Few takers for tourism promos

Having failed to receive even a lukewarm response to the open tender for marketing India as a tourist destination overseas, the ministry of tourism has decided to extend the deadline by over a fortnight to mid-August.

While the ministry maintains that it had received "a few" responses, sources in the know told Business Standard that only two advertising agencies had bid for the prestigious campaign - the government-owned Ashok Creatives in alliance with Span Communications and Grey Worldwide, which was involved in the last "Incredible India" campaign.

The tender was for marketing India in Europe, the United States and Asia Pacific, with two separate segments for print and television.

Union Tourism Minister Ambika Soni confirmed that the deadline has been extended. Sources in advertising agencies said the cold response was because of some restrictive clauses incorporated in the financial bid document.

Any accredited advertising agency, which proposes to bid for the campaign, has to substantiate its bid with that of a channel. "It is mandatory that all agencies submit signed letter, fax or e-mail from television channels, authenticating the cost quoted. In case the same is not enclosed, the bid will be rejected," the clause says.

But when the agencies approached international channels, they offered a similar rate card for all. Also, the empanelled agencies of the ministry, which had earlier provided creatives for the consolidated media plan, said that they were at a loss as the tender was open to all eligible agencies, whether included in the panel or not.

Seeing the minimum account size of the campaign and hassles in the recovery of finances, many premier agencies have decided not to pitch in for the campaign.

The earnest money deposit requirement of Rs 40 lakh for the bid has also acted as a deterrent for accredited agencies.