Weathering the storm Playing for victory

1 Agenda

Context

Strategy and initiatives

Impact

2 Agenda

Context

Strategy and initiatives

Impact

3 ABP – a leading multimedia group in

Television Channels Dailies Radio

Training institute Digital

Bengali magazines English magazine Publishing 4 Print has been the mainstay of the group

• 2 Bengali Dailies and 1 English Daily • Readership of over 7 million per day • 60% market share

5 Print advertising revenues have been under pressure

Print advertising revenues, $ billion 3.1 . Advertising revenue growth 2.1 over the last 5 years: 7.7% CAGR

. Inflation: 7-8%

2011-12 2016-17

Source: FICCI, KPMG Media report 2017 6 Circulation sales has remained flat

Circulation sales, Million copies per day . Circulation sales 2.5 2.3 CAGR over 5 years: 1-1.5% only

. Largely driven by new entrants and duplicated buying

. Otherwise marginally declining market

2011 2016

Source: Audit Bureau of Circulation, India 7 Agenda

Context

Strategy and initiatives

Impact

8 4 Strategic initiatives to weather the storm

1. Compress costs by making operations lean

2. Renew and reinvent core print operations

3. Establish leadership position in TV business

4. Invest meaningfully in digital for the future

9 4 Strategic initiatives to weather the storm

1. Compress costs by making operations lean

2. Renew and reinvent core print operations

3. Establish leadership position in TV business

4. Invest meaningfully in digital for the future

10 Lean operations

FTE rationalization

• Productivity and 3000 25% process improvement 2300 • Senior level restructuring

• Role restructuring

Before After • Process automation rationalization rationalization

11 Organizational changes

1. Changes in structure and staffing of editorial team

2. Changes in structure and staffing of circulation

sales team

3. Modified performance management systems

4. State-of-the-art capability building program

12 Fundamental changes in editorial team structure

Before After

Chief Editor Chief Editor

Anandabazar Editor - Patrika – Editorial Anandabazar section heads Patrika Editorial section heads – Editorial section Editor - The heads Telegraph Editorial section heads – Editorial section heads Editor - Ebela Editorial section heads

13 4 Strategic initiatives to weather the storm

1. Compress costs by making operations lean

2. Renew and reinvent core print operations

3. Establish leadership position in TV business

4. Invest meaningfully in digital for the future

14 Revamping the mother brand -

Larger masthead Pointers to . Redesigned first page news in inside pages . Sectionalized paper - city, state, national, News in international, sports, brief business, editorial

. Large number of snippet news items More front page . Wide variety of news articles supplements every day of the week

15 Hyperlocal reach that TV cannot match

. 13 different editions across the state of . For readers . Hyperlocal content . For advertisers . Reach into the high growth, non-metro markets at fractional cost . Hyperlocal advertising options

16 Product portfolio to serve the entire consumer lifecycle

ABP ABP Anandabazar Patrika School edition Karmakshetra edition Ebela (1922) (2016) (2016) (2012)

Students Job seekers Early professionals/ And beyond youth

17 Life development program to build a deep bond with readers

Shift from a Transactional to a Relationship-based bond with the reader – addressing the typical issues and pain- points in a consumer’s life to build loyalty

Niche content Curated Digital/ Mobile through workshops content supplements Benefits for the subscriber of The Telegraph Access to Print Radio and TV events engagement programs

18 Investment in knowing and developing the audience

Proprietary method to develop customer intelligence

Multiple routes to develop and engage current and future Exact geographical location of audience customer households • Content + Customer details: Name, Phone number, Address, Pincode • Print combined Vendor details: Name, phone with digital number • Stories from archives • And more

19 Power of alliance – One India

. Alliance between 3 of the leading media groups in India – ABP, HT and Hindu

. One India = 2 times the reach of the single largest print media group, at a much lower CPT (cost per thousand readers)

. 10x growth in revenue in 3 years

20 ABP One

. One stop 360-degree marketing solutions for clients

. Leveraging the ABP group’s multimedia reach

. Customised solutions

. Outcome-based, market share linked deals

21 4 Strategic initiatives to weather the storm

1. Compress costs by making operations lean

2. Renew and reinvent core print operations

3. Establish leadership position in TV business

4. Invest meaningfully in digital for the future

22 Bouquet of news channels in 5 languages

Punjabi – Punjab

Gujarati - – All Gujarat India

Bengali – Weekly West Bengal unique reach Marathi - of 166 mn Maharashtra viewers

Source: BARC, All India 23 Leadership position across all channels

Viewership market share

17% Hindi 39% Gujarati

14% 28% . Market leader in 2 out of 4

13% markets

10% . Close 2nd in the No. 1 ABP News No. 3 No. 1 ABP No. 3 player player player Asmita player remaining two

Bengali Marathi 39% 30% . On an average, 28% 30% 30%+ market share in regional markets 15% 10%

ABP No. 2 No. 3 ABP No. 2 No. 3

Ananda player player Majha player player Source: BARC; Punjabi channel yet to be launched 24 4 Strategic initiatives to weather the storm

1. Compress costs by making operations lean

2. Renew and reinvent core print operations

3. Establish leadership position in TV business

4. Invest meaningfully in digital for the future

25 Online matrimony business

. Unique proposition – photo ID verified profiles

. Strong growth

. 200,000 profiles – 4x growth in 1 year

. 66,000 KYC verified profiles – 3x growth in 1 year

26 Digital - Customised content for readers

Microsites for special Customised landing pages for consumer-related events special news days

State elections

Festivals and special features Union budget 27 Customised solutions for advertisers - Native

Videos Vanilla ads

Customised content

28 Websites and social media platforms

Unique Visitors, mn 9.9

. 8 times growth in Unique 1.2 Visitors in 2 years 2015 2017 . 5 times growth FB Community, mn in Facebook 5.8 reach in 2 years

1.2

2015 2017 Source: Google Analytics, Facebook Insights 29 Agenda

Context

Strategy and initiatives

Impact

30 Print circulation sales showing signs of growth

ABPABP Circulation Circulation sales sales ‘000‘000 copies copies per day 11151116 . 1.5% growth in sales in just 2 10991099 months

. Combined effect of product revamp, marketing, and sales approach

FebFeb 20172017 (before(Before AprApr 2017 2017 (after (After product productproduct relaunch)relaunch) productrelaunch) relaunch)

31 TV is contributing a third of group revenues

Print TV Digital

1% 14% 33% 28%

100%

66% 58%

2002-03 2016-17 2020-21 Projected

32 Matrimony business already reaching leadership

Market rank in terms of revenue Bengali Matrimony ABP weddings 1 Shaadi.com 2 3

10 years of 1.5 years of 10 years of operation operation operation

33 Digital matrimony business larger than print matrimony

Print and Digital matrimony business revenues Print Matrimony Figures indexed Digital Matrimony 142

107 100

71

2016-17 2017-18

34 Q & A END

36