Monday, July 13, 2009

Time for a change @ Broadcasters and Brands

(Continued… from the previous post..)

One more defeat.. Just one more required and it will happen.

I think it's high time that brands have been loosing out money on Ad space on low TRP matches(especially those after India is out of the tournament) as well as on the efforts of building up the required hype towards a concept or a new launch.

I think brands have realised that they need to work out some kind of agreement before the tourney rather than, what they have tried to do this time by settling post the tournament.. I think this is going to affect the broadcasters with a new risk rather than anyone else on the line. Neither those brands are going to let it go, nor will BCCI give it away.

Neither the brands will let it go because of the loss that occurs to them in this kind of situation. Nor BCCI will give it away because it has a huge opportunity to encash if one broadcaster it not ready to go ahead with their wishes(you can find this always in their DNA from the way they handled ICL). So, this might at the maximum lead to a fall in the revenue that BCCI gets through sale of rights by 10-15% but ultimately, the risk of handling the brands and the agreement lies with the Broadcasters.

Here is how it might go for them.... The brands will pay a certain rate for the time India is in the tournament and they will pay a different rate whenever India moves out of the tournament. But, what if India moves out in the first round? What if they have gone out in quarter finals / semi finals? So, this is going to be a good task for the broadcasters to come out with a set of 3-4 tables with rates per slot for every brand.

And now how is it going to affect the advertising strategy for the brands??
The brands have suffered in two ways during these events. One is the direct loss in terms of monetary value. Second, is the loss on the strategy front if they have tried something new or launched a new product or service. I think you will not find ads with a new product launch during the tournaments like World Cup or that involves basically more than 4-5 teams... You will neither see a new juice/drink being launched nor will you see a major change in the brand communications happening around these times.


If Vodafone might have come out with the Zoo Zoo's during World cup, they might have never ended up so famous that even Mumbai Police wants to use them to spread awareness.. Or you might have never seen Zoo Zoo wallpapers on so many mobiles or PC's..

Similarly, If a new product/service is launched or if there is a major change in the brand communication it needs continuity for some time in terms of not the number of days on Air but with respect to the number of times it has appeared constantly to the same group of audience. And you will never be able to trust on getting this continuity in these tournaments. So, it will always be an IPL that the brands will favour rather than a World Cup or for that matter a T20 World Cup.

This will be a good space to watch for because, the brands will not come out with launches or new brand communication to break the clutter like Zoo Zoo's and still they will try to dominate the space with some brand communication which should not be costly in terms of brand ambassadors as well as it should not cost the image of brand if India is out of the tournament.

So, less of brand ambassadors but still, a big fight to grab the pie...
Open for Comments.....