum-

family activity centers across non-metro towns in India.

Fun Multiplex Pvt Ltd  - With a leading position in the Indianmultiplex

market, Fun Multiplex Pvt Ltd operates 70 cinema screens in1 9 cities andtwenty three

locations ± Ahmedabad, Mumbai, Chandigarh, Hyderabad,Guwahati, Gwalior, Delhi,

Ghaziabad, Lucknow, Agra, Jaipur, Bangalore,Panipat, Ambala, Karnal, Hyderabad,

Gulbarga, Panjim and Margao.

E-City Digital Cinemas Pvt Ltd  -The company was established in April 20 0  4,

and is committed to revolutionise the Indian movie business by implementingstate-of-

the-art digital technology, thereby eliminating print costs, curbingpiracy and offering

audiences globally benchmarked cinema-viewing with auniform audio-visual

experience. E-City Media Pvt Ltd  - E-City Media has been incorporated to bring

synergies

and to leverage upon E-City Ventureµs media assets. The on-screen and off-screen

media opportunities at E-Cityµs Cinema & Malls have amassed tobecome an attractive

tool ofcommunication for advertisers.

INFRASTRUCTURE_____________________________________

_____________________ Essel Infraprojects Limited ±  With Esselworld and

Water Kingdom, among the largest amusement theme parks, EIL is alsoengaged in the

development of roads, power plants, Sports complexes andSpecial Economic Zones.

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E-City Real Estate Pvt. Ltd ±  The Company behind the successful lifestyle

brand Fun Republic ± plans to develop and operate 20 million sq ft of retail real

estate by 20 1 1  .

E-City Property Management & Services (India) Pvt Ltd (EPMS)±  An E-

City Venture company that provides the most comprehensive and reliablemall/property

management and retail services in India, including overalloperations, marketing,

consultancy, occupant management, retail leasingservices and advisory services.

EDUCATION_______________________________________________

________________ Zee Interactive Learning Systems  - the education arm of

the group runs India's largest chain of preschool and high schools. Zee Instituteof

Media Arts provides training in media arts and technology while Zee Instituteof

Creative Arts is an animation training academy.