Advertiser Funded Programming on MTV- An Analysis

ADVERTISER FUNDED PROGRAMMING ON MTV INDIA-
AN ANALYSIS
MANIPAL UNIVERSITY
Research project submitted to the Manipal University in partial completion
of
II Semester, MBA in Media and Entertainment
By
Mr. Shashank Aggarwal
Under the guidance of
Mr.Sudarshan
Faculty
DEPARTMENT OF MEDIA AND ENTERTAINMENT
MANIPAL UNIVERSITY
BANGALORE – 560 038

TABLE OF CONTENTS
1. INTRODUCTION
1.1 PROJECT TOPIC
1.2 SUBJECT MATTER
1.3 SIGNIFICANCE
1.4 OBJECTIVES OF THE PROJECT
1.5 LIMITATIONS OF THE STUDY
2. REVIEW OF LITERATURE
2.1 INFORMATION PUBLISHED EARLIER
2.2 EARLIER FINDINGS
2.3 RESEARCH BEING CARRIED OUT
3. EXPLANATION
3.1 ADVERTISER FUNDED PROGRAMMING
3.2 MTV AND ADVERTISER FUNDED PROGRAMMING
3.3 PRODUCT INTEGRATION AND AFP
4. METHODOLOGY ADOPTED

4.1 METHOD OF DATA COLLECTION
5. DATA ANALYSIS
5.1 DETAILED PLAN FO ANALYSIS
5.2 DATA REPRESENTATION
6. CONSLUSION
7. BIBILIOGRAPHY
8. ANNEXURE

DECLARATION OF THE STUDENT
I, Shashank Aggarwal hereby declare that the work, which is being presented in the
project entitled “ADVERTISER FUNDED PROGRAMMING ON MTV INDIA-
AN ANALYSIS” in fulfillment with the project requirement for MBA in Media and
Entertainment during the year 2009-2010, is an authentic record of my own work and
carried out under the supervision of the guide Mr.Sudharshan, Faculty at Manipal
university.

CERTIFICATE FROM THE GUIDE / CO-GUIDE
DEPARTMENT OF MEDIA AND ENTERTAINMENT
MANIPAL UNIVERSITY
BANGALORE – 560 038
MANIPAL UNIVERSITY
This is to certify Shashank Aggarwal has successfully completed his research project
entitled “ADVERTISER FUNDED PROGRAMMING ON MTV INDIA-AN
ANALYSIS “assigned by the university for MBA in Media and Entertainment during
the year 2009-2010.
Name : Shashank Aggarwal
Register Number : 092516032
Date :
Place :
Signature of the guide
(Mr.Sudarshan)

ACKNOWLEDGEMENTS
I am firstly thankful to the faculty of Manipal University, MBA in Media and
Entertainment for giving me an opportunity to carry forward this project work. I am
indebted to Mr.Sudarshan, my guide in this entire process, for his constant scrutiny and
standards thus ensuring that this project becomes practical and successful.
Had it not been for my industry mentor, Mr. Pradeep Prabhu, Co-Founder Zapp
Entertainment and various others from the advertising fraternity, my project would have
been incomplete. Thanks for their interesting insights, opinions and positive criticism
which guided me throughout my research and compilation. There are also scores of well
wishers and friends without whom this project would have remained a ephemeral
vision.
Thanks to Google, for helping me throughout the project for important references to
previously published works, interviews of people from the branded content industry,
industry reports and opinions and for the user-friendly survey resources. Being an
industry that hasn’t been talked about much in books and journals, the internet gave me
a reason to go ahead with this project, thus instilling in me inspiration and enthusiasm.

1. INTRODUCTION
1.1 PROJECT TOPIC
Advertiser Funded Programming on MTV India- An Analysis
1.2 SUBJECT MATTER
Advertiser Funded Programming is still in its nascent stage in India after having been
tried and tested successfully abroad, especially in UK and USA. It is a trend wherein the
entire concept of the show is created in a strategic manner so as to communicate certain
product attributes and brand values through dialogue, communication and engagement
with the viewer; with the advertiser directly paying for the content or paying certain
amount while buying several secondages of ad spots. It is a way to subtly communicate
special brand attributes and insights to the audiences and nurture your property for the
long run.
Also called as Branded content, it is still in its nascent stage in India. It is a step ahead
from the traditional form of advertising. With about 160 TV channel licenses still
waiting for approval from the I&B ministry, strategic marketing communication efforts
of the advertisers have become fragmented and AFP provides a focused communication
tool.

Branded content is not pushing a product to the consumer. Consumers are smart enough
to identify that something is being advertised. This may harm the channel directly apart
from the advertiser. Therefore, it is a strategic and subtle way to communicate the
client’s brand message through strategies such as audience engagement, brand
integration & product placement. It is a challenging concept as the brand has to pitch to
the channel as well as the audience. However, strategic communication efforts can lead
to superior brand recall and audience preference for the product.
The need for Advertiser Funded Programming has further increased with the surge of
distribution platforms like DTH and IPTV and the presence of digital recording devices
such as Personal Video recorders (PVR’s) wherein the viewer can record his favourite
shows, jeopardizing the entire concept of Prime time. In short, this means he can skip
advertisements all together.
In the Indian context, the use of PVR’s is still not yet a huge debate with the advertisers
as the penetration is low. However, the restless Indian viewer, the surge of the internet
and the variety of options available to the audiences has been a point of concern.
Television channels have however experimented with branded content and shows such
as wheel Smart Srimathi on DD, -------------------------------------------------------------
have featured on Indian Television. However, in the recent couple of years, MTV India
has been experimenting big time with Advertiser Funded Programming in its reality
based shows such as ----------------------------------------------. Such experiments have
certainly shown that Indian television has grown and such options have a market.

1.3 SIGNIFICANCE
The significance of this study lies in the fact that brand managers who are always on the
lookout for effective options to invest their marketing budgets can actually consider
branded content as an option from the qualitative and quantitative data gathered from
MTV India’s tested strategy as well as from what advertising agency owners opinionate
about AFP.
1.4 OBJECTIVES OF THE PROJECT
 To explore and analyze effectiveness of AFP as a part of strategic marketing
communication efforts for advertisers
 To see how brands have done with their association with programmes on MTV
India
 To explore risks and drawbacks that have been hindering advertisers from using
AFP models and find potential solutions
 To come up- with qualitative data that can be of help to brand managers while
making advertising decisions
1.5 LIMITATIONS OF THE STUDY
The study is purely academic, the inexperience makes this report less precise if
compared to some professional report. The inevitable limitations of the study would be
as follows:

TIME
The project was carried out in a short span of 3 months.
GEOGRAPHICAL
The survey and assessment is limited to Bangalore only
AGE
The age group used for the study purpose is limited to 18 to 35 years of age.
REVIEW OF LITERATURE
2.1 INFORMATION PUBLISHED EARLIER
http://www.indiantelevision.com/special/y2k6/branded_entertainment_indi
a.htm
Recall the Rishi Kapoor-Dimple Kapadia teen romance Bobby way back in 1973. The
Rajdoot motorbike the two lovers cavort around on in the film became a rage with a
nation's bedazzled youth.
Of more recent vintage of course is Star Plus' Kaun Banega Crorepati that had iconic
host Amitabh Bachchan handing over ICICI bank cheques to the winners.
And there hangs a tale. Which is that though the Indian entertainment industry appears
to have only recently woken up to the concept of branded entertainment, it's been
around a lot longer than many are aware.

According to industry estimates compiled by Media
e2e, the direct product placement market in India
(which also includes branded entertainment) in 2005
was pegged at Rs 700 million and is estimated to touch
Rs 935 million this year. "The base of overall product
placements in television has improved from 1.3 per
cent last year to 1.6 per cent this year. Currently, two
per cent of total television revenues come from direct
product placements," says Media e2e chief evangelist
Atul Phadnis.
Through brand content programming, advertisers have the opportunity to engage with
consumers in the context of entertainment that reflects their brand values, and to turn
that engagement into dialogue.
While branded entertainment content on Indian television can be dated to as far back as
the launch of Bournvita Quiz Contest; the space recently got an impetus with WPP's
Group M inking a JV with Raveena Raj Kohlli for the same.
The JV company - Show M - has launched
a show called Wheel Smart Sreemati on
Doordarshan for Hindustan Lever Limited.
"It's about finding one smart housewife
through the game of 'chausar' as smartness
is also a proposition of the brand. In fact,
there is very little branding in the
programme, through the show we have tried to convey what the brand is all about.
Branded programming is the
skillful symbiosis of brand
strategy and programme
context to elicit greater
brand engagement within a
target demographic. It is not
primarily a focus on product
placement or overt brand
editorial.
Annu Kapoor as the host of 'Wheel Smart Sreemati' on DD

There are various ways of integrating the brand or creating branded content. As long as
there is creativity, we can always find more and more ways of reaching the consumer,"
says Group M Media India Pvt. Ltd general manager - content and entertainment Rajeev
Berry.
Show M will be involved with brands not just on the visual but also on the audio
medium. While TV will be a key component in the branded content space; the company
will also look at other mediums like mobile, home viewing, internet and radio, which
would be strategically in line with the brand communication or funded by the brand.
"The idea is to take a brand out of advertising stream and put it into the communications
stream," says Kohlli.
The agency is in talks most channels in the general entertainment space like Zee, Sony
and also with DD. "Our responsibility is to sell our ideas not only to the network but
eventually to the audience," Kohlli adds.
Broadcasters are also waking up and smelling the - shall we say - Nescafe!! Star
recently launched a special division to cater to advertiser funded content and product
placement.
Other than Star and Group M, Interpublic Group's Lodestar Universal is also looking at
this space and has already inked a JV with marketing firm Direct Access and television
production house Contiloe Films. Talks are on with Nerolac and Garnier for advertiser
funded content in the television space. Also, with the recent merger of Lodestar and
Universal McCann, more brands have come under the ambit of Lodestar Universal and
hence opportunities are on the rise in the branded entertainment space.
Contiloe Films CEO Abhimanyu Singh says of the JV formed for branded
entertainment, "Direct Access has got its core strengths in marketing and together we

brain storm and create the product while they go and speak to the clients along with
Lodestar Universal. They help us market that product and there is a clear synergy with
Direct Access, Contiloe and Lodestar."
Plans are to venture into branded content which provides
brand engagement that will take care of not only advertiser
funded programming but will also look at things like tag-ons
in trailers. For example - "Krissh brought to you by Power."
"This will include in film product placement and in-show
product placement. The concept of brand engagement is huge
in the west and contributes to about 50 to 60 per cent currently
of all advertising revenue. In India it is still very small but the
whole pie is growing. What's more, even advertising spends are growing where the
traditional form is complemented with newer forms of advertising and this a reinvention
of how you can advertise," adds Singh.
Direct Access, Contiloe and Lodestar are soon planning to launch a separate agency for
the JV, which will have a dedicated team on advertiser funded content and brand
engagement.
Since clients are keen to enter this space, many of them are setting aside spends for the
same. Lodestar Universal CEO Shashi Sinha says, "While some clients are at present
allocating 10-15 per cent of their ad spends in this arena; this figure is expected to touch
more than 50 per cent in the next five years. Nerolac, for example, has now starting
allocating 20-25 per cent of spends to the branded entertainment space."
Speaking on the potential of the space in India, Starcom Mediavest Group South Asia
CEO Ravi Kiran says, "Planned and executed well, branded entertainment can be very
'Krrish's' Power

effective in getting crucial consumer attention. But there is a lot of haziness around the
way the concept is understood in India, perhaps because our media industry is still
evolving."
Starcom's entertainment marketing unit - Starcom Entertainment - advises marketers on
using entertainment to market brands. "The services included in this unit are brand-
script integration and branded entertainment. Many of our clients such as Heinz,
Western Union, Elf Lubricants, Singapore Tourism and WorldSpace Satellite Radio
have used this unit's services," says Kiran.
Lintas Media Services director Lynn de Souza offers her take, "Advertiser funded
programmes have the ability to go beyond the 'plug' into actually weaving in the brand
promise and the brand insight into the communication in a subtle yet effective way.
Branded entertainment doesn't just have to be about soaps and quizzes and reality
shows. Cricket has been one of the best examples of branded entertainment."
The agency's client Idea recently partnered with CNN IBN's Citizen
Journalist initiative. "It works extremely well for the overall theme
of the brand, which is - the common man communicates - and this
has been a pioneering and successful effort," adds de Souza.
While on Hindi general entertainment channels (GEC) the concept is
now picking steam, the southern television market is actually
dominated by branded entertainment.
Some of the shows that Mindshare has done for its clients in the
south are: Pepsi Maha Daham, Horlicks O-Podu, Horlicks Sandad Sandadi, Hero
Honda Naalaya Natchitram, Kurkure Kalale Nijam Aithe and 7 Up Tisco Basu.
Idea CNN IBN Citizen
Journalist initiative

One of the latest initiatives in advertiser funded
content in the GEC space will be seen in
September in the form of Rin Mera Star Super
Star on Star Plus. The kids' talent hunt show is
funded by HLL and is being produced by
Endemol India.
The show, somewhat based on the lines of
Boogie Woogie, is a nationwide talent hunt with
an aim to unearth talent in children aged 5-14 in
the areas of singing, acting and dancing. The winner will be awarded a scholarship of
Rs 500,000 to help him/her pursue the dream of becoming an artist or to take up future
education.
Endemol India managing director Rajesh Kamat says, "Rin Mera Star Super Star is a
combination of entertainment and branding, a concept which will be brought alive on
TV in a fun and exciting show. This is one of the first local formats that we have
developed."
Star India ad sales and distribution president Paritosh Joshi informs that brands from
various segments such as automobiles, fast-moving consumer goods and
telecommunication had evinced interest in advertiser funded programming.
While the concept of branded entertainment sounds all good and exciting and is also an
additional source of revenue for agencies and broadcasters alike, there are some things
to be kept in mind in order to do it right. Lodestar Brand Experience consulting partner
Dhruv Jha cautions, "We have to be careful that it should not become a documentary or
Kids audition for 'Rin Mera Star Superstar'

intrusive material that hurts the brand equity. The intention is to make the brand
friendlier more relatable and relevant to different target groups."
Kiran adds, "The cons largely come through overuse of branding, ill fitting placements,
and the inherent risk in creating content."
Another concern in the area is that 'brand fit' and 'engagement' are terms that are often
bandied about in the context of branded entertainment. However, the thumb rule seems
to be to position brands 'emphasizing the way they are consumed in real life.' But is this
really possible in an environment of fast multiplying brands and multiplying media
touch points? Jha says, "If done with a strategy and high quality creative inputs, I don't
see any reason why it can't be done in a highly engaging way. Even multiple media
touch points are chosen with the brand profile in mind and they can be made to work in
tandem to serve the brand objective. We at Lodestar Universal have done it for our
clients like Nerolac and L'Oreal."
Brands do have a lot to gain from this space as they are concerned about lower attention
spans and increasing clutter in the traditional media environment. "Branded
entertainment can help in gaining attention of consumers, who are getting increasingly
more adapt at avoiding ads. It can also help brands in drawing value through the
lifetime of the program, through re-runs and syndication. What's more, brands also get
'quasi endorsement' value from the stars in the show," says Kiran.
On the other hand, he points out; the entertainment content also stands to gain from this.
"In the case of placements, it provides credibility to the story because it becomes real
through brand presence. Whereas in the case of advertiser funded programming, it
provides funding and security of promotional support," Kiran adds.

Cadbury director sales and marketing
Sanjay Purohit says, "Life before the
1990s was simpler for the brand
manager. Today there is a great need
for brands to be a part of entertainment.
Brand communication today is
changing by becoming more
entertainment than the operating milieu itself. This is also happening due to the
increasing footprint of media and by greater integration with popular culture."
"On television there is a greater opportunity for creating branded programming that
will work. The match of brands and entertainment will be made in heaven only if it is
done right by the people involved. It will work only if brands are integrated into a
storyline in an actual way that they are consumed in life. It is about integration and not
saliency," he adds.
However, Purohit was quick to point out the issues that one faces in this space. They are
as follows:
1. Lack of scale
2. Issue of appropriate measurement metrics
3. Lack of transparency
4. Lack of right balance (random association because of money at the last minute)
5. Lack of Ethics
According to Motorola executive director marketing Llyod Mathias, apart from movies
and television, branded entertainment can be taken into the areas of sports, music and
Derek O'Brien has been hosting 'Bournvita Quiz Contest' for
years

live shows. "One has to leverage the property across all levels. The question to address
is how to make your brands relevant?" Mathias says.
An area of concern for the parties involved in the branded entertainment space is that
brands are looking at it in order to get a cheaper medium than television and print media
to gain exposure. On the other hand, producers are using advertiser funded content as a
medium to cover costs. Zee Telefilms CEO Pradeep Guha voices an important question,
"Is this the right way to start on a medium that has great potential?"
Brands today are spending close to 70 per cent on television today and the rest on other
media. "The aim is to use entertainment creatively in a way in which it magnifies the
core brand message. However, it eventually boils down to cost," Guha says.
Kamat adds, "At the moment the share of branded entertainment in an annual budget is
still low, but over a period of time it's likely to rise. Currently 80 per cent of the ad
budget of a product is still earmarked for traditional media, while 20 per cent is for non-
traditional media, which itself has seen a rise over the years."
Branded content also allows for a lot of ancillary activities to be weaved around it. HLL
has undertaken a massive on-ground initiative for Rin Mera Star Super Star. "The show
integrates 'mom' as a concept and integrates it in the show in a way that the brand's
value comes through. In Rin's case the values coming through are: whiteness,
impressive, pushy and advanced. All these aspects of the brand are integrated in the
show," offers Kamat.
Singh adds, "For the shows that we have in the pipeline, consumer engagement will
come through interactivity. With the advantages of having a mobile phone and the
Internet, interactivity automatically comes in and adds another layer to advertiser
funded content. What is important is that you want the audience to be involved."

'Branded Entertainment Suite' hinges on Q-Ratio
The quantitative metric, known as a Q-Ratio, reflects the quality
of product placement or branded entertainment exposure.
It is based on the simultaneous calculation of 50 variables.
The JV between Media e2e & iTVX will help advertisers, media
planners, content producers & TV stations with valuation &
quality of product placements & other forms of branded
entertainment.
The summary output at the end of a product placement is Q Ratio,
a single metric that represents the quality of the product
placement.
This ratio can be applied in a number of ways to privy costs the
client typically uses for media measurement to guide prognosis or
diagnosis of what clients got for their money.
Since branded entertainment is a new concept in India, until now there were no
measurement metrics to evaluate the effectiveness of the activity. "A concept like this is
done to break the clutter and it has been there in the print medium for quite some time
now. TV channels are hitting upon this idea to see whether a brand can be weaved into
the plot. But this also gives rise to a question: Is it measurable? How much mileage does
an advertiser get out of such a concept and how to measure this are some questions that
will have to be answered by the industry through debate. Branded entertainment, to be
fair, is still in its nascent stage in India," opines Kamat.

"The metrics to measure this so far only consist of what Tam provides (at an extra cost)
of the appearances of brands within programmes and other edit environments (print).
But for such efforts, the appearance is hardly a measure - it's the overall impact on the
consumer that matters," is de Souza's woe.
However, in February this year, Media e2e launched an ITVX tool called the Branded
Entertainment Suite for the Indian market. This is a product placement valuation metric
service for media professionals in the branded entertainment industry.
The tool can trace the quality in all forms of branded entertainment, including
television, radio, movies, games, print, live entertainment and sports sponsorships.
All said and done, a lot more content is likely to be seen in the branded entertainment
space in India over the next few months. "I believe integration of brand messages into
programming will rise in the near future, whether in terms of placements, full
integration or advertiser funded programming. The main reason is that consumers are
already in great control of what they watch and they are becoming experts at switching
off mentally, even when they 'appear' to be in front of TV," says Kiran.
But Kiran also has a word of caution to offer -- "If branded entertainment gets out of
hand, it is likely to cause much more damage to the brand-consumer relationship than
30-second television ever has. In this era of consumer choice and control, we must
remember that intrusion and irritation will be rejected by consumers, sooner or later.
http://www.indiantelevision.com/interviews/y2k6/executive/rajeev_ber
ry.htm
Branded entertainment is slowly gaining pace in India and one of the active players in the

space is WPP's Group M. The company has inked a joint venture with Raveena Raj Kohlli's
Sundial called Show M. While until now the strategies were being put in place, the action is all
set to hot up in the next few months when the programming on advertiser funded content will hit
television screens in India.
Group M general manager - content and entertainment Rajeev Berry spoke at length to
Indiantelevision.com's Hetal Adesara and Renelle Snelleksz about the concept of branded
entertainment, advertiser funded content and the way the space is shaping up in India.
(Excerpts):
Branded Entertainment is slowly gaining pace in India. Group M has got into a JV with
Raveena Raj Kohlli for the same. How effective do you think this is and whatkind of
potential do you think it has in India?
I think everyone is aware of the fact that there is immense fragmentation in the televisionspace
with so many new channels coming in. With this, new media platforms have also emerged. As a
result, clients are also looking at new engagement strategies with the consumer. Increasingly,
brands want to create new touch points with the consumer andmove away from interruption to
engagement
With new technologies like DVRs (digital video recorders) and PVRs (personal video
recorders) coming in place, obviously one has to look at new avenues to reach the consumer.
Hindustan Lever has been active on the branded entertainment front for some years now and
has also been successful, so it's not something new that India has woken up to.
At Group M, we were actively looking at non traditional ways of engaging the consumer and as
a result I have been working in this area for the last three years in different forms.

As far as branded content is concerned, we have our JV with Sundial, which is headed by
Raveena Raj Kohlli. As a result we are looking at more and more engagement strategies and
ways of reaching the consumer effectively. The aim is to see how we can bring in the vision and
science into this space.
What kind of potential does this area have? This seems to be just the beginning wherein a
lot of vigour is being put in by channels, agencies and brands in the branded
entertainment and/or advertiser funded content space.
That's right; it has not even taken off right now and is at a very nascent stage here in India.
Many players, including both channels and agencies, are planning to get into this area now. The
space is just raring to go. There are no set benchmarks as such because it is a new field in India
that has a huge potential.
This is nothing dramatically new as such because product placements in programmes have been
there for a long time, but the more important fact is that now it is not just about the placement
of products inside the content. It is about strategic and seamless integration of the brand with
the content. It is not just about placement of the brand logo in the background. It is about
making the consumer feel through the root of content how the product is consumed.
What are the challenges that one might face while developing branded entertainment and
what are the things to be kept in mind to do it the right way?
The challenge is to make sure that the brand message is conveyed without interruption and
without irritating the consumer while at the same time, keeping the entertainment value. The
challenge is not just about saliency, it is about strategic and seamless integration.

Essentially, the challenge is to establish the fact through the film or television content, as to
how the brand is consumed in real life. The brand proposition has to be established.
While brand fit and engagement are terms often bandied about in the context of branded
entertainment, the thumb rule, like you said, is to position brands "emphasizing the way
they are consumed in real life". While all this sounds great, how much can you really do in
an environment of fast multiplying brands and multiplying media touch points?
We have just started looking at this space now. So we will have to learn along the way. But if
you have seen our first branded show called Wheel Smart Sreemati, which airs on Doordarshan.
It is all about finding one smart housewife through the game of 'chausar' as smartness is also a
proposition of the brand. In fact, there is very little branding in the programme, through the
show we have tried to convey what the brand is all about.
There are various ways of integrating the brand or creating branded content. As long as there is
creativity, we can always find more and more ways of reaching the consumer.
'The Bournvita Quiz Contest is a fabulous example of
branded entertainment. It is not in your face and is a
property that has been nurtured over many years now'

The primary concern among clients today seems to be that one should be able to qualify
and quantify performance of media activity. There are no metrics in place as yet, so how
does it work?
We are getting into those measurement metrics wherein to measure the impact not only in terms
of how many seconds/minutes the brand appeared or was mentioned in the programme, but also
in terms of where the brand was positioned.
This metrics model is ready in the international market and we are planning to bring it to India
very soon.
This will enable us to measure the effect of brand presence in a programme.
Can you explain that a bit further?
There is a model, which is developed by a foreign company, which measures not only the
exposure secondage in terms of verbal or visual but also the placement which will help you
measure and give adequate weightage to each of these. It is a complex formula whereby you
arrive at benchmarks to determine what is good and bad and what is working and not working.
Can this tool be applied to films too?
Yes it can. Until now we haven't been able to measure all the work that we have done in the
films space with regard to product placement. Therefore there was a need to bring in some
measurement such as this to create benchmarks in the space.
Branded entertainment is about the partnership of commerce and entertainment. As we realise
that the entertainment industry is getting more organised and professional, more and more

brands are ready to engage with the industry now. Moreover, the government has also
recognised the entertainment space as an industry.
When is it likely to be unveiled in India? Is it a Group M proprietary tool?
We are looking at bringing it to India towards the end of this month. It hasn't been developed by
us.
At what stage do you think that you have been able to convey the brand value and
proposition through an entertainment property - is it just based on the fact that your
brand has been noticed or would you measure it in terms of sales going up?
It depends on the parameters that we have set for the brand along with the client. One could be
the viewership of the programme, the second can be awareness levels of the brand after the
show has been launched and the third could be sales. Different brands use different parameters
for evaluation.
What are the pros and cons of branded entertainment for the brand and for the
entertainment content?
As far as cons are concerned, the first thing is that if it is not entertaining then it's not going to
work. One has to understand that it is not an ad. It has to be entertaining and if the brand is in
your face then there is no future in it.
If it is only for saliency, then you have a typical sponsorship model, wherein you sponsor a
particular show and you can get saliency out of it. Branded entertainment has to be strategic and

more importantly entertaining.
The end result is viewership. One has to find ways to engage the consumer and to demonstrate
the brand proposition and usage.
One of the drawbacks is that many people are looking at short term saliency routes but they
have to develop the property as a long term one around the brand proposition and effectively
communicate it. One has to be very clear that branded entertainment content is not an ad.
To my mind the Bournvita Quiz Contest is a fabulous example. It is not in your face and is a
property that has been nurtured over many years now.
Another art in the branded entertainment content space is to take it across various media and not
just television or films. There has to be a 360 degree approach and activation around the
property.
'As compared to Hollywood where they spend about 40 - 50
per cent of the film budget on marketing, the top 200
Indian films spend only about six per cent on it'
What are the parameters that differentiate title sponsorship from branded content?
There are lots of examples of title sponsorship in which there is only saliency and absolutely no
strategic fit.
For example, Close Up Antakshari is still remembered by that name, when the fact is that a couple

of other brands have also come after that as title sponsors, but how many of us remember those?
So the question to ask is - are brands looking at only saliency for that period or are they looking
at conveying that brand proposition in a strategic manner in a long term investment?
As far as sponsorship is concerned - whether title or associate - there are some good examples
and some bad ones. But title sponsorship is not branded content.
Can you name some of the recent in-film placements that Group M has done for its
clients?
As compared to Hollywood where they spend about 40 - 50 per cent of the film budget on
marketing, the top 200 Indian films spend only about six per cent on it. So there is a huge scope
for marketing their product and that is where brands can bring in that liquidity, partnerships and
their activation platforms to co-create the marketing activities.
Some of the recent in-film placements that we have done are ICICI in Baghban, Kodak in Hum
Tum, Lenovo in Corporate and Nike in Kabhie Alvida Na Kehna.
All these have strategic fits and are not in your face. Most of the time, the brand name is not
even mentioned by the actors.
We have also done close to 60 - 70 marketing tie-ups with films in the last two years. For
example: LG with Rang De Basanti and Fanaa and Horlicks with Ice Age.

Since branded entertainment is a new concept in India, are clients more involved than
they would be in traditional campaigns?
Clients' interest levels are very high as most of them are looking at new avenues to reach the
consumer today. Branded entertainment is a long term strategic investment and a property that
is being created for the brand. It is not a short term practical campaign.
Clients are pretty much involved from the concept stage to the final airing stage as it talks about
the brand proposition. If something goes wrong and you convey the wrong message, then all is
wasted. This is a new field for marketers as well as it is all about being the creative partners and
creating entertainment content.
Can this sometimes act as a hindrance as a client may want a particular thing in a certain
way and it may not suit the sensibilities of the producer? In short, is creativity affected
when there is a third party involved (the client) apart from the broadcaster and the
production house?
Nothing is done at the expense of creativity or entertainment or for that matter even at the
expense of the brand. It has to be a win-win situation and we have to keep in mind what will
look good for the brand and the content in a strategic way.
So when the branded content is conceived around the brand brief, creativity will automatically
be affected. But the end result has to be successful, it has to draw those eyeballs and convey the
brand message. I don't see any kind of conflict in the creative and brand integration. It can even
happen between ad agencies and clients when an ad campaign is being made.

What are the costs involved in making an advertiser funded programme? Would it be
more than a regular television programme?
Not really. Branded entertainment can be produced in different budgets depending on the
format and the platform of the show. There is no premium on it. It could range from Rs 100,000
to Rs 8 million per episode depending on what you want to show. It can be a reality show,
fiction, non-fiction or game show.
It is about creating a show around the brand proposition.
What are the budgets that clients are setting aside for advertiser funded programming?
Like I said, it depends on the format and also the duration of the show. Right now there are no
set benchmarks for the kind of budgets that are set aside because there are very few properties
in the branded entertainment space. It depends on the platform too, whether it is a national or a
regional platform. If you go down south, then the economies will be much cheaper and on a
national platform it will be expensive.
The budget is usually finite for brands and within that they work out how much they would
want to set aside for TV, print, radio or any other media, which may include branded
entertainment.
Can you name the brands that you are working with and the projects you have on hand?
It's a bit premature to talk about it and I can't give too many details. But we are in talks with a
whole lot of clients who are interested in this space and are looking at it as a long term strategic
investment.

We are working with a set of Unilever brands and also with the likes of Hero Honda, Seagrams,
Perfitti, Hutch, ICICI and Frito Lay.
What are the genres that you are tapping in the space?
The one genre that we are actively working on is that of nonfiction
Is nonfiction better to deal with than fiction in the branded entertainment space?
I would not say better as such, it all depends on the brand brief and what they want to do. Soaps
are slightly difficult to integrate the brand with.
Whatever gels better with the brand brief is what we do. At present we are working on talk
shows, game shows and reality shows.
So how does it work - do you take a property to a client or does the client come to you and
ask you to weave something around his brand?
It could work either ways. At Group M we handle more than 200 clients and we understand
what the brand stands for, its propositions, what the clients are looking for and their strategies.
So at this stage itself, we identify and work along with the client, whether a branded
entertainment property is a strategic investment or not. Therefore, if we have a format in hand
and there is a brand proposition, we could go to the client and pitch it to them.Similarly, they
can also give us a brief as to what they want and we develop a format around it.

In today's fragmented and cluttered environment, will branded entertainment overtake
the traditional 30-second TV spot?
No it won't. Not every brand can afford a media property and not every brand needs a branded
property.
2.2 EARLIER FINDINGS
http://www.marketingweek.co.uk/news/branded-content-case-
studies-prove-effectiveness/3013022.article
Branded content case studies "prove" effectiveness
Wed, 5 May 2010 | By Branwell Johnson
The body tasked with promoting branded content has completed two case studies and
will use the findings to promote the effectiveness of the medium.

The Branded Content Marketing Association (BCMA) secured cross-industry support to
provide measurement for all forms of branded content activity through its Branded
Content evaluation system (BCes) last November.
The first case study was commissioned by ITV to evaluate children’s show Farm Camp.
The show was funded by Morrisons to support its “Let’s Grow” initiative and the
accompanying campaign targeted both parents and children. The BCMA analysed four
elements - the programme, promotional trailers, the website and press ads.
The BCMA was able to measure each individual element of the campaign and how
different elements of the campaign worked together. For example, of those in the test
group who saw one episode of Farm Camp, their association of Morrisons with Let’s
Grow increased by 24% compared to those in the control group.
A second case study evaluated HSBC’s campaign targeting high net worth individuals
that included a two-minute clip on CNBC called “Alternative Investing” during editorial
time together with a branded online guide. Over two-thirds of the test group recorded
positive reactions, with 67% saying “I’d like to see more of this type of thing in the
future”.
Andrew Canter, BCMA managing director and CEO of Contentworx, says: “The BCes
has finally given us the evidence the industry desperately needed that branded content is
a powerful marketing solution. It gives marketers the accountability and decision
support system they require to sign off branded content campaigns.”
The BCes was developed by Contentworx with OTX and Pointlogic
2.3 RESEARCH BEING CARRIED OUT

3. EXPLANATION
MTV Hero Honda Roadies
MTV Hero Honda Roadies is a popular youth targeted reality show that has all elements
fo adventure, expedition, drama, human interest and voyeurism. It is a programme
integrated with hero Honda wherein the selected Roadies or contestants are provided
with Hero Honda Karizma bikes and travel to a specific pre-determined route. The
Roadies stop at various places throughout their expedition on bikes and perform certain
number of tasks in a particular episode. These tasks are usually Money tasks in groups
or Immunity tasks which prevent the contestants from being voted out. They are usually
group tasks or individual tasks. Each episode has a vote-out in the end, thereby reducing
the number of Roadies in each episode, before going to the next location. In the end,
one lucky person who performs tasks, handles situations smartly, builds trust, shows
good interpersonal skills and survival instincts becomes the Last Roadie. He/She is
adjudged the winner of the season and also takes away a cash prize with him/her apart
from a Karizma bike. The show format varies at times, with a new season in order to
ensure sustained viewer interest.
Pepsi MTV Wassup
Pepsi MTV Wassup is a show hosted by popular hosts on MTV to give the viewers their
daily dose of ‘Taza Khabar’ in a small, swift and fresh bulletin with small vox-populi,
interview teasers, role plays and satire. Popular hosts such as Gurbani Judge, Jose, Rhea
and Ayushmann Khurrana keep the viewers excited and bring to them a special lingo
and opinion of Youngistaan (Youth), integrated within Pepsi MTV Wassup.
Segments like ‘Rightbackatcha’, ‘The Big Dope’, ‘WTF’ and ‘What Say Youngistaan’
are youth oriented and discuss all issues and latest happenings with them through polls,

opinions, interviews in an appealing manner while maintaining the integrity of the
news.
Don’t miss daily segments like ‘Rightbackatcha’ which covers national / international
or local happenings with young consumers across cities commenting on these issues in
their own unabashed manner. ‘The Big Dope’ features issues close to the hearts of
Youngistaan. ‘Wat say Youngistan’ is a daily poll conducted on topics that impacts,
affects, concerns or irritates the youth and finally get updated on the all the bakwaas
news of the week with ‘WTF’
There are also monthly segments like ‘1 Rule’ that are aimed at honouring the citizens
of Youngistaan who have changed things around them in an unconventional manner.
Product Integration and Advertiser Funded Programme
A. Background
An hour of air-time on television is divided into 3 segments:
 Programming ( normally 48 minutes)
 Commercial ( normally 10 minutes)
 Promos ( normally 2 minutes)
Traditionally, main selling proposition, as well as that of the broadcast industry in
general, has been conventional ad spots (normally a 30 second spot during commercial
air-time either before the start of a programme, at the end of the programme or during
breaks in the middle of the programme).

In response to increasing viewership fragmentation, a recently emerging trend has been
the introduction of concepts like Product Integration and Advertiser Funded
Programmes as key components of an integrated advertising solution offered by
broadcasters to advertisers.
B. Product Integration (PI)
B.1 The Concept
Placement of a Client’s product/brand within programming content (outside of
commercial time) and which is paid for is called PI. In order to be successful, the PI
must largely be subliminal (i.e., transmitted in a manner that is sub consciously
perceived by the viewer and non-intrusive).
There are 3 types of PI as follows -
(i)Passive PI: Where the product/brand is placed within a show & there is no discussion
or actor involvement with it. It is passively placed in a shot or series of shots. This can
also be placement or branding in format shows.
(ii)Active PI: Here the product/brand is handled by the actors and may be discussed by
them.
(iii)Hyperactive PI: The plot or the entire show is designed with the product/brand in
question. The product/brand becomes the main item in the story line.
B.2 The Sale
The value of the PI is based not so much on the length of time that the product/brand is
shown in the show, but rather on the manner and extent of integration.
Further, since research shows that PI is more successful if the commercial of the
product/brand is also aired in the break of the same show, by and large PI is sold in this

manner. Therefore there are two elements to the value – the in-content part and the
commercial spots part.
While some deals may identify the value of these two elements separately, a greater
number of deals may have a consolidated amount, to avoid negotiating with the client
on the length of time the product/brand is shown.
For such consolidated deals, the important fundamental principle is to properly record
the value of the commercial time (by splitting the premium for the in-content part) so as
not to vitiate the Average Spot Rate (ASR) and Cost Per Rating Point (CPRP)
calculations for that client/time slot. This could be based on a standard ASR/CPRP
value either for the time band or for that client based on the latest deal.
The payment terms for the PI deals are also likely to be different, where we would
prefer to collect some amount in advance (due to the effort involved in integration).
The commercial spots portion will be based on existing credit terms. Our position to
the client is that reason for the break up is more to do with affording the client expected
credit terms for the spot sales rather than the actual value for the two portions.
C. Advertiser Funded Programme (AFP)
C.1 The Concept
Sometimes advertisers conceive of a show that they believe promotes their brand value
and they need a slot from INX to air such programmes.
The client could directly contract with a Producer to get the show produced and deliver
the recorded programme to INX. In such a case, INX has the right to provide creative
inputs to ensure audience fidelity and be consistent with the look and feel of the
channel. Alternatively, the client could commission INX to produce the show for them;

something akin to a one stop shop. INX in turn would outsource this to another external
producer.
As in the case of PI, the commercial of the product is also aired in the break of the same
show. INX would also have the right to sell the balance inventory to other clients,
subject to certain exclusivities.
Therefore there are three elements to the AFP –
(i)The slot sale for the programme
(ii)The commercial spots aired during the break of the programme
(iii)Production of the programme itself.
The progamme also gains marketing mileage from the reference made to such
programmes by advertisers in their print and other media campaigns.
C.2 The Sale
As in the case of PI, while some deals may quantify the price for each portion
separately, some deals may have a consolidated amount of consideration.
Also as in the case of PI, the important fundamental principle is to properly record the
value of the commercial time (by splitting the premium for the in-content part) so as not
to vitiate the ASR and CPRP calculations for that client/time slot. This could be based
on a standard ASR/CPRP value either for the time band or for that client based on the
latest deal.
Since the time slot is being committed by INX, the payment for this is likely to be
collected in advance, whereas the amount apportioned for the commercial time sales

would be on standard credit terms. Further, where INX has been commissioned to
produce the show, this payment is also likely to be collected in advance.
4. METHODOLOGY ADOPTED
4.1 METHODS OF DATA COLLECTION
Questionnaires were the predominant method used as a means of data collection. the
questionnaire used is objective type which mainly focuses on the primary objective of
my project . The questionnaire in itself helped me in gaining better clarity and
understanding as to the subject matter and thereby helped in the analysis and
interpretation aspect.
The survey was conducted among a sample size of 200 of which 150 were taken
through online and the rest through a ground survey. The ground survey again was
primarily done in Bangalore city itself.
The survey included professionals from various fields and students where also made to
attend the survey. The survey where generally focused on the analysis of consumers
mind on viewing Films and Television in Mobiles.

The Questionnaire contains 8 important questions, where each set of questions
determine the necessary mind set of each questioners. The questioner where basically
objective type and to make them focus on the answers only a few options where given.
5. DATA ANALYSIS
5.1 DETAILED PLAN OF ANALYSIS
DATA PREPARATION
It involves checking or logging the data in; checking the data for accuracy; entering the
data into the computer; transforming the data; and developing and documenting a
database structure that integrates the various measures
DESCRIPTIVE STATISTICS
They are used to describe the basic features of the data in a study. They provide simple
summaries about the sample and the measures. Together with simple graphics analysis,
they form the basis of virtually every quantitative analysis of data. With descriptive
statistics you are simply describing what is, what the data shows.
INFERENTIAL STATISTICS
The investigate questions, models and hypotheses. In many cases, the conclusions from
inferential statistics extend beyond the immediate data alone. For instance, we use
inferential statistics to try to infer from the sample data what the population thinks

5.2 DATA REPRESENTAION
150 questionnaires from the target group based in Bangalore, aged between 18-35 years
opinionated as follows:
1. Are you aware of these shows on MTV associated with a specific brand?
A. MTV Hero Honda Roadies 142
B. Pepsi MTV Wassup 89
C. Vodafone MTV Splitsvilla 112
D. No, None of them 5

2. Do you associate a specific show with a brand? (Ex. Stunt Mania with Pulsar)
A. Yes 89
B. No 61
142
89
112
5
Column1
Pepsi MTV Wassup
Vodafone MTV Splitsvilla
No, None of them

3. While watching a TV programme, if you observe a product being advertised
within the show, do you swap the channel?
A. Yes 91
B. No 59
89
61
Column1
Yes
No

4. Which of these shows do you identify with subtle, strategic communication that
offered brand insights and highlighted brand attributes without preaching?
A. MTV Hero Honda Roadies 98
B. Pepsi MTV Wassup 58
C. Vodafone MTV Splitsvilla 64
D. No, none of them 25
91
59
Yes
No

5.At the retail level, will you have a favourable recall and preference for a brand that
you associate with a TV programme?
A. Yes
B. No
6. Have you ever recorded a show through a Personal Video Recorder (PVR) or
watched it on the Internet due to time constraint?
A. Yes (PVR)
B. Yes (Internet)
C. No
98
58
64
25
Column1
Pepsi MTV Wassup
No, none of them

7. Do you watch advertisements in between shows?
A. Yes
B. No
8. Do you surf the Internet while watching Television?

A. Yes
B. No
6. OBSERVATIONS & CONCLUSION
From the data collected, observed and analyzed, several conclusions in favour of
Advertiser Funded Programming on MTV have featured out.
Most of the viewers, the target audiences for this project, i.e; current Bangalore
residences, aged 18-35 years are aware of shows on MTV associated with a specific
brand and take keen interest. MTV Hero Honda Roadies clearly stands out in their
minds after its successful 7 seasons. Vodafone MTV Splitsvilla is not far behind with
majority of the participants of the survey showing clear awareness to the existence of
this show associated with Vodafone. Pepsi MTV Wassup also has a huge recall amongst

the youth, thus giving the brand owners and media buyers an assurance of a positive
brand recall, reliable strategy and fruitful association.
Also, viewers today are far more accepting. This has been observed when majority of
the audiences who participated said that they would not swap the channel when a
product placement is being done. This may be due to the fact that these shows have
created a place for themselves in the minds of the audiences and the audiences don’t
mind placements. Moreover, brands also get to show that they are ubiquitous and can
make a positive association with the audiences through the show.
Consumers today are smart enough to observe that a product is being advertised in a
show. However, brands have figured out that the way out is subliminal communication,
which is strategic, subtle and still offers important brand insights and attributes. Hero
Honda Roadies is a show that achieved this, the responses show. Vodafone MTV
Splitsvilla and Pepsi MTV Wassup also gathered lots of votes for their subliminal
communication and ability to get across their brand message to the viewers without
preaching about them. Does this lead to consumer preference? Yes, the survey shows
that majority of the people have a favourable recall and preference at the retail level
when they go to purchase a product. This can also be a lesson to advertisers and brand
managers while making crucial investment decisions on TV, considering them as long
term investments.
Whether, the use of recording devices is a matter of concern to the advertisers, Yes,
because majority of the audiences have logged on to the internet to view their favourite
show thus skipping ads and skewing the idea of primetime TV. However, not many said
that they have used a PVR to record shows. This would be attributed to the low

penetration of DTH and IPTV in India, which is expected to rise thus creating a greater
need for AFP in the future. The need for AFP further increases when viewers say that
they rarely watch or totally ignore advertisements in between shows.
This shows that the audiences are far restless today and advertisers may need to
consider another model to reach them, instead of traditional ad spots. Also, the surf-the-
internet-whilst-watching-TV audience can be a point of concern to advertisers who
might need to rework their branding strategy and give a serious consideration to
branded content as MTV has successfully shown.
7. BIBLIOGRAPHY
1. http://www.indiantelevision.com/special/y2k6/branded_entertainment_india.htm
2.http://www.marketingweek.co.uk/news/branded-content-case-studies-prove-
effectiveness/3013022.article
3. http://www.indiantelevision.com/interviews/y2k6/executive/rajeev_berry.htm
4. FICCI-KPMG Media Report
5. Yahoo Media Report

8. ANNEXURE
CONSUMER SURVEY FORM
TOPIC- Advertiser Funded Programming on MTV
India- An Analysis
Disclaimer- This questionnaire is intended to be used only for academic research purposes and the
results obtained will be kept confidential.
* Required
Name *
Location *
Phone Number *
Age *
18-23
24-29
30-35

Gender *
Male
Female
Occupation *
Student
Working
1. Are you aware of these shows on MTV associated with a specific brand * More than one tick
allowed
Pepsi MTV Wassup
No, None of them
2. Do you associate a specific show with a brand? (Ex. MTV Stunt Mania with Pulsar) *
Yes
No
3. While watching a TV Programme, if you observe a product being advertised within the show, do
you swap the channel? *
Yes

No
4. Which of these shows do you identify with subtle, strategic communication that offered brand
insights and highlighted brand attributes without preaching? * More than one tick allowed
Pepsi MTV Wassup
None, branding was apparent and pushy
5. At the retail level, will you have a favourable recall and preference for a brand that you associate
with a TV programme? *
Yes
No
6. Have you ever recorded a show through a Personal Video Recorder (PVR) or watched it on the
Internet due to time constraint? *
Yes (PVR)
Yes (Internet)
No
7. Do you watch advertisements in between shows? *

Yes
No
Rarely
8. Do you surf the Internet while watching Television? *
Yes
No
Occasionally
Thank you for your participation (Any Other feedback)
THANK YOU!

Do you think Branded entertainment is better than traditional ad
spots
. Yes higher recall
. Yes it builds a media property

. Yes it conveys the brand messages
. Yes
If yes, will you recommend your clients
What are the issues, pros and cons for a brand
Why hasn’t it picked up although it is considered effective
---------
Do you think AFP is appropriate way to get across brand
messages as compared to buying ad spots
Are you experimenting with branded content in the near future

What are the pros and cons for the advertiser

Advertiser Funded Programming on MTV- An Analysis

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