Active Stocks
Thu Mar 28 2024 15:59:33
  1. Tata Steel share price
  2. 155.90 2.00%
  1. ICICI Bank share price
  2. 1,095.75 1.08%
  1. HDFC Bank share price
  2. 1,448.20 0.52%
  1. ITC share price
  2. 428.55 0.13%
  1. Power Grid Corporation Of India share price
  2. 277.05 2.21%
Business News/ Industry / Media/  Fire-affected FM stations likely to be back on air soon
BackBack

Fire-affected FM stations likely to be back on air soon

Accident at a government-owned transmission tower in Delhi had hit services of three private stations

Executives at radio companies said the three operators stand to lose close to `3 crore in advertising revenue during the period the services were hit. (Executives at radio companies said the three operators stand to lose close to `3 crore in advertising revenue during the period the services were hit.)Premium
Executives at radio companies said the three operators stand to lose close to `3 crore in advertising revenue during the period the services were hit.
(Executives at radio companies said the three operators stand to lose close to `3 crore in advertising revenue during the period the services were hit.)

New Delhi: The broadcasting services of three private FM radio stations in Delhi—Radio Mirchi, Red FM and Radio City—may be restored by Thursday, according to top executives at the channels. Operations were hit when a fire broke out at the government-owned transmission tower at Pitampura, northwest Delhi, late Saturday night.

“We are trying to put up a temporary tower structure in the same premises and should be ready to go on air from Thursday morning," said Prashant Pandey, executive director and chief executive officer at Entertainment Network India Ltd (ENIL), which runs Radio Mirchi.

Radio City, run by Music Broadcast Pvt. Ltd, is also pushing to get back on air at the earliest.

“We are actively working toward getting the station on air and given the right kind of support from the government, we will be up very soon," said Ashit Kukian, president and chief operating officer at Radio City.

State-run radio broadcaster All India Radio’s AIR FM Gold and AIR FM Rainbow channels were restored shortly after the fire broke out, said L.D. Mandloi, director general. “The services have been temporarily restored using a tower at broadcasting house located at Parliament Street using cables and transmitters," said Mandloi.

Jawahar Sircar, CEO of Prasar Bharati, which runs AIR, said the accident was a freak occurrence.

“The cables running all the way from top to bottom of the 200 metre tower got burnt. We have partially restored some services of AIR FM stations and DD’s terrestrial network," Sircar said. “We have also granted permission to the private operators to take steps for temporary restoration. A permanent solution could take several months."

Mandloi also confirmed that private FM channels may be able to start operations by Thursday through a temporary set-up.

Executives at radio companies said the three operators stand to lose close to 3 crore in advertising revenue during this period. However, more than money, the stations are worried about loss of brand equity and listenership.

“We are not worried about the advertising loss too much as we can revive some of it by accomodating the commercials in our future daily inventories. The bigger concern is that the brand has been off air causing listenership distress. We have been getting calls from listeners asking us why we are not on air," said Pandey of Radio Mirchi.

He said advertisers are unlikely to be affected by the suspension of services in a big way as media spending on the medium are still low. Delhi’s total advertising revenue from radio is about 182 crore a year.

According to the latest report released by the Confederation of Indian Industry (CII) and Ernst and Young, India’s private FM radio segment is expected to generate revenue of 1,400 crore for 2012–13, with 245 private FM stations operating in 86 cities. The sector is growing at a compounded annual growth rate (CAGR) of 14%.

The radio stations should be able to draw back their listeners once they get back on air, said Mona Jain, chief executive at VivaKi Exchange, a Publicis Group media buying agency.

“Radio is about loyal listenership since people get hooked to certain RJs (radio jockeys) and specific shows," Jain said. “I believe one of the key channels has got affected more than the others. This four-five day gap will see the audiences looking out for other options but they will come back to their choices once the channels are back on air."

Since infrastructure in the sector is controlled by the government, it’s not possible for private channels to build back-ups. However, media executives said the real challenge was not ownership of independent infrastructure but the abililty to ensure better maintainence on the government’s part.

“Mishaps happen. As long as we have the ability to deal with it with urgency, without any downtime, it is good for the industry and all the players. The challenge is more about being preventive and ensuring best of maintenance," added Kukian of Radio City.

Harshad Jain, business head at Fever FM run by HT Music and Entertainment Co. Ltd, a venture of HT Media Ltd, which also publishes Mint, said the impact of the disruption can only be gauged in the next few weeks. Fever and three other stations transmit their signals from a tower situated in Kingsway Camp in north Delhi.

The Pitampura tower could take between one and six months to be restored to its full operations, said V.K. Singla, engineering chief at All India Radio. All the arrangements currently being put in place for AIR as well as private FM channels are temporary in nature, he said.

Repeated calls and messages to Red FM remained unanswered. Red FM is operated by Digital Radio Broadcasting Ltd.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Industry News, Banking News and Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Published: 08 Jan 2013, 11:42 PM IST
Next Story footLogo
Recommended For You
Switch to the Mint app for fast and personalized news - Get App