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Innovations in Marketing Strategies of Study INNOVATIONS IN MARKETING STRATEGIES OF NEWS PAPER INDUSTRY IN INDIA - A CASE STUDY OF TIMES OF INDIA GROUP Dr M. K. Sridhar t A. R. Sainath t Newspapers have become products like any other consumer, industrial or service products. They have unique features which other products do not have. The newspaper industry in India is witnessing intense competition from within and from outside like electronic and internet media. This has tremendous bearing on circulation and advertisement revenues. The industry has responded proactively to these challenges. There is more and more focus on marketing and innovations in marketing strategies. Reviews of some of these strategies are focused in the paper. The authors have presented a case study of TIMES OF INDIA GROUP for innovations in marketing strategies, which are product, price, promotion and distribution related. A survey has been conducted by the authors on a recent innovation in marketing strategy of TRIMMING and SLIMMING the size of the newspaper. The data collected from 357 readers of Bangalore are analysed. The readers in general are not only positive to these changes but also have observed them keenly. Such understanding of sensitivity of readers is crucial for the success of marketing strategies. Newspapers play a critical role in informing the positive developments, achievements and general public about news and events. Their experiments. Journalism has been the core of views on these would mould the opinions and newspaper in India. Of late, they are emerging attitudes of the people. The print media, in more as product rather than instruments of particular the newspapers have not only exposed journalism. They have emerged like any other the evils of the society but also have highlighted consumer, industrial or service products. NEWSPAPERS AS PRODUCTS t Dr M. K. Sridhar is a Reader at Canara Bank School Of Management P.G. Department Of Newspaper as a product enjoys unique features, Management, Bangalore University, Bangalore. which no other Droduct has. It is Durchased and MANAGEMENT & LABOUR STUDIES p4lJ Voi. 28 No. 3, August 2003 Downloaded from mls.sagepub.com at University of Birmingham on June 2, 2015 Innovations in Marketing Strategies of News Paper Industry in India consumers of the product. Only literate sections various trends over the years. It has become of the society can consume this product. As it capital intensive requiring crores of rupees of constitutes the habit of the reader’s it exercises investment on materials and machines. The immense influence on them. It even moulds advertisement revenue has increased to more their attitudes, thinking and actions. Because of than 60% of the total revenue. Feature articles, huge advertisement revenue, it is low priced fortnightly features, continuation stories have even though the actual cost is number of times become a common feature. Layout is playing a more. It enjoys high degree of brand loyalty and very important role in appearance and frequency and the extent of shift of readers from presentation. Modular layout is now being one newspaper to another is very limited. They adopted which is based on building block need to be highly dynamic, as they have to cater concept. Technological upgradation has become to the changing needs and expectations of their the order of the day. Satellite transmission is readers. used for sending texts and photographs. Satellite editions are becoming popular. The NEWSPAPER INDUSTRY IN INDIA industry is becoming more and more reader’s Indian press has completed more than two oriented which is in tune with the modern centuries of fruitful existence. It was James marketing concept. Augustus Hicky who started the first newspaper These trends have brought about paradigm shift ‘Bengal Gazette’ in 1780. Later on, John Burton in the philosophy and practice of the and James Mackenzie started Guardian in 1818. contemporary newspaper industry in India. Girish Chandra Ghosh established ‘The Bengalee’ in 1868. Some of the leading newspapers during early 19th century were the CHANGES IN ENVIRONMENT ‘Bengal Harkaru’, ‘Morning post’, ‘Telegraph’, The macro and micro environment of the ‘Calcutta Courier’, ‘Oriental Star’, ‘India Gazatte’ newspaper industry in India has undergone and ‘Asiantic Mirror’. significant changes in the last decade. The The newspapers have played an effective and mass media is witnessing tremendous constructive role in Indian struggle for transformation towards electronic and Internet independence. Mahatma Gandhi, media. The number of viewers and surfers is Balagangadhar Tilak, Gopal Krishna Gokhale, increasing day by day. The reading habits of Bipin Chandrapal, Dadabai Navroji, started people are‘also undergoing revolutionary newspapers in order to spread and disseminate changes. They have become more of viewers the message of freedom struggle. Many and seers rather than readers. The average revolutionaries extensively used this media for time devoted for reading has significantly come creating awareness among people. Even after down. independence, the role of newspapers continued. The competition within the industry and outside is becoming more and more intense. The total TRENDS IN NEWSPAPER INDUSTRY time available for a person to read, write, etc., has not increased but the mediums have Newspaper industry in India has witnessed increased. This is resulting in more media MANAGEMENT & LABOUR STUDIES 1242) Vol. 28 No. 3, August 2003 Downloaded from mls.sagepub.com at University of Birmingham on June 2, 2015 Innovations in Marketing Strategies of News Paper lndustly in India competition for the share in the mind and heart Product mix : There is creative mix of of the readers. The number of newspapers in hard and soft news in addition to providing English and other vernacular languages has global perspective with a local flavour. increased over the years. Their circulation, Aspects of packaging like colour, layout, readership and editions have also increased. etc. have become more relevant. Hence, the competition within the industry has Supplements have increased role to play become very intense for increasing the slice of in the designing of the product features. the cake. Reader interest innovations are also playing important role. On the other hand, the competition from electronic and other media has also increased. Price mix: Affordability has become a Such competition from within and outside is not motivating factor for purchasing the only in terms of circulation but also in case of newspapers. The reduction in price and advertisement revenue. The advertisers of the differential pricing, have become very present day have alternative medias for common in the industry. The price wars promoting their goods and services. These have become order of the day. changes have created serious constraints on the Promotion mix: High visibility has survival and growth of newspaper industry in become the order of the game. Need for India because of the pressure on their circulation Brand awareness and recall have and profitability. This scenario has thrown up compelled the newspapers to resort to many opportunities and threats to the industry. massive promotion through different medias. Innovative promotions have RESPONSE OF THE INDUSTRY increased the curiosity of the readers. The newspaper industry in India has responded Distribution mix: Effective distribution at proactively to these opportunities and threats. the right time' and at the right place, has The newspapers, individually and collectively, become important. The selection, are designing short, medium and long term appointment and terms and conditions of plans and strategies for their survival and the agents are very crucial. The role of growth. These are in terms of product, price, hawkers is increasing . promotion and distribution. Segmentation, targeting and FOCUS ON MARKETING positioning : The basis for segmentation of markets of newspapers has undergone The response of the newspaper industry in India sea change. New segments like youth, has been one of focusing more and more on women, sports lovers, business minded marketing, which was not only neglected but ones have been identified and targeted by also ignored all these years. Such a focus on many newspapers. Further, the marketing is resulting in the designing of a positioning of newspapers is given different kind of marketing programme. importance by projecting the distinct features. MANAGEMENT & LABOUR STUDIES p43J Vol. 28 No. 3, August 2003 Downloaded from mls.sagepub.com at University of Birmingham on June 2, 2015 Innovations in Marketing Strategies of News Paper Industry in India INNOVATIONS IN MARKETING STRATEGIES since some of the main commodity markets were in that region. Keeping in With the intensification of competition within and mind the Mumbaits passion for doing outside the industry, the newspapers have crosswords, it introduced three started designing and implementing various crosswords on sports and films. marketing strategies with regard to product, price, distribution, segments and positioning. As 0 Eenadu, Malayala Manorama, Dinatanthi marketing itself was of recent origin with and Navabharath splashed their pages newspaper industry in India, most of the with colour as early as 1991. In fact marketing strategies were either pioneers or English dailies like Times of India, Deccan innovations. Herald and Indian Express introduced this strategy much later. Pune Times, The 0 ‘Rajastan Patrika’ had a virtual monopoly Telegraph, The Statesman, and Business
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