India: New channels lift Star TV offering

Star Utsav is a free-to-air channel targeted at the semi-urban audience and will take on smaller free-to-air channels such as SAB TV and Sahara Manoranjan.

Star Utsav will piggyback on the success of Star Plus with programmes such as Neena Gupta's Saans, Ekta Kapoor's Kyunki Saas Bhi Kabhi Bahu Thi, Tu Tu Main Main and a mixed bag of game shows, cookery and kids shows.

Said Ajay Vidyasagar, senior vice-president, Star TV, "This channel will reach expanded audiences who have not sampled Star Plus before."

Shripad Kulkarni, CEO (West and South), Carat India described the launch of Star Utsav as "a brilliant strategy".

"The smart marketers at Star know how to make the most out of all their properties," he said.

Production costs will be minimal and being free-to-air ensures that it will have maximum reach. Introductory ad rates are lower compared to Star Plus and its competitors. While a prime time 30-second spot on Star Plus goes for US$13,300, Star Utsav's rate is $2,826. The rates for non-prime time start at $132, far below Sony Entertainment and Zee, and at par with smaller channels like Sahara and SAB TV.

Said Kulkarni, "Star Utsav will be in the 'frequency channel' genre and eat into the revenues of smaller channels. It will help Star to consolidate its position as a one-stop-shop for media buyers."

Vidyasagar said Star Utsav would bring in smaller clients and brands which are unable to buy into the premium of a high-volume brand like Star Plus. "With the Star Plus-Star Utsav combination, we hope to offer a complete solution to the advertiser's need to talk to the full spectrum of consumers in the Hindi heartland of India," he said.

Star One, which is still on the drawing board, will be a pay channel with ad rates on par with Star Plus. It will be targeted at the urban audience and would challenge competitors Sony Entertainment Television and Zee Network.