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The Resurgence of Radio in India

            

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EXHIBIT III
INDIAN RADIO MARKET (1975-1998)
(in million)

            

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YEAR  RADIO SETS  REVENUES (Rs[10])  RADIO PENETRATION (%)

1975

 16.77

 62.6

 2.7

1979

 20.67

 100.1

 3

1985

 75

 201.9

 9.7

1991

 95

 627.3

 10.9

1995

 111

 813

 11.9

1998

 115

 934.4

 11.7

Source: www.exchange4media.com

EXHIBIT IV
ADVANTAGES AND DISADVANTAGES OF MAJOR MEDIA TYPES

            

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MEDIUM ADVANTAGES DISADVANTAGES

Newspapers

 Flexibility; timeliness; good local market coverage; broad acceptance; high believability

 Short life; poor reproduction quality; small ‘pass-along'audience

Television

 Combines sight, sound, and motion; appealing to the senses; high attention; high reach

 High absolute cost; high clutter; fleeting exposure; less audience selectivity

Direct Mail

 Audience selectivity; flexibility; no ad competition within the same medium; personalization

 Relatively high cost; ‘junk mail'image

Radio

 Mass use; high geographic and demographic selectivity; low cost

 Audio presentation only; lower attention than television; non-standardized rate structures; fleeting exposure

Magazines

 High geographic and demographic selectivity; credibility and prestige; high-quality reproduction; long life; good pass-along readership

 Long ad purchase lead time; some waste circulation; no guarantee of its position

Outdoor

 Flexibility; high repeat exposure; low cost; low competition

 Limited audience selectivity: creativity limitations

Yellow Pages

 Excellent local coverage; high believability; wide reach; low cost

 High competition; long ad purchase lead time; creativity limitations

Newsletters

 Very high selectivity; full control; interactive opportunities; relative low costs

 Costs could be very high

Brochures

 Flexibility; full control; can dramatize messages

 Overproduction could lead to run-away costs

Telephone

 Many users; opportunity to give a personal touch

 Relative high cost unless volunteers are used

Internet

 High selectivity; interactive possibilities; relatively low cost

 Relatively new media with a low number of users in some countries

Source: Marketing Management, Philip Kotler (10th Edition).

EXHIBIT V - PROJECTED MEDIA REVENUES

[10] In September 2002, Rs 48 equalled 1 US $.


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