Business Standard

"Keep an eye on Bollywood and TV's convergence"

Q&A/ Rajesh Kamat

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Shuchi Bansal New Delhi

'Colors', the Hindi general entertainment channel (GEC) of Viacom 18, is preparing for a July debut. It may be the 11th channel in the genre, but Rajesh Kamat, CEO, Colors, the JV between Viacom Inc and Network 18, is confident that his "differentiated" and "disruptive" programming will win viewers. Kamat, 34, should know since he steered Endemol India, the Indian arm of the international television program format major for two years prior to joining Viacom 18. He's also worked for Coca Cola India and Star India. He spoke to Shuchi Bansal on Colors' plans and trends in the GEC segment.

Why did you enter the overcrowded Hindi GEC segment, especially since entry costs in the category are prohibitive?

Viacom Inc, with MTV, VH1, Nick and Paramount is a $13. 2 billion setup. Between Network 18 and Viacom, we have nine channels. Besides, we are present in print and the online space with websites like jobstreet.com, yatra.com and moneycontrol.com. So we have a captive audience. The most logical thing to complete the offering was a GEC. From our standpoint we are completing the pipe. We believe that audiences can be funneled into the network.

The same logic was given when you launched the teleshopping channel Homeshop 18. Does it work?

Homeshop 18 is different. In teleshopping you are trying to change a mindset. The Indian consumer is used to touch and feel. In the case of Colors, I want my share of the pie. Actually, Indians watch two hours of television every day on an average, while the American average is four-and-a-half hours. But I am not even talking about expanding the pie yet. We have to first get those 100 GRPs (gross rating points, that is, the weekly sum of TRPs), create a base and then get the other 200.

How difficult is it to get the first 100 GRPs?

It is easier said than done. It requires differentiated content, disruptive programming and good distribution "" and we have all the three. Mohe Rang De is differentiated content "" it's a love story but set in pre-independent India. The Akshay Kumar-starrer Khatron Ke Khiladi, an adaptation of Fear Factor, is disruptive. It is a 16-episode reality show with Bollywood stars. Besides, our programming schedule caters to both Bharat and India. Between 7 pm and 9 pm, small-town viewership is high, so the programming mix will be skewed to those markets. Finally, with the DEN-STAR joint venture, we enjoy good distribution in cable TV homes.

Khatron Ke Khiladi is hardly for the housewife who drives TRPs for a GEC.

A GEC must have cohesive viewing. There is something for everybody. Khatron Ke Khiladi is Bollywood's biggest action. The minute you have Akshay Kumar, you have Bollywood appeal. The minute you have 13 Bollywood starlets, you get a male skew. Season one of Fear Factor was on Sony. It got a rating of 5.6 per cent and nearly 55 per cent of its viewers were women.

To answer your specific question on getting the housewives to view the channel, let me say that it takes three to six months to get to the lady of the house. The conclusion is based on research. A typical fiction show takes three to six months to break a habit. So I, as a viewer, will first watch a new show during my Kyunki Saas Bhi Kabhi Bahu Thi breaks. Then I may see its repeat shows. After three months it becomes a habit. If you don't give a show a six-month window, then you are a financial investor.

What are your investments in the channel? Substantial.

It takes about Rs 750 crore just to get into the category...

Yes, a GEC takes in a lot of money. We will do whatever it takes. We are strategic investors. It is not an option between a mall and opening a channel. I am in it for the long term and it does not matter whether I break even in two-and-a-half years or three-and-a-half.

If you remove the logos, you can't tell the difference between Hindi entertainment channels.

People watch shows, not channels. Migration does not happen vertically on the same channel. The 7.30 pm consumer does not go to the 8 o' clock show on the same channel. At 8 pm, he goes elsewhere. India is a unique country where Star has been the unparalleled leader for a time. Nowhere does this happen.

Will you develop a new talent pool or use the same production houses that everybody else is using?

The first show, Mohe Rang De, is a Deepti Bhatnagar production. Also, foreign production houses like Fox and Sony Pictures are here. However, when Sony Pictures produces Power of 10 (Dus Ka Dum) for Sony, then you start to wonder. Dus Ka Dum (hosted by Salman Khan) is a Sony Pictures format and it goes to Sony. If it's a powerful format, it should have been thrown open in the market.

But your previous employer Endemol also broke a contract with Sony and moved the show with you to Colors.

Endemol is a global format owner. If super bowl ran on one channel in the first season, in the second season it can run anywhere unless you have explicitly signed and paid for the content. But if you keep me hanging for six months to a year, I have the right to turn around and say 'thank you'. That's the game. Formats move across broadcasters for international format owners. It's a simple sale "" they go where they make the most money.

TAM data shows that GRPs of the regional channels are growing.

Certain markets like Maharashtra and West Bengal are responding very well to regional channels. As a trend, regional viewership is going up as a fair amount of investment is going into regional channel content. The gap is reducing in terms of the quality of production and big stars working for regional channels.

What after Colors?

Ditto. This is the flagship channel. Movie and regional channels will follow. We'd definitely want to grow the regional pie.

Your take on the Indian broadcasting market five years down the line?

More viewers, a shakeout and then consolidation "" that will be the pattern. I don't know whether it will happen three years, five years or seven years from now. Consolidation does not mean channels will shut down. Media conglomerates "" the biggies, both foreign and Indian "" will acquire them. There will be five or six major players. Also, you are seeing seamless boundaries between TV and Bollywood. This convergence of Bollywood and TV is something you need to keep your eyes on.


Disclaimer: These are personal views of the writer. They do not necessarily reflect the opinion of www.business-standard.com or the Business Standard newspaper

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First Published: May 16 2008 | 12:00 AM IST

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