Star India reports Rs 1,216 crore loss in FY19

[The Lonelier Island]

What star should do right now,

1. Reduce the price of all Star Sports 1 and Select 1 to Rs 12 so people can take and keep those channel.

2. Star Sports 2, Select 2 Rs 6

3. Star Sports 3 Rs 3 (now 1)

4. Shutdown Star Sports First. 5 sports channel already enough. Most people taking this channel only for highlights.

5. Don't broadcast same program on multiple channel like IPL.

6. Make separate sports bouquet under Rs 30.

Doesn't most buy Star's bouquet which includes sports bouquet. What's the point of price reduction? Sports bouquet should always been seperate since beginning like kids channels.

 

[Rajpatil98]

Using simple mathematics, Star spend 16347.5 crore to buy IPL rights for 5 seasons-3269 crore per year. Adding other expenses of broadcasting, roughly they have to generate more than 4000 crores from a single season. And reports says that IPL revenue of Star India stays below 2500 crores- 1500 crores from target. So they have to generate 4000 crores + losses from previous seasons in upcoming years. Is this possible? May be they can turn it to profit at the end. But it may be a small amount. For a 16000 crores investment,a 10 or 20 crores profit is enough?

During ipl season 11 they made money from tv about 1800-2000cr nd overall they touched 3000cr mark in their first year itself and as u are saying they made 2500 cr from ipl12 its not true they made 2500cr only from tv whereas in overall they've crossed 3200-3500cr .... This year they made more losses because of bcci cancelled matches nd ipl

 

[Mahesh Reddy]

What star should do right now,

1. Reduce the price of all Star Sports 1 and Select 1 to Rs 12 so people can take and keep those channel.

2. Star Sports 2, Select 2 Rs 6

3. Star Sports 3 Rs 3 (now 1)

4. Shutdown Star Sports First. 5 sports channel already enough. Most people taking this channel only for highlights.

5. Don't broadcast same program on multiple channel like IPL.

6. Make separate sports bouquet under Rs 30.

You suggestion are good Star has many regional sports channels which have a repetative content and not in HD.So the Urban Audience don't mind the language if available in HD quality. I strongly believe there should be a rule for Genre wise Bouquets.

 

[The Lonelier Island]

Star is in loss because of poor pricing. World Cup and IPL should've been either sold on Ala Carte or Bouquet basis.

Airing sports on movie channel wasn't a bad idea in short term sense as during World Cup advertisers are interested for sports content. But doing it kills the mass subscription revenue of sports channels.

 

[Raju lal]

At the extreme stage of IPL auction,it became a prestige issue for Star. Then they blindly bought it paying a higher price. Even though they had a hope of generating revenue through widening the reach of IPL in more destinations. But whatever they did to get money from IPL worked, but were insufficient to fetch the money they spent.
If we stretch a rubber band it will stretch upto a limit. After that it will break. Likewise adding IPL to more channels can gain more money, but if the limit is crossed it will not yield. Star became mad of launching sports channels and telecasting IPL on so many channel irrespective of genre.
I think now they are re evaluating this things, thats why SS Malayalam is getting delayed and SS Marathi isn't properly promoted.

During ipl season 11 they made money from tv about 1800-2000cr nd overall they touched 3000cr mark in their first year itself and as u are saying they made 2500 cr from ipl12 its not true they made 2500cr only from tv whereas in overall they've crossed 3200-3500cr .... This year they made more losses because of bcci cancelled matches nd ipl

Exact figures are not known. Anyways Star's burden is incrementing.

 

[Rajpatil98]

At the extreme stage of IPL auction,it became a prestige issue for Star. Then they blindly bought it paying a higher price. Even though they had a hope of generating revenue through widening the reach of IPL in more destinations. But whatever they did to get money from IPL worked, but were insufficient to fetch the money they spent.
If we stretch a rubber band it will stretch upto a limit. After that it will break. Likewise adding IPL to more channels can gain more money, but if the limit is crossed it will not yield. Star became mad of launching sports channels and telecasting IPL on so many channel irrespective of genre.
I think now they are re evaluating this things, thats why SS Malayalam is getting delayed and SS Marathi isn't properly promoted.

Exact figures are not known. Anyways Star's burden is incrementing.

But bro look at growth in ipl earnings in 1st year they made approx 3000cr & in 2nd year they earned 3200-3500cr in this speed they might touch 4000cr next year....according one of senior analyst star will make profit of 4000cr in 5yrs but even after their losses in initial years
& I agree with your point of telecasting ipl in so many languages....i think instead of telecasting ipl matches in so many languages they should telecast all matches on hindi movie channel star gold (just like set max) & star sports1,2,3 ....in this way they will earn much more money on the back of star golds reach

 

[The Lonelier Island]

But bro look at growth in ipl earnings in 1st year they made approx 3000cr & in 2nd year they earned 3200-3500cr in this speed they might touch 4000cr next year....according one of senior analyst star will make profit of 4000cr in 5yrs but even after their losses in initial years
& I agree with your point of telecasting ipl in so many languages....i think instead of telecasting ipl matches in so many languages they should telecast all matches on hindi movie channel star gold (just like set max) & star sports1,2,3 ....in this way they will earn much more money on the back of star golds reach

Agreed shut down regional sports channel and introduce more and more subscription only based niche channels. They are underestimating Indian audience.

 

[The Lonelier Island]

Star always does sh#tty expirement. Exit from successful news business. Rebrand successful Star One and Life OK. Let go of TNA and La Liga rights which were doing great on Star Sports. Acquire domestic cricket which almost nobody watches. Shut down of succesful teen channel. And introduce HD only channel in 2013.

 

[Lurie]

You have to see the actual value of that amount. We are in the era of inflation: 100 in 2015 is not equal to 100 in 2016. Money once invested is invested. Star's investment is in geometric progression whereas it's income will be in arithmetic progression. Unless there is a deflation in economy, this 16,000 cr will not be equal to 16,000 crore

But bro look at growth in ipl earnings in 1st year they made approx 3000cr & in 2nd year they earned 3200-3500cr in this speed they might touch 4000cr next year....according one of senior analyst star will make profit of 4000cr in 5yrs but even after their losses in initial years
& I agree with your point of telecasting ipl in so many languages....i think instead of telecasting ipl matches in so many languages they should telecast all matches on hindi movie channel star gold (just like set max) & star sports1,2,3 ....in this way they will earn much more money on the back of star golds reach

 

[Shantanu]

Rebrand successful Star One and Life OK

Star one and life ok was popular but not successful on the ratings chart. Both channels had good rantings in their initial days. In fact, after initial success life ok literally became Saavdhan ok(repeating saavdhan India all day). The same goes for youth shows and sitcoms from star one. They were popular amongst youth and mature audiences but could not compete with saas-bahu sagas. And rebrand on life ok to star Bharat was for rural audiences due to BARC ratings.

Shut down of successful teen channel.

Same thing as Star one. Only Viacom cares to keep MTV running for youths. But this youth genre is a niche one. Considering that putting so much cost in content creation doesn't make much sense to a business model. Better to create digital-only shows for youth.