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_by
Priyadarshini R
Ponmathi S
Raaj Koushik N
Kavitha S
Madhumitha B
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Äou should be offering what is not

available in the market.
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@ Direct response television shopping

@ Placing order directly before the customers and

motivating to take immediate action.

@ Catalog and direct mail retailing

@ Interactive/online home shopping.

@ In-studio method

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[ Utility products- ajority of sale

Such as : fitness devices, healthcare/auto care products,
household appliances and electrical devices

[ · lue expressive products- Vow sale products

Such as: jewellery, apparels and, home décor
US HOME SHOPPING NETWORK,
QVC,TELEBRANDS

BELGIUM LTA SHOPPING

GERMANÄ H.O.T, QVC

ITALÄ HSN-SBS ITALIA, SHOPPING
AMERICA
JAPAN SHOP CHANNEL
EUROPE TV SHOP
ISRAEL C.E.D
AUSTRALIA TVSN
KOREA LGHS,CH 39,CHANNEL HOME
SHOPPING
CHINA CHINA SHOPPING NETWORK
BRAZIL SHOPTIME
UK QVC
INDIA ASIAN SKÄ
SHOPPE,TELEBRANDS
  
@ ðuying time slots on popular channels that had high
penetration and enjoyed good viewership among the
target customers.
@ Providing a special product code for every product and
displaying it along with its price
@ Setting up call centers in various cities, on the basis of
the scale of operations and the extent of penetration
expected.
@ Providing viewers with telephone numbers of these call
centers and asking them to call their nearest call centre
for further enquiries or to order the product.
  

@ TÄPE 1:
People using the profit over a period of time in various walks
of their life and getting benefitted from it.
@ TÄPE 2:
Featured between TV programs, at the end of the infomercial
they provide their telephone number prompting viewers to
call them to place an order.
@ 30-60 minute program about the product.
@ Infomercials not commercials
  
Ê In countries like US and Australia teleshopping
had dedicated 24 hrs home shopping channels . Its
market in US valued around $2 billion in 2000.
Ê However it was not successful in other parts of the
world due to lack of innovation offerings, poor
promotion & advertising techniques and lack of
awareness among consumers.
Ê ðy 2001 its total business in world amounted to
over $ 5 billion.
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@ In early 1990s Indian laws prohibited customers to
import products, without acquiring prior
permission from the regulating authorities.
@ These laws also restricted the repatriation of money, without
the prior permission of the country·s central bank, RBI.
@ This was a major reason for the evolution of teleshopping in
India unlike US, where teleshopping evolved due to the
changing societal norms.
peleshopping m rketing during l te 1990¶s

o peleshopping companies targeted segment premium-end p

viewers, with high purchasing power which were mainly nuclear
families pursuing career

o Offered value for money products such as electronic goods, fitness

devices, home appliances and toys

o It used to import products from abroad to India

o India-based networks such as ASK also offered products made in

India apart from their imported range.
peleshopping m rketing during e rly 2000

@ Vocal player entered the teleshopping market through local

cable channels

@ peleshopping market players started offering customized

products such as Jewellery with birth stones..
@ phough teleshopping market was showing positive growth
trend, its growth rate was much below the expectations of the
players involved. ost of the teleshopping networks in the
country were not making any profits.

@ Example: -
pSN had closed its teleshopping activities in 2002 and was
concentrating only on online retailing (www.tsnshop.com).
pele-brands was the only one to sustain in the market with
profits.
 p 
TARGET : premium-
end viewers, with high
purchasing power

PLACE : Home

PRICE: No barrier for

innovation and quality
Comparatively cheap
 p   
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@ Innovative and value for money products.
@ A select range of imported products were offered that mainly
included electronic goods, fitness devices, home appliances and
toys.
@ The networks sourced their products with help of their agents,
both in India and abroad.
@ In some instances, the manufacturers of the products approached
the networks directly for marketing and distribution of their
products.
@ The products offered were divided into two categories_UTILITÄ
PRODUCTS and VALUE-EXPRESSIVE PRODUCTS.
 p   p
@ Functional Congruity
@ Self Congruity
@ Early bird Offers
@ Price Discounts
@ Combo Offers
@ Freebies
@ Money Back Guarantee
@ phough teleshopping market was showing positive growth
trend, its growth rate was much below the expectations of the
players involved. ost of the teleshopping networks in the
country were not making any profits.

@ Example: -
pSN had closed its teleshopping activities in 2002 and was
concentrating only on online retailing (www.tsnshop.com).
pele-brands was the only one to sustain in the market with
profits.
 

In case of buying a luxury car, the consumer behavior may be

based on following aspects

[ Status symbol
[ Family and friends
[ After sale service
[ Brand
[ Comfort
@ phe µover-enthusiastic' and 'chirpy' foreign models that
appeared in the dubbed infomercials were criticized on the
grounds of being rather awkward mouthing dialogs in Hindi
and other regional languages.

@ Network only focused on metros and ð-class cities neglecting

towns and semi- rural areas.
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SWOp ANAV
SIS

OF pEVESHOPPING
ðUSINESS IN INDIA
 SpENGpHS

@ It can be done conveniently- phe product can be watched on

television and ordered on phone.

@ Focus on innovative and value for money products. Such products

are not easily available in the market such as disease curing teas,
wondrous kitchen and household equipments, innovative fitness
devices and toys.

@ A strong distribution network- phe distributors are across the major

cities and provide their telephone numbers for further enquiry which
facilitates the buying process.

@ Credit cards are also accepted to respond to their offers.

 WEAKNESSES
o Higher prices- Products were prized between
s.1000-5000. Customers were unwilling to pay
this amount for lifestyle products.

o Dubbed infomercials hampers the prospects

of teleshopping market as cultures and languages
vary.
o phe distribution networks focus mainly on
metros and ð class cities.
o peleshopping in India focus mainly on
educated and premium end customers.
 OPPOpUNIpIES
@ Changes in life style and a general improvement standard
of living can help teleshopping pick up momentum.

@ Opportunities exist for teleshopping in the customer base

of convenience-seeking people and the middle class
population as they are more towards trying out
innovative products and concepts.

@ po boost the growth they can offer online-shopping

services through retail websites.
 pHEApS
@ phe Analysts- phey question the reliability of the product
and its effectiveness. phis could lead to negative impact
on consumer behavior about the products offered.
@ Abundant supply of imitated , cheaper versions of these
products by local entrepreneurs.
@ Emergence of interactive home shopping. phe retailers
and consumers use interactive electronic systems to buy
products online.
@ Vack of online purchase awareness among the consumers
and the low rate of credit card penetration in India can
hamper growth of teleshopping market in India.
@ prusted shopkeepers of the customers to buy
expressive products like jewellery , apparels and
home décor.
@ phe increasing competition among the various
teleshopping firms in India.
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@ Success depends ´Highly on ability of marketer to deliver the
goods on time to his valued customer along with other stipulated
parameters..µ
@ Perceived value of the product should exceed its price.
@ Air time ² a critical success factor (enhancing their reach by
repetitive presentation of the product both during peak and slack
hours on various channels)
@ Effective payment system in the country that enables immediate
money transfers at low risk.
@ Gifts offers and discounts should be allowed.
´Success depends upon ¶unique product·,¶good pricing· and
¶credibility·«.µ

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@ Retail websites
@ Retail outlets
@ 24 hour teleshopping channel
@ Celebrity endorsements
@ Timing of the program
@ Touch and feel concept is of great importance in India.
p 
@ India·s middle class population is said to increase to 583
million by the end of 2025 according to Mckinskey .
@ These are the potential target for teleshopping.
@ They making 41% of the population will see a 58% increase
of their income from today's Indian income (11 times
increase).