Mumbai, March 30: Star TV is planning to expand its horizon by tapping the vast internet user base for providing news on India through a portal site. The site, which is proposed to be developed by News Television India Ltd, will feature on-line news and current affairs.The idea behind the move is simple. While television has a limited reach, the Net cuts across geographical boundaries. So if you are not watching television and are busy surfing, you could get an update on the latest STAR News or a current affair programme just while it is being beamed on the television.
The "niche" portal site will be in addition to the existing website of STAR TV, which although provides basic information about Star's programmes, does not provide on-line news.The new portal site is being viewed as a vehicle to "enhance the company's core competence".
According to Probir Ray, vice-president management information systems at STAR TV, the company is in the process of evaluating the technical and commercial aspects of aniche portal that can increase its control on the market. "Portal sites give you a presence not bound by geographical limitations. TV is limited by its footprint where as the Net has a global presence," said Roy.
International players like FOX News, CNN and ESPN provide news in audio and video mode, but no one has focussed on India specific news content. In India, broadcasters like STAR and Zee can derive immense benefits from such sites, feel experts.
Portal sites can be defined as hubs on the internet that deliver everything from e-mail to stock quotes to personalised horoscopes. It is also a way for older businesses to hold on to potential customers in "the new economy", where people can shop, plan vacations and even gossip on the Net, say researchers.
Portal sites, including both traditional and niche, have been seen as an extension of existing activities enabling companies to generate a brand equity and additional revenue. Sites, rich with free software, real audio, download and softload featuresand special effects would enhance any company's image.
According to Parameshwar Menon of Plexus Technologies Ltd, which has set up portals in India like the indiatimes.com, the specific portal sites provide comprehensive news and information delivery system to users with access to information in a variety of ways like e-mail.
The advantages of the site are one-to-one marketing, integrated campaigns, analysis and metrics, targeted content, microtargeting, direct response, sales growth.
The technology in use is the GroupLens ad server, which essentially targets advertisements according to pre-set parameters and business rules; an Oracle driven database; a custom software application which provides users with access to selected news independent of a browser; real audio/video for rich content.
"Players like Yahoo!, Excite, America Online are successful in offering information services on the internet with business models which incorporate traditional media activity. These companies have become giants onthe basis of ad revenue and market capitalisation," says Menon.Media companies which possess the brand and the content, it is natural for them to build a news portal and offer their advertisers multiple media ad packages.
"Larger footprint, global brand presence, the ability to experiment with convergence of media, position themselves to capture audiences that are migrating, retention of revenues from those clients that are advertising on the web, ability to push content through various channels can be highly attractive to anybody," Menon says.
Moreover, it complements the audio/video news with text news of such television companies, which can offer strategic cross-media advertising packages to clients.
STAR TV's move is expected to be a trend setter and lead to more competition for greater share of the potential audience. Apparently STAR seems to enjoy an advantage over other channels as the channel's news programmes are far more comprehensive while other channels may find entertainment and othercontents not really transferable to the web.Internet service providers (ISPs) can benefit from such advancements by the media companies as traditional ISPs can add these portals to combine their services with aggregators of content - much like the AOL/NetCenter model.Further, technology can give the best push so far. Cable modems can play a greater role in giving better reach and quality of web viewing and the internet usage itself.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.