SUPER HITS 93.5 RED FM

SOUTH ASIA FM LTD.

OPERATIONS & MARKETING

A

SUMMER INTERNSHIP PROJECT REPORTON

“Operations & Marketing”

AT

“South Asia FM L.T.D”

(Formally known as Super Hits 93.5 Red FM)JAIPUR

SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTOF

PGDM PROGRAMME

Prepared by:ANIKET PUROHIT

MBA (2nd Semester)2010-2012

POST GRADUATE CENTER Institute of Rural Management, Jodhpur

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ACKNOWLEDGEMENT

I take immense pleasure in thanking Mr.Atul Pareek, for

having permitted me to carry out this project work at their

esteemed organization Super hits 93.5 Red FM.

I wish to express my deep sense of gratitude to, Mr.Atul

Pareek Station Head, Superhits 93.5 Red FM for his able

guidance and useful suggestions, which helped me in

completing the project work, in time.

Needless to mention that Mr. Atul Pareek, who had been a

source of inspiration and for his timely guidance in the conduct

of my project work and for all their valuable assistance in the

project work.

It was my pleasure to do summer internship with Super hits

93.5 Red Fm.

Aniket Purohit

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TABLE OF CONTENTS

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Chapter No.

Topic Page No.

Preface

Acknowledgement

Executive Summary

1 Research Methodology

1.1 Research Objectives

1.2 Scope of study

1.3 Type of Research Design

1.4 Quantitative Research

1.5 Data Sources

1.6 Methodology

1.7 Research Tool

1.8 Questionnaire and Sample Design

2 Introduction to Radio Industry

2.1 History

2.2 Radio Characteristics

2.3 How Radio works?

2.4 Radio in comparison with other media vehicles

2.5 Future Scenario

2.6 Porter’s Five Force Model

3 Red FM Company Overview

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3.1 Introduction

3.2 Departmental Analysis

3.3 Management Control System

3.4 Marketing Plan – 7 P’s of marketing

4 Data Analysis & Interpretation

5 Conclusion

8 Bibliography

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RESEARCH METHODOLOGIES

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OBJECTIVES OF THE STUDY

To analyze the existing players in the market and their positioning strategies.

To compare the existing players with Red FM in terms of different attributes.

To design perceptual maps displaying all the players in terms of different

attributes.

To draw a performance matrix for Red FM in order to help them make

amendments in the existing strategy in order to become the leader.

SCOPE OF THE STUDY

The study of the consumer behavior has been done to understand the

listening pattern of the consumers for all the players and accordingly

promote Red FM.

Research for the consumers was carried out randomly from various places

within Jaipur city.

Consumers who were focused for the survey were a homogeneous mixture of

men and women again of different age groups.

The respondents comprises of working men and women, businessmen,

housewives, students, college goers (youth).

Educational Background of the target audience would be classified into the

following categories.

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School students, Graduates, Post graduates, service, Business, Homemakers.

Attributes of Perceptual Mapping for all the players of the

industry:

Radio Jockey

The radio jockey’s famousness, communication (ability to connect

with the audience), voice, language etc. defines the popularity of

radio station.

Music Preference

The old hindi movie songs , latest movie songs, remixes, regional,

gazals, etc.

Shows

Morning shows, afternoon shows, evening shows and night shows.

Information

Traffic updates, awareness campaigns.

Sparklers

Pranks played by different RJ’s.

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TYPE OF RESEARCH DESIGN

Descriptive research is used for the project.

QUANTITATIVE RESEARCH

A survey of listener’s in Jaipur is done. The survey is done by questionnaire

which comprises of open ended as well as close ended questions.

SOURCES OF DATA

Primary Data

Primary data is collected through survey of listener’s.

Secondary Data

Secondary data was collected from internet, and magazines.

METHODOLOGY

The method used for survey is structured questionnaire.

RESEARCH TOOL

Questionnaire

QUESTIONNAIRE DESIGN

The questionnaire comprise of open ended and closed ended questions.

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SAMPLE DESIGN

SAMPLE SIZE: 200

SAMPLING TYPE: Convenience Sampling

Age group of 18 to 35

Occupation Distribution:

o School -

o Graduates -

o Post Graduates -

o Service -

o Business -

o Homemakers -

PILOT STUDY

A pilot survey of -- consumers was done to ensure that the questionnaire

is correct and relevant of research objectives.

SURVEY

Once pilot study was over, actual survey was conducted.

DATAANALYSIS

Result of the study was put in tables and graphs along with interpretation

for easy understanding of the findings of the research. Accordingly the

charts and perceptual maps were generated from the tables.

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INTRODUCTION OF RADIO INDUSTRY

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HISTORY OF RADIO INDUSTRY

Radio broadcast commenced in India in the early 1920’s. It is one of the

oldest and the most accessible segments of the entertainment industry. The history

of radio broadcasting in India dates back to 1923, when the first radio program was

broadcasted by the Radio Club of Bombay.

All India Radio (AIR) established and operated by the Ministry of Information

and Broadcasting (MIB), was the only player till the FM radio privatization process

was initiated an the year 1999. The phenomenal reach of radio in India, more than

any other medium of entertainment or information, makes it hard to ignore.

For more than 4 decades, the government of India did not permit private

radio station to broadcast in India. Then history changed its course. In 1993, the

government in its wisdom, allowed private FM operators to buy blocks on All India

Radio, prepares programming content, book commercials from advertisers and

broadcast the whole lot. Within 4 years (1997-98), the FM radio advertising and

sponsorship business grew to Rs 93 crores with Times of India’s Times FM & Mid-

day group’s Radio Mid-day becoming the main players.

History was destined to change course once again. In June 1998 the

Government, through its electronic media regulatory body PrasarBharti, decided

not to renew contracts of private FM operators. Not surprisingly, the advertising

revenue fell 50% within a year.

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As destiny would have it, history changed course once again. This time, the

government gave the green light to privatize radio in India. July 6, 1999 was the

history day when the government announced that 150 new FM channels would be

licensed across 40 cities.

And in 2000, the government auctioned licenses for private FM channels to

bolster the revenue. The highest bidder wins was the order of the day. And the

focus on metros was evident in the bidding. Expecting to collect Rs 800 million

from auctioning 108 licenses, the government had to actually face mass

withdrawal of the bidders of the huge license fee. A handful of serious bidders

choose to remain.

In 2001, some of these players have started launching their channel. The

government’s tenth plan stipulates that private operations are to be encouraged to

provide FM radio service in metros and small cities. They announced Phase 2 of the

privatization of FM radio, which was an initiative in line with the road map laid out

in the tenth plan.

A total of 338 channels in 91 cities across the country were made available for

bidding by Indian private companies. FM Policy Phase-II has been well accepted by

all stakeholders, which resulted in huge growth not only in FM radio industry but

also in employment opportunity and has also created a demand for FM radio in

other cities. The government has recently also announced Phase 3 of privatization

of FM radio which is expected in April 2010. At present the industry is seeing the

upward trend.

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RADIO CHARACTERISTICS

Radio is a cost effective medium to advertiser

It offers reach, frequency, impact and economical advertising solution for the

advertisers. Radio advertising rates are low on cost per thousand (CPT) basis

as compared to other media.

Excellent complementary medium

Radio forms an excellent complementary medium to television and print. It

can extend the reach of a campaign, focus the delivery, and enhance or

reinforce a message.

Interactive medium

Radio speaks to its audience in a highly personal manner. Listeners build a

relationship with their local radio personalities-a rich resource into which the

community can tap.

Low content costs

Unlike television, radio does not require any commissioned original content.

Most of the content n radio is live. The biggest content i.e. music, requires a

royalty which is payable to the relevant societies viz. Phonographic

Performance Limited (PPL) and Indian Performing Rights Society (IPRS) and

certain music companies.

Prime time differs from television

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The prime time for radio listenership differs from prime time television

viewing. Radio listenership peaks in the morning, afternoon and late night

time slots, while television viewership reaches its peak during the night slot.

Delivers relevant audience

Listenership of radio as indicated by the Indian Listener ship Track (ILT)

survey is the highest as a percentage among the younger audience.

Ambient Medium

Easy to consume, you don’t have to make an extra effort to entertain yourself

Encircles the audience

A Good Partner

It travels with the audience, wherever they go all the time. It begins where

the print ends. Last medium consumed before purchase.

Local

Radio is a local medium. Provides a good platform for area-specific

campaigns. Very Low Spill-over.

Reminder Media

People generally tend to forget things. Here radio helps the ad-messages by

reminding the people at the right time & place

Clutter Breaking

Radio helps in breaking the clutter for any advertiser as ad-avoidance is very

low in this medium

Innovative

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We can execute n-number of innovative ideas. Can generate quick response

of any campaign.

HOW RADIO WORKS?

Radio waves" transmit music, conversations, pictures and data invisibly through the

air, often over millions of miles -- it happens every day in thousands of different

ways! Even though radio waves are invisible and completely undetectable to

humans, they have totally changed society

AM Waves

AM stands for amplitude modulation.

AM was the dominant method of broadcasting during the first eighty years of

the 20th century and remains widely used into the 21st.

AM radio ranges from 535 to 1705 kHz. These are the numbers you see on

your AM radio dial.

AM radio technology is simpler than FM Radio.AM radio waves are of a lower

frequency than either FM radio or TV waves.

Stations can theoretically be placed every 10 kHz, along the AM band. This

means that there are a total of 117 different channels available for AM radio

station.

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One cannot put stations on the same frequency that are too close together in

geographic area. They will interfere with each other. Therefore there is a limitation

in the number of radio station in an area.

Since the signals of station tend to be limited in their range, the frequency

can be used many times- as long as the stations are far enough apart

geographically.

How far an AM station’s signal ravels depends on such things as the station’s

frequency, the power of the transmitter in watts, the nature of the transmitting

antenna, how conductive the soil is around the antenna, and, a thing called

ionospheric refraction.

Ionospheric refraction is a very big issue, since AM radio waves can end up

hundreds and even thousands of miles away, and in the process interface with all

other stations on the same frequency.

AM radio stations the ground wave doesn’t go very far. This means numerous

stations can be put on the same frequency without interfering with each other.

The problem arises-if you want to see it as a problem-with the sky wave, which

can end up in other states and provinces, or even in other countries.

The ionospheric is much more effective in reflecting these radio waves at night.

That’s why at sunset most AM radio stations:-

Reduce power

Directionalize their signals (send it more in some direction than

others), or go off the air

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This may explain why your favorite AM radio station goes off the air at sunset, or

becomes much harder to hear.

FM and TV Waves:

FM stands for Frequency modulation.

FM and TV waves don’t act in the same way as AM radio waves.

FM is on a higher frequency.

The FM radio band goes from 88 to 108 MHz. FM radio stations must be

200 kHz apart at these frequencies, which mean that there’s room for 200 FM

stations on the FM band. But unlike, AM

Radio station, FM station doesn’t end up being assigned frequencies

with nice round number like 820 or 1240. Thus, an FM station may be at 88.7

on the dial.

You may have noticed that FM stations don’t reduce power or sign off

the air at sunset. That’s because ionospheric refraction doesn’t appreciably

affect FM or TV signals.

For the most part FM and TV signals are line of sight. Although this

means that FM stations don’t interfere with each other, this characteristic

creates a couple of other problems.

First, these waves go in a straight line and don’t bend around the earth

as AM ground waves do.

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They quickly disappear into space-which may be fine if you are sitting

on mars trying to listen to your FM radio.

If not, then the farther away from the FM or TV station you are, the

higher you have to have an antenna to receive the FM or TV signal. Note that

the earth is round-we hope this does not come as a shock to anyone-and,

therefore, these signals will literally leave the earth after 50 miles or so.

Since FM signals are line of sight, they can be stopped or reflected by

things like mountains and buildings. In the case of solid objects like buildings,

reflections create swishing sound when you listen to FM while driving around

tall structures.

The higher the FM transmitter antennas are the greater area they will

cover-which explains why these antennas are commonly very tall, or placed on

top of the mountains. AM radio doesn’t need that kind of advantage, since, as

we’ve seen, AM radio waves don’t behave in the same way.

Note also from the drawing above the FM signals tend to go through the ionosphere

rather than refracted form it. Again it means that no matter what the station power, its

signal at some point leave the earth.

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Radio in comparison with other media vehicles

Medium Start Date Current Reach

Newspaper 17th Century 32 Cr Readers

TV 1960 45 Cr Viewers

Radio 1975 17 Cr Listeners

Internet 2000 5 Cr. Visitors monthly

Mobile 1996 44 Cr users connections

Source: Roy Morgan Research single source data (People 14+); Jan - Dec 2008

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RADIO + TELEVISION

Radio adds Rs 5crore exclusive listeners to a TV plan

Source: IRS 20009 R1

Radio is a Reach Builder in Mornings & Frequency Builder in Evenings, complements TV plans

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That’s an incremental reach of 11% to a TV plan

Population reached in crores

RADIO TV

Radio is a reach builder in the morning

And a frequency builder in evening

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RADIO + PRINTBrand Awareness Increases Dramatically For Print + Radio Campaigns

The audience exposed to radio generated almost three times thebrand recall compared to the audience exposed to newspapers only.Source: A Study by US Radio Advertising Effectiveness Lab (RAEL) Radio adds an exclusive audience of 11 crores to print.

The Audience Are Able To Provide Much Better Message Playback, For Pr I nt Radio Campaign

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Population reached in crores

Great medium to support / boost any print

Radio Offers Effective Targeting

Brands can focus their activity around Key Target Groups on Radio

Audience Profile Varies Across the Day; thereby allowing ‘Day Part’ Targeting

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FUTURE SCENARIO

The Indian Media and Entertainment industry is forecasted to grow at an annual

growth rate of 19 per cent to reach Rs 83,740 crore by 2010.

The forecasted CAGR of various segments of the Media and

Entertainment industry in India till 2010 is:

Radio - 32%

Music - 1%

Television - 24%

Film Industry - 18%

Print Media - 12%

The forecasted size of the various segments of the Media and

Entertainment industry in India till 2010 is:

Radio - Rs 1,200 crore

Music - Rs 740 crore

Television - Rs 42,700 crore

Film Industry - Rs 15,300 crore

Print Media - Rs 19,500 crore

The government has announced Phase 3 of privatization of FM radio which is

expected in April 2010. Therefore large number of radio stations, across the country

is expected to grow. At present the industry is seeing the upward trend.

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Porter’s Five Forces Model Bargaining power of

BuyersHigh Buyers (listeners as

well as advertisers) do not face significant switching costs

Advertisers are extremely price sensitive. Listenership tastes frequently change, providing little loyalty to any particular radio station.

Advertising buyers dictate radio programming choices

Bargaining Power of theSuppliers

Low - Medium Since most suppliers to Broadcasters have either been acquired/ have a tie-up with the broadcasters, the bargaining power of suppliers is low.

Threat of New Entrants Low High start-up capital is a big demotivator.

New entrant has some problems finding skilled professionals. Serviceable used equipment is expensive.

Long-lasting economies of learning and scale also demotivate the potential new entrant

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Threat of Substitutes Medium Customers incur no switching costs. Also, adequate substitutes are available.

Possibly, One Broadcasting medium substitute for the other(CD’s as a replacement For Radio).

Intensity of Rivalryamong Competitors

High Larger firms have created a critical mass, capacity to induce users to subsidiaries

Companies and products, created size by consolidating complementing firms. There are significant brand identities and product differences. Competition is fierce;

Ethics are often questionable. Exit barriers are low

Note on Porter’s 5 forcesAs we see, the Industry could be classified as relatively unattractive since the power of the forces is high. We note that the buyers are primarily listeners and also advertisers. Also, content providers who don’t have any contractual arrangements with broadcasters can leverage the online revenue models directly.

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COMPANY REVIEW

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From ‘AsliMasti’ to ‘BajaateRaho’, Red FM maintains its music muscle.

Red FM is an Indian FM radio brand, with stations broadcasting at 93.5 megahertz in the cities of..

Mumbai, Delhi, Kolkata, Kanpur, Jamshedpur, Bhopal,

Gwalior,Jabalpur, Indore, Nashik, Aurangabad, Nagpur,

Bangalore,Mysore, Mangalore,Gulbarga,Kochi,Trivandrum

Trissur, Kannur, Kozhikode, Hyderabad, Vijayawada, 

Vizag, Warangal,Rajahmundry,Tirupathi,Ahmedabad, 

Vadodara, Lucknow, Aizwal, Allahabad, Varanasi, 

Jaipur, Bhubaneswar, Asansol, Siliguri, Gangtok,

Guwahati & Shillong.

It was launched in 2002, playing a mix of Hindi and English songs. However, the programming is now 100% exclusively Hindi.

Today, Red FM is known as the ‘Station for Expression' to the common man and its famous tag line ‘Bajaate Raho!' is already part of common parlance!

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One of the MOST AWARDED BRANDS in the industry, Red FM boasts of over 70 awards including the award for the BEST FM BRAND, BEST FM STATION, BEST RJs, etc.

Superhit Music, Superhit RJs, Superhit Movies and Superhit Cricket - that's what Red FM stands for. BajaateRaho.

The channel is owned by Kalanidhi Maran, with a 48.9% stake, as well as minority holdings of Hyderabad-based IT company Value Labs, NDTV, Astro.

It was acquired from India Today promoter Living Media in January 2006.

Their punch line is 'BajaateRaho' (Keep Playing). Starting August 14, 2009, S FM or Suryan FM was re-branded into RED FM across 50 cities in INDIA.

S FM took over Red FM in August, 2009 and re-branded all its stations to Red FM except for the ones in Tamil Nadu.

SUPERHITS 93.5 RED FM, of SAFL (SOUTH ASIA FM LTD.), is a venture of media Giants-Sun TV (Leading channel of AP, TN, Karnataka & Kerala) and its associates.

You will find more relevant details as you turn the pages of this presentation. What we can assure you is that presently SUPERHIT 93.5 RED FM is giving the best ROI to its advertisers. This would happen only if the station was popular and advertisers were getting response.

Our station at Jaipur SUPERHIT 93.5 RED FM has the following unique identity to it.

SUPERHIT 93.5 RED FM is 24*7 station.

We have intensive on – ground programming supported by the latest state of the art equipment. Radio is the medium to reach

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the mass. We don’t expect people to come to our studios- we will take our studios to the people.

As a network, we have a higher mix of musical properties, as 75% of our product is music. Our on-air talent is young, fresh and focused – delivering super hits music and lifestyle relevant content.

Character: witty, irreverent and fun. It is a 24*7 party designed to be the soundtrack of your life.

At a primary level, it is about the non – stop super hit music that works at the level of ‘We play songs that make you Bajaate Raho.’

It is tested, high energy music. Keep playing…..at another level, Bajaate Raho stands for ‘Do everything with passion.

It recognises the drive of the young, passionate Indian. So whatever you do, do it Bajaate Raho (with a passion). 4 gaane chipakke bajaao, Bed pe bajaao, Pine walo ki bajaao, Rishwat lene wale ki bajaao, Tej drive karne wale ki bajaao………….Bajaate Raho.

The most favorite preferred sparklers are SUDARSHAN KE SATH

BAND BAJEGA by Red FM, GulabiLal( Pink Red ) by Rj Ravindra

aired by Red FM.

The content for FM radio can be dynamically changed to get maximum returns vide SMS by introduced more response related programs for it to be mutually more beneficial.

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THE STATION IS HINDI BASED

STRONGEST NETWORK

STRONG NATIONAL BRAND

LIVE 24*7

INTERACTIVE

RJ-INTENSIVE

MUSIC DRIVEN

MAINSTREAM CHR – SEGMENT /HOUR

ON-GROUND/LOCATION FOCUSED

MODERN, INNOVATIVE & ENTERTAINING

JAIPUR’S NEWEST AND FRESHEST ENTERTAINMENT BRAND

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Super hits 93.5 Red FM all over INDIA

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Organization Structure of Red FM:

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Station HeadStation Head

Programming

Department

Programming

Department

SalesDepartment

SalesDepartment

Technical DepartmentTechnical

Department

ProgrammingHead

ProgrammingHead

RJ’S,Producers, Copywriter,

Sound Engineer

RJ’S,Producers, Copywriter,

Sound Engineer

Sales HeadSales Head

SalesExecutives

SalesExecutives

TechnicalHead

TechnicalHead

Maintenance&

Computer Engineer

Maintenance&

Computer Engineer

Admin/HRHead

Admin/HRHead

How can the client use radio strategically ?

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ClientSegment

Maintain Brand

Support Other Media Gain a share of

Voice

Give Brand an Attitude

Make a brand Feel Good

Generate Response

Frequency

Intimacy

Selling Radio Commercial Selling radio advertising involves a number of steps. The radio salesperson

must be aware that everyone involved in the transaction is looking for different

results. The media buyer is looking for efficient cost per point, while the client’s goal

is to move product. As all radio stations are perceived to be same it is important to

build value into the radio station by offering credible benefits that produced results

and solutions for prospective clients.

Radio salesperson must begin with the client’s needs and marketing goals.

The first step in the process is to meet the client to gain as much information as

possible about the client and his or her business. After the salesperson has a firm

grasp of the advertising problem, the next step is to prepare a proposal. The

successful ones begins with the clients problems and sales objectives move

systematically to a solution.

Often the job of the radio sales person must be conducted on a number of

levels.

a) An advertiser who is not currently scheduling radio may have to be convinced

that the medium in general is for a particular product.

b) The salesperson must move from the general advantages of radio to the

advantages of specific station.

c) The radio representative may have to show how radio fits into the media mix

currently being used by the advertisers.

Radio advertising faces challenges both from within the industry and from other

media as it competes for advertising price.

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Dayparts Characteristics

6 a.m. - 10.00 a.m. Drive time, breakfast audience, interested chiefly in news

10.00 a.m. - 3.00 p.m. Daytime, program characteristics of station, talk , music, or all-news

3.00 p.m. - 7.00 p.m. Afternoon, drivetime radio primetime and same as morning drive time

7.00 p.m. - 12.00 a.m. music, talk shows

Elements of good radio commercial

Be single-minded, focused :- The consumer should not be burdened with

too much information. Prioritize the copy points. The central idea should be

highlighted.

Research your product or service :-Many clients keep tabs on their

competition, but they rarely related their features and benefits to factual data.

Meaningful statistics can give substantial support to your message.

Relate to the consumer :- Always relate the brand to customers wants and

needs.

Generate extension :- The effect of a commercial can be multiplied by

achieving extension. A clever phrase or execution can have consumers asking

other people if they have heard the spot.

Produce an immediate physical, emotional, or mental

response:- Laughter, a tug on the heartstrings, or mental exercises of a

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consumer during a radio spot help seed the memory and aid messages

retention.

Creative Radio Advertising These are some guidelines for producing creative radio advertisements:-

1. Understand the environment

2. Speak the listeners’ language

3.Engage and entertain the listener

4.Keep it simple

5.Judge what you hear, not what you read

6.Production values are important

7.Plan your production

8. Dare to be different

9.Take it seriously

Steps in Radio Ad Production 1. An agency or advertisers appoints a producer

2. The producer prepares cost estimation

3. the producer selects a recording studio

4. With the aid of the casting director, if one is needed, the producer casts

the commercial.

5. If music is to be included, the producer selects a musical director and

chooses the music or selects stock music.

6. If necessary, a rehearsal is held.

7. The studio tapes music and sound separately

8. The studio mixes music and sound with voices.

You are on the air!

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Radio with other media Most brands tag radio to their existing communication plans. Reason enough

for us to study the role of Radio vis-à-vis other key media.

'what Radio can add' to each medium on three key parameters - a)

Planning, b) Communication and c) Detailing of communication points.

Radio with Television Characteristics of Television

TV has traditionally been the most powerful and popular advertising medium

for people in the media business. This is mainly because it does most things well -

coverage, frequency, image, persuasion, demonstration, impact etc.

Traditionally a high-cost medium, the downside with TV is that the audience

is now fragmented across many different channels, production costs are extremely

high and viewers are increasingly avoiding ad breaks.

What radio can add?

In planning:-

Radio's main contribution is a dramatic increase in frequency of exposures,

either in the same period as the TV campaign or later to extend the campaign over

time; radio can be used for regional or local exposure booster; radio can be used to

reach light viewers; it extends TV messages to key times of day when TV audiences

are lower or when product relevance is higher; radio also allows tighter targeting

against audiences thus reducing wastage.

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In communication:-

Given that Radio is perceived as personal medium, radio can bring brands

closer and speak to the consumer at their level; radio has a culture of response

where listeners frequently interact with their station which they see as accessible.

In detail:-

Radio allows activity to be geographically varied; radio can allow a fast

turnaround for new initiatives; low production costs mean multiple copy messages

can be varied round the core TV communication Sonic Brand Triggers. Sonic Brand

Triggers are sounds, which consumers recognize and associate with certain brands.

Example of powerful SBTs:

"Britannia Ting TingTing"

They help to ensure that TV and radio advertising is well branded. They leave

a brand impression with even the most passive TV viewer or radio listener, as they

tend to rely on rhythm and music, which are absorbed at very low involvement

levels. A sound, which has been successfully established on TV, can be transferred on

to radio.

Radio with Newspapers Characteristics of Newspapers

Newspaper brings 'immediacy' to a communication. Newspapers also have

the authority of the written word, and are good at presenting detail. As a print

medium, the national press suffers from clutter and from the fact that the reader can

and does edit ruthlessly to avoid advertising.

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What radio adds?

In planning:-

Radio adds frequency, and this is real frequency in that exposures take place in

real time; radio also reaches non-readers so it can significantly increase coverage; in

most sectors, adding radio also means increased share of voice thus overcoming

clutter

In communication:-

Radio brings intrusiveness to a press campaign, and there is less ad

avoidance; it can bring to life ideas, which may seem flat on the page; radio can

more strongly convey the brand's tone. Radio brings brand messages closer to the

individual, speaking in a more personal way than press; radio allows brands to

emphasize specific key times of day.

In detail:-

Flexibility means radio allows geographical variation on top of a national press

campaign.

Radio with Outdoor Characteristics of Outdoor

The strength of outdoor advertising lies in its ability to suddenly confront the

consumer with an idea or a challenge, in a very public way. Like radio, posters also

operate within time which people think of as free - typically travelling time.

The weaknesses of outdoor advertising mainly stem from three issues: it has

no editorial context, it uses extremely simple, striking ideas to be effective,and it

suffers from relatively expensive production.

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What radio adds?

In planning:-

Radio adds real frequency, in the sense that additional exposures to the

advertising are played in full rather than having the listener look away or ignore;

radio offers far tighter targeting which means reducing wastage; radio also offers

tighter timing - within time of day, day of week or even week of month.

In communication:-

Radio allows more information to be conveyed, which is useful for explaining

or persuading; radio allows multiple copy; radio brings brands closer, as listeners

identify with their radio station and see it as aimed at people like them; radio is

better able to communicate the tone or character of a brand.

In detail:-

Radio offers speed of production compared with the lengthy process of poster print

deadlines; it also allows localized copy variation relating to a national poster

execution.

Radio with Magazines

Characteristics of magazines

Magazines are useful to advertisers because of the relationship they have

with the readers, who consume them in a personal way. They allow targeting by

lifestyle and interest group. In many magazines the ads are seen as part of the

magazine experience.

Weaknesses of magazines include the fact that lead times can be very long

depending on the title's frequency of publication, the high levels of clutter, and the

reader's inclination to simply turn the page.

What radio adds:

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In planning:-

Radio adds frequency and also extends coverage well beyond the magazine

readership; radio allows tighter timing - time of day, day of week etc; radio also

offers a greater share of voice for most categories, which means overcoming clutter.

In communication:-

Radio brings intrusiveness to a magazine campaign, and there is less ad

avoidance; radio can bring to life ideas which might seem flat on the page; radio can

more strongly convey the advertising tone of voice. It allows brands to speak to

consumers close to certain activities - driving, cooking, housework etc

In detail:-

Radio offers fast turnaround within the long copy deadlines of magazines, and the

opportunity for geographical variations.

Recall of advertising. At the post-stage, you will be seeking to detect

spontaneous and prompted awareness.

Commercial recognition – playing the ads to respondents.

Thoughts on what the main message of the ads was.

RED [93.5FM] Red FM may not be modest but it is certainly witty, reliable, friendly, warm,

uncomplicated and honest.

The ‘take aways’ are plenty – everything that the station says and does is of

relevance to its listeners.

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Target Audience

Super hits 93.5 Red FM caters amongst youths.

They changes everything in terms of how we play music and the RJs we have

according to this target group.

The 4 P’s

Product:

For listeners: The programming mix has non-stop music interspersed with Red FM’s

‘crisp’ and ‘entertaining’ updates on traffic, weather, city-specific events and the

latest buzz on everything current.

For corporates and retailers: the airtime

Place: Intensive in Mumbai and selective all over the country because it has other

stations in Delhi and Kolkata.

Price: Advertisement rates.

Promotion: Creating awareness among the people, Media campaign,

Sponsoring events and organising competitions and fests in different fields.

Red FM has recently organized the “Red KeLaal” award campaign to motivate the students of schools who scored more than 90 percent.

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Advertisement Red FM does not go to sell radio spots but works like a consultant with the

client. Based on the need of the advertiser, they suggest the best ways of

achieving the objective. So if a retailer wants to announce his sale and he

does not have a big budget, their job is to suggest that instead of a 30 second

spot, play a 10 second spot through the day.

Endorsing advertising on RED is not just about buying spots, but is a total

experience, tailored to the customer’s needs. Red is also focusing, towards

the influence of one station with the other, use their strengths and improve

co-ordination between the three stations; this is an important task in terms

of helping the advertiser.

They do produce jingles according to the advertisers and if the advertiser or

the client wants to use that jingle somewhere else in some other media, then

the client has to pay substantial amount of money to radio station because if

they produce a jingle that is their assets.

They take 100 % money in advance from the direct client. And from the non-

accredited ad agency.

There are several questions that RED FM identifies before making a time-

band suggestion. Is it a women’s product? Is it male-oriented? Is it a retailer?

If it is a retailer, they could slot it in the 11–6 time band when people are

going to the market or when a housewife might be listening to the radio

while cooking.

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DEPARTMENTAL ANALYSIS

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Sales Department

Sales department in Red FM consists of Sales executives. Their task is to sell the

inventory in the form of seconds and generating revenues for the station. For that

they need to move in the field, approach clients, ad agencies and close the deal with

them. They are responsible for the collection. Each of them have their individual

target and to achieve their target they can offer activities like on ground activity and

on air selling.

Marketing Department

Red FM has marketing executive who are responsible for all the marketing activities

like branding, advertising and promotion. Marketing executive makes plan with

station head according to the budget given by regional marketing head. Marketing

executive’s main job is to find out innovative ways for promotion and branding. And

this task is to come with ideas for gaining brand and frequency recall.

Programming Department

In Red FM programming department is headed by programming head that is

responsible for programming activity of the station. They are responsible to meet all

the legal aspects of programming like which can be produced on radio or not?

Programming head is also responsible to make his team work and complete their

work in time and with all legal aspect. Their task is to make more creative

programming which can attract listeners. Department also makes programming

which have involvement from listeners also.

Marketing Plan

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In general, marketing activities are all those associated with identifying the particular

wants and needs of the target market of the competitors. This involves market

research on customers, analyzing their needs and then taking marketing strategy

decision about product design, pricing, promotion and distribution.

Strategy

Expansion of the network of out of home media sites managed by Red FM

Explore opportunities to lease sites on long term bases.

Introduce innovative technology and processes

Marketing in Red FM follows the following approach

Association for ground visibility

Contest

Red FM events

Branding

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MARKETING PLAN 7 P’SOF

MARKETING

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7 P’s Of Marketing

1. Product

2. Price

3. Place

4. Promotion

5. Physical evidence

6. Process

7. People

PRODUCT MIX

Brand

The brand is Red FM. As it is a right reflection of the one to one relationship

with an emotional ownership of the medium with the listener’s. The brand

operates at the single frequency 93.5 across the stations.

The brand id “Superhits 93.5 Red FM Bajaate Raho”

Target segment

They have a large chunk of listeners who are- young, housewives, also

listeners who are 40 plus.

So programming caters to all strata of society. So, while they target the young

population, they cannot afford to ignore the other large segment of the

society.

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Place

Station: 50 cities across India

Frequency: 93.5 FM

Brand visibility: Organizing movie screenings

Contest on air

Promotion

Advertisements:

Red FM does two types of advertisements. One is theme advertising and other is

mode advertising. In mode advertising frequency of Red FM is highlighted to target

the customer so that they can recall station with frequency. While in theme

advertising just a poster of joy with tag line of Red FM is highlighted.

Contests:

Red FM does on air activity and asks question to listener and one who gives answers

to question will get a prize like movie tickets, water park tickets and gift vouchers

etc.

Physical Evidence

Being a service provider and also available anywhere at any time in physical

evidence depends on the customers.

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Anyone can set the frequency and avail the service anywhere.

Promotions help to create brand awareness and thus support the physical

evidence.

Event organization-they also have been organizing or sponsoring several

programs which again help to create awareness and visibility which helps to

attract more listeners to tune into.

Gifts help to create peripheral evidence, which listeners take away with them

and motivates them to tune into in help in more interaction.

Red FM has a colorful and interactive website which is useful for not just

listeners but also helps to get ad revenue by quoting charges for ads per

second. Thus it also helps to get an idea of how to approach Red FM for

campaigns.

Process

A radio wave is an electromagnetic wave propagated by an antenna. Radio waves

have different frequencies. The listeners can tune the radio receiver to a specific

frequency to catch a specific radio signal. The size of the antenna depends on the

frequency of the signal to be transmitted or received.

People

They are hiring only local talents and there’s no dearth of talent in this

country. There is a lot of research before the launch of any station, the

programming teams are trained for nothing less than three to six months.

They don’t import radio jocks from the metros and impose them on an alien

city. They ensure that they are in touch with the localities, culture and ethos.

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Here Radio jocks plays an important part in creating a special relationship

with the listeners and thus helps to create the differentiation.

They can develop a special liking whereby the listeners will prefer listen to

their shows due to the preference of RJ’s.

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DATA ANALYSISAND

INTERPRETATION

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How often do you listen to radio? (In a week)

From the sample of 200 respondents, only 1% (3) listen to radio twice a week and can be considered as hard nuts to crack with negligible preference towards radio while from the graph it can be seen that 48% (96) listen to radio 5 times a week and 26% (51) of the respondents listen to radio 6 times a week who are clear prospects and can be easily converted to regular listeners by fulfilling their expectations from private radio stations.

The statistics clearly indicate that majority of the respondents who prefer listening to radio, listen on almost regular basis. This would suggest that they would prefer listening to radio almost daily followed by a schedule in which they would like to listen.

Furthermore, it can be seen that with the constant growth in the radio industry, the preference towards this media is increasing among general public and thus the respondents generally prefer listening to radio in an on and off basis.

For those 10% (21) and 2% (5) of respondents who listen to radio 3 and 4 times a week respectively, the preference towards radio although not clearly defined, we can still assume that their preference for radio is not negligible and they can be converted to regular listeners with research on their requirements and filling that gap.

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Why do you listen to radio?

From the sample of 200 respondents, 112 respondents listen to radio for the

purpose of entertainment and so this directly poses a clear requirement of

entertaining shows on air rather than shows which are more socially inclined.

Again 142 respondents listen to radio for the sole purpose of getting relaxed

which indicates that the private radio stations should make sure that the

scheduling of shows and songs on air should be such that there are hardly

any repetitions which bring a sense of freshness and newness to the listeners.

These listeners are those who already tend to have an inclination towards

radio.

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There are only 6 and 5 respondents out of 200 who listen to radio for RJ’s and

Traffic Updates and so it can be clearly said that the private players cannot

position their brand through their RJ’s or any other social cause. The only

reason for this is that this medium is considered as solely relaxation and

entertaining medium and thus for the reasons like traffic updates or news the

respondents rather prefer other medium like television or print media.

As far as the RJ’s are concerned, only 6 respondents listen to radio for the

RJ’s and so it indicates that the radio station cannot achieve audience

applauds through powerful RJ strength. Although, it being their ad-on benefit

the radio stations must focus on music and entertainment part of the shows

on air.

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Which radio station do you prefer listening to?

This question is a clear depiction of the listeners’ preference for all the

private radio stations. From 200 respondents, 93 prefer listening to Radio

Mirchi which is an undisputed leader in the market since its inception 8 years

back. This shows that the image of Radio Mirchi is consistent in the mind of

the listeners as a leader and they might have maintained this image due

constant differentiation in their shows.

From the graph, 91 respondents have selected Sun TV Network’s Red FM

which was then S FM. This shows that the radio station is rapidly gaining

popularity since its rebranding which occurred in August 2009.

While My FM is catching up the ladder with a preference by 69 respondents

and their positioning strategy “JiyoDil Se”, the radio station is gaining more

and more popularity among youngsters since its inception in 2007.

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Radio City and Radio One are lagging behind in terms of preference of

listenership which might be due to their stagnancy and monotonous

approach towards shows on air.

Cross tabulation (time spent on radio with gender)

>1 1.-2. 2.-4. 4.-8. <8 Total

Male 24 31 43 3 2 103

Female 15 30 46 4 2 97

Total 39 61 89 7 4 200

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From the above graph we can derive that there is a relation between the number of hours spent on listening to radio and gender.

For less than 1 hour of listenership number of males listening to radio is higher than the females.

With the increase in number of hours as seen from the graph, this ratio changes and in the time slot of 2 to 4 hours of listenership the ratio gets reversed wherein female listenership leads over the males.As we move ahead with the increase in number of hours of listenership time the ratio gets equalized.

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When do you listen to radio?

From the 200 respondents, as shown in the graph above, majority of them

i.e. 162 respondents listen to radio between 7am to 11am. This clearly

indicates that the morning time slot is the prime time slot wherein people are

in a relaxed mood to listen to radio as a background score.

Again it can also be derived that during this time slot people move to their

respective working places and so they listen to radio while driving. During this

time slot, radio stations should position their shows in such a way that it peps

up the mood of the listener and the listener moves towards the start of the

day with a light and cheerful mood.

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Another time slot preferred is from 9pm to 12midnight wherein the

respondents have just ended their daily hectic schedule of work and are in a

mood to relax. But this time slot is youth’s favourite as well.

So radio stations must position their shows with a clubbed mixture of English

and upbeat. With this positioning, the stations can directly cater all the types

of audiences without any glitches.

Next favourite time slots are 5pm to 9pm slots together in which again the

office goers are returning and are in a mood to cheer up for their personal

lives.

While driving back they would like to hear bollywood latest and upbeat music

which would pep up their mood and would help them relieve themselves

from all the pressures at workplaces.

The final slots lie between 11am to 5 pm, basically meant for entertaining the

homemakers but these days the trend has shifted towards TV wherein the

daily soaps have taken charge for that time slot and keeps the homemakers

busy.

Thus, only 32 respondents prefer this time slot with the bare minimum

requirement of absolute entertainment because audience listening to radio

during these hours are generally found more demanding then others.

Where do you listen to radio?

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By knowing about the places where the respondents listen to radio, we can

derive their attitude towards radio and their preference over it.

From 200 respondents, 128 respondents listen to radio while travelling so

from this we can derive the strategy for the shows on air during the peak

hours of the city.

The jazzier and happening these hours would be, the more likeability and

preference of the respondent would be received. This directly coincides with

the preferred time slots and so we can match both to come to a common

strategy.

The second preferred location is home which has been preferred by 125

respondents. Obviously these respondents would be listening to radio for

entertainment primarily and then for relaxation.

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Generally at work people do not prefer listening to radio while only 36

respondents say that they listen to radio to get refreshed in their lunch

hours.

Thus this segment should be catered with customization i.e. providing a show

which makes them feel treated with great importance thus adding to their

listenership.

Which voice do you prefer to listen on radio?

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Male voice Female Voice Co hosted Total

Male 29 47 27 103

Female 30 44 23 97

Total 59 91 50 200

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From 200 respondents, 93 respondents have a higher preference

towards female voice on radio over other two options out of which 49

are male and 44 are female. The notion that females voices are more

soothing to hear plays a vital role in this preference.

Although RJ’s are known through their wit and spontaneity, their

voice and the frequency of their voice play a major role in changing

audience’s preferences. Thus, prime time shows should be

suggestively hosted by female RJ’s to attract audience’s attention.

Again, 59 respondents prefer male voice on radio out of which 29 are

males and 30 are females, which is a marginal difference and is solely

due to spontaneous attitude and interaction with the audience

Co-hosted shows on air have come into existence recently and so,

these shows are gaining more and more preference over time

because the pros of both the voices are assimilated in such shows

which enhances interaction.

Do you prefer listening to a single radio station?

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From 200 respondents, 196 (98%) do not prefer listening to a

single radio station. They switch to different radio stations due to

the clutter caused due to excessive commercialization and

advertisements.

The people like listening to radio for music and entertainment and

so when they come across such a clutter of over

commercialization, they tend to zap between the channels.

Thus radio stations should bring innovative programs which would

deal with this problem and make the audience feel fulfilled with

their requirements.

There are only 4 respondents who are hard core loyal to their preferred radio

station.

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Do you like playing games on radio?

From the 200 respondents, 197 (99%) do not like playing games on radio.

This clear indication of disregard for games on radio derives that the radio stations

should come up with innovative ways of interaction with the audience rather than

the conventional way of interacting with the audiences on radio.

Have you ever played a game on any radio station?

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Along with being a conventional way of interaction, games are also

considered to be unreliable and boring.

The respondents 82% (164) do not trust the procedure and they find it

untrustworthy.

Playing games is also considered to be time consuming activity and so

respondents generally prefer listening to radio jus for entertainment and

radio and not for the purpose of interaction.

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What all qualities do you look forward to in an ideal radio station?

RANKS#

RADIO JOCKEY

MUSIC INFORMATION ENTERTAINMENT INTERRACTION TOTAL

1 3 180 11 5 1 200

2 64 6 45 80 5 200

3 64 2 49 84 1 200

4 61 12 78 18 31 200

5 8 0 17 13 162 200

TOTAL 200 200 200 200 200

Applying Mean Averages:Mean Avg. Rank for each attribute would be as follows:

RJ’s MUSIC INFORMATION ENTERTAINMENT INTERRACTION

MEAN AVG.

3.035 1.23 3.225 2.77 4.74

Thus, their actual ranks would be as follows:

RJ’s MUSIC INFORMATION ENTERTAINMENT INTERRACTION

RANKS #

3 1 4 2 5

Do you like listening to sparklers?

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Sparklers used in conjunction with a programme/show to enhance the brand

identity of the programme. They are short timed fillers which increases the

listenership and preference of a particular brand of radio station.

From the 200 respondents, 94% (184) like listening to sparklers which

indicates that the respondents look forward to an entertainment which has

got direct element of differentiation and without interaction.

All the sparklers have the same purpose of being short timed fillers to

entertain the audience and so sparklers are highly appreciated because they

are interesting and generate curiosity for something new every time.

All the radio stations should make sure that their sparklers are more entertaining and interesting which would induce curiosity and ultimately avoid zapping

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CONCLUSION

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From the sample size of 200 respondents 48% of the population prefers

listening to radio 5 times a week and 26% prefers listening to radio 6 times a

week. This listenership makes them regular listeners of radio.

From the population 142 respondents listen to radio for the sole purpose of

relaxation while 112 respondents listen for entertainment this shows that

radio is the medium considered by the people solely for relaxation and

entertainment.

The first hand preference of radio stations when not compared on the basis

of any attributes we found out that 91 preferred Red Fm where as My

Fm get favorability from 69 respondents.

In spite of trying out various unique innovations like “ekghante main 13

ganeka challenge” and by calling “RJ’s” as “MJ’s” i.e. Music Jockeys, Radio

one could not gain high preference over other private players. Radio city has

also remained the least preferred radio station.

The number of hours spent on listening to radio is dependent on the gender

of the respondents. With more number of males listening to radio for less

than 1 hour a day moves to more listenership of females with the increase in

the number of hours of listenership till 2 to 4 hours a day. When still the

number of hours of listenership increases this gender difference gets

equalized.

The favorite time band of listenership is 7 am to 11 am because people at

that time enjoy music with their routine work. Even the time band of 9 pm to

12 midnight is preferred as at that time people are free and like to relax

them.

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As radio is used as a background medium, 128 respondents listen to radio

while travelling and 125 listen to them at their home while doing their

routine work.

The preferred voice on radio also depends on the gender of the respondents

since 46% of the respondents prefer female voice on radio wherein majority

of them are males. 29% of the population prefers male voice in which

majority of them is females .25% of the population prefers co-hosted shows

where in majority of them are males.

The preference of type of music for a particular time band helps us derive an

ideal schedule.

Radio has many natural advantages that make it an excellent choice for an

advertising medium. These advantages include high amount of time spent

listening, superior target ability, superior listener loyalty, ad recall and

message retention, and much more which can be attributed to the ‘low cost

of ownership’ feature of RADIO as a medium.

Consumers spend 85% of their time with ear-oriented media, such as Radio,

but spend only 15% of their time with such eye-oriented media as

newspapers and magazines. Yet advertisers spend 55% of their money on

eye media (print) and only 45% of their money on ear media such as Radio

and television.

Radio's share in the total advertising budgets of companies is likely to grow

from 2 per cent to 5 per cent in the next three years, with an expected

growth rate of about 10 to 12 per cent every year. In fact, the fortunes of

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radio advertising are likely to change with the advent of private players like

Star India, Bennett Coleman & Co, Living Media, and Mid-Day etc.

The opening of the FM market is a new phenomenon and the maturing of

the market will take its own evolutionary path. Interestingly, the private FM

players have a huge opportunity in grabbing a bigger chunk of the radio

advertising pie as, despite All India Radio's enormous reach (97 per cent of

the population), its revenues have declined.

In such a scenario, where the cheapness of radio is likely to ensure that the

bulk of radio advertisers are those that go for a one-city-local-audience

strategy, greater reach may not necessarily translate into a marketing

advantage. Ultimately content and packaging will be the king.

However, what will spell out the difference between success and failure will

be neither size nor niche. It would be just plain old quality of programming

and the explosion of contests and sweepstakes offered by the Radio Stations

currently. One aping the other is an honest testimonial to justify this

statement.

In the end Radio offers tremendous opportunities for advertisers and media

planners need to explore various options by which they can effectively use

radio in their media mix. Conversely, broadcasters need to develop the

market by being more responsive to the advertiser's needs. This will provide

an opportunity for the market to arrive at the final verdict on the

effectiveness of the medium.

98% of the respondents do not prefer listening to a single radio station

because of the clutter due to excessive advertising and commercialization.

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Thus the respondents zap between different radio stations to fulfill their

requirement of entertainment.

When importance of various attributes was compared we conclude that

music is the most important attribute followed by entertainment, RJ’s,

information and interaction in descending order.

94% of the respondents like listening to sparklers.

74% respondents do not prefer listening to radio on weekends. Also 86% of

respondents do not prefer different programs on Sundays as they do not like

to drift from their regular schedule.

While for sparklers, RJ’s and Programs on air, Red FM preferred the most followed by My FM and Radio city where Radio one is the last.

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BIBLIOGRAPHY

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Various websites were also visited such as,

www.sunnetwork.in

www. redfm .in/ redfm / jaipur /index.asp

www.exchange4media.com

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