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PROFESSOR’S NAME: MRS.

MASOOMA SAYED

PROJECT PRESENTED BY:


SARGAM RANA
39 A
F.Y.B.M.M
INDEX
CONTENTS PAGE NO.

COVER PAGE 1

INDEX 2

INTRODUCTION 3

4 P’S (PRODUCT, PRICE, PLACE, PROMOTION) 4-5

MARKET STRATEGY 6-7

COMPETITORS 8-9

BIBLIOGRAPHY 10
INTRODUCTION
About Tata Sky
Incorporated in 2004, Tata Sky is a JV between the TATA Group and STAR.
Tata Sky endeavours to offer Indian viewers a world-class television viewing
experience through its satellite television service.

The TATA Group is one of India’s largest and most respected business
conglomerates. It comprises diversified businesses in sectors such as materials,
engineering, services, energy, information systems & communications, consumer
products and chemicals.

The Group and its enterprises have been steadfast and distinctive in their adherence
to business ethics and their commitment to corporate social responsibility. This is a
legacy that has earned the Group the trust of many millions of stakeholders in
measure few business houses anywhere in the world can match.
STAR is a leading media and entertainment company in Asia. STAR’s parent
company, News Corporation, owns an International group of DTH businesses that
include BSkyB in UK, Sky Italia in Italy and Foxtel in Australia.

About Tata Sky+ (plus)


To put it simply, it is a service that will change the way you watch television
forever. Tata Sky+ is a premium set-top box with a personal video recorder that
allows you to record up to 45 hours of
live TV. Tata Sky+ gives you the power to record one programme while watching
another, pause
a live telecast and even rewind a TV programme that you are watching.
Pause Live TV + Record Live TV + Rewind Live TV
4 P’s
(PRODUCT, PRICE, PLACE,
PROMOTION)

• PRODUCT
TATA SKY & TATA SKY PLUS

Tata Sky satellite television service was launched on 8th August, 2006.

Unlike analog cable, customers able to watch all TV channels on Tata Sky+ in DVD quality
picture and CD quality sound. In addition, you can record live TV, play back a recorded
programme and pause & rewind live TV.

Tata Sky+ has MPEG4 technology, and an in-built personal video recorder that enables you to
record live TV, play back a recorded programme and pause & rewind live TV. These features are
not available on Tata Sky service.

• PRICE
Price: Tata Sky has offered competitive pricing but has been on the higher end and its due to
promotional campaigns it has added in incentives leading to increase in customer base. In search
of newer audiences in smaller towns, DTH operator Tata Sky is introducing a new Rs 99
package — Super Hit Pack.

Prices for TATA SKY are: Prices for TATA SKY PLUS are:

Rs. 1,499 Rs. 8,999


(inclusive of all taxes) (inclusive of all taxes)

Rs. 1,000 Rs. 1000


(inclusive of all taxes) (inclusive of all taxes)

Packages starting from Packages starting from


Rs. 125 Rs. 50
per month per month
(inclusive of all taxes) (inclusive of all taxes)
• PLACE
Place State Maharashtra Gujrat Karnataka Uttar Pradesh Tamil Nadu Punjab Orissa West Bengal
Kerala Andhra Pradesh Rajasthan Assam Madhya Pradesh Others Total Share (%)
12.1 10.5 7.2 6.9 6.6 6.4 5.3 4.7 4.6 4.6 4.5 4.0 3.8 18.8 100
Clearly, there is a lot of scope of increase in the number of customers across all the states.
Looking at the current distribution system that Tata Sky has adopted.
Including the local cable operators as distributors would be an extremely useful way of reaching
out to the target market: a. Staff of cable operators be made the distributors for Tata Sky
(familiarity with people)
All distributors be given a status of Tata Sky employees c. Attractive options be given to them to
become distributors Another focus could be the rural market. A snapshot of the rural market: a.
199 million total household in India b. 119 million (60% of total house holds) TV households c.
50 million are having Cable d. 55 million TV sets in rural area e. Rural TV households growing
by 3-4 million each year. f. Only 2-3 % of rural household have access to Cable g. Growing
focus towards more satellite channels Strategies for the rural sector can be: a. Customizing
offeringb. Combination of various national channels with regional channels c. Educational
Package d. Appointing the village head as Distributor and the promoter as the villagers tend to
listen to village head e. This can be supplemented by giving the connection to village head free
for initial period Another avenue that can be explored is Mini – Theatres (Class B towns) a.
Setting up Mini – Theatres in rural sector to promote the Product b. Events like Cricket matches,
movies etc. c. These Mini – Theatres can be the Point of Sales for Tata Sky.

• PROMOTION
1. Packages for Special Events like the cricket World Cup
2. Targeting Tata employees could be a useful way pr promoting the product
3. Give the option of instalments and other promotional schemes to the new users
4. Tie up with real estate developers to target the new constructions
5. Door to door marketing should be used to heighten the awareness levels as well
6. Local Games Sponsorships can also be used to increase the awareness levels
7. Another way could be using the prominent part of the Building for placing Hoardings of Tata.
8. Another new avenue that can be explored is the railway stations:
a. Posters on railway station roofs b. Tickers at Major suburban Railway stations
9. Use of Internet- Applications which involve sharing of videos on how one consumes TV,
benefits of DTH over cable TV, etc. across social networking sites like Orkut, ibibo, etc.
10. 'Ek-pe-Teen and Do-pe-Paanch' the offer entails three months of free subscription on the
purchase of one connection, and five months of free subscription on purchase of two or more
connections.
11. Tata Sky launched an interactive game quiz featured around MS Dhoni to coincide with the
Twenty20 World Cup. In the past, the DTH operator has been test-piloting feature by running
several contests around programmes and the interactive features were made available to its
customers.
MARKETING STRATEGY
Product Matrix TATA Sky’s target customers include various strata of the society, with different
service packages available to each one. To improve its performance in the competitive DTH
market, TATA Sky management should assess its brand positioning among its target segment by
establishing a distinctive image for the company compared to competing companies. But these
initiatives presents challenges, which TATA Sky is currently facing squeezed by rising costs,
sporadic nature of demand, and relentless downward pricing pressure due to competition. Adding
to it, slackening of demand, and higher interest rates are not welcome signs for it. With this in
mind, TATA Sky should try to be rapid-paced and highly competitive. To counter these
challenges and still be profitable, we have tried to suggest various strategies based on what will
suit demands in the Indian market and its consumer behaviour to increase TATA Sky market
share.
Current situation:
Tata Sky crossed the two million connections mark in a period of 20 months, thus retaining its
position as the fastest growing direct-to-home service provider across the globe. The marketing
budget that TATA Sky begun with was 15% of sales. This included around 5% for
advertisements, 7% discounts and promotions and 1% sponsorships. Currently TATA Sky has
roped in Aamir Khan as its brand ambassador. Aamir Khan would feature in all TATA Sky
brand and product communication, including advertisements in TV, print and radio. Further, tie
ups with ITC E-Choupal and Godrej Aadhar give it wider rural reach. Also for its distribution,
TATA Sky has a tie up with ITC International Business Division. The 24X7 guru.com has joined
hands with TATA Sky to provide content for Active Learning. Tata Sky has adopted a 360
degree marketing campaign approach that encapsulates television, print, outdoor and radio along
with on-ground activities and marketing on the digital platform. Tata Sky plans tie-ups with
Sony Pictures, Fox for content- Pay per View service for exclusive events.
Target: Tata Sky hopes to have about eight million connections by 2012.
Customer Service- 24 x 7 help. Support in 11 languages Considering a survey result, based on
consumers preferences:
♣ Guide (including Hindi Display) ♣ Search and Scan Banner ♣ Parental Control ♣ Active
Services Active Cooking Active, Stories Active, Newsroom Active, Darshan Active, WizKids
Active, Sports Active, Learning Active, Games Active, Astrology Active.
Current Situation - SWOT Analysis Strengths

Strenghts
1. Leveraging on brand TATA and High brand recall
2. Technological expertise with Newscorp’s DTH arm Sky 3. Superior Picture quality
4. Leads in introducing new packages & Services
5. Customer service
6. Rural penetration through ITC E-Choupal and Godrej Aadhar
7. Interactive channels and program guides
8. Innovative Product offering Tata Sky Plus

Weaknesses
1. Second Mover after Dish TV who captured Market Share
2. Cannot match free service like DD
3. Currently Does not offer free Set Top Box like Dish TV
4. Litigation due to issues related to sports channels which it lost
5. Dependency on broadcaster and had issues with Sun TV.

Opportunities
1. Larger disposable incomes with India
2.Tapping niche markets with Better service and Product offering
3. Expansion of distribution network through exclusive stores
4. Interactive advertising – Tie up of with Samsung
5. Increase in number of TVs sold
6. Increase in the geographical boundaries with Rural Market untapped
7. Growing demand for quality of service in the form of DTH over Cable
8. CAS being made Compulsory would encourage switch.
9. Value Added Services are gaining steam.

Threats
1. IPTV provides superior technology if implemented
2. Cable Set top Boxes provide easy switching due to negligible switching costs
3. Increasing Competition internally
4. Dependency on CPE suppliers to some extent 5. High dependence for transponders on ISRO
6. Dependency on broadcasters for their channel content and thus increase in cost
7. Videocon may enter DTH by building its own set top boxes.
8. No Exclusivity in Content and Rule of ‘Must Carry’
9. Cap on Investment (20%)
10. Interoperability Regulations
11. Cap on foreign Investment (49%)
COMPETITORS

DISH TV is India’s first direct to home entertainment service that has digitalized Indian
entertainment to bring to your home the best in television viewing through the latest in digital
technology. It not only broadcasts high quality programmes straight from the satellite to your
home, but also gives you absolute and complete control of what you watch and pay for. It is
almost like having your own satellite up in the sky.

With DISH TV you can unleash the true potential of your high-end television set and complete
your TV viewing experience with true DVD quality. If you are a connoisseur of good sound then
make sure you experience true stereophonic sound effects, which only dishtv can bring to your
home.

DISH TV takes television viewing to the next level as it supports various futuristic features like
Electronic Programme Guide, Parental Lock, Capacity up to 400 channels, Games, Interactive
TV, Movie on Demand etc.

Dishtv also brings you exclusive National and International channels for the first time in India!
You can enjoy all of these never-seen -before channels in uninterrupted viewing without any
transmission cuts.
Brought to you by a Zee Network Enterprise, dishtv has changed the face of the Indian
television home, bringing it at par with the global entertainment industry.

PACKAGES
*
BIBLIOGRAPHY
• PRINCIPLES OF MARKETING

• INTERNET
(www.google.com)