This document proposes that the agency consider using GAP as an in-house TVC production service to reduce costs and increase revenue. Currently, agencies outsource TVC production which involves markups at each stage, reducing profitability. GAP proposes directly producing TVCs using their production expertise and access to directors. This would save the agency 25-30% in costs while maintaining creative quality. GAP has experience producing over 100 projects. By cutting out middlemen, GAP can provide transparent, high quality TVC production at actual cost plus 10% for the agency.

1. GAP
GAP
Proposal
In-House TVC Production Services

2. 2
GAP
GAP ENTERTAINMENT
Discussion Guide
§ TVC Making Procedure (Current)
• Film Department
• Quotations
• Value Adds
• Creative wish lists
• Monetary Considerations
§ TVC Making Procedure (Proposed)
• Structure
• Promise and Benefit
• Monetary Considerations
§ About GAP

3. GAP
Current
TVC Making Procedure

4. 4
GAP
GAP ENTERTAINMENT
Film Eco System : Inflationary
Agency
Producer 1
Producer 2
Producer 3
Director
Line Producer
Client
Costs increases at each stage of the chain. Agency 15%, Producer 25-35%, Director at a percent of base cost. Line Producer with margins from
vendors

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GAP
GAP ENTERTAINMENT
Motivations : System Demystified
§ TVC Considerations
• Script Suited
• Budget Considerations
• Creative Preferences
• Agency Revenue
“Creative and Budget considerations paramount so little room for revenue”
§ Film Departments role
• Extension of Account Management
• Operations Pre and Post approval
• Limited Production Knowledge
• Film Department Preferences
“Extracting real value from smart production usually an issue. Again Revenue potential not achieved”
TVC Consideration : Best Creative output with maximum revenue for all.
Film Department : Add the might of Production and the ability to gradually produce TVC’s inhouse.

6. 6
GAP
GAP ENTERTAINMENT
Motivations : System Demystified
§ Business Role
• Profitability Maximization
• Client Satisfaction
• Creative Output
“Usually compromised on all fronts”
§ Process
• 3 quotes
• Treatment Notes
• Negotiations
• Selection
“The mark up in any outcome would range between 30%-40%, which is the starting point.
Royalties, Edits, Adaptations pile on the outflow.”
Business : Keep Client & Creative happy while pushing up revenue for the agency. A key KRA but limited success keeping all parties happy.
Process : Has its lethargy but the real money is being made outside the agency. Can we change this fact particularly?

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GAP
GAP ENTERTAINMENT
Imperatives
§ Deliver Stellar Work
• True to Brief
• Creative Output
• Business Success
• Best Directors and Superior Production Values
§ ROI from a Clients Perspective
• Cost Reduction
• Creative that is Recognized by Sales and Awards
•
§ Agency Revenue
• Maximization
The key driving factor are these three objectives

8. GAP
Proposal
Don't change anything from an agency point of view.
Look at production seriously to Maximize Revenue.
Build an agency production extension without
incurring any costs.

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GAP
GAP ENTERTAINMENT
TVC System : Proposed
Agency
Producer 1
Producer 2
Producer 3
GAP
In-House
Producer 4
Director
Client Line Producer
Reduce the percentage from Producer, Line producer to In-house Producer thus saving min 25-30%.
Can be done for most project while older system is still in place with big Producer-Director arrangements.

10. 10
GAP
GAP ENTERTAINMENT
Proposal Highlights
§ Some things remain the same :
• Creative gets to select their wish list of suitable Directors
• Creative Focus (infact additional firepower by way of Directors)
• Film Department (increases service and quality control quotient)
• Business (commissions remain the same)
§ While there are changes :
• Production ability enhanced dramatically
• Production benchmarking to enhance accurate estimation and improve profitability
substantially
• Production money comes to the agency (added revenue)
• Ability to source and reach to specific Directors, in sink with the Films department
• With GAP providing in-house agency production, negotiation ability dramatically improves
• Film making expertise (bring in a lot of work in-house that is going out to Production Houses)

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GAP
GAP ENTERTAINMENT
Tangible Deliverables
§ Concrete Value adds
• Around 30% production money saved as working on actual cost
• Creative Reach – Agency gets and interact directly with the Director of their choice
• Speed and Efficiency : Roster of unlimited International Directors and 50+ Indian directors
• World best Directors from across the globe and category specialists at the agencies doorstep
• Production Cost identification and accurate benchmarking for client review
• Sourcing facility to contact Directors selected from agency directly without middle men that
take 15% for their use of Google
• Transparency – Costs laid out threadbare and quality check by creative's at every level
• IPR of the TVC with the Agency, so post Master delivery every other job too at actual cost to
the agency + rights and royalties free (billed to client at rates decided by the Agency)

12. 12
GAP
GAP ENTERTAINMENT
Monetary Consideration
§ TVC production at a Actual Cost + Arrangement
§ GAP would work at a per project fixed fee of 10% over cost of production,
saving the Agency a minimum of 20-30% which is straight additional revenue
§ The actual production expense of the TVC can be paid to GAP or Agency can
even pay to the vendors directly
§ GAP takes up productions that could maximize agency revenue
• Directors of Agencies choice
• Agency gets 3 quotes from producers for client satisfaction
• GAP will deliver value to the client and supreme value to the agency by way of
production savings plus maintaining the optimum quality of the TVC

13. GAP
Gautam at helm
About GAP

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GAP
GAP ENTERTAINMENT
About GAP
§ Rich Experience
• Gautam Ailawadi founded GAP Entertainment (Pvt.Ltd. Company) in 2008
• Produced 60+ TVC projects in 6 years on inception plus 40 channel promos
• 35 TVC done separately as executive producer with other production houses
• Same module of working at actual cost plus 10% fee implemented by GAP with
Sony Entertainment, Saints and Warriors, Star India and Origin BeanStalk
(Empanelled as a fixed Producer & Produced around 50+ tvc’s/promos
with the agencies/channels on the same arrangement)

15. 15
GAP
GAP ENTERTAINMENT
About Gautam
Gautam Ailawadi
• A Producer with over a decades experience working in Advertising Agencies
• Worked in Leo Burnett /creative dept for over 4 yrs in their New Delhi & Mumbai offices
• Moved to work as Production co-ordinator in White Feather films for Kaante - the movie
• Worked with Ogilvy & Mather/Films dept for over 2 years
before finally deciding to take a plunge

16. 16
GAP
GAP ENTERTAINMENT
Showcase
§ GAP Entertainment P.Ltd Showreel as Producer
gapentertainment.com / youtube.com/user/gapfco/videos
§ Gautam Ailawadi as Executive Producer for Morse Code Films
morsecodefilms.com / youtube.com/watch?v=oPAO81tCH1Q
§ GAP as a Producer for various TV Channel Promos
gapentertainment.com

17. GAP
How GAP is different

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GAP
GAP ENTERTAINMENT
At GAP we believe in Bridging the GAP
§ Between Client - Agencies Demand and Finished product
§ Between Idea and Execution
§ Between the Creative Team and the Director
§ Between Client Budget and Actual Estimates

19. GAP
How GAP will do it

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GAP
GAP ENTERTAINMENT
Creative's are hungry for Good Directors
§ We give them a selection based on the script idea from a large panel of Directors
covering all the product categories
• Freelance Indian Advertising/Promo Directors
• Foreign Advertising Directors
• Bollywood /Hollywood Feature Film Directors
• Internet / Viral Directors
Creative team is wanting to work with Best Directors, which we will give them.
Hence if we maintain quality & the requirements of the Director, Creative does not interfere who does the production.

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GAP
GAP ENTERTAINMENT
Transparent Processes & Dealings
§ In devising breakup for each project on a actual cost basis thereby
reducing cost mark-ups at various levels
• Production House mark-ups per head
• Production house margin
• Line Producers inflated costs
• Directors margin per project

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GAP
GAP ENTERTAINMENT
Production Knowledge and Experience
§ In creative understanding, as the founder himself has an Advertising
background thus it helps in diminishing production expenses and uplifting
creative issues at all levels
§ GAP allows a great quality product at the most optimum cost
§ With this approach GAP has been successful in hiring freelance Directors
and producing around 50+ tvc’s / promos in-house directly for Sony
Entertainment, Saints and Warriors, Star India, Origin BeanStalk which
they earlier used to outsource to individual production houses.
§ Direct access to many Directors, DOP’s, technicians, equipment vendors
and post houses (Indian and Foreign)

23. GAP
What do we want from the
Agency

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GAP
GAP ENTERTAINMENT
§ A opportunity to produce Agencies bulk TVC
§ Production House makes money on the creative talent (Director) for the TVC’s,
with Agencies (creative and films dept) support, GAP can hire the same/equally
talented Director as freelancers and Produce the Commercials in-house.
§ Considering GAP as agencies In-House TVC production wing
§ GAP to quote for every script which agency shares with other 3 Production houses
Commitment
The advantage to the agency hiring GAP is that incase creative or client is hell bent on a specific Director/Production House and yet script is
shared with GAP, Agency still gets to know the exact cost of the TVC & hence can further negotiate with the other production house on the cost

25. 25
GAP
GAP ENTERTAINMENT
How does Agency Benefit
§ A discounted cost over and above the regular costs (saving of at least 25%-35% from Production
House margin)
§ Unbelievable bulk discount over the regular price once we fix our vendors & post studios
directly, for all our TVC’s
§ A large list of Directors to choose from (including the ones who run their own Production Houses)
§ Low costs at all levels (billed at actual, supporting provided to agency)
§ Hassel free direct dealing between Agency - GAP - Director
§ Operational efficiencies at all levels of production
§ Client - Agencies relationship strengthens
§ Efforts to bring on board the same Directors who are already working with the agency,
this time as freelancers so that the creative satisfaction is maintained
§ Films dept is involved in billing too and soon graduates to Line producers job
§ Creative supervision and transparency at all level of production
§ IPR of TVC given to agency at no extra cost
GAP will provide a great creative product, at actual cost

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GAP
GAP ENTERTAINMENT
THANKING
YOU