You are on page 1of 95

COMPARATIVE STUDY BETWEEN CABLE TV

NETWORK AND DIRECT TO HOME IN

HIMACHAL PRADESH

A PROJECT REPORT

Under the guidance of

Ms. Chavi Mathur


Submitted by

Gagan Sharma

Of

MBA
______________________________

BATCH-JULY 2009

1
ACKNOWLEDGEMENT

My sincere thanks are due to all the contributors without


whose efforts this project would not have been completed. No
task of this nature is a single person effort, so I am very
thankful to Ms. Chavi Mathur for her kind co-operation and
providing me good environment to work on. I particularly
want to acknowledge Ms.Chavi Mathur for his help in
conducting the research project and for being a continuous
source of help and assistance.
I also express my gratitude to the all respondents for their
proper responses and cooperation during my project.
I would like to extend my thanks to my all friends for their
valuable suggestion and cooperation at various stages during
my project.
Most of all, I want to acknowledge and thank my
Savior and Lord, the Almighty God, for the miracles He has
performed in my life. My life and work is truly, the result of
His grace.

2
Examiner’s Certification

The project report of


Gagan Sharma
“Comparative Study Between Cable TV Network and Direct To Home in Himachal
Pradesh”
is approved and is acceptable in quality and form.

Internal Examiner External Examiner

3
BONAFIDE CERTIFICATE
Certified that this project report titled “COMPARATIVE STUDY BETWEEN

CABLE TV NETWORK & DTH IN HIMACHAL PRADESH” is the bonafide work

of “Gagan Sharma” who carried out the project work under my supervision.

SIGNATURE SIGNATURE

HEAD OF THE DEPARTMENT FACULTY IN CHARGE

4
Declaration by the student

I hereby declare that the project work titled “COMPARATIVE STUDY

BETWEEN CABLE TV NETWORK & DTH IN H.P.” is the original work done

by me and submitted to BDU for the fulfillment of requirements for the award of

Master of Business Administration is a record of original work done under the

supervision of Ms. Chavi Mathur

Enrolment No. 09295611 Student’s Signature;


Date: Name: Gagan Sharma

5
Preface-

When I had started this journey, I had no idea about where I was going to end up.
On the way I understood why many people had said to me that the theses is going
to be a lot of hard work but still I had a lot of fun on the way. Last but not the least
I learned a lot about both my subject and how to conduct research on this level.
After ten weeks of hard work I had finished my thesis. During this time I have
gotten help from a lot of people first of all I would like to thank my guide Dr.
Satyakaam Das Choudhary for his new ideas and guidance to keep me on track
during this ten weeks long struggle. I would also like to thank all the people that I
had interviewed, without you there would not have been thesis.
I hope that this thesis will get more people interested in the quick changing world
of DTH and Cable TV networking that we live in today and to understand that there
is a need for further research in this area.
This Project is written in simple words, clarity is given the top priority throughout,

and special care has been taken to collect the data and project the report in simple

and understandable way.

6
EXECUTIVE SUMMARY

This report on “Comparative study between Cable TV network & DTH in

Himachal Pradesh” is done to find out certain objective regarding the study of the

consumer perception towards DTH as compared to Cable TV network and to study

the market share of DTH over Cable TV network.

It is concluded from the project report that DTH has good qualities like DVD

quality pictures and CD type sound effect rather than Cable TV network. Majority

of people like to have direct to home service.

In recent years Satellite TV has become very popular and there are many reasons

for this. Many people are switching from Cable TV providers to digital Satellite

providers.

7
INDEX

Company profile
General information about Himachal Pradesh
Introduction
What is DTH?
Features of DTH
Limitations of DTH
CABLE TV
Features of CABLE TV
Limitations of CABLE TV
Scope of cable TV and satellite TV in Future
Market positioning of different companies
Objective of study
Research methodology
Questionnaire
Limitations
Suggestions
Conclusion
Bibliography
Glossary
Annexure

8
INDUSTRY PROFILE: -
As long as my project’s concern it has not any specific company. But in the field
of DTH there are some companies which are engaged in providing direct to home
service; like DISH TV, TATA SKY, BIG TV, AIRTEL DIGITAL TV, SUN
DIRECT DTH TV , DOORDARSHAN and Videocon d2h. All these are engaged
in providing direct to home service with dish. Doordarshan has it’s some free TV
channels and radio channels. But other companies provide service on payment.

9
TATA SKY: -

Tata Sky

Joint venture between


Type * Tata Group
* STAR
Founded 2004
3rd Floor, Bombay Dyeing AO
Headquarters building, P B Marg, Worli,
Mumbai, India
Area served India
Vikram Kaushik (Managing
Key people
Director and CEO)
Industry Media
Direct-To-Home service &
Products
Satellite Television

Tata Sky is a DTH satellite television provider in India, using MPEG-2 digital
Compression technology, transmitting using INSAT 4A at 83.0°E.

10
History
It is a joint venture between the Tata Group, that owns 80% and STAR Group that
owns a 20% stake. Tata Sky was incorporated in 2004 but was launched only in
2006. It currently offers close to 140channels and some interactive ones.
The company uses the Sky brand owned by British Sky Broadcasting.
In October 2008, Tata Sky announced launching of DVR service Tata Sky+ which
allowed 45 hours of recording in a MPEG-4 compatible Set Top Box. The remote is
provided with playback control keys and is being sold with special offers for
existing suscribers.
In 2008, Singapore-based Temasek Holdings picked up 10% stake in Tata Sky from
the Tata Group. This has diluted Tata's stake in the venture to 70%.
STAR’s parent company, News Corporation, owns an International group of DTH
businesses that include Sky Italia in Italy and Foxtel in Australia.
Tata Sky+
Tata Sky+ is a premium set-top box-cum-Personal Video Recorder that allows
recording up to 45 ( now it has been increased to 90 hours of recording) hours of
live TV, recording one programme while watching another, pause a live telecast
and review a TV programme.

11
Certifications and Honours

ISO 27001:2005 accreditation


In March 2009, Tata Sky became the first Indian direct-to-home (DTH) service
provider to be awarded the ISO 27001:2005 accreditation, the benchmark for
information security. ISO 27001:2005 is an international standard that provides
specifications and guidance for the establishment and proper maintenance of an
Information Security Management System (ISMS). The assessment for the
certification was conducted by Intertek Systems Certification, the management
systems registration business unit of Intertek Group. This certification confirms that
every transaction carried out through Tata Sky’s IT systems are highly secure.

SUPERBRAND 2009 – 2010


Tata Sky was selected as a SUPER BRAND for the year 2009-2010 by an
independent and voluntary council of experts known as Super brands Council. It is
the only Indian DTH to have won this distinction.

12
Areas of business: -

Tata Sky offers viewers a variety of popular channels in


categories ranging from entertainment, sports, movies and music to news and
documentaries in DVD-quality picture and CD-quality sound. The service further aims
to empower television viewers with choice, control and convenience through a wide
range of programming and interactive features, thus becoming a one-stop shop for all the
television entertainment needs of customers. With state-of-the-art digital infrastructure
and partners that include global leaders in digital technology,
Tata Sky provides for hardware installation at subscribers' homes, as well as after-sales
service through an extensive customer service network that provides complete customer
care. Tata Sky also retails its hardware and prepaid recharge vouchers through popular
consumer electronic stores to facilitate consumer access.

13
DOORDARSHAN DISH TV:-

Doordarshan

Broadcast television
Type
network
Country India
Availability National
Founded by Government of India
Owner Prasar Bharati
Ministry of Information
Key people
and Broadcasting
Former names All India Radio

Doordarshan (Hindi: दरू दशरन; literally Tele-Vision) is the public television


broadcaster of India and a division of Prasar Bharati, a public service broadcaster
nominated by the Government of India. It is one of the largest broadcasting
organizations in the world in terms of the infrastructure of studios and transmitters.

Recently, it has also started Digital Terrestrial Transmitters. On September 15


2009, Doordarshan celebrated its 50th anniversary.

14
Beginning
Doordarshan had a modest beginning with the experimental telecast starting in
Delhi on 15 September 1959 with a small transmitter and a makeshift studio. The
regular daily transmission started in 1965 as a part of All India Radio. The
television service was extended to Bombay and Amritsar in 1972. Till 1975, seven
Indian cities had television service and Doordarshan remained the only television
channel in India. Television services were separated from radio in 1976. Each
office of All India Radio and Doordarshan were placed under the management of
two separate Director Generals in New Delhi. Finally Doordarshan as a National
Broadcaster came into existence.
Nationwide Telecast

Doordarshan headquarters, Parliament Street, New Delhi

15
National telecasts were introduced in 1982. In the same year, colour TV was
introduced in the Indian market with the live telecast of the Independence Day
speech by then prime minister Indira Gandhi on 15 August 1982, followed by the
1982 Asian Games being held in Delhi. Now more than 90 percent of the Indian
population can receive Doordarshan (DD National) programmes through a network
of nearly 1400 terrestrial transmitters and about 46 Doordarshan studios produce
TV programs today.

International Broadcasting
DD-India is being broadcasted internationally through Satellite. It is available in
146 countries worldwide, however the information on picking up this channel in
other countries is not easily available. In the UK, DD-India was available through
the Eurobird Satellite on the Sky system on Channel 833. The timing and
programming of DD-India international is different from that of India.
Transmissions for Sky Digital U.K. stopped in June 2008 and DirecTV U.S.
stopped in July 2008.

DISH TV: -

16
Dish TV

Dish TV is a DTH satellite


television provider in India,
using MPEG-2 digital
compression technology,
transmitting using NSS
Satellite at 95.0. Dish TV’s
managing director and Head
Founded 2004
Headquarters Noida, India Of Business is Jawahar Goel
India, Pakistan, Sri Lanka, who is also the promoter of
Area served
Nepal, Bangladesh Essel Group and is also the
Industry DTH Pay TV
President of Indian
Products Direct broadcast satellite
Broadcasting Foundation.
Parent Zee Network Enterprise

Dish TV is India’s first direct to home entertainment service that has digitalized
Indian entertainment to bring to your home the best in television viewing through
the latest in digital technology. It not only broadcasts high quality programmes
straight from the satellite to your home, but also gives you absolute and complete
control of what you watch and pay for. It is almost like having your own satellite up
in the sky.
With dish TV you can unlease the true potential of your high end television set and
complete your TV viewing experience with true DVD quality. If you are a
connoisseur of good sound then make sure you experience true stereophonic sound
17
effects, which only dish TV can bring to your home. Dish TV takes television
viewing to the next level as it supports various futuristic features like electronic
Programme Guide, parental lock, Capacity up to 100 channels, Games, interactive
TV, movie on demand etc. dish TV also brings you exclusive National and
International channels for the first time in India! You can enjoy all of these never-
seen -before channels in uninterrupted viewing without any transmission cuts.
First company to offer a satellite receiver for less than $200
First to develop a UHF remote control
First to offer an Integrated Receiver Descrambler (IRD) for C-band satellite TV
First nationwide installation network dedicated solely to satellite TV systems
First Satellite TV Company to offer local channels to local markets in all states.

History
DTH service was launched back in 2004 by launching of Dish TV by Essel Group's
Enterprises. Dish TV is on the same satellite where DD Direct+ is. Dish TV started
its service in Pakistan with the collaboration of Budget Communication.
Dish TV was only DTH operator in India to carry the two Turner channels Turner
Classic Movies and Boomerang. Both the channels were removed from the
platform due to unknown reasons in March 2009.

Satellite link
18
Dish TV uses NSS-6 to broadcast its programmes. NSS-6 was launched on 17
December, 2002 by European-based satellite provider, NewSkies. Dish TV hopped
on to NSS-6 from an INSAT satellite in July 2004. The change in the satellite was
to increase the channel offering as NSS 6 offered more transponder capacity. The
main provider for this service is now Dish Networks.

Availability
Dish TV is available across the country and adjacent countries like Nepal, Bhutan,
Sri Lanka & Pakistan.

BIG TV

BIG TV
Reliance Communications
Type
Subsidiary
Founded 2008

Dhirubhai Ambani Knowledge


Headquarters
City, Navi Mumbai, India

Area served India


Reliance BIG TV is a
Key people Anil Ambani
Industry DTH Pay TV DTH satellite television
Products Direct broadcast satellite provider in India, using
Reliance Anil Dhirubhai 19
Parent
Ambani Group[1]
Subsidiaries Reliance BIG TV Ltd.
MPEG-4 digital compression technology, transmitting using MEASAT-3
91.5°East. It is the 5th DTH service launched in India.

BIG TV is Reliance ADA Company which is India’s first fully digital and fastest
growing DTH service. Big TV added 5, 00,000 in first 50 days of operation in
industry. It has announced that it has achieved the 1 million subscriber mark within
6 months of its launch. Following this achievement BIG TV has achieved share of
15 percent in just 6 months in the fast- evolving Indian dth sector which is nearly 6
years old in India
.
History
DTH service was launched back in 2004 by launch of D i s h T V by Essel Group's
Zee Entertainment Enterprises. Later on public broadcaster
D o o r d a r s h a n launched its free to air DTH named D D D i r e c t + . In 2006 Tata
teleservices in collaboration with B r i t i s h S k y B r o a d c a s t i n g , a subsidiary of
N e w s C o r p o r a t i o n started a service named T a t a S k y . In 2007 the war of
DTH heated up when 2 telecom giants Airtel and Reliance
C o m m u n i c a t i o n s along with a strong south Indian media group S u n T V and
Electronics company V i d e o c o n declared to launch their DTH services.
The south Indian DTH service mostly providing South Indian Channels SUN
DIRECT was launched in mid 2008 which provides service in South Indian States
and Reliance ADAG launched their DTH service on 19 August 2008. Later on
20
Airtel launched its services as Airtel Digital TV on 9 October 2008. As of July
2009 V i d e o c o n D2H+ has soft launched in Haryana, Punjab, Himachal Pradesh,
Jammu & Kashmir and Chandigarh.

About BIG TV
Reliance BIG TV limited is a part of Reliance Communications Ltd., a susidiary of
Reliance Anil Dhirubhai Ambani Group founded by the Late Dhirubhai Ambani,
the Indian business tycoon and owned by his son Anil Ambani. BIG TV started

operations from 19 August 2008 with the slogan "TV ho Toh BIG Ho" ("If you
have a TV, make it BIG"). It currently offers close to 200 channels and many
interactive ones, 32 cinema halls (i.e Pay Per View Cinema Channels) as well as
many Radio channels. The company plans to increase the number of channels in the
near future to 400 and begin High Definition (HD) broadcast. It is the first Pan-
India DTH provider that uses MPEG-4 for broadcasting. There are also plans to
introduce services like i-Stock, i-News and other such interactive services in the
future.
Reliance BIG TV was launched on August 19th, 2008 with the sole aim of
providing the consumer with quality and enriched home entertainment service at
value-driven pricing.
The available opportunity today is huge considering the fact that India has an
existing population of 225 million TV households out of which 130 million are
C&S households and 16.5 Million are DTH households. When Reliance BIG TV
was launched, the overall DTH penetration was just about 4 million households.
21
The pre-launch surveys showed that the biggest stumbling block in the growth of
DTH was the accessibility to the product coupled with the fact that the existing
players were charging anywhere between Rs. 3,000 to Rs. 4,000 per connection.
Even at that price the quality of product being given to subscribers was not up to
the mark.

This understanding gave them the roadmap to launch Reliance BIG TV. They
deployed superior technology to deliver a good quality product, established a vast
network to be able to reach out to consumers and finally a good pricing-packaging
strategy to attract the subscriber.
Reliance BIG TV’s launch in August was probably the biggest roll-out in home
entertainment ever. They deployed the most advanced MPEG4 technology that
enabled them to deliver best quality digital audio-video to the consumer. That apart,
it also got prepared for the future when Hi-Definition TV will be launched in India
because only MPEG4 technology can support HD TV and not MPEG2 which is
used by the earlier entrants in the DTH industry.
The MPEG4 technology also gave them advantage of broadcasting at least 50%
more channels compared to the competitors. The superior compression technology
of MPEG4 helps them to broadcast up to 35 to 40 channels per transponder and
with 12 transponders in hand gave them the unique edge of being able to
broadcast over 400 channels. They are currently utilizing only 8 of their
transponders to broadcast over 200 channels.
Reliance BIG TV’s retailer network is spread across 100,000 outlets in 6,500 towns
in India. This was literally unheard of in the DTH industry. They had effectively
out-stripped the competition here. When it came to pricing – packaging, their
introductory offer stood at Rs. 1,490/- with 3 to 6 months of free subscription. They
also introduced 32 Pay-Per-View Movie Channels, the highest by any DTH player.
22
Not just that, while other players made subscribers pay for each movie, Reliance
BIG TV introduced the unique concept of Subscriber-Video-On-Demand (SVOD)
under which the subscriber paid a monthly subscription of Rs. 50/- to get a 24 x 7
access to the 21 PPV channels showing Hindi and Regional Films. We were also
the first to introduce dedicated PPV channels for Marathi, Gujarati and Bhojpuri
films.

Picture quality
Although it works on DVB-S and not DVB-S2 technology like Airtel DTH and
D2H, it is claimed to have the best picture quality amongst all DTH providers in
India.

AIRTEL DIGITAL TV

Airtel digital TV
(Bharti Telemedia Limited)

Type Bharti Airtel Subsidiary

Founded 2008

Headquarters Mumbai, India

Area served India

Key people Sunil Mittal

Industry DTH Pay TV

Products Direct broadcast satellite

Parent Bharti Airtel[1]


23
Subsidiaries Bharti Telemedia Ltd.
Airtel Digital TV is a D T H (Direct to Home) service from Bharti Airtel - the
largest telecom operator in I n d i a . It uses M P E G - 4 digital compression with
D V B - S 2 technology, transmitting using I N S A T 4 C R 74°E.
Airtel has also joined the Direct-To-Home Satellite TV Services list and has
launched the service within 62 cities in India in their first phase with 21000.

Airtel retail and relationship centers. The Airtel Digital TV is launched with 175
channels and pricing packages starting 2499Rs for a 6 months subscription with the
channel price bands ranging from 99Rs to 424Rs a month. Airtel’s set top box is
20% bigger than other providers to make sure the service is not interrupted and the
subscribers can continue enjoying their TV shows. You can watch onscreen
account details, book cinema tickets, browse & travel holiday packages, make tele-
shopping, get city based information guides and also get the stock updates using
widgets along with world space radio content, which makes Airtel Digital TV
superior than other providers because they offer seriously extra features which
others don’t offer. As of today they are offering their service in more then 150
cities and will cover other area within next 4 months too.

24
History

"Come Home To The Magic" advertisement

Airtel digital launched on 8 October, 2008 with a 360 degree mega campaign
'Come Home to the Magic'. Since then it has launched 2 other campaigns: ‘Stars
come home’ (March 2009) and ‘DTH Picture Clarity’ (August 2009) has increased
its channel base to 183+ channels. Airtel digital TV is now amongst the fastest
growing DTH brands in the country and is available across 5000+ towns in India. It
has also been ranked as the best DTH service by “Living Digital” magazine.

25
Features
Universal remote: Unique to Airtel. Allows customers to enjoy the convenience of
one remote for both TV & DTH.
iTV Services (Interactive Services): iTV is a unique and interactive service that
allows a viewer to shop, plan holidays, see horoscope forecasts, book movie tickets,
order a pizza, watch news, sports with on-demand facts and analysis and much
more, all at the press of a button. The viewer can choose from the variety of
applications based upon individual needs. These services include- iLearn, iNews,
iShop, iMatinee, iTravel, iNet, iCity, iAstro, & iSports, iPizza. Recently Airtel
launched a new service called iPizza that allows customers to order pizza via digital
TV.
Widgets: This helps the customer to get information like Weather, Stock news
while watching TV with a single click without moving away from the TV
programme being watched.
PPV (Pay Per View) movies: With Pay Per View movies on Aitel Live, customers
can watch the latest Movies in Hindi, English and other regional languages. The
blockbuster show, Hannah Montana was also featured there.

26
SUNDIRECT DTH

Sun Direct

Joint venture between


Type * S u n N e t w o r k 80%
* A s t r o G r o u p 20%
Founded 2007
Chennai, Tamil Nadu,
Headquarters
India
Area served National
Kalanithi Maran (Managing
Key people
Director and CEO)
Industry Media
Direct-To-Home service &
Products
Satellite Television
Sun Network, Chennai,
Parent T a m i l N a d u , I n d i a and
Astro Group, Malaysia.

27
Sun Direct is a DTH satellite television provider in India, using MPEG-4 digital
compression technology, transmitting using INSAT 4B at 93.5°E. It is the country's first
MPEG 4 technology DTH service provider.

History
Sun Direct is a DTH service in India headquartered in Chennai, Tamil Nadu. Sun
Direct is a 80:20 joint venture between the Maran family and the Astro Group of
Malaysia. Sun Direct TV was registered in February 16, 2005. However the failed
launch of INSAT 4C resulted in a lack of transponders, delaying the launch. The
service was finally launched on December 2007 after availability of transponders
from INSAT 4CR.
Sun Direct offered subscribers Dish and Set-top box for free and basic monthly
plan as low as Rs. 75(1.4 USD approximately). Because of this it achieved 1
million subscribers in 200 days.
Sun Direct is also the first to provide High-definition television services in India.

Rapid Growth
Because of the lowest pricing of any DTH in India Sun Direct spread rapidly all
over the country. On December Sun Direct was launched in Mumbai and
announced its pan India launch. By 2009 it became leading DTH provider with 3
million subscribers. This makes it 4th largest DTH service provider of India.

Technology
Sun Direct is a pioneer in technology; it was the first DTH provider in India to
provide MPEG 4 technology even in its debut. It is also the first one to introduce

28
add-on packs on monthly subscription. It is the first and currently the only DTH
provider in the country to offer High-definition television services.

Launch of HD services
With the DTH service is catching up in India, Sun Direct gone a step forward by
providing HD services, while other service providers are still in MPEG 2
technology. In April 2009 Sun Direct officially launched its HD service in India.
Since there is no HD channel in India Sun Direct provides two 24 hour HD
channels in Tamil and Telugu. A HD channel in Hindi is also planned.

29
VIDEOCON
Videocon Industries

Type Private Conglomerate


Genre Conglomerate
Founded 1979
Founder(s) Nandlal Madhavlal Dhoot
Headquarters Aurangabad, Maharashtra, India

Consumer Electronics
Home Appliances
Components
Area served Office Automation
Internet
Petroleum
Power

Key people Venugopal Dhoot


Industry Consumer Durables, Oil and Gas etc.
Revenue ▲ U$2.5 billion
Net income ▲ U$276 million
Owner(s) Venugopal Dhoot

30
Videocon is an industrial conglomerate with interests all over the world and based
in India. The group has 17 manufacturing sites in India and plants in China, Poland,
Italy and Mexico. It is also the third largest picture tube manufacturer in the world.
Corporate profile
The Videocon group has an annual turnover of US$ 4.1 billion, making it one of the
largest consumer electronic and home appliance companies in India. Since 1998, it
has expanded its operations globally, especially in the Middle East.
Today the group operates through five key sectors:
Consumer electronics
In India the group sells consumer products like Colour Televisions, Washing
Machines, Air Conditioners, Refrigerators, Microwave ovens and many other home
appliances, selling them through a Multi-Brand strategy with the largest sales and
service network in India. Videocon Group brands include Kenstar, Next etc.
Mobile Phones
In November 2009 Videocon launched its new line of mobile phones in India.
Colour picture tube glass
Videocon is one of the largest CPT Glass manufacturers in the world, operating in
Mexico, Italy, Poland and China.
Oil and Gas
An important asset for the group is its Ravva oil field with one of the lowest
operating costs in the world producing 50,000 barrels of oil per day.
DTH
In 2009, Videocon launched its DTH product, called 'd2h'. As a pioneering offer in
the Indian DTH market, Videocon offered LCD TVs with built-in DTH satellite
receiver with sizes 19" and 32".This concept in the DTH service is relatively new in
the presence of other players like ZEE TV’s Dish TV, Tata Sky Airtel Digital TV
and Reliance's BIG TV providing only the set top box.

31
GENERAL INFORMATION ABOUT HIMACHAL PRADESH

Himachal Pradesh
Himachal Pradesh State Map
General Information
55,673
Area
sq.km
Capital Shimla
Hindi
Languages
and
Pahari
Districts 12
6,077,24
Population
8
3,085,25
Males
6
2,991,99
Females
2
Literacy 77%

32
POPULATION DISTRIBUTION

• Population: • 6.08 million


• 109 per sq.
• Density:
km.
• Urban
• 9.79%
Population:
• Literacy Rate: • 77.17%
• Male Literacy: • 86.02%
• Female
• 68.08%
Literacy:
• Sex Ratio: • 970 (females
per 1000 males)
PHYSICA
L FEATURES

Himachal Pradesh is almost wholly mountainous with altitudes ranging from 350
meters to 6,975 meters above the mean sea level. It is located between Latitude
30O 22 40 N to 33O 12 20 N and Longitude 75O 45 55 E to 79O 04 20 E. It has a
deeply dissected topography, complex geological structure and a rich temperate
flora in the sub-tropical latitudes. Physiographic ally, the State can be divided into
five zones viz. (i) Wet Sub-temperate zone, (ii) Humid Sub-temperate zone, (iii)
Dry temperate-alpine High lands, (iv) Humid Sb-tropical zone, and (v) Sub-Humid
VI) Sub-tropical zone. Wet Sub-temperate sone comprises Palampur and
Dharamsala of Kangra District, Jogindernagar area of Mandi district and Dalhousie
area of Chamba district, Humid Sub-temperate zone comprises the districts of
33
Kullu, Shimla, parts of Mandi, Solan, chamba, Kangra and Sirmour, Dry
temperate-Alpine High lands include major parts of Lahaul-Spiti, Pangi and
Minnaur, Humid

Sub-tropical zone consists district Sirmaur, Bhattiyat valley of district chamba,


Nalagarh area of district Solan, Dehragopipur and Nurpur areas of district Kangra
and; Sub-humid tropical zone sirmaur and Indora area of district Kangra.

Climatically Himachal Pradesh can be divided into three zones (I) The outer
Himalayas, (ii) The Inner Himalayas and (iii) Alpine zone. The first zone gets
annual rainfall between 150 cms and 175 cms. In second it varies between 75 cms
to 100 cms and the Alpine zone remains under snow for about five to six months.
The average annual rainfall in the State is about 160 cms. The climate varies
between hot and a humid in the valley areas to freezing cold in the home of
perpetual snow.

The soils of Himachal Pradesh can be divided into nine groups on the basis of their
development and physio-chemical properties. These groups are alluvial soils,
Brown hill soils, Brown earths, Brown porests soils, Grey wooded or Podozolic
soils, Grey brown podzolic soils, Plansolic soils, Humus and iron Podzols and
Alpine hunus mountain skeletal soils.

Five perennial rivers Sutlej, Beas, Ravi, Chenab and Yamuna flow through its
territory. The utility of these rivers though restricted considerably by the rugged
and undulating terrain of the State, nevertheless, these rivers posses immense
potential for the generation of hydro-electricity.

POTENTIAL IN H.P

Ranked first on the incentives index by NCAER.


Ranked second on consumer market index.
Most urbanized state in the country.
One of the lowest power tariff and cost of power generation in the country.
There are several factors that affect evolution of an industry in a region.
34
Himachal Pradesh has been adjudged best in the country in the field of education
by the prestigious weekly 'India Today' in its annual survey "States of the
States2005

Media and communication


Though situated in a remote part of the country, Himachal Pradesh has an active
community of journalists and publishers. Several newspapers and magazines are
published in more than one language, and their reach extends to almost all the
H i n d i speaking states. Radio and TV have permeated significantly. Judging by the
number of people writing to these media, there is a very large media-aware
population in the state.
The Telegraph, The Statesman, Asian Age, Hindustan Times,
Punjab Kesari and T h e T i m e s o f I n d i a are the newspapers published here.
Vernacular newspapers such as those in H i n d i , P u n j a b i and N e p a l i are also
read by selected readership.
D o o r d a r s h a n is the state-owned television broadcaster. M u l t i s y s t e m
o p e r a t o r s provide a mix of Nepali, Hindi, E n g l i s h , and international channels
via c a b l e . A l l I n d i a R a d i o is a public radio station. Private F M stations are
also available in few cities like S h i m l a . B S N L , R e l i a n c e I n f o c o m m , T a t a
I n d i c o m , and A i r t e l are available c e l l u l a r phone operators. B r o a d b a n d
internet is available in select towns and cities and is provided by the state-run
BSNL and by other private companies. D i a l - u p a c c e s s is provided throughout
the state by BSNL and other providers.

35
Policy proactiveness:

The policy that a state government adopts towards a sector


directly affects its attractiveness for further investment. For
example, the State Government has given many concessions
for the establishment of industries. This has prompted many
industry players to establish their manufacturing facilities in
the state.

Availability of natural resources:

Certain industries like agro-based industries have a high


dependence on the availability of natural resources. The
availability of high quality limestone spurred the growth of
the cement industry in the state.

Capability:

Availability of good quality manpower is essential for


industries to flourish. High literacy rates and good quality
workforce are added assets for the state.

36
THE STATE ECONOMY
State Income is the single most common and comprehensive economic indicator
used to measure the economic health of any State economy. In Himachal Pradesh, first
estimates of State Income were released in the year 1963 covering the period 1950-51 to
1960-61. Since Himachal Pradesh underwent many territorial changes after
independence and emerged as a full- fledged State in the year 1971, a new series of State
Domestic Product was developed for the year 1966-67 to 1969-70 with the base year
1960-61. The third series of state domestic product prepared in the Pradesh was based on
1970-71 prices, which consisted of the estimates up to 1986-87.After the release of the
new series of National Accounts Statistics by Central Statistical Organization in
February 1989, Himachal Pradesh also brought out a new series of estimates based on
1980-81 prices.
A new series of quick estimates were brought out during 1999-2000 based on the 1993-
94 prices. According to these estimates, the State income of the Pradesh during 1993-94
to 2001-02 period increased from Rs. 4250.03 crore to Rs. 7002.66 crore at constant
prices and to Rs13336.65 crore at current prices. The compound annual growth rate of
the state domestic product during this period is 6.44%. The per capita income at constant
prices increased from Rs. 7870 in 1993-94 to Rs. 12302 in 2003-04 and 13005 in 2004-
05 while at current prices, it rose to Rs. 24903 and Rs.27000, respectively.

37
INFRASTRUCTURE APPROVALS

As a part of its new industrial policy to attract indigenous and foreign


investment, the State Government has approved an investment of USD
550 million for setting up over a hundred projects in the medium and
large-scale industries.

INCENTIVES

The Government of India has announced a package of


concessions to the industrial units in the state, which includes
100 % outright excise duty exemption for a period of 10 years
from the date of commencement of commercial

production, 100 % income tax exemption for the first 5 years


and capital investment subsidy of up to 15 % for investment
made in plant and machinery to all new and existing
industrial units

38
INDUSTRY INFRASTRUCTURE

The State Government has established 16 industrial areas, 11 export promotion


parks and 11 industrial estates with basic amenities such as roads, power, sewerage,
water, communications and power supply. An electronics complex has been
developed at Shoghi, near Shimla. The state has established three agro export
zones, including the one at Parwanoo, which is one of the largest in Asia.
INTRODUCTION
The Indian government finally cleared the technology that
will allow its people to receive television programmes
directly via satellite, using a small dish antenna - without
having to depend on cable TV providers or terrestrial
transmitters.
DTH is defined as the reception of satellite programmes with
a personal dish in an individual home. India currently has 7
DTH service providers and a total of over 11 million
subscriber households.
Dish TV (a ZEE TV subsidiary),
Tata Sky
South India Media Giant Sun Network owned 'SUNDIRECT
DTH',
Reliance owned BIG TV
Videocon d2h
Bharti Airtel's DTH Service 'Airtel Digital TV'
39
DD Direct Plus of public sector.

Indians can now legally receive television broadcasts in the


Ku satellite transmission band in their homes, directly via a
small dish antenna, is soon greeted with similar scorn by
those currently owning television sets. They may find the new
and already much-hyped technology, too costly even to
contemplate. And like the war-time American presence in UK,
it might in the short term, merely create a new digital divide
between a privileged few who can afford DTH with its
promise of superior quality and choice - and the
overwhelming majority who cannot. DTH services were first
proposed in India in 1996. But they did not pass approval
because there were concerns over national security and a
cultural invasion. In 1997, the government even imposed a
ban when the Rupert Murdoch-owned Indian Sky Broadcasting
(ISkyB) was about to launch its DTH services in India.
Nevertheless, Direct-to-home television broadcasting - an
activity that the government banned in 1996 before reversing
its decision now - represents one of a handful of interesting
technologies whereby TV content providers are trying
worldwide to enter our homes. Finally in 2000, DTH was
allowed. The new policy requires all operators to set up earth
stations in India within 12 months of getting a license. DTH
licenses in India will cost $2.14 million and will be valid for
10 years.
40
The companies offering DTH service will have to have an
Indian chief and foreign equity has been capped at 49 per
cent. There is no limit on the number of companies that can
apply for the DTH license.
The good old method of course, is to send out television
programming from terrestrial transmitters which we have been
accustomed to receive with small and cheap ``half wave
dipole'' antennas - the type that works for the local
Doordarshan transmission. Most of us installed these systems
after 1984 when the government vigorously expanded the
range and reach of LPTs - low power transmitters.
Then came the explosion of satellite-based television services
- and the local CABLE operator who received these channels
currently between 50 and 75 in India, using 1 or more 3-4
meter diameter dish antennas and then sent them to individual
homes using a coaxial cable, for a monthly subscription that
varies in India from Rs. 75 to Rs. 200. The price varies with
different CABLE providers because they offer a varied menu,
in turn paying a fixed fee per home to the creator of TV
content who chooses to charge for the service. Some - like the
language services of Doordarshan, and quite a few foreign
broadcasts, are ``free to air''

41
Indian CABLE TV networks, despite their relatively small
size and entrepreneurial nature, have always been quick to
adopt leading edge technology. In the past, widespread
optical fiber deployment, cable modem services and even
telephony are some of the enhanced facilities that Indian
cable networks have offered their consumers.
In the recent past, DTH networks have created an aura or high
technology and enhanced services though in reality they offer
little more than that on 'Vanilla' services already offered by
most cable networks countrywide.
CABLE TV still offers the widest bandwidth at the lowest
transmission cost, into people's homes. A bandwidth of 1 GHz
translates into a feature set that cannot be matched by DTH,
IPTV or any other service, at the price and reliability of
CATV.

DIRECT TO HOME (DTH): -


DTH technology eliminates the need of any intermediary
between the service providers(just like MSO) e.g. Dish TV,
TataSky, DD Direct and the viewer DTH is wireless, reaching
direct to the consumer through a small dish and a set-top box.
DTH signals cannot be received without the set-top box. A

42
DTH network consists of a broadcasting centre, satellites,
encoders, multiplexers, modulators and DTH receivers.

A DTH service provider has to lease Ku-band transponders


from the satellite. The encoder converts the audio, video and
data signals into the digital format and the multiplexer mixes
these signals. At the user end, there will be a small dish
antenna and set-top boxes to decode and view numerous
channels. On the user's end, receiving dishes can be as small
as 45 cm in diameter.
The technology used is wireless (with no cables running into
the viewers home) making it easier to reach the remote areas
of the country. The viewer has an antenna installed at his
rooftop/window which catches the signals from the satellite
and then directs it to the set top box installed in his home.
The set top box is fitted with a viewing card VC (similar to
Sim Card) which is uniquely numbered and contains
information about the channels that have been subscribed to
by the viewer. The subscribed channels are decrypted and
then sent to the TV of the viewer. Essentially the ‘Set top
box-viewing card’ combination facilitates CAS in DTH. The
audio-video clarity is much higher as the DTH transponder
down linking is digital. Also digital compression of signal,
increases by manifolds the number of channels that can be
received. However, FTA channels which can be viewed

43
without a set top box in Cable TV system cannot be viewed
without one in DTH.

At present, there are about eleven million DTH subscribers


serviced by seven DTH service providers- Dish TV , Tata
Sky , DD Direct , BIG TV, AIRTEL DIGITAL TV, SUN
DIRECT DTH and VIDEOCON d2h. TRAI is the regulator for
DTH service providers as well. Till some time back, Tata Sky
provided only the Star channels and not ZEE channels. But
now TRAI has directed that the DTH service providers will
need to provide the rival channels too. However unlike CAS
in Cable TV system, for which TRAI has set up a cap for the
pay channel charges, no such cap exists for the DTH tariffs.
Therefore, viewers may get hit by subscription fee hikes.
DTH service, after its launch a year and half back, is still to
create a mass appeal. One of the main reasons for this has
been consumer ignorance about DTH technology. Till recently
DTH technology had not been marketed sufficiently in India
but with the entry of more number of DTH service providers,
there is now an increased focus on customer education. Also
the DTH service prices have now declined significantly
(Rs.200 per month for more than 100 channels). However,
DTH service provider space cannot sustain too many players
and will see shake outs if there are many players. This is
because the prohibitive cost

44
Of transponders along with the limitations of transponder
availability.

FEATURES OF DTH

1. Digital picture quality:-


The exceptional digital and
direct-to-home transmission ensures you watch all your
favourite programmes in true DVD quality.

2. Stereophonic Sound.
The Direct-to-Home satellite
transmission treats your ears to a true theatre experience by
providing awesome stereophonic sound

3. Geographic mobility: -
No matter which part of the country
you are in or moving to, dishtv with its all India coverage
ensures direct signals wherever you are.

4. Uninterrupted viewing: -
With dishtv at your home,
as long as your equipment is connected to a power source you

45
can enjoy uninterrupted transmission of your favourite
programmes.

5. Capacity up to 400 channels: -


Dishtv can offer you up
to 400 entertaining channels. And that's not all, every month
more channels will be added to provide complete
entertainment to your family.

6. Price: -
User of DTH has to pay fix amount of money
for a fix time period. It’s a prepaid scheme in which user has
to recharge his connection with money for future. Duration
may be 1 month to 1 year depends on user.

7. Viable: -
It’s more viable than cable TV because once
dish is established in the home then risk of harm from other
naughty peoples eliminated. We feel more safe our connection
because it is fitted in our own house.

46
DISADVANTAGES OF DTH

Fixed rate of money: -


DTH user has to pay
fixed rate of money which is decided by the company.
Customer can not bargain with seller. He has to pay what ever
he is charged with. There should be differ-differ schemes for
different kinds of customers according to their need and
affordability.
Technical problem: -
Some times technical problem
occur in dish that can not be cured without technician help
and charges or fee of technician is very high.
One Set Top Box is only for one TV: -

One set top box can be used only in one TV. We can not
connect more than one TV. With one set of box .So there
should be facility to connect more than one TV of a home
with one dish TV.
Cost of installation: -

47
Cost of installation of DTH is
more than cable because initially cable is installed by cable
operator but when customers install dish TV, then all the cost
of installation are paid by the customers.

CABLE TV

Satellite TV is basically a service that offers numerous


television channels to a household by utilizing communication
satellites in space. There is a subscription paid by the
consumer to the broadcasting company. These TV signals are
transmitted via satellite from the various TV satellite dishes
of broadcasting stations. A household's satellite dish receiver
unit gets these signals and transforms them into images on the
television with the aid of a decoder box that is provided to by
the company. Satellite TV is different from conventional
terrestrial television and cable television which does not
utilize such long-range communication satellites. Satellites
TV provide a wider range of channels and services including
certain subscription-only services for special viewing events.
Modern satellite TV services usually have a single
communication satellite remaining in a steady orbit above the
Earth, allowing all subscribers to install a much smaller dish
receiver at a fixed point in their homes. Technicians from the
satellite TV provider may install the dish or owners can

48
determine the proper receiving angle and do it themselves.
Instead of scanning various satellites for different channels,
modern satellite television providers license the use of
popular cable or broadcast channels.

Much like a cable system, the tuner box descrambles selected


programs sent out on a specific frequency. This allows
satellite providers the option of pay-per-view movie rentals
or the blocking of adult-oriented channels.
If a person is unhappy with their current cable television
service or are unable to receive cable television then satellite
television is a viable option. There are two main Satellite
television companies Direct TV and the Dish Network in the
USA with both companies offering comparable services. The
equipment needed to receive satellite television can be
acquired at extremely low cost or usually free as part of the
subscription process. Satellite television usually come with
free installation services and tends to costs less per month
than cable TV for comparable service.
Satellite TV services are popular in rural areas with poor
broadcast reception and/or no cable service. Satellite dishes
require a clear line of sight to the satellite itself for optimal
signal reception. Some homeowners discover that large groups
of trees or mountainous terrain can cause problems with their
TV signal reception. There can be reception problems with
satellite television signals during heavy rainfall or snowfall.
Signals between an earth-bound receiver and a space-based
49
satellite are affected by atmospheric conditions between
them, but other television services also have similar
drawbacks. Many customers prefer the additional channels
available on satellite TV systems and the clarity of the digital
signals.

FEATURES OF CABLE TV

Cable TV has some features in it that’s why it has covered


maximum area in country. It is easily affordable by peoples in
the country of all class like it has less installation cost than
DTH. Peoples afford it because it has less rental cost per
month than dish TV. It has 100 rs. To 250 rs. Rent per month.
Peoples pay monthly rent of cable tv. Which is easily
affordable by them? Accept all those it has no need of dish
antenna and set top of box. It has no installation charges.
All the charges of installation are paid by the cable operator.
Its some of the features are explained below.

1. Price: -
Price charged by cable operator is on
monthly based. And these prices are from 100 Rs. to 250 Rs.
in the differ part of the country which are very less than dish
TV.

2. Installation cost: -

50
Installation cost of cable tv. Is
paid by the cable operator that’s why peoples afford it as
compared to DTH.

3. No need of set top of box: -


Cable TV has no need of
set top box.

4. Responsibility: -
Cable operator is responsible for
any kind of technical problem in the cable if any time it
occurs. Customer has no responsibility if there is any problem
in cable network. So it appeals to customer because cable
operators help them if any time any problem occurs in the
cable system.

51
LIMITATIONS OF CABLE TV: -

The channels that are broadcast can be classified into two


categories: Free to Air (FTA) and Pay Channels.
In the current Cable TV system, the viewer does not have a
choice of deciding which pay channel he wants to subscribe to.
He pays for all the pay channels, irrespective of whether he
watches them or not. Also many a times, single broadcaster with
more than one channel does not specify charges for each of its
pay channel separately; instead they are bunched together at a
bouquet charge.
This way, a weak channel gets a pillion ride with a strong
channel. The broadcasters earn their revenue from two sources,
viz. advertisement revenues and the subscription revenues. The
MSOs and LCOs get their revenues only from the subscriber fees.
Till now the LCOs used to heavily under declare the subscriber
base (declare only 25% of the actual subscriber base), and thus
the subscription revenue earning of the broadcasters and MSOs
would go down.
One of the reasons cited for this under declaration was that the
broadcasters would initially launch their channels as FTA and
once the channels started enjoying significant viewer ship, these
would turn into pay channels.
52
The subsequent hike in cable fee would be generally resisted by
the viewers. Thus LCOs began under declaring the subscriber
base so that they could provide the Cable TV services at no
increased price to the viewers.
This started a vicious blame game, with the broadcasters blaming
under declaration of subscriber base as the reason for the hike in
pay channel charges while the LCOs blaming such hikes being the
reason for their under declaration.
Also as there was no mechanism to verify the subscriber base,
there was no means to rein in the under declaration.
This imbroglio led to situations of channel black outs by LCOs
and frequent pay channel fee hikes by broadcasters.
The customers were left disgruntled, leading consumer protection
groups to demand for the introduction of ‘addressable system’
CAS. CAS was introduced in Chennai in 2003 but did not meet
with much success. 25% of the subscribers subscribed to pay
channels while remaining being content with the FTA channels.
The main reason was the high cost of the set top box. Keeping in
mind this past experience, TRAI has stepped in by framing
conducive rules to ensure the success of CAS. Some limitations
of cable tv networks are explained below.

53
LIMITATIONS: -

1. Digital picture quality:-


Cable TV has not
digital picture quality like DTH. Its services are less
effective as compared to dish TV.

2. Stereophonic sound: -
The cable TV does not
treat your ears to a true theatre experience as like dish TV.
Satellite transmission by providing awesome stereophonic
sound

3. Geographic mobility: -
Geographical mobility
matter very much while establishing cable network. There are
very much discrimination in country like India which has
differ-differ geographical conditions in its different parts like
Punjab is plain
And Himachal Pradesh and Jammu & Kashmir is hilly area, in
such hilly areas it is difficult to set up cable network.

4. Capacity of channels: -
54
Cable network has not such a
capacity like dish TV. Dish TV has 400 channel providing
capacity at a time.

5. Price: -
It’s main limitation is it’s price charged by
cable operator. Charges for providing cable service are
differing from place to place. Its range of price charging is
Rs. 100 to Rs. 250 or Rs. 300 per month. All this depend on
cable operator.

DIFFERENCE BETWEEN CABLE TV NETWORK AND DTH

DTH offers better quality picture than cable TV. This is because cable TV in India
is analog. Despite digital transmission and reception, the cable transmission is still
analog. DTH offers stereophonic sound effects. It can also reach remote areas
where terrestrial transmission and cable TV have failed to penetrate. Apart from
enhanced picture quality, DTH has also allows for interactive TV services such as
movie-on-demand, Internet access, video conferencing and e-mail. But the thing
that DTH has going for it is that the powerful broadcasting companies like Star,
Zee, etc are pushing for it.
The challenge for cable exists in the rural areas where installation and application
are extremely cost prohibitive, and nearly three quarters of India is designated as
rural territory. This has created an opportunity for DTH, which serves an immediate
threat to the high-end cable networks.
55
Future scope of cable TV and satellite TV

In recent years Satellite TV has become very popular and


there are many reasons for this. Many people are switching
from Cable TV providers to digital Satellite providers without
fully understanding the main differences between Cable and
Satellite. But should you switch to Satellite TV as well? What
are the advantages and disadvantages of Cable TV over
Satellite TV or Satellite over Cable? How does Satellite TV
compare to Cable TV? Which one offers more channels?
Which one is cheaper? This article compares the two and
helps you decide which one is best for you.
There are also other alternatives available on the market
today. For example, you can now get access to hundreds of
TV stations (including Satellite TV channels) by downloading
and using software that allows you to turn your pc into a TV.

1. Comparing the Price of Cable Vs Satellite TV


If you just want a few channels on your TV, Cable TV’s low-
end price is better although you'll only have access to about a
third of all the channels that they have. However, Satellite
TV providers’ lowest packages tend to have more channels so
56
you'll get more channels for your money.

Also Satellite providers tend to charge for Satellite TV per


room while some Cable providers don't. However, because
Satellite TV providers don't have to pay taxes levied by local
government and other smaller infrastructures, you'll get more
for your money with digital Satellite TV packages.
2. What about Programming and Availability
In terms of programming, both Satellite and Cable offer
similar channel packages and services. Cable TV does not
reach every home; it only goes as far as their available
infrastructure. If your area is not 'wired up' you may not be
able to get Cable TV. But Satellite only needs an
unobstructed view of the southern sky in order to receive
signals. So Satellite TV is available to more homes.

3. Cable TV vs. Satellite: Do you need any special


Equipment?
The main advantage with Cable TV in terms of equipment is
that there's no additional equipment needed other than a
television. But if you want digital programming, Cable and
Satellite are similar. In addition to a converter box, a
compatible television and a remote, you'll also need to install
a dish for your Satellite TV. This is a huge disadvantage for
renters who require Satellite TV services.

57
OTHER DIFFERENCES
Other differences between Cable and Satellite TV companies-
Customer Support and Services: Satellite TV providers tend to
use the internet and telephone while Cable providers use both
telephone and internet in addition to their store fronts where
you can change equipment, pay bills or make face-to-face
complaints
Contracts: Some Satellite companies will require you to sign
a contract and commit to a minimum subscription period while
very few Cable companies require you to do this.
Both support modern technologies such as digital, HDTV and
DVR but some Satellite TV companies may require you to
purchase a DVR and HD box upfront. Cable companies and
some Satellite providers lease boxes on a monthly basis.
Both Satellite and Cable TV have advantages and
disadvantages. Your choice will depend on what features you
consider to be important for your needs. Remember you can
also use your computer to access hundreds of Satellite TV
channels for free.
DTH has also allows for interactive TV services such as
movie-on-demand, Internet access, video conferencing and e-
mail.
It can also reach remote areas where terrestrial transmission
and cable TV have failed to penetrate.
58
MARKET POSITIONING OF DIFFERENT COMPANIES

DISH TV: -

Dish TV added 4, 45,250 new customers in Oct’ 09


431,200 new subscribers added during the quarter compared to
280,000 in 1 QFY2009, an increase of 54%
Overall pay DTH market share of Dish TV stands at 54%
Subscription revenue for 2QFY2009 was Rs. 700 million.
New brand thrust, Mr. Shah Rukh Khan – Bollywood
superstar, appointed as Brand Ambassador for Dish TV
Expansion of front-end service network to 90 towns
Dish TV offers, the highest number of channels in industry,
upto185 channels included colors and UTV pack.
Present in over 4,300 towns through 35,000 dealers and over
500 Distributors Noida, India, October 22, 2007: Dish TV
India Ltd. (Dish TV), the pioneer and leader in Indian DTH
space, today announced its 2Q results with gross revenue of
Rs. 775 million.
Mr. Subhash Chandra, Chairman Dish TV, said, “We have
focused on a three pronged strategy of aggressive subscriber
acquisition, improvement in quality of subscribers and
enhancement of customer experience at all service touch
points.
59
This strategy has resulted in a 54% growth in subscriber
additions in 2Q FY2009 compared to 1Q FY2009, increase of
19% in subscription revenue and capturing a dominant Pay
DTH Industry market share of 54%”
Mr. Jawahar Goel, Managing Director, Dish TV said, “In this
country of multi-lingual preferences by state, the importance
of regional content cannot be undermined. In this quarter, we
have further strengthened our channel offering to a robust 185
channels, the biggest by far in the category. Not only have we
added the entire Sun Network bouquet but many more popular
regional channels like Zee Talkies etc. As an entertainment
provider, this is yet another step in fulfilling our promise of
wholesome entertainment, especially for our viewers in
Southern India. Now Dish TV has 17 Tamil, 13 Telugu, 12
Malayalam and others.
Packages:-
Silver Pack- Rs.113+Tax (135 channels & services)
Gold Pack- Rs.190+Tax (155channels & services)
Platinum Pack- Rs.283+Tax (185 channels & services)

60
TATASKY:

Tata Sky was forced to add in more server space for its
internet site — where you can apply for a direct-to-home
(DTH) connection and get all the details of the service. The
reason: it received seven million hits in the last three weeks
of potential subscribers wanting to have a peak review. Of
course it has not translated into new subscribers. But Tata-
Sky hopes to hit the 4-lakh mark by the end of this month.
And it has already roped in over 30,000 subscribers to the
fold, less than a month of its launch. Ishaat Hussain chairman
of Tata-Sky, the joint venture between Tatas and Star TV,
said: "We should hit 1 lakh by end of September. The initial
response has been very encouraging. And surely we never
expected it to be so overwhelming." New brand thrust, Mr.
Amir Khan – Bollywood superstar, appointed as Brand
Ambassador for Tata Sky.

Surely, the company is giving tough competition to Dish TV


(part of the Zee group), which had monopolized the market
for almost three years as the only private sector player. And
it claims that its subscriber base is swelling despite
competition. "Our business has picked by 40 per cent ever
since the second DTH service was launched. Earlier, we were
adding 100,000 connections per month and double that during
61
the festival time but now it is roughly 35,000 per week", said
Jawahar Goel, business head, Dish TV.

Dish currently has 13.8 lakh subscribers and is gunning to


rope in 25 lakh by this fiscal end and 40 lakh by 2008-09.
With Dish bringing on the bouquets of Sony and Star on its
platform, metros are driving the volumes now as against the
rural and semi-urban markets that had been the mainstay of
the business so far, added Goel. But Hussain points out that
the response for Tata Sky has been good despite the fact that
it still does not have either the Zee or the Star bouquet in its
platform. He says that while the west has been the largest
market, the south understandably is a bit slow as the popular
Sun bouquet is not available on their platform.
Packages:
Super Hit Pack- Rs.125 (55 channels)
Super Value Pack-Rs.200 (94 channels)
Super Saver Pack-Rs.275 (super saver pack+25channels)
Add-On Packages-Lifestyle Gold (Rs.45 per month)
Lifestyle Bronze (Rs.15 per month)
Sports Platinum (Rs.65 per month)
Topper (Rs.1010 per annum)
Zee Telugu (Rs.10 per month)
Zee Kannada (Rs.10 per month)
Fun Learning Pack (RS.30 per month)
Sports Bonanza (Rs.1350 per annum)
Sports Gold (Rs.40 per month)

62
ESPN&STAR Sports (Rs.40 per month)

AIRTEL DIGITAL TV

The Airtel Digital TV is launched with 175 channels and


pricing packages starting 2499Rs for a 6 months subscription
with the channel price bands ranging from 99Rs to 424Rs a
month. Airtel’s set top box is 20% bigger than other providers
to make sure the service is not interrupted and the subscribers
can continue enjoying their TV shows. You can watch
onscreen account details, book cinema tickets, browse &
travel holiday packages, make tele-shopping, get city based
information guides and also get the stock updates using
widgets along with world space radio content, which makes
Airtel Digital TV superior than other providers because they
offer seriously extra features which others don’t offer. As of
today they are offering their service in more than 150 cities
and will cover other area within next 4 months too. Digital
TV is now totally set to blow every other DTH company
with their experience in Indian market and their world class
customer care service as its rated best among all Direct To
Home viewers. Digital TV have made a positive impact in
this filed and provide best interface and advance technology
to Direct To Home viewers with spending bit higher money
than other DTH company. They offer a wide variety of music

63
with 10 World Space radio channels so that you can find
your kind of music only on Airtel Live.

They also offer online and offline Account status which


make your digital TV viewing world class.
Package:
New Value-Rs.155 (96 channels)
Economy-Rs.205 (129 channels)
Mega-Rs.304 (155 channels)

BIG TV

Big TV Connection for 1690Rs with 3 months of free


subscription which includes 123 channels like Star & Sony
along with Video-On-Demand services available for free of
cost for the first three months. Reliance wants to lead the
market and hence is offering the set top box at an amazingly
low price and free channels for the first 3 months. Another
important point to note is that Big TV is the only service
provider which offers the maximum number of channels i.e.
200 channels at the lowest price.
Packages:
Value Pack- Rs.90 (81channels)
Bronze Pack- Rs.135 (111channels)
Silver Pack-Rs.180 (123channels)
Gold Pack- Rs.225 (138channels)
64
Diamond Pack- Rs.270 (152channels)
Regional Pack- One regional pack at Rs.5 with every entry
offer

SUNDIRECT DTH

Sun DTH is market leader in south region. Today it has 54 television channels in
the four South Indian languages - Kannada, Malayalam, Tamil and Telugu.
Channels of the Sun TV network are also available outside of India. Recently Sun
TV launched a DTH service. South India Media Giant Sun Network owned
'Sundirect DTH. Sun Direct crosses 4 million subscribers. Total channels
216(184main TV channels, 31radio channels, 1help channels) and sun direct
connection for Rs.1600. Sun Direct offers DTH for Rs75 a month to counter new
rivals. The television programme service provider promoted by the Sun TV founder
Kalanidhi Maran, Sun Direct TV Pvt. Ltd is expected to lose Rs200 crore every
year for the first two years of operations despite having some 500,000 subscribers
in its first six months of operations, due to low monthly fees.

VIDEOCON d2h

Videocon d2h offers you exciting services direct to home. Videocon d2h costs for
Rs.2990 with DVD box and for Rs.1690 only with receiver. In Himachal Pradesh
there are 2 types of D2H services from Videocon. The first one is Satellite Box.
The price of this Satelite Box is Rs.1690. They are giving offer of 3 months free
D2H services. And the second one is Satellite DVD. The price of Satelite DVD is
65
Rs.2690. With this 6 months free D2H services are available. The price / cost of
monthly recharge D2H services: There are 3 months pack and 6 months pack with
the price of Rs.825 and Rs.1650 respectively. Videocon is giving 170+ channels.

Packages:
Gold Pack-Rs.150 (115 channels)
Diamond Pack-Rs.275 (169channels)
Exciting Add ONs- Hindi Entertainment/News (Rs.30 per month)
Sports Pack1 (Rs.30 per month)
Sports Pack2 (Rs.35 per month)
Sports Pack 3 (Rs.60 per month)

CABLE TV
In 2005, 90 per cent of Himachali households owned
televisions, and 41 per cent of these household had cable TV.
Hmachal Pradesh is hilly area that’s why there is no
penetration of cable TV operators in all Himachal.
Advertising revenue for cable television was $1.02 billion in
2005, and is forecast to grow to $1.8 billion by 2010.
Top broadcasters News Corp's Star, Zee Telefilms and Sony
Entertainment Network had a 60 per cent share.
But profit margins for cable broadcasters have begun to erode
on growing competition, higher costs and regulation.
Analog would remain the dominant technology over the
coming decade, and cable is expected to remain the core
advertising platform for television, but new technologies

66
would generate increasingly higher advertising and
subscription revenues.

Annual average cable television revenue per user in 2005 was


$3, and will rise to $5 by 2010. But in digital cable and IPTV,
average revenues per user will be $7 by 2010.
We expect C&S TV economics to deteriorate further but
anticipate a significant improvement over the medium and
long-term, driven by subscription and advertising.
DTH growth will accelerate, driven by Zee's Dish TV and
Tata Sky--a joint venture of the Tata group and Star, followed
by Reliance’s BIGTV, AIRTEL’s DIGITAL TV, Sun TV &
Videocon d2h.
Broadband penetration will also expand on cheaper personal
computers and broadband rates and greater consolidation
among cable operators, MPA said, estimating that the number
of subscribers will grow from 0.9 million to 7.7 million by
2010.

67
OBJECTIVES

68
OBJECTIVES

1. To study the consumer perception towards ‘DTH’ as


compared to CABLE T.V. network

2. To study the market share of ‘DTH’ over CABLE T.V.


network

3. To study how T.V. viewing have changed with the


introduction of direct to home as compared to cable T.V.
network

69
RESEARCH
METHODOLOGY

70
RESEARCH METHODOLOGY

Research Methodology is a way to systematically solve the


research problems. In this we study the various steps that are
generally used /adopted by a researcher in studying his
research problem with the logic behind them. Researchers not
only need how to apply particular research techniques, but
also need to mean and indicate why? Researcher also needs to
understand the assumptions underlying various techniques and
the criteria for the applicability for these techniques to
certain problems.
Thus research methodology helps to give the logic behind the
methods used in the context of our research study so that the
research results are capable of being evaluated either by the
researcher himself or by others. So research methodology
talks of why a research study has been undertaken, in what
way and why the hypothesis has been formulated, what data
have been collected? And what particular method has been
adopted.

71
DATA COLLECTION: -

According to the needed research for the project; I pursued


both primary & secondary data collection methods. I have
used company website, some publications on the net and
company manuals. I myself talk to the various old as well as
new dealers of the company & people and get the required
information from them

SECONDARY DATA COLLECTION: -

Firstly I took the relevant information from the company


website, then I took the further information from the
company’s dealers and services user of DTH and cable from
the city so as to describe the comparison as a whole. Then I
went through the various reports published on net so as to get
the more & more relevant information and to make my topic
simple and easy to understand.

72
Primary Data collection: -

For more and relevant information I collected information


through primary data collection with the help of direct
communication & questionnaire. Though direct
communication I came to know the difficulties and the actual
satisfaction of the customer.

Sample size: -

This refers to the no. of items selected from the universe to


constitute a sample. The sample size should be optimum, thus
fulfilling the requirements of accuracy, efficiency, reliability
and flexibility. Large samples are more reliable. I took the
100 peoples from the existing cities from the various income
groups in HIMACHAL PRADESH so as to make my research
accurate. And study their attitude towards my project.

Sample Unit: -

My sample unit was people of cable and DTH user & dealer.

73
Sampling area: -

Kangra, Dharamshala, Palampur, Shimla,


Kullu, Manali and other areas of Himachal Pradesh.

Research design: - Descriptive

Sampling technique: - Convenience

74
DATA ANALYSIS
&
INTERPRETATION

75
Q1 Which connection you have in your TV.
ANS: -
45% Cable
35% DTH
20% National TV.

45
40
35
30
Cable
25
DTH
20
NATIONAL
15
10
5
0

CABLE DTH NATIONAL

76
The graph indicate that 45% people prefer cable 35% people
prefer dth services and only 20% people are using national tv.

Q2 Are you satisfy with Cable TV.

Ans. 65% yes


25% no
10% no comments

70% 65%

60%

50%

40% yes
no
30% 25% no comments
20%
10%
10%

0%
1

77
The graph indicates that 65% people are satisfied with cable
tv and 25% people are not satisfied and 10% people say no
comments. So majority of people are satisfied.

Q3. Why are you using cable rather than DTH?


ANS. 60% low cost
28% old user
12% no comments

12%
low c os t
old us er
28%
60% no c om m ents

78
As graph indicate that 60% use cable TV service due to low
cost than DTH and 28% people say that they are old user of
cable and they are satisfied with cable service and 12%
people gave no comments .

Q4 Why are you using DTH rather than cable TV?


ANS. 48% due to picture and sound quality
28% good signal
24% no comments

24%

48% 1
2
3
28%

79
Graph shows that they use dth service due to good picture
quality and sound effects, 28% people use dth due to good
signal quality and 24% people did not give any comment.

Q.5 Are you satisfy with DTH service?


ANS.
90% yes
10% no comments

100%
90%
90%
80%

70%
60%
yes
50%
no comments
40%
30%

20%
10%
10%

0%
1

80
As we are watching in graph 90% peoples are satisfied with
dth services and 10% peoples did not give any comments.
Interpretation show that majority of peoples are satisfied with
dth services.

Q.6 If in future you have a chance to change in


connection which connection you will choose?

ANS.
60% DTH
40% cable

100%
90% 40%
80%
70%
60% cable
50% dth
40% 60%
30%
20%
10%
0%
1

81
The graph show that 60 % people say they will choose dth and
40% people say that they will choose cable tv. If they would
have a chance to change TV connection.

Q.7 Why DTH if you have a chance to change TV


Connection?

ANS.
60% for better quality service
27% for change
13% no comments

13%
100%
90%
80% 27%
70%
no comments
60%
50% for change
40% for better quality
60%
30%
20%
10%
0%
1

82
Graph show that 60% people say that they will choose dth due
to better quality in service, 27% people say that they want
change and 13% people did not give any comments.

Q.8 Why cable TV if you would have a chance to change?

ANS.
26% due to low cost
34% old user and satisfy
30% no comments

90%
30%
80%
70% no comments
60%
50% 34% old and satisfied
user
40%
low cost
30%
20% 26%
10%
0%
1

83
Graph indicates that 26% people want to stay with cable tv
due to cost factor, 34% are old and satisfy customer of cable
TV and 30% people did not consider that it was necessary to
reply my question. So no comments from those people.

Q.9 Which connection is the best DTH or cable TV?


Ans.
63% DTH
24% cable
13% no comments

70% 63%

60%

50%

40% dth
cable
30% 24% no comments

20% 13%

10%

0%
1

84
As graph indicates that 63% people say that dth is the best,
24% people are in the favour of cable TV and 13% people are
not in any side. Actually this is that class of people who has
very less time to watch TV.

Limitations of the Project Report:

There were some problems which I face so as to complete my


final project. Some of them are as follows:

1). Because of shortage of time they did not use to consider


me. And it was a problem for me to get the information.

2). The unit was not near my residence so a regular visit was
also a problem for me.

3) Sample is also limited that’s why the information collected


is not up to the point.

4) Because of his convenience the researcher uses


convenience sampling.

85
Suggestions:

1). The cable operator should regularly check the


connections.

2). Cable operators should charge reasonable rate according


to the channels provided by them.

3). Direct to home should cut down rates of their services so


that maximum people can afford direct to home.

4). They should provide good quality of antennas and set top
box so that they could be free from fear of thunder.

5). There should be offer pack on card system.

86
Conclusion: -
It is clear from the project report that direct to home has
good qualities like DVD quality pictures and CD type sound
effect rather than cable network. Direct to home has good
signal rather than cable TV network. Majority of people like
to have direct to home service.
But there are some limitations of direct to home like it has
much cost as compared to cable TV network. So it does not
cover all the classes of peoples. Due to cost factor some
people use cable TV even they like direct to home but they
can not afford it. Even doordarshan is also involved in
providing direct to home service but it do not provide paid
channels to the customer it provide all Doordarshan channels
and other free channels including free to air channels. Dish
TV and TATA SKY offer card facility but it is so costly as
compare to cable TV network. But it has to recharge monthly
and it is so costly that all classes of peoples can’t afford this.
Dish TV takes television viewing to the next level as
it supports various futuristic features like Electronic
Programme Guide, Parental Lock, Capacity up to 400
channels, Games, Interactive TV, Movie on Demand etc
DishTV also brings you exclusive National and International
channels for the first time in India! You can enjoy all of

87
these never-seen -before channels in uninterrupted viewing
without any transmission cuts.

“Bibliograp
hy and
References

88
BIBILIOGRAPHY AND REFERENCES
Whenever we perform any task there are so many hands, so
many minds behind the task that even in the absence to any
source the task would remain incomplete.

Following are the sources from which I take material for


completion of my project.

WEBSITE VISITED: -
• www.google.com
• www.wikepedia.com
• www.indiantelevision.com
• www.tatasky.com
• www.ddindia.govt.in
• www.dishtv.in
• www.bigtv.com.in
• www.airtel.in
• www.sundirect.in
• www.videoconworld.com
89
Magazines Referred: -
• Business World
• Business India
• India Today
Books:-
• “Marketing research” – Prentice Hall India
• “Marketing research – applied orientation” Pearson
Education
• “Consumer behavior” Himalaya publication
• “Marketing Management” by Philip Kotler

“Glossary”

90
GLOSSARY

Abbreviations Used Description


DTH : Direct To Home
IRD : Integrated Receiver Descrambler
LPT : Low Power Transmitter
IP : Internet Protocol
MSO : Multi Service Operator
VC : Viewing Card
CAS : Conditional Access System
FTA : Free To Air
TRAI : Telecom Regulatory Authority of India
HDTV : High Definition Television
DVR : Digital Video Recorder

91
“Annexure”

92
Annexure: -

Q1 Which connection you have in your TV?

ANS: - 45% Cable


35% DTH
20% National TV.

Q2 Are you satisfy with cable TV.

ANS. 65% yes


25% no
10% no comments

Q3. Why are you using cable rather than DTH?

ANS. 60% low cost


28% old user
93
12% no comments

Q4. Why are you using dth rather than cable TV?

ANS. 48% due to picture and sound quality


28% good signal
24% no comments

Q.5 Are you satisfy with DTH service?

ANS. 90% yes


10% no comments

Q.6 If in future you have a chance to change in


connection which connection you will choose?

ANS. 60% DTH


40% Cable
94
Q.7 Why DTH if you have a chance to change TV
Connection?

ANS. 60% for better quality service


27% for change
13% no comments

Q.8 Why cable TV if you would have a chance to change?

ANS. 26% due to low cost


34% old user and satisfy
30% no comments

Q.9 Which connection is the best DTH or cable TV?

Ans. 63% DTH


24% Cable
13% no comments

95

You might also like