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News |  19 Nov 2009 13:23 |  By AnitaIyer

BAG's Dhamaal 24 launches in Shimla, foresees breakeven next year

MUMBAI: BAG Infotainment has completed the rollout of its Phase II FM frequency acquisitions with the launch of its Shimla station.

The group now has stations operational in Karnal, Patiala, Muzaffapur, Ranchi, Ahmadnagar, Jalgaon, Dhule, Jabalpur and Shimla.

Dhamaal 24 started test transmissions in the Himachal Pradesh capital a month ago and will officially launch the station next week. Dhamaal becomes the last station to launch in the hill station  after Big FM completed its Phase II with Shimla launch in July.

Confirming the launch, BAG chairperson and managing director Anurradha Prasad says, As Shimla has issues of transmission due to high terrain, we initiated the test transmissions last week. The launch was prolonged because BECIL delayed the infrastructure set up in Shimla. Our investment in the radio venture increased as we had to pay the rentals to Prasar Bharti, BECIL, AIR towards land/tower lease rent, common transmission infrastructure etc....

Dhamaal 24 had reportedly earmarked more than 50 crore for its radio venture for acquisitions 10 licenses and had to pump in additionally owing to the delay.

Prasad snaps at the government for not having a differential licensing structure for stations in North east. She says, Radio stations are marred by varied issues and government has to ensure that radio comes in parity with other media platforms....

The music played at the Shimla station is predominantly Bollywood with some Punjabi music as Prasad says it is difficult to tap regional music. The station however, intends to get regional singers on air to promote local talent. The radio jockeys would converse in Hindi, English, Himachali and Punjabi  

Being the last station in the Shimla market, BAG would kickstart a marketing campaign next month. Commenting on creating a space in the cluttered market, Prasad says, There is no differentiation in the market as the basic substance of music is similar across all the stations in Shimla. So, we would initially seep into the market, check the response and then initiate marketing strategies....

Dhamaal 24 exploits the networking of content by sharing substance between its stations. With sharing of content between stations, operations become concise but it doesn't add on in terms of economy....

BAG Infotainment had foreseen attaining breakeven in 2009 but Prasad insists that it might take another year and half to breakeven. Although we had foreseen breaking even in 2009, the slowdown acted as a spoiler and we had to cut costs. During recession, we had to cut our expenditure as the advertising in Category B and C were badly hit. As the situation is back on track, we might recover in year and half....

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