Going Local

Presented By:

12176, 12178, 12201, 12204, 12207, 12209, 12213, 12215, 12216, 12217,

1985Cable educational network launched a new channel called Iceberg alley

1987, Entered into an agreement with Mitsubishi Corporation to telecast in Japan

1989, Company’s programme launched in the UK in 1989

1990, Discovery Interactive Library

1994, Programme launched in Latin America

1991, Acquired The Learning Channel(TLC)

1997, Animal Planet made International Debut

1995India & Canada

1996, Brazil

April 2000, reached milestone of 100 million subscription outside USA in 146 countries

Oct 2001, More than 400 Millions worldwide, World’s most widely distributed TV brand

September 2000, Animal Planet reached 100 Million subscribing household mark

2004, Discovery Communications reached 1 billion cumulative subscribers worldwide

Time Line

World Number 1 Non Fiction Media Channel

The channel’s revenue was over $ 3.5 billion at the

end of 2009

Reaches more than 1.5 billion cumulative

customers worldwide

Facts About Discovery Channel

Discovery ChannelThe Leaarning ChannelAnimal PlanetScience ChannelInvestigation DiscoveryPlanet GreenDigital Media Services

More than 100 network Channels

Prescence in over 180 Countries

Discovery Channel’s launch in India

Discovery Networks Asia Pacific was first established in 1994

During Launch:Major Competition: Doordarshan & DD Metro

Major Programmes:

Hum LogBuniyadMahabharatEarly 1990s: Star TV

First Channel to provide Infotainment in India

Program Themes:NatureHistoryScienceTechnology

Language of delivery: English

Contents substantially different from family dramas and soap operas.

Parents happy with the nature of programmes because of educational content

Discovery faced the problem of positioning.English transmission: Meant limited reach.Distribution Problems: Rs. 5/ household subscription Price

The Problems Underlined:Need to rework Brand RepositioningExtensive Advertising & Brand building exerciseIncreasing the reach

Market Research Studies revealed:Discovery viewers are largely educated middle aged urban Males.Socioeconomic A & B ClassChannel struck chord with Adults as well as kids

The Issue:

Research Indicates:

Channel need to further reposition itself Reach out to target audience better.Be more responsive to its viewers Viewers are not aware about:

Programme Content

Broadcast Timings

Solutions

Discovery Global Portfolio

A Paradigm Shift

MD stepped down

Kiran Karnik

Deepak Shourie

PartnershipTwo hours telecast of show in Doordarshan in Hindi

Sampling

Problem Persists, Regional Viewers were not drawnRevenue Sharing Agreement

New Market Research

The channel needs to reposition itselfReach out to target audience betterBe more responsive to customers Shed Serious

Channel TagCommunication needs to be enhanced

Issues closely linked

Fun Programmes

Junkyard Wars: A

competition for kids

Fabulous fortunes

For Middle Aged

people

Understanding Sex for teenagers

To close the gap in

communicating and availability

of such programmes

Other Programs;

Tech TuesdaySuperstructures of the worldWoman’s hourAmazing AnimalsLate night discovery

Something for everyone aspectGreater Variety in comparison to Nat Geo

Women’s & Kid’s viewership increased by 20%, Prime viewership by 40%

Marketing Initiatives

Quiz Contest for kids

Increased AwarenessGarnered Market ShareAdvertisers convinced that Discovery has considerable market share

A partnership with canon India ltd.

Imaging Contests in Cities like:

DelhiMumbaiHyderabadChennaiBangalorePuneAhmadabad

Discovery Exhibition

Popular Mechanics for kids: classes 6th to 9th

Lucky DrawsOnline

2002, June

A JV with Sony Entertainment Television(SET)Sony held 76%

50% Increase in advertisements revenue

Discovery Network Asia Pacific boasts 458 million cumulative subscribers throughout 32 countries

Services Marketing:

Tangibility:

1.Knowledge2.Information3.Experience

Inseparability:

The information/knowledge cannot be separated from the presenter. For example, the show called, “The crocodile Hunter” cannot be separated from its presenter “Steve Irwin”, that’s why the channel discontinued with the show after the death of the presenter.

Heterogeneity: The programmes cannot be same in each and every territory. Discovery showing tailor made programmes in India as Konark; the chariot of sun is a testimony of heterogeneity.

Perishabillity: If for a particular programme, audience is not available, the revenue is lost. For example, Discovery kids is telecasted between 3 pm- 4 pm . If the audience is not there or the reach is not there , then there is a lost of revenue and advertising revenue.

Concerns

Whether Discovery can obtain increased viewership or will struggle to retain it’s existing share. This is the challenge

Solutions for Concerns

Discovery can have tie ups with other channels. The same way they did at the start of their stint in India. The only difference is that they can have the programmes, produced by other channels telecasted on their channel.Other solution can be to start an animation/cartoon slot, as the kids are more attracted towards such cartoons. This will be an answer to the indirect competition.

Discovery will any way have the first mover advantage. So people will always see Discovery as the premium channel.Though Discovery should be aggressive in it’s approach and look for programmes which are relevant to Indian Mass. For example , the Indian diaspora is very much inclined towards Cricket and Bollywood.Hence programmes like:Making of the Test cricket champion,100 years of Bollywood.Biopic on great cricketers or sportsperson can be made.Award-winning documentaries

Problems Faced:

1.How can Discovery continue to make a mark and retain its audience?2.What can be its strategies to differentiate itself from the competition?3.What new promotional strategies can the channel come up with?4.Is there any way to increase revenues except through airing advertisements during its programmes?

1.How can Discovery continue to make a mark and retain its audience?

1. Lingual translations/ subtitles.2. Industry Concerted series of 7-8 episodes.3. Documentaries of regional achievers/successful women achievers.4. Organise adventure camps, country visits.5. Offer same channel in different languages through lingual translations.

2. What can be its strategies to differentiate itself from the competition?

We can have a show like, “ Rendezvous with successful people”. For example: Amitabh Bachhan Sachin Tendulkar Rajnikanth Chandra Kochhar. Nitin Paranjpe.

A show on successful entrepreneurs. Camping with some colleges, superbike groups, and telecast it as a part of series.Social networking Sites. People can post adventure videos, which will be telecasted in the channel.Collaboration with youth channels and youth programmes like MTV and MTV Roadies.

Discovery can sponsor some tasks of Roadies, that will increase the visibillity.

3. What new promotional strategies can the channel come up with?

Sensible Videos in different channels like Doordarshan, You tube. Discovery awards for bravery CSR campaigns for stray dogs, PETA(Animal Planet) Film Screening in schools. A learning platform for students to learn Science. Collaboration with Google& Microsoft. Combo-Pricing and product shuffling Behind the Scenes- a new era. Discovery Smart kids Competition in collaboration with Britannica/ Encarta. Social Media. Self Made Video.

4. Is there any way to increase revenues except through airing advertisements during its programmes?

Through Merchandising:

DVDs of shows, series Toys for kids Apparels Adventure gears.

Through Subscription: Cable TV Direct to home Interactive Television.

Add new channels in the portfolio like Discovery toons.Open Sourcing.

Apply the strategy of:ConvinceConfuseCorrupt