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OBJECTIVES OF THE CORPORATE INTERNSHIP

The purpose of Corporate Internship is to connect theory and practice, obtain knowledge &
awareness of the functioning of various departments of the corporate and its environment
which is utmost necessary for the success as budding managers. The basic objectives of the
summer internship programme were:

1. To understand the business and competitive environment in which the organization is
operating.
2. To analyze and understand the financial position of the organization viz – a – viz
competitors.
3. To study Sales and Marketing process of an Out Of Home Advertising Agency.

4. To get a feel of corporate life and its functioning & understand various interaction
styles.

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ABSTRACT

Outdoor advertising is no more restricted to billboards. As the Indian consumer is bombarded
with 1,00,000 advertisements a day on more than 250 channels, outdoor advertising has
shown promise to break the clutter of advertising on traditional mediums.

Out-of-home has revolutionized the way outdoor communications is being looked upon by
marketers and today, it has transcended the traditional outdoor media options, extending to
communicate with the customers at various touch points.

The report illustrates the new Outdoor media options starting from the cornerstone of
Outdoor the billboards, street- furniture (bus- stops, walls etc.), transit media such as buses,
railways and mobile-vans to new alternate media such as mall kiosks, building boards etc.
clearly illustrating the media options that planners have and can choose from in OOH
depending upon the target audience they have.

This report also illustrates about how sales and marketing department functions in an OOH
advertisement agency. To do this project I did my internship with “The Zebras - enabling
out of home advertising” based in Karol Baag New Delhi in the sales and marketing
department of the company. Goal of my internship was to build the database of the prospect
client companies as it is the first step of sales process and an important building block of the
business. Thus before making contact to them one should know about the company and what
they are in to? And last not the least how an OOH agency can benefit in their business to do
better. To create this database I used to visit corporate office of various companies and asked
the contact details of the person who takes care of the advertisement activity in the company.
I have successfully created the database of 40+ companies and also made a proposal for the
Mahanager Telephone Nigam Limited New Delhi head office.

Key learning’s from the internship were: For a sales organization most important objective
is to meet the requirement of the client and building a long term relationship by timely
delivery and satisfying their need with a competitive edge.

The organization was 100% oriented towards sales and each employee was free to take
decision when they are dealing with their client. Financial statements of the companies were
not available but in order to analyze financial performance of the industry I have taken the
financial statement of ENIL Pvt. Ltd. (Times OOH) a company in the same industry.

OOH as estimated by PWC an industry of 10,000 million and is expected to become Rs
17,500 million industry by 2010. Though the part of media-spend in OOH is only 6% for
now the industry has shown promising growth. The industry structure as for now is
fragmented and less organized.

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COMPANY PROFIL

THE ZEBRAS – enabling out of home advertising

Company Origin: The Zebras is a part of the AD’s World group founded by Mr. Ajay
Dhawan operating in the Out Of Home Advertising domain for more than 17 years. This is
the only Group in this domain with An ISO 9001:2000 Certification (refer annexure 4),
which goes to show the intent of the Group and the Organisation to follow systems and
increase Returns on Investments to Clients.

The group has 10 offices in the country and the head office is located at A-191 Okhla Phase 1
New Delhi and three international offices located at Dubai, Sharja, and kualalumpur. The
group has been servicing more than a 100 Client’s nationally with a dedicated team of more
than 140 people onboard. The group is currently market the advertising on the Airport
Baggage Trolleys and advertising on The Rail Sampark Enquiry Number 139.

The group also have been recorded in the Limca Book of Records (refer annexure 5) for
Making Biggest football Balloon just in period of 10 days for its client Philips and making a
tumbler of 12 feet completely made of Glass for its client Rasna.

Mission: Enabling Out Home Advertising……

Vision: The vision behind the setup of The Zebras was to grab the opportunities present in
the OOH industry. As two companies in the same domain will not advertise through the same
agency. This opportunity is being noted by the C.E.O. of AD’s world Mr. Ajay Dhawan and
to cater to different companies in the same domain he found The Zebras and appointed Mr.
Atul Rai as C.E.O. of Rhe Company who were former C.O.O of the AD’s World.

Goals/Objectives: The Goals/Objective of the organization are:
 Customer Satisfaction
 Timely Delivery of the product and services.
 Help customer to grow in their business.
 Making Innovations

Major Client:

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Organizational Structure:
• Mr. Atul Rai (C.E.O.)
• Mr. Surendra Mohan Sharma (General Manager)
• Mr. Aditya (C.S.O.)
• Ms Monika Sharma (HR Manager)
• Mr. Rajesh Sharma (Finance Manager)
• Mr. Varun Sharma (Executive Manager Sales)
• Ms. Monika Buswala (Manager For Creative Activities)

Business Activities: The group is currently involved in three types of business verticals.

Outdoor
Outdoor activities involve advertising on various media which interacts to large mass
audience. How the implementation of the activities is done is being illustrate in the figure
given blow:

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Retail
This involves Fabrication of retail stores for the client companies. Here client companies use
to give the place where a retail store is to installed and how the retail activity is done is very
well explained in the figure given below.

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__________________________________________________________________________
Experimental Advertising

BTL i.e. Below The Line activities are those activities which are done by the
compnies on the demand of the client company. It involves Product Launch, On
Ground Promotion, Exhibitions, Dealer Meets, Activation – Rural/Urban, Melas &
Shows. Most of the time experimental marketig is done where product is very
complicated or the target audience is very complicated or they target customer belong
to SEC C or D and face – to – face communication is required to make target
customer awaer of the product. Best e.g. is when you see a boy is coming to you to
give a pumplet or product demo you see on the side of the road when you are on the
move. The process through which experimental marketing is acomplised has been
illistrared through the given diagram below:

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COMPITITORS’ PROFILE

1. BRIGHT OUTDOOR MEDIA PVT. LTD.

Company Origin: Bright commenced business in 1980 as an outdoor media company.
Today is one of the leading OOH media organizations in India and is spreading its footprint
rapidly across the country.
In Mumbai Bright is the privileged to proudly boast of having 700 exclusive hordings in
Mumbai metropolis such as Haji Ali, Bandra, Churchgate, Mahim, Cadel Road, Marin Drive,
Worli, Borivili, Juhu SV Road, Link Road, Chembur and Sion.
Bright serves from 801,Cresennt Towers,Mourya House, Opp. VIP Plaza, New Link Road,
Andheri(West) Mumbai

Mission: We Create Bright Future……

Major Client:
Bright Outdoor is associated with Multinationals comprising of Bank of Baroda, SBI, HDFC,
Bank of India, Dena Bank, Union Bank, Kapole, Colgate, Westar, Hindalco, Emami, Sansui,
Godrej, Manickchand, Pepsi, Amul, Coca Cola, Reliance, Indian Oil Corporation,
MC’Donalds, Indusind Bank, L.I.C, U.T.I., Seasons, Tribhovandas Bhimji Zaveri Jewelers,
Whirpool, Onida, Titan, Videocon to name a few.

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Televison channels :

Bright outdoor has always been in priority with Television channels like Zoom, Colors, UTV
Bindaas, Zee Network, Star TV, Sony TV, Sab TV, CMM, CVO, Sahara, Discovery Channel,
Care TV, Doordarshan etc.

Film Industry :

Bright caters to 90% of Film Industry comprising of UTV, Eros, Percept, Planman, Devgan
Entertainment, Yashraj Films, Mukta Arts, Pritish Nandy Communications, V.I.P, Shringar,
Balaji, Tilak Enterprise, Time Movies, Metro Movies, Dilsa Distributors, Venus, Time Video,
Tips, United Seven Creations, Neha Arts etc. with respect to their outdoor media
requirements.

Events & Exhibition :

Filmfare Awards, Femina Miss India Contest, Zee Cine Awards, IIFA Awards, Sansui Awards,
MTR Foods – Indian Telly Awards,CNBC- Mutual Fund Awards, FICCI- Frames- Global
Convention on the Business of Entertainment, Grasim Mr. India- Aditya Birla Group, All
major events & New Year Nights & Navratri Utsav etc.
Business Activities: Bright is in almost every field of advertisement. They are involved in
the following businesses:
• AD Films & Screening / Films • Hoardings
• Multiplex & Mall Branding • Flex & Vinyl Printing
• Airport • Mobile Vans
• T.V • Gantries
• Radio • Toll Plaza
• Modelling • Illuminated Kiosks
• Serials • Bus Back Panels
• Albums • Bus Q - Shelters
• Cricket • Step Branding
• Press & Magazine • Decorative Poles
• Events • Foot Over Bridges
• Glass & Building Wrap • Railway Boards
• P.R • LCD LED Moving Display
• Shooting Location • Film Let
• Tele Shopping • Traffic Bhooths

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• Film Promo • Solous Bus Painting
• Designing • Standies
• Sponsorship
• In Film Branding DVD / VCD / CD AD
• Railway Panels And Full Train Painting
• Railway Transfer Stickers, Route Maps & Window Display
• Neon & Glowsign at Railway Station
• Celebrity & Artist Management
• Sole Rights of Railway Stations

2. Times OOH PVT. LTD.

Company Origin: Times OOH is the part of THE TIMES GROUP (Bennett.Coleman & co.
Limited) was established in 1838 and is managed by the Board. It is the largest and most
respected Indian media house with an annual revenues of more than US$ 1.1 bn. The times
group is the leader across categories. – Times Of India is world’s largest English Broadsheet
Daily and The Largest private FM Radio Player.

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Mission: No One Covers India Like Us….

Vision: Our vision is to be a leading city-centric-media company by delivering unique
audiences through media vehicles like FM radio, event management and out-of-home
media.

Major Client: Best of Brands Already On Board…

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Organization Structure:

Board of directors (as on may 14, 2008)

Mr. Vineet Jain, Chairman
Ms. Rama Bijapurkar
Mr. N. Kumar
Mr. Deepak M. Satwalekar
Mr. Ravindra Kulkarni
Mr. Ravindra Dhariwal
Mr. A. P. Parigi, Managing Director

Management team

Mr. A. P. Parigi, Managing Director
Mr. Prashant Panday, Chief Executive Officer
Mr. N. Subramanian, Chief Financial Officer
Mr. Nandan Srinath, Chief Operating Officer (India)
Mr. Sharath Chandra, Chief Operating Officer (International)
Mr. Tapas Sen, Chief Programming Officer

Company Secretary

Mr. Mehul Shah
Auditors

Messrs Price Waterhouse & Co.,
Chartered Accountants

Legal advisors

Mulla & Mulla & Craige Blunt & Caroe, Advocates,

Solicitors and Notaries

K. Dutta & Associates
Prathiba M. Singh, Singh & Singh, Advocates
King & Partridge, Advocates & Solicitors

Bankers

HDFC Bank Limited

Registrar & share transfer agents (r & ta)

Karvy Computershare Private Limited,
Unit:- Entertainment Network (India) Limited,
Plot No. 17 to 24, Vittal Rao Nagar, Madhapur,
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Hyderabad - 500 081.
Phone : 040 23420818, Fax : 040 23420814.

Registered office

4th Floor, A-Wing, Matulya Centre, Senapati Bapat Marg,
Lower Parel (West), Mumbai - 400 013.
CORPORATE OFFICE
Trade Gardens, Ground Floor, Kamala Mills Compound,
Senapati Bapat Marg, Lower Parel (West),
Mumbai - 400 013.

• Business Activities: Presence across segments
- Billboards,
- Street furniture,
- Transit and
- Digital screens
• Pan India Coverage through owned properties & Trading capabilities
– Portfolio of owned properties in prime locations
- Mumbai and Delhi Airports
- Patel Bridge in Mumbai,
- Delhi-Noida flyway
- Delhi Metro Stations

3. OOH MEDIA PVT. LTD.

Company Origin: OOH Media is India’s largest out-of-home television company. They
leverage robust Business, In-store and Leisure Network to display audio-visual
advertisements and engage urban consumers while they work, shop and play.

The medium combines the strengths of audio-visual communication with the visibility of
outdoor. The ability of this new medium to ensure that advertisers get their message across
their most difficult to reach consumers with regularity, across different day parts and in a
seamless way, is what differentiates this medium of communication from any other medium.

They have already installed over 5000 screens in more than 22 cities across India and
propose to set up as many as 30,000 screens in the next 18-24 months. This would make
OOH Media India's largest digital out-of-home television company. In November 2006, OOH
Media commenced on three keystones: Vision, Ambition and Confidence. A 3i company
(http://www.3i.com), ooh media partnered with China-based Focus Media
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(http://www.focusmedia.cn/en/index.htm) — the world's leader in OOH services — to bridge
the gap between Indian advertisers and their audiences.

To provide advertisers with effortless access to otherwise hard-to-reach consumers, OOH
Media has set up a nation-wide network covering over 22 cities via more than 5000 high
definition LCD and plasma screens.

Through this network, OOH Media guarantee marketers visibility and of course, direct
connect with their consumers, as they work, eat, shop or simply relax. OOH Media achieve
this through:

» OOH Work
» OOH Shop
» OOH Play

Mission: India’s Largest Out Of Home Television Network.

Major Client:

Organizational Structure:

• Ishan Raina (CEO)

• Jagadesh Babu Botta (CFO)

• Niloufer Dundh (CSO)

• Sumit Sapru (Vice President - Business Strategy)

• Baagyalakshmi Nagarajan [Director - Sales (South)]

• Raju Sarin ( Director)

• Shamik Talukder (Business Director)

Business Activities:

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OOH Work: One of the most challenging tasks for an advertiser is to reach his audience while
they are at their workplace. Conventional media rarely achieves this task.

OOH Media on the other hand penetrates the largest of offices, (delivering) reaching
advertisements to men and women while they relax in the lobby, wait outside elevators or
hang out at the food court.

OOH Media install LCD and plasma screens in office buildings, IT parks, BPOs, KPOs,
airport buses and healthcare centers — to successfully capture high-profile audiences with
large amounts of disposable income.

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OOH Shop: Consumers in shopping malls are there for a specific reason: to buy a product or
several products. Since they are already in purchase mode, these consumers are acutely
sensitive to product advertisements. If an advertisement appeals to them, they will make a
spontaneous purchase, even if they had no intention of buying that product before they entered
the store.

OOH Media connects with these consumers — in malls, hyper and super markets,
convenience stores, and CSDs — and swings their purchase decisions in favour of the product
being advertised.

OOH Play: A general misconception prevails: Business and pleasure should not be mixed.
OOH Media breaks away from this cliche — and takes products straight into entertainment
areas: multiplexes, beauty salons, clubs and pubs, cafes, fast food joints, restaurants, and
even book shops — to the youth and young families who are highly receptive to
advertisements while they relax.

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INDUSTRY ANALYSIS

Outdoor is a comprehensive mix of effective media delivery mechanisms that reach people in
their cars or on subways, in airports and malls or in any number of growing outdoor media
settings. Outdoor is roadside, outside and inside, above and below ground and on the move.

Outdoor today is an important element and strategic to a media plan. Outdoor media sites in
India are predominantly owned or operated by small, local players and are typically, directly
marketed by them to advertisers and advertising agencies. However, this segment too is
witnessing a sea-change with technological innovations. Growing billboard advertising is
fuelled by technologies such as light-emitting diode (LED) video billboard. This is a segment
that is seeing interesting technological innovations across the world and is likely to evolve in
India too in the short-term.

STRUCTURE
• Companies in the industry: In India OOH advertising industry is predominantly
owned and operated by small, local players but there are various organized companies
which are doing well in the industry. Following are the major players in the industry
serving the needs of OOH advertising:

o Pioneer publicity (Delhi)
o VSR (Mumbai)
o AD’s World (Delhi)
o The Zebras – part of AD’s World (Delhi)
o Times OOH, (Mumbai)
o Clear Channel(Mumbai)
o Selvel (Mumbai)
o Vantage (Bangalore)
o Portland (Bangalore)
o Lakshya (Bangalore)
o Media Magic (Chennai)
o JCDecaux (Delhi)
o Posterscope (Bangalore)
o Bright Publicity (Mumbai)
o Jaya Channel (Mumbai)
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o OOH Media Pvt. Ltd.
o MOMS Outdoor Media Pvt. Ltd.(A venture of Madison)
o Platinum Outdoor Media Pvt. Ltd.(A venture of Madison)
o Essence advertising
o Mind makers (Noida)
o Essence (Noida)

MARKET SIZE AND GROWTH TREND:

Today, the Out-of-Home (OOH) market is about Rs.10, 000 million that accounts for
approximately 6.0% of the total ad spends in India. As shown below, the OOH ad spends in
India compare favorably to the worldwide ad spend on OOH.

Source: Advertising Expenditure Forecasts, October 2004 by ZenithOptimedia

In year 2010 the Out-Of-Home is expected to grow to Rs. 17,500 million with a compounded
average growth rate of 14%.

Projected Growth of Out-Of Home Advertising Industry

• PERFORMANCE:

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Comparison Between OOH India and OOH Global
Characteristics OOH India OOH Global
Status Not recognized as industry Recognized as industry
Size Around Rs 10,000 million Over US $ 5 bn
Strategic
Importance Add-on media
importance
Holding Large number of Small number of
patterns small Players large Players
Regulation Still to happen Already exists
Innovation Just Begun Fair Ahead
Exist, but still
R&D Does not exist
evolving

• Source: Advertising Express, July 2006, Lifestyle Marketing, Media-Options: Breaking Conventional Practices

GDP of India:

2004 2005 2006 2007 2008 2009e
8.5% 7.5% 8.4% 9.4% 6.5% 7%

Growth Rate of OOH Industry:

2004 2005 2006 2007e 2008f 2009f
6% 11% 25% 16% 14% 15%

Since growth of OOH is not showing clear pattern with respect to GDP growth so it is an
Acyclical variable to GDP

• LEGAL/REGULATORY ISSUES:

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Registration Requirements:

Time to
No: Procedure Cost to complete:
complete:
Obtain director
identification number (DIN)
1 online from the Ministry of 1 day INR 100
Corporate Affairs portal
(National)
Obtain digital signature
certificate online from
2 private agency authorized 3 days INR 1,500
by the Ministry of Corporate
Affairs (National)
Reserve the company name
online with the Registrar of
3 2 days INR 500
Companies (ROC)
(National)
INR 1,300 (INR 200
for MOA + INR
1,000 for AOA for
Stamp the company
every INR 500,000
documents at the State
4 1 day of share capital or
Treasury (State) or
part thereof + INR
authorized bank (Private)
100 for stamp paper
for declaration Form
1)
Get the Certificate of
Incorporation from the
INR 14,133 (see
5 Registrar of Companies, 5 days
comments)
Ministry of Corporate
Affairs (National)
INR 350 (cost
depends on the
6 Make a seal (Private) 1 day number of seals
required and the time
period for delivery)
7* Obtain a Permanent Account 7 days INR 67 (INR 60
Number (PAN) from an application fee +
authorized franchise or 12.36% service tax +
agent appointed by the INR 5 for application
National Securities form, if not
Depository Ltd. (NSDL) or downloaded)
the Unit Trust of India (UTI)
Investors Services Ltd., as
outsourced by the Income

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Tax Department (National)
Obtain a Tax Account
Number (TAN) for income
INR 57 (INR 50
taxes deducted at source
8* 7 days application fee +
from the Assessing Office in
12.36% service tax)
the Mumbai Income Tax
Department
Register with the Office of INR 6,500 (INR
Inspector, Shops, and 2000 + 3 times
9* 2 days
Establishment Act registration fee for
(State/Municipal) trade refuse charges)
Register for Value-Added INR 5,100
Tax (VAT) at the (registration fee INR
10* 12 days
Commercial Tax Office 5000 + stamp duty
(State) INR 100)
Register for Profession Tax
11* at the Profession Tax Office 2 days No cost
(State)
Register with Employees’
12* Provident Fund 12 days No cost
Organization (National)
Register for medical
insurance at the regional
13* office of the Employees’ 9 days No cost
State Insurance Corporation
(National)

Rights to Advertise:

The right regarding to display with a particular site (BQS, Utilities, Pole Kiosk, Billboards,
etc.) is available with the concerned authority. E.g. rights to display in the city is available
with the local government such as Nager Nigam in cities and Nager Palica in towns. On
National highway the right are reserved with NHAI. Right concerned with Airports, Metro
Railway and Stations, Railway, DND Flyway, Bus and Station are reserved with their
authority.

• FACTORS DRIVING THE GROWTH OF OOH:

Increasing ad-spends

The growth in Indian economy has led to better employment prospects and thus people have
more disposable incomes. The result of this has been more consumption and more purchase.
It requires the brand marketers to reach out to the audience through every possible means.
With the increasing media spends the share over OOH media has also increased.

Clutter on traditional media

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Media penetration has increased phenomenally over the past few years. Increasing
penetration has led to increasing demand from a clutter free advertising. OOH provides
ample opportunity to advertise for clutter free advertising.

Increasing working population

More and more people are on the move today. In metros, on an average, people spend 3-6
hours of the day traveling, which makes them potential audience to OOH media.

Aptness in Rural Marketing

In rural areas the impact of OOH is high. Rural areas do not have high literacy; therefore
print is not the best medium for advertisers. Significant power shortage doesn’t let TVCs to
be effective either. To the growing interests of FMCG giants in rural marketing, OOH offers
excellent Return on Investment (ROI).

Local Advertising

OOH being a localized and cheap medium by nature also attracts a lot of local advertising. It
turns out to be cost-effective and relatively cheaper medium than other broadcast based
regional or national media which is affordable for local advertisers. Language problems can
also be easily overcome by this localized medium.

COMPETITION ANALYSIS

PRODUCT DIFFERENTIATION

The OOH media can be categorized into two different domains:

1. BTL (Below the line): This means the media which interacts with the target audience
on one to one basis. E.g. most of the times when you are travelling on the road some
person come to you and give you pamphlets which gave you information about some
product.
2. ATL (Above the line): This is the OOH Media in the actual means. This is the media
which we can see while on the move. This media interacts to a are number of
audience at the same time. Avoidance to this media is very low as it takes a few
second to pass on its massage to you.

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• OOH Media Vehicles

OOH Media broadly describes a variety of advertising vehicles, which reach
consumers where they shop and travel.

Billboards

• Billboard formats can reach today's highly mobile consumer audience with high-
impact, strategic positioning and market-to-market coverage.

But that's not all. Billboards can deliver on clean eye-popping exposure 24/7,
clutter free messages in a uniquely customized environment and desirable suburban
coverage filling gaps left by other media.

One of the new innovations in the area of billboards is the I-Board, which is built on
Internet-technology, and can use any telecom backbone facility available to display a
sequence of rapidly changing advertisements by a host of different advertisers. The
offerings to the advertisers are changing and growing in number.

Street Furniture

• Street furniture advertising is can be very flexible and innovative. Many street
furniture displays are located near shopping and commerce centers, these outdoor
products provide a last reminder for consumers, just moments before a potential
purchase decision is made.

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It makes street furniture advertising ideal for brand recognition near a point-of-
purchase. It can also generate high awareness and can effectively target population
segments or be used to reach a broad-based marketplace. Formats range from simple
to interactive, locations vary from dense urban centers to suburban roadways.

Consumers’ on - the - go

• Transit products such as displays that reach people traveling - by plane, train or
automobile, bus or cab, and on foot offer extremely targeted outdoor messaging
solutions. They are visible at all hours, with particular strength during rush hour. Take
your pick of the product pack - mix and match. Combining transit products can make
a tremendous impact improving: reach, frequency and overall impact in one cohesive
media package.

Transit

• It include advertising at airport and the medium available at the airport e.g. airport
trolleys, quick cabs, etc. Buses and other vehicles which facilitate transportation.

Radio

• Radio is the most popular outdoor advertising media and is very much cost efficient
as comparison to tv commercials. Today a large number of radio channels are
available such as Radio city, Red FM, Big FM, Radio Mirchi etc.

Alternative Outdoor Media - The New Twist

• A whole new field of advertising formats has emerged in OOH media to impact
consumers head-on during the course of daily activities. Originally developed to
bridge gaps in urban centers, the alternative outdoor products have today grown into a
sophisticated and viable business. The beauty of these ad forms is the targeting they
provide, and their synergy within micro markets. Alternative outdoor media can cover
a market far and wide or provide synergies with locations strategically placed around
a town.

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• EXISTENCE OF MONOPOLIES:

Monopoly in the industry exists on the basis of product available with the companies.
As it has been stated earlier that right of a particular site is issued by the local
government of the city or the authority concerned with that site.

India’s most expensive location at the Patel Bridge in Mumbai used to
rake in Rs 22.5 Lakhs ($ 45000) per month at an average of Rs 7.5 lakhs for
10 days cycle only for morning site. In a recent auction the morning/evening
combo property has a new owner with three year tenure. The bid amount of Rs 15.3
has conferred the ownership by Times OOH.

The bids by other players were

Agencies Bid
Times OOH Rs 15.30 crore
Jaya Advertising Rs 14.11 crore
Clear Channel Advertising Rs 12.15 crore
Pioneer Advertising Rs 11.88 crore
Bright Advertising Rs 11.18 crore

Bidding by Key OOH Players for the Prestigious Patel Bridge OOH location

Source: : Outdoor Advertising, Volume 2, Issue 1, Aug- Sep 06, The Long Run

Today the average rental of any OOH location has gone up by 25-40% depending
upon the site and part of the year it is bought in. All good properties have registered a
growth of 40- 100% in last couple of years. In the long run, these numbers are going
to go up.

• The rights related to display on Airport trolleys and quick cabs at Airport of Metro
cities such as Delhi, Chennai is available with the AD’s world New Delhi. The
company also has rights to play the radio jingles on 139 (Railway Sampark
Number).

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• Bright Outdoor Media Pvt. Ltd. has its monopoly at Dadar FOB – Cental and full
station sole right at Borivili, Kandivili, Goregaon, Dahisar, Mira Road.

• PATENTS HELD BY OTHER COMPANIES:
In the out of advertising industry there is no such patent held by the companies. AD’s
world is the only Group in this domain with An ISO 9001:2000 Certification.
Times OOH has been honored with ‘AWARD FOR BRAND LEDERSHIP’ at Asia
Brand Congress, 2008.

• TECHNOLOGICAL/PROCEDURAL ADVANCEMENTS:
History of OOH Advertising is quit old in India as initial it war done through
‘Munadi’ where a person used to announce with the help of the ‘Nagara’. Then in
many town and villages it is has been done through the mike and loudspekar.
Most of us think that OOH is related to billboards only. Initially these billboards were
prepared though the paints and emulsions. But it was the old story, now it has been
replaced by the vinyl flex which are of three types: non- lit (without lights), back- lit
(light behind the flex), and front- lit (light at front). These flexes are printed through
the highly advanced printer price starting from Rs. 12,00,000/- to 60,00,000/- and
even more. A few example of these printers are:

HP Designjet 8000 Printer series

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From
small
signs
to
large
banner
s, this
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OOH has its reach not only through the Radio Stations but also through Railway
Sampark no. 139.
In this industry there a lot innovation has been done and still more to come

• BARRIERS TO ENTRY:
The industry which counts for Rs. 10,000 million in future is still unorganized an
there are various which may stop you to enter in to the market if any company is
willing to enter into the market. Some of the barriers are:

1. Client – Supplier Relationship: In this industry Client – Supplier Relationship is
the most important building block of the business. It very hard for new vender to
get a client because already existing company are always focused on delighting
the clients by providing one time delivery and best possible service. So if a new
vender wants to enter into the market then it must give a competitive edge by
providing service at lower or by giving better sites to advertize or both
.
2. Government Regulations: The billboards and hoardings have been seen as a
nuisance by the authorities. The Delhi government is considering banning the
media, and in Bombay, the number of hoardings is strictly restricted.

"India is much disorganized, and then there is both an interfering government and
small time contractors. Both have destroyed the media to a large extent," says P.S.
Pillai, media controller, TBWA Anthem.

This has kept the growth of OOH low and media planners away from the medium.

3. Availability of Desirable Site: As it has been mentioned earlier that the rights
regarding with the sites are provide by the authority concerned. In India
companies use to spend a lot to get the rights to advertize through front and as
well as through the back door of these authorities.

4. Facility Installation: A company willing to enter in to the OOH industry have to
spend a huge amount on the facility as we have discussed it earlier that a flex
printing printer starts from Rs. 12,00,000/- to Rs. 60,00,000/- and even more.
Price of flex starts from Rs. 5/- to Rs25/- per square feet depending on the width.
Today OOH is not restricted only to Billboards but it has reached to the LCD,
LED, and Plasma screens which require a huge investment. Although this block of
the industry can be outsourced but these will lead to loss of the low price
competitiveness of the firm.

5. Climate: Climate is the big barrier of the industry as during the month of June-
August Climate play hard through heavy raining and heavy wind due to which
company use to face huge losses because in this time flexes use to destroy due to
the climate.

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6. Presence of big and organized players in the industry: Presence of big and
organized players in the industry is a big barrier as the companies who are keen to
advertise normally advertise with the companies who are more organized and hve
desirable site for the advertisements.

COMPARATIVE VALUATION:

o Competitors with Perfect Substitution: The competitors who offer same
product are those companies who provide the same type of product which The Zebras
is providing and some of these companies are: Pioneer publicity (Delhi), VSR
(Mumbai), Times OOH, (Mumbai), Clear Channel(Mumbai) Selvel (Mumbai) nd
many more.

o Competitors with Imperfect Substitution: – Goods serve same basic purpose are:

Television:

• Current size: Rs 14,800 crore
• Projected size by 2010: Rs 42,700 crore
• CAGR: 24%
• Major Companies: Star, Zee, Network 18 etc.

Filmed entertainment:

• Current size: Rs 6,800 crore
• Projected size by 2010: Rs 15,300 crore
• CAGR: 18%
• Major Companies: Red Chillies Pvt. Ltd., Yash Raj Pvt. Ltd.

Print media:

• Current size: Rs 10,900 crore
• Projected size by 2010: Rs 19,500 crore
• CAGR: 12%
• Major Companies: Danik Jagran, India Today magazines etc.

Radio:

• Current size: Rs 300 crore
• Projected size by 2010: Rs 1,200 crore
• CAGR: 32%
• Major Companies: Big FM, Radio City, etc.

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Music:

• Current size: Rs 700 crore
• Projected size by 2010: Rs 740 crore
• CAGR: 1%
• Major Companies: HMV, Tips, etc.

Live entertainment:

• Current size: Rs 800 crore
• Projected size by 2010: Rs 1800 crore
• CAGR: 18%
• Major Companies: various events organized

Internet advertising:

• Current size: Rs 100 crore
• Projected size by 2010: Rs 750 crore
• CAGR: 50%
• Major Companies: Google, Yahoo etc.

Scope of Business:

Today, the Out-of-Home (OOH) market is about Rs.10, 000 million that accounts for
approximately 6.0% of the total ad spends in India. As shown below, the OOH ad spends in
India compare favorably to the worldwide ad spend on OOH. In year 2010 the Out-Of-Home
is expected to grow to Rs. 17,500 million with a compounded average growth rate of 14%.

• 4 P’s:

• Product: The Zebras serve a wide range of services under its three different verticals
which has been described earlier i.e. Outdoor advertising, Retail and experimental
advertising (BTL).
Outdoor is the major business activity of the company while Retail and Experimental
marketing are the supportive function to outdoor advertising.

In outdoor The Zebras has wide product portfolio which includes:

1. BQS(Bus Q Stand)
2. Billboard
3. Pole Kiosk
4. Metro Pillar and stations
5. Utilities

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The Zebras also offer two different media to advertise other then these obvious media
which are also provide by the other players in the industry. Thus give an competitive
advantage over its competitors. These media are:

• Railway Sampark Number (139): There are almost a million advertising messages
compete for attention and traditional media vehicles are not enough to deliver due to
the growing fragmentation. It’s becoming increasingly difficult to monitor and track
consumer behavior, preferences, media habits or purchasing patterns. A clear need to
explore innovative mediums to connect with the consumer at the right place, at the
right time, every time. As in the following graph it is clearly visible that to which
extant people avoid advertisements.

139 is a number that reaches out to 6.3 lakh villages 850 towns and cities. The
opportunity associated with 139 is high as India is country having population more than 1.13
billion and currently Telecom penetration is going deeper and deeper with a Growth of 80%
where Telephone penetration is of 334 million and Mobile penetration is of 275 million.
People use to call 139 for following purposes:

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Almost about 17 Million Passenger travel everyday where 1 Million PNR’s issued
everyday with 9702 passenger trains and about 6.37 billion passengers carried
every year around 7153 stations.

139 is Launched by IRCTC and controlled by IVR and Call Center operating
out of 4 cities for Pan India Coverage.

139 works by utilizing prospects free time for brand communication by broadcasig 15
secs commercial when the customer query is being retrieved and longer the customer
stays on 139, the more the commercial he/she listens too but only 15 secs of
commercial time is available in order to avoid irritation

Eco-friendly electric carts and baggage trolleys at international airports: There is
an exclusive arrangement with international airports to provide a free service to ferry
passengers between domestic terminals through battery operated carts (provision of
an eco friendly convenience) and airport baggage trolleys.

The entire exterior of the cart available for display of messages.The rear and the two
sides are back-lit creating a higher impact with reflectic material for logo on the front
of the cart. Over 35 sq. feet of space available to display your message

This medium of Airport Baggage Trolleys gives the feeling of ownership of a
particular city and the displays on them could change from time to time to suit the
communication need month wise. The front basket of the Trolley carry Company’s
Logo & the messege below the basket on the front and back. Needless to add, these

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trolley's move at least 700 times in and out of the airport in a month to give maximum
visibility and top of mind recall.

Brand Name: The brand name of the company is inspired from the animal Zebra
because of its two qualities:
1. Zebra is a animal because of its physical appearance which is different from
other animals it looks distinct even in the crowd.
2. Zebra is animal of calm attitude.

Place
Market Location: The Zebras is located at 10 different places in India.

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• Head Office, New Delhi
M/S ADS Advertising Pvt.Ltd,
A-199, Phase-1,Okhla Industrial Area,
New Delhi-20
011-40578333,011-40578334

• New Delhi
The Zebras, 201/208 padam chambers,
28/3925 padam singh road, karol Bagh,
New Delhi-05
• Mumbai
M/s ADS Advertising Pvt. Ltd
401-403, D- Wings,Twin Arcade,Military Road,
Marol, Andheri East,Mumbai-400059
022-40387373
• Bangalore
M/s ADS Advertising Pvt. Ltd,
17,JMJ Appartments, 275, 100 feet Road,
Indira Nagar,Bangalore-560038
080-42849000
• Chandigarh
M/s ADS Advertising Pvt.Ltd,
#6+, Sector--18A, Chandigarh
• Chennai
M/S ADS Advertising Pvt. Ltd,
6/32-D, Annand Shree Appartments,
Hindi Prachar Sabha Street,
T. Nagar, Chennai-600017
044-42126119
• Cochin
M/S ADS Advertising Pvt. Ltd,
3rd floor, Mayor Business Centre,
Pullepady Jn. Chittor Road, Earnkulam(Cochin)
0484-4031382,Anil TK-09895131322
• Pune
M/s ADS Advertising Pvt. Ltd,
C/O-Yaswant Kadam,
Flat No-5,1st Floor, Prathmesh Heights,
Pawale Chowk, Near Kumbhar Wada,
Kasaba Peth, PUNE-411038
9225505098, Amit Bhide
• Kolkata
M/s ADS Advertising Pvt. Ltd,
Block-A-1,Flat-2G, Vinayak Garden,41,Shimla Road,
Raja Dinendra Street, Maniktala, Kolkata-700006
033-23606928,32546774

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• Hyderabad
M/s ADS Advertising Pvt.Ltd,
Flat No-304A, 4th Floor, Laxmi Nilayam Appartment,
Beside YMCA Ground, Narayanaguda,
Hyderabad-500029
040-66624656.

The Zebras also has 3 International offices

• Dubai & Sharjah at the UAE
• KL – Malaysia

• State-of-the-art retail furniture factory at Delhi.

Distribution Methods: For distribution company has partnership with various
associates throughout the country.

S. No. Location Number of Associates
North
1 Delhi 73
2 NCR 19
3 UP 7
4 Rajasthan 6
5 Haryana 4
6 Punjab 7
7 Uttaranchal 4
8 HP 2
9 J&K 2
West
1 Maharashtra 51
2 Gujarat 13
3 MP 8
4 Chhattisgarh 4
East
1 WB 27
2 Bihar 7
3 Orissa 3
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4 Jharkhand 3
5 Assam 1
South
1 Karnataka 47
2 AP 13
3 TN 13
4 Kerala 16
Total 330

• Promotion

• Sales promotion: The main tool for the sales promotion is direct marketing where
sales team of thee company make contact with the prospect client company and shoe
how the company can help then in doing their business better. They promote
themselves by client satisfaction and on time delivery of the services.

They also use to gift the client on most of the occasions to give feeling of personal
touch to the person who takes care of the advertisement in the company.

• Sales Force: The Company is powered by 200 strong manpower team across India
and Over 200 on contract across India who networked 24 hrs.
• Follow up and Services After sales: The Zebras use to change flex after every 2
months for free of cost and also replace flexes which got damage anyhow.

Building long-term relationships with customers allows the service provider to leverage or
make additional use of the initial investment of time and money spent selling to that
customer. In other words, one doesn't have to spend time prospecting, qualifying and
conducting other pre-sales activities for that particular customer again.

There is no better advertising than a satisfied customer. Good follow-up and service after the
sale will:

• establish and maintain good reputation of the company,
• build goodwill between customers and business,
• and generate repeat and referral business

• Price

The pricing of the company is divided in to three different categories:

1. Printing Charges: Printing charges are different for different type of flex.

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Flex of front – lit (light is in front of the flex) and non – lit (no light) sits are
printed at a price of Rs. 12/sq. ft. width of 12 ounce. But these prices can be
negotiated as the volume of the advertisement increases.
Flex of back – lit (light is at the back of the flex) sits are printed at a price of
Rs. 35/sq. ft. with a width of 35 ounce. But these prices can be negotiated
depending upon the volume of advertisement.

2. Installation Charges: Installation charges vary from Rs.5/sq. ft. to Rs. 10/sq.
ft.. these charges are also negotiable subjected to the volume of the
advertisement contract given by the client company.

3. Display Charges: Display charges vary from sites to sites given below:

Sr. Type of site Charges/month(in Rs.)
no.
1 Airport trolleys 2500 – 3000
2 Airport electric carts 5000 – 7000
3 Bill Boards 2 lk onwards
4 BQS (Bus Q Stand) 1.5 lk – 2.5 lk
5 Buses 5000 – 7000
6 Metro stations 50,000 onwards
7 Metro pillars 3000 – 5000
8 Pole kiosk 1000 – 2000
9 Utilities (e.g. public toilets) 1 lk onwards
10 139(Indian Railway) 8 lk – 12 lk*
* depending upon the time demanded by the client company

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MACRO VS MICRO ECONOMIC ANALYSIS

Across the world, people, irrespective of their religion and nationality, are all set to celebrate
the advent of New Year 2008 with much verve and enthusiasm. All hope for a better future
and prevalence of happiness and prosperity in the global family.

Economy Watch wishes you all the best for the forthcoming year. On this occasion, we join
the global festivity by presenting to our global audience a short analysis and set of
predictions on World Economy 2008.

The world economy is predicted to continue growing in 2008. However, the rate of growth is
expected to be lower than the current year. The projected world growth rate for the year 2008
is around 4.8%, whereas the ongoing growth rate for 2007 year end is 5.2%. Central Banks of
different countries are expected to stay away from monetary restrictions in the face of
inflations. This is expected to contribute significantly to the growth of the world economy in
2008. Also high investment is expected to continue in the year ahead. The most interesting
aspect of economic growth in 2008 is the fact that the world economy in the said year is
expected to be driven by emerging economies like China and India, rather than by economies
of USA, European countries and Japan.

Global Economy: The slowdown in the world economy in recent times has been attributed
to the slow growth of the US economy. Private consumption in the USA has lacked
momentum. The Real Estate sector worldwide has faced severe crisis. In the global economy,
volatile oil prices, fluctuating financial markets and continued inflation are forecasted to be
the major threats to economic growth in 2008. However, the momentum of growth in the
emerging economies is an encouraging sign for the world economy. According to IMF Chief
Economist Simon Johnson, China and India are expected to make the largest country level
contributions to the growth of the world economy. Higher corporate profits, high
employment and growing international trade are positive traits prevailing in the world
economy which can be expected to continue through 2008.

The performance of the developing countries will remain a key factor in the world economy
in 2008. While Emerging Asia (mostly East and South East) is expected to grow at 8.3% in
2008, Africa and the Middle East are expected to grow at 6.5% and 5.9% respectively.

Indian Economy: Indian economy has been witnessing a phenomenal growth since the last
decade. The country is still holding its ground in the midst of the current global financial
crisis.

Quarterly gross domestic product (GDP) at factor cost at constant (1999-2000) prices for Q3
of 2008-09 is estimated at US$ 171.24 billion, as against US$ 162.57 billion in Q3 of 2007-
08, showing a growth rate of 5.3 per cent over the corresponding quarter of previous year.

Despite the global slowdown, the Indian economy is estimated to have grown at close to 6.7
per cent in 2008-09. The Confederation of Indian Industry (CII) pegs the GDP growth at 6.1
per cent in 2009-10. This scenario factors in sectoral growth rates of 2.8-3 per cent, 5-5.5 per
cent and 7.5-8 per cent, respectively, for agriculture, industry and services.
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A number of leading indicators, such as increase in hiring, freight movement at major ports
and encouraging data from a number of key manufacturing segments, such as steel and
cement, indicate that the downturn has bottomed out and highlight the Indian economy's
resilience. Recent indicators from leading indices, such as Nomura's Composite Leading
Index (CLI), UBS' Lead Economic Indicator (LEI) and ABN Amro' Purchasing Managers'
Index (PMI), too bear out this optimism in the Indian economy.

Meanwhile, foreign institutional investors (FIIs) turned net buyers in the Indian market in
2009. Direct investment inflows also remain strong, prompting official expectations that
foreign direct investment (FDI) inflows in 2009 would better the realised inflows of US$ 33
billion in 2008 and touch US$ 40 billion.

According to the Asian Development Bank's (ADB) 'Asia Capital Markets Monitor' report,
the Indian equity market has emerged as the third biggest after China and Hong Kong in the
emerging Asian region, with a market capitalisation of nearly US$ 600 billion.

The Economic scenario

Investor sentiment in India has improved significantly in the first quarter of 2009, according
to a survey conducted by Dutch financial services firm ING. With foreign assets growing by
more than 100 per cent annually in recent years, Indian multinational enterprises (MNEs)
have become significant investors in global business markets and India is rapidly staking a
claim to being a true global business power, according to a survey by the Indian School of
Business and the Vale Columbia Center on Sustainable International Investment.

Despite the global financial crisis, inflow of foreign capital to the country has increased
sharply in 2008-09.

• India's foreign exchange reserves increased by US$ 4.2 billion to US$ 255.9 billion
for the week ended May 8, 2009, according to figures released in the Reserve Bank of
India's (RBI) weekly statistical supplement.
• Net inflows through various non-resident Indians (NRIs) deposits surged from US$
179 million in 2007-08 to US$ 3,999 million in 2008-09, according to the RBI.
• FDI inflows during April 2008-January 2009 stood at US$ 23.9 billion compared with
US$ 14.4 billion in the corresponding period of the previous fiscal, witnessing a
growth of 65 per cent, according to the Department of Industrial Policy & Promotion.
• FIIs have made investments of around US$ 2 billion as of May 14, 2009, including a
record single day net purchase of US$ 824.72 million on May 13, 2009, according to
the Securities and Exchange Board of India (SEBI).
• Inflation for the week ended March 7, 2009, fell to an all time low of 0.44 per cent.
The sharp fall in inflation was due to several factors including easing prices of food
articles and fuel items along with a high base effect. Currently, the inflation rate stood
at 0.7 per cent for the week ended April 25, 2009.
• The year-on-year (y-o-y) aggregate bank deposits stood at 21.2 per cent as on January
2, 2009. Bank credit touched 24 per cent (y-o-y) on January 2, 2009, as against 21.4
per cent on January 4, 2008.

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• Since October 2008, the RBI has cut the cash reserve ratio (CRR) and the repo rate by
400 basis points each. Also, the reverse repo rate has been lowered by 200 basis
points. Till April 7, 2009, the CRR had further been lowered by 50 basis points, while
the repo and reverse repo rates have been lowered by 150 basis points each.
• Exports from special economic zones (SEZs) rose 33 per cent during the year to end-
March 2009. Exports from such tax-free manufacturing hubs totalled US$ 18.16
billion last year up from US$ 13.60 billion a year before.

The rural India growth story

The Indian growth story is spreading to the rural and semi-urban areas as well. The next
phase of growth is expected to come from rural markets with rural India accounting for
almost half of the domestic retail market, valued over US$ 300 billion. Rural India is set to
witness an economic boom, with per capita income having grown by 50 per cent over the last
10 years, mainly on account of rising commodity prices and improved productivity.
Development of basic infrastructure, generation of employment guarantee schemes, better
information services and access to funding are also bringing prosperity to rural households.

Per Capita Income

The per capita income in real terms (at 1999-2000 prices) during 2008-09 is likely to attain a
level of US$ 528 as compared to the Quick Estimate for the year 2007-08 of US$ 500. The
growth rate in per capita income is estimated at 5.6 per cent during 2008-09, as against the
previous year's estimate of 7.6 per cent.

Advantage India

• According to the World Fact Book, India is among the world's youngest nations with
a median age of 25 years as compared to 43 in Japan and 36 in USA. Of the BRIC—
Brazil, Russia, India and China—countries, India is projected to stay the youngest
with its working-age population estimated to rise to 70 per cent of the total
demographic by 2030, the largest in the world. India will see 70 million new entrants
to its workforce over the next 5 years.
• India has the second largest area of arable land in the world, making it one of the
world's largest food producers—over 200 million tonnes of foodgrains are produced
annually. India is the world's largest producer of milk (100 million tonnes per
annum), sugarcane (315 million tonnes per annum) and tea (930 million kg per
annum) and the second largest producer of rice, fruit and vegetables.
• With the largest number of listed companies - 10,000 across 23 stock exchanges,
India has the third largest investor base in the world.
• India's healthy banking system with a network of 70,000 branches is among the
largest in the world.
• According to a study by the McKinsey Global Institute (MGI), India's consumer
market will be the world's fifth largest (from twelfth) in the world by 2025 and India's
middle class will swell by over ten times from its current size of 50 million to 583
million people by 2025.

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Growth potential

• Special Economic Zones (SEZs) are set to see major investments after the
straightening out of certain regulatory tangles. The commerce department expects
about 120 SEZs to be operational by 2009-end, up from existing 87.
• According to the CII Ernst & Young report titled 'India 2012: Telecom growth
continues,' India's telecom services industry revenues are projected to reach US$ 54
billion in 2012, up from US$ 31 billion in 2008. The Indian telecom industry
registered the highest number of subscriber additions at 15.84 million in March 2009,
setting a global record.
• A McKinsey report, 'The rise of Indian Consumer Market', estimates that the Indian
consumer market is likely to grow four times by 2025, which is currently valued at
US$ 511 billion.
• The volume of mergers and acquisitions (M&As) and group restructuring deals in
India witnessed a sharp nine times jump at US$ 2.27 billion during March 2009
against the volume of deals in February 2009, according to a Grant Thornton report.
• India ranks among the top 12 producers of manufacturing value added (MVA)—
witnessing an increase of 12.3 per cent in its MVA output in 2005-07 as against 6.9
per cent in 2000-05—according to the United Nations Industrial Development
Organisation (UNIDO).
• In textiles, the country is ranked fourth, while in electrical machinery and apparatus it
is ranked fifth. It holds sixth position in the basic metals category; seventh in
chemicals and chemical products; 10th in leather, leather products, refined petroleum
products and nuclear fuel; twelfth in machinery and equipment and motor vehicles.
• In a development slated to enhance India's macroeconomic health as well as energy
security, Reliance Industries (RIL) has commenced natural gas production from its D-
6 block in the Krishna-Godavari (KG) basin.
• India has a market value of US$ 270.98 billion in low-carbon and environmental
goods & services (LCEGS). With a 6 per cent share of the US$ 4.32 trillion global
market, the country is tied with Japan at the third position.

Exchange rate used:
1 USD = 49.58 INR (as on February 2009)
1 USD = 49.82 INR (as on April 2009)

Advertising Sector: According to the latest Pitch-Madison Advertising Outlook report, the
electronics media industry will grow at 22 per cent in 2008, which will be a 3 percentage
points more than the growth it achieved in 2007.

Advertising Market Stats/Projections:

• The overall advertising and media industry is expected to close at Rs 21,314 crore in
revenues in 2008, riding a 20 per cent growth rate
• Television advertising market is projected at Rs 8,674 crore in 2008
• The print industry stands at nearly Rs 10,000 crore.
• The cinema medium will corner around 0.7 per cent of the total advertising budget in
2008.

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• Outdoor media industry will grow at 14 per cent to touch Rs 1,454 crore,
• Radio is likely to record a 40 per cent growth in 2008 to touch Rs 672 crore [via BS]

And the most awaited:
• Internet advertising will constitute only 1.7 per cent of the overall advertising spends
in 2008, up from the current 1.4 per cent.

The turmoil in global financial markets and a slowdown in demand will soon have a
major impact on the Rs 18,000 crore Indian advertising industry, predict ad gurus. In fact,
the global meltdown has already affected the financial services advertising sector in India
as many brokerage firms and financial institutions have slashed their ad spend to handle
the downturn.

On the impact of global economic slowdown in India, Colvyn J Harris, chief executive
officer of JWT India said, “Yes, it will have an impact on the Indian ad industry
-especially in the financial services advertising sector. I think automotives, real estates
and other sectors which rely on funding will be affected. Interest rates will go up and this
will affect consumption levels too. In essence, consumer sentiment is no longer as bullish
as it was.”

Echoing similar sentiments Pratap Bose, chief operating officer (COO) of the Mudra
Group said the global meltdown would have a negative impact on the Indian financial
services sector to start with. “In the short term, I see advertising for financial services on
the slow burner. I would expect things to stabilise mid next year,” he added.

According to Arvind Sharma, chairman and managing director, Leo Burnett India many
financial brokerage firms that had started an advertising blitz are now cutting down their
ad spends. “I am already seeing the impact of the global meltdown in the ad industry.
With rising input costs other sectors such as FMCG and consumers durables will be
affected. After financial services ads, travel & tourism advertising will be affected,” he
said.

Sam Balsara, chairman of Madison World observed that the Indian financial sector would
be definitely affected by the global meltdown. “Now, financial institutions will be far
more cautions in their approach and would come up with less adventurous schemes
relying on aggressive promotions. On the other hand, this would be partly off set with
corporate image building campaigns,” he added.

In sharp contrast to above views, Bharat Patel, chairman of Procter & Gamble India said
Indian consumers would not be directly affected by the recent global meltdown. “I do not
think India in terms of its consumption, sales and advertising will be affected by this slow
down,” he said.

Sharing similar views, Ashish Bhasin, chairman India & CEO South East Asia, Aegis
Media Asia Pacific said, “So far it has not impacted the Indian ad industry. But if the
slowdown does continue it will have...

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OOH Industry: Outdoor advertising sector booming, attracts PE funding

Mumbai: The just concluded two-day Outdoor Advertising Convention 2008 (OAC) in
Mumbai had three important conclusions: the outdoor media is growing at a fast pace in
India; there is a need to adopt to new and emerging changes due to regulations at the
Corporation and Municipal levels and thirdly, the creative spark is very much alive and
kicking.

While size matters in the outdoor advertising industry, leaders in the filed were not sure of
the size of this media which is slowly moving from the unorganized sector to the more
organised format. While some pegged the size at a conservative Rs 1500 crore, the CEO of
Laqshya, Alok Jalan, said it could be much more that probably Rs. 2500 crore and growing
exponentially at 25 percent. Little wonder that the outdoor media has started becoming the
darling of private equity funding.

Sam Balsara of Madison also felt that the outdoor media is growing and probably the
estimates put out by Pricewater Cooper may be very conservative. The outdoor media now
has an impressive share of the pie of the overall media cake. While the print and television
media still dominate, it is the outdoor that is clocking impressive growth year on year, he
said.

But Noomi Mehta of Selvel Publicity, Kolkata, felt that the valuation and funding numbers
just do not add up and wondered if the system needed a correction.

Despite all the pocket-warming stories of private equity funding, a word of caution was
sounded by R A Rajeev, the Additional Commissioner of Greater Mumbai: Regulations in the
outdoor advertising sector is a reality and will only get tougher because nobody has the right
to tinker or tamper with the city’s aesthetic beauty. He said that the Mumbai laws on outdoor
advertising are aimed to keep the city skyline clutter free, reduce visual pollution and banish
illegal hoardings.

Rajeev also said that the focus in Mumbai will be on street furniture like bus shelters, public
toilets, flower pots etc. ``All this will be of international standards and executed by
companies that have global experience,’’ he said.

Rajeev’s views were echoed by major international player like Stroer. Indrajit Sen, country
head of Stroer, said that the future is in street furniture, not billboards.

To an extent, a major regional player, K D Maheshwari, CEO of N S Publicity in Rajasthan,
agreed on this trend. He said in Rajasthan, the emphasis is not on billboard proliferation but
city beautification. ``Today, Jaipur stands out on this count and is different from other cities.
We have voluntarily reduced the number of billboards,’’ he said. For his innovation and the
ability to break free from the clutter, he won a Gold for the best media owner of the year for
the second year in succession.

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But major outdoor media owners were unanimous that billboards will continue to dominate
the skyscapes in one form or the other. They pointed out that various studies have shown that
people spend more time out of home than in front of their TV sets or newspaper. Hence, they
view outdoor advertising more.

Piyush Pandey, the iconic advertising guru and executive chairman and national creative
director of O&M agreed with this view. “Billboard advertisements would never die. In a
country of a billion people and more, all media will live, if creatively used,” he said.

He also said that all creative outdoor advertisements are not measurable on the return on
investment scale. ``Billboards don’t need to be all over the place an effective billboard at the
right location is all that’s required; the billboard will then speak for itself,’’ he said.

This was amply illustrated by The Economist which uses outdoor media extensively. In her
presentation, Jacqui Kean, Global Brand Communications Director at The Economist said
“The brand budget is deployed to deliver our global brand objectives. It is about increasing
awareness, changing perceptions and building consideration to purchase over the long-term.”

The convention ended with the award nite where O&M emerged the clear winner. O&M
bagged 20 metals, including two Golds and nine silvers and Merit Awards. Saatchi & Saatchi
came a distant second with two Golds, one Silver and two Merit Awards. The event was
sponsored by Times OOH, O&M, Prakash Arts, Big Street and Pioneer Publicity

The Zebras: All though it is tough time but here it high potential for the company. As Indian
OOH industry is growing with a CAGR OF 14% here are some good opportunities for the
company such as In Dec Year 2009 BID for DMRC sites has been announced. This is a good
opportunity for the company as 2010 is the year for common wealth game.

As India is 2nd largest growing economy of the world and various MNC are wishing to be the
part of it. Thus it is good opportunity for the company as advertising is the essential part of
marketing function of any company.

Porter’s Analysis Of OOH Industry of India :

1. Bargain Power of supplier: Supplier has bargain power because cost of printing is
same around the industry as they are supported by their respective Union. The
charges are higher for higher quality of flex printing. Some time the consignment is
delayed because of the consignment given by the bigger players in the industry.

2. Bargain Power of customer: Bargain power of the customer depends only upon the
size volume and time period of the campaign.

3. Barriers to Entry:
• Client – Supplier Relationship: In this industry Client – Supplier Relationship is the
most important building block of the business. It very hard for new vender to get a
client because already existing company are always focused on delighting the clients

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by providing one time delivery and best possible service. So if a new vender wants to
enter into the market then it must give a competitive edge by providing service at
lower or by giving better sites to advertize or both
o .
• Government Regulations: The billboards and hoardings have been seen as a
nuisance by the authorities. The Delhi government is considering banning the media,
and in Bombay, the number of hoardings is strictly restricted.
o "India is much disorganized, and then there is both an interfering government
and small time contractors. Both have destroyed the media to
a large extent," says P.S. Pillai, media controller, TBWA Anthem.
o This has kept the growth of OOH low and media planners away from the
medium.
• Availability of Desirable Site: As it has been mentioned earlier that the rights
regarding with the sites are provide by the authority concerned. In India companies
use to spend a lot to get the rights to advertize through front and as well as through
the back door of these authorities.

• Facility Installation: A company willing to enter in to the OOH industry have to
spend a huge amount on the facility as we have discussed it earlier that a flex printing
printer starts from Rs. 12,00,000/- to Rs. 60,00,000/- and even more. Price of flex
starts from Rs. 5/- to Rs25/- per square feet depending on the width. Today OOH is
not restricted only to Billboards but it has reached to the LCD, LED, and Plasma
screens which require a huge investment. Although this block of the industry can be
outsourced but these will lead to loss of the low price competitiveness of the firm.

• Climate: Climate is the big barrier of the industry as during the month of June-
August Climate play hard through heavy raining and heavy wind due to which
company use to face huge losses because in this time flexes use to destroy due to the
climate.

• Presence of big and organized players in the industry: Presence of big and
organized players in the industry is a big barrier as the companies who are keen to
advertise normally advertise with the companies who are more organized and hve
desirable site for the advertisements.

4. Threat of Substitute: As mentioned earlier a large number of substitutes are
available for advertisement which fulfills the same need such as TV, Event, Radio,
Print, Music and Internet. Thus we can say degree of threat of substitution is much
higher in the industry.

5. Degree of Revelry: In OOH industry there is Neck – cut competition among the
companies operating in the industry. As a large number of unorganized players and
organized players in the industry and industry is also struggling to be recognized as
an industry in India.

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SWOT analysis:

Strength Weakness

Wide product portfolio inclusive of They outsource their printing requirement
traditional OOH Media vehicles and Airport which do not allow them to get a competitive
Trolleys and 139(Railway Jansmpark No.) advantage over the competitors on price.

Only ISO certified company in the domain The office infrastructure of the company is
and retain a record of Making Largest not up to the extent as per the present
football for a campaign (refer annexure 5) scenario.

PAN India Reach through 10 offices in The company does not own any website
India and global reach through 3 offices which is very much required in the present.
around the world.

200 manpower that are highly skilled in
their job.

More focus on Building Client – Supplier
Relationship

Maintained a record of timely delivery of
service to the client.
Opportunity Threat

In Dec Year 2009 BID for DMRC sites has Advertisement companies who are involved
been announced. This is a good opportunity in TV commercials have entered in to the
for the company as 2010 is the year for OOH industry as well.
common wealth game. g
Indian Government has not recognized it as
nd
As India is 2 largest growing economy of an industry yet.
the world and various MNC are wishing to
be the part of it. Thus it is good opportunity Presence of large number of unorganized
for the company as advertising is the players in the industry who have much
essential part of marketing function of any deeper reach as compared o the company.
company.

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BCG Analysis of product portfolio of the company:

Airport Trolleys

139(Railway Jansampark No.)

1. BQS(Bus Q Stand)
2. Billboard
3. Pole Kiosk No product of the company is listed in
4. Metro Pillar and this category.
stations
5. Utilities

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Financial Statement Analysis
Significant Accounting Policies
i. Basis of Accounting
These financial statements are prepared under the historical cost convention to comply in all
material aspects with all the applicable accounting principles in India, the applicable
accounting standards notified under section 211(3C) of the Companies Act, 1956 (“The Act”)
and the relevant provisions of the Act.

ii. Use of Estimates
The preparation of financial statements in accordance with the generally accepted accounting
principles requires the Management to make estimates and assumptions that affect the
reported amounts of assets and liabilities as of the date of financial statements and the
reported amount of expenses of the year. Actual results could differ from these estimates.
Any revision to such accounting estimates is recognized in the accounting period in which
such revision takes place.

iii. Fixed assets and Depreciation
• Tangible assets
Tangible fixed assets are stated at cost less accumulated depreciation. Depreciation on
tangible fixed assets is provided on written down value method at the rates and in the manner
specified in Schedule XIV to the Act. The cost of leasehold improvements are amortised over
the primary period of lease of the property. Leasehold land is not amortised. Tangible assets
individually costing less than Rs. 5,000 are depreciated @ 100% in the year of purchase.

• Intangible assets
Migration fees paid by the Company for existing licenses upon migration to Phase II of the
Licensing policy and One Time Entry Fees paid by the Company for acquiring new licenses,
has been capitalised as an asset. The migration fee capitalised is being amortised, with effect
from April 1, 2005, equally over a period of ten years, being the period of the license. One
time entry fee will be amortised over a period of ten years, being the period of license, from
the date of operationalisation of the station. Expenditure on acquired Computer Software
(SAP) are recognised as “Intangible Asset’’ and amortised over a period of twenty five
months.

iv. Borrowing Cost
Borrowing cost attributable to the acquisition or construction of a qualifying asset is
capitalised as part of cost of the asset. Other borrowing costs are recognised as an expense in
the period in which they are incurred.

v. Investments
Long term investments are stated at cost. Provision is made for permanent diminution in
value, if any. Current investments are stated at lower of cost and market value / repurchase
price.

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vi. Taxation
Provision for income tax has been made at the current tax rates based on assessable income
or on the basis of Section 115JB of the Income Tax Act, 1961 (Minimum Alternate Tax)
whichever is higher. Provision for Fringe Benefit Tax has been made in accordance with the
Income Tax Laws prevailing for the relevant assessment years.

vii. Deferred taxation
Deferred tax is recognised, subject to the consideration of prudence, on timing differences,
being the difference between taxable income and accounting income that originate in one
period and are capable of reversal in one ormore subsequent periods.

viii. Revenue Recognition
Revenue from radio broadcasting is recognized on an accrual basis on the airing of client’s
commercials net of service tax.

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1.Liquidity Ratios:

a.Current ratio
b.Quick ratio
c.Cash ratio

a. Current Ratio = Current Assets
Current Liabilities

2008 2007 2006
801414147 585583381 392462108
461654042 311747860 356013185
= 1.735 = 1.878 = 1.102

b. Quick Ratio = Liquid Assets
Current Liabilities

2007 2006

200 8

c. Cash Ratio

Analysis On The Basis Of Liquidity Ratios:-
• Liquidity is the ability of the firm to meet its current obligations as they fall due
• If the current ratio is less than 2:1,it indicates lack of liquidity and shortage of
working capital
• The higher the ratio the better it is because the firm will be able to pay its current
liabilities more easily..
• Hence, the year 2007 is more beneficial to the respected firm as its liquid ratios
are higher as compared to 2008 and 2006….
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2. Solvency or Leverage Ratio:
• Debt Equity Ratio
• Debt to total capital Ratio
• Proprietory Ratio
• Fixed Assets to Long term Fund Ratio

Debt equity Ratio= Total Debts
Shareholder’s fund
2008 2007 2006

1932500000 1068011766 350000000
3105771394 = 2937286879= 2637409743 =

0.622 0.363 0.132

Debt to total capital Ratio= Total Debts
Total assets

2008 2007 2006

1932500000 1068011766 350000000
4147856879 7857152729 = 5831883182 =
=

0.465 0.135 0.060

Proprietary Ratio = Shareholder’s Fund
Total Assets

2008 2007 2006

3105771394 2937286879 2637409743
4147856879 = 7857152729 = 5831883182=

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0.748 0.373 0.453

Fixed Assets to Long term Fund Ratio= Fixed assets X 100
Net Worth

2008 2007 2006

2881806768 2861931073 X 100 / 2367632311 X 100 /
X100 / 2937286879 2637409743
3105771394
=

92.78 % 97.43 % 89.77 %

Analysis On The Basis Of Solvency Ratios:-
• Solvency ratios are calculated to assess the liability of the firm to meet its long term
liabilities as and when they become due.
• Generally,debt equity ratio of 2:1 is considered safe.
• Debt-Equity Ratio- The lower the debt equity ratio,the better it is for long term
lenders because they are more secure in this case.
• Hence,2006 is the beneficial year for the firm as it has the lowest debt equity
ratio.
• Proprietary ratio – A higher proprietary ratio is treated as indicator of sound
financial position because a large proportion of assets is provided by equity and the
firm is less dependent on external sources of finance.
• Hence,2008 is the beneficial year for the firm as it has the highest proprietary
ratio.
• Debt to total Capital Ratio- The lower the Debt to total Capital ratio,the better it is for
long term lenders because they are more secure in this case.
• Hence,2006 is the beneficial year for the firm as it has the lowest debt to total
Capital ratio
• Fixed assets to Long term fund ratio – A higher Fixed assets to Long term fund ratio
is treated as indicator of sound financial position because a large proportion of assets
is provided by equity and the firm is less dependent on external sources of finance
• Hence,2007 is the beneficial year for the firm as it has the highest Fixed assets to
Long term fund ratio.

3.Profitability Ratios:

• Net Profit Ratio

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• Expenses Ratio
• Return On Share Capital Employed

Net Profit Ratio = Earning After Tax X 100
Net Sales

2008 2007 2006

161933114X100 290789381X100 294692308X100
2252163574 = 1672035447 = 1174144543

7.1% 17.3% 25.09%

Expenses Ratio=Administrative Expenses ratio=

Administrative Expenses X 100
Net Sales

2008 2007 2006

161933114X100 290789381X100 294692308X100
476560600 = 475845750 = 475636650

33.9% 61.11% 61.95%

Analysis On The Basis Of Profitability Ratios:-
• Net profit Ratio- An increase in the ratio over the previous year shows improvement
in the overall efficiency and profitability of business.
• There is a decrease in the Net profit Ratio in 2007 over 2006 and also in 2008
over 2007.This shows Loss to the firm.
• Administrative Expenses Ratio- An decrease in the ratio over the previous year shows
improvement in the overall efficiency and profitability of business
• There is a increase in the Net profit Ratio in 2007 over 2006 and also in 2008
over 2007. This shows Loss to the firm.
• Return On Share Capital Employed Ratio- The higher the Ratio,it ia beneficial to the
firm because it is a measure of the earning power of the business.
• 2006 shows the best ratio in this regard it is considered to be the best profitable
year as compared to the other two years.

4.Turnover Ratio:

Debtor Turnover Ratio = Total Sales

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Trade debtors

2008 2007 2006

225216357 1672035447 1174144543
4
480077801 = 352688071 =
680524300
=

3.30 3.48 3.32

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• PROJECT DESCRIPTION

The Zebras is an outdoor advertising agency highly depending on its sales and
marketing department. The field work based project which was assigned during the
internship was to understand the sales and marketing process of the company.
The methodology adopted for the project was interview where I use to ask certain
questions from the person in the prospect client company and then send the proposal
to these companies regarding outdoor advertisement company on behalf of The
Zebras. The OOH industry depends on creating and marinating the clients by
satisfying their needs in the best possible manner. The goals for the project were:

1. To understand the business and competitive environment in which the organization is
operating.
2. To analyze and understand the financial position of the organization viz – a – viz
competitors.
3. To study Sales and Marketing function of an Out Of Home Advertising Agency.

4. To get a feel of corporate life and its functioning & understand various interaction
styles.

During the study it was found that the company is highly oriented towards sales. The
company uses direct marketing as a tool for selling its services to the client
company.

Direct marketing is a sub-discipline and type of marketing. There are two main
definitional characteristics which distinguish it from other types of marketing. The
first is that it attempts to send its messages directly to consumers, without the use of
intervening media. This involves commercial communication (direct mail, e-mail, and
telemarketing) with consumers or businesses, usually unsolicited. The second
characteristic is that it is focused on driving a specific "call-to-action." This aspect of
direct marketing involves an emphasis on trackable, measurable positive (but not
negative) responses from consumers (known simply as "response" in the industry)
regardless of medium.

In the sales and marketing department of the company a team of five individuals carry
out selling and marketing activities. Each individual is empowered to take decision at
any step of selling and in dealing with the client if it goes in favor of the company.
Every morning C.E.O. of the company use to do a meeting with the sales and
marketing team in order to guide, motivate and lead them to goal accomplishment.
The remuneration of each individual of selling and marketing department of company
involves their fixed salary and the commission they earn in creating, dealing, and
maintain client.

Direct Selling is a retail channel for the distribution of goods and services. At a basic
level it may be defined as marketing and selling products, direct to consumers away
from a fixed retail location. Sales are typically made through party plan, one to one
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demonstrations, and other personal contact arrangements. A text book definition is:
"The direct personal presentation, demonstration, and sale of products and services to
consumers, usually in their homes or at their jobs and its selling process involves
following steps:

1. Prospecting
2. Initial Contact
3. Sales Presentation
4. Handling Objections
5. Closing the Sale
6. Follow-Up and Service after the Sale
• Prospecting: Finding qualified prospects for the products or services ‘which a
company offers’ is the natural first step in the sales process. A prospect for an outdoor
advertisement company a prospect can be any company who want to promote
themselves or their product or services. Today almost every company use to advertise.
Prospecting involves creating a database that gives the information about Name of the
Company, Industry in which they are involved, Address of their Corporate Office,
Person who take care of the advertising in the company, His/her Designation,
Landline No. and Mobile No.(refer annexure 1) as it is important understand the
business of client and then plan how ooh media can serve their advertising need in the
better way.
Database creation is the first and foremost step involved in the selling process of the
company. It is an important building block of the business as it sets up the foundation
of the selling process. No organization in the world without having and maintain a
database of its prospects move on in the business or in the industry. Thus it become
very important o build and keep on maintain a proper database of the client or
customers.

• Initial Contact: There are two situations in the case of initial contact involved in the
selling process.

 When the prospect initiates the contact – Prospects usually visit the company
during normal business hours if they have a store or business location. In case of
The Zebras company has its offices at 10 places around the country. A prospect
may also contact the company by phone, mail, email, or through company’s Web
site to request information, ask questions and/or to make a purchase.

 When the company initiates the contact – One of the most common initial
contacts is a "cold call" conducted by phone or in person. A cold call refers to a
contact made with prospects who have not indicated they desire the call. It's
obviously much more efficient – and most say more successful – to conduct cold
calls on the telephone rather than to drive around town.

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In this step the company tries to contact to the person of the prospect client
company who has authority to take decisions regarding the advertising function of
the company and then finalizing a meeting with the person in order to move on to
the next step of the selling process i.e. Sales Presentation.

• Sales Presentation: sales presentation includes making a presentation relevant to
your prospect and then creating a connection between services of the company and
the prospect. For this the company should get to the point as soon as possible.

At this step of selling process The Zebras use to start its selling presentation in
the following way:

 Introducing Company’s credentials which include profile of the company, its
product portfolio and its potential through the manpower and offices at
various places around the country.

 Second step include explanation of the product which the company is going to
offer to the prospect client company (refer annexure 2). Currently the group is
dealing in advertisement on airport trolleys and 139 PNR no. of Indian
Railway.

 Third step involves explanation of the benefits which the prospect client
company will gain through The Zebras and why they should use OOH Media
for advertising for more effective reach to their customer.

 The fourth and final step in sales presentation is showing the estimate which a
company has to incur for given period of time (refer annexure 3).

• Handling Objections: It is quite natural after a sales presentation the client will be
having certain doubts and objections. Normally these doubts are related to the terms
and conditions of the offer. Various objection that used to arise after the sales
presentation of The Zebras are related to the following:

1. Volume of the sits which the company is providing.
2. Display charges of the selected media
3. Time period for the campaign
4. Value additions
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5. Availability of the desirable site
6. Rights which a company is having on the sites that a company own

• Closing the Sale: This step involve signing a contract with prospect and turning up
into the client. Normally The Zebras signs a deal for a campaign with minimum
amount of Rs. 30.00,000 or with a term of six months.

Follow-Up and Service after the Sale: The company has made the sale. Now what? Some
sales people believe that follow-up after the sale is just as important as making the sale.
That's when company’s relationship with a customer can mature and develop into loyalty to
service provided.

Building long-term relationships with customers allows the service provider to leverage or
make additional use of the initial investment of time and money spent selling to that
customer. In other words, one doesn't have to spend time prospecting, qualifying and
conducting other pre-sales activities for that particular customer again.

There is no better advertising than a satisfied customer. Good follow-up and service after the
sale will:

• establish and maintain good reputation of the company,
• build goodwill between customers and business,
• and generate repeat and referral business

The Zebras use to change flex after every 2 months for free of cost and also replace flexes
which got damage anyhow in order to delight its client.

Various accomplishments which I able to mark during the internship in various steps of
selling were:

In Prospecting: I was successful in getting the data of 40+ companies. This data gives the
information about Name of the Company, Industry in which they are involved, Address of
their Corporate Office, Person who take care of the advertising in the company, His/her
Designation, Landline No. and Mobile No.

Initial Contact: I have made cold call to every company and has met to the brand manager
of various companies e.g. Nikon, Paramount Group, Hotspot, Carnation Auto etc.

Sales Presentation: I have sent the offer letter to various prospect on the behalf of The
Zebras which include names like BSNL, MTNL, and Indian Oil.

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Follow-Up and Service after the Sale: At this step of the selling process I have been a part
of the meeting which the company has conducted with the companies like Kohler and Dr.
Lal Path Labs.

Methodology:

1. The project was assigned to me under the guidance of Mr. Surendra Mohan Sharma
who holds a position of General Manager in the company (The Zebras). I was
appointed as trainee and a member of sales and marketing team of the company. The
sales and marketing team is consisting of 5 members.

2. Members :
- Mr. Aditya (Chief Sales Officer)
- Mr. Varun Sharma (Executive Manager Sales)
- Ms. Monika Buswala (Manager For Creative Activities)
- Mr. Narendra Sharma (Sales Manager)
- Puneet Aggarwal (Trainee)

Basis of Team selection:

Aditya was appointed as a sales manager in the company in year 2007 in his two year
career with The Zebras he has achieved many milestones by creating clients such as Dr.
Lal Path Labs, Black Barrys and Kohler.

Varun Sharma has joined the company in May 2009 as an Executive Sales Manager in the
company. Before The Zebras he was working with Times Of India Delhi. The reason
behind joining The Zebras was Higher Salary and other incentives which are given by the
company on making remarkable achievements.

Monika Buswala is responsible for Creative activities of the company. It includes creative
adaptation of the brands on various media vehicles available with the company. (Refer
annexure 6).

Narendra Sharma is the Sales Manager who is responsible for the implementation of the
deal and After sales Services of the company.

I was appointed as trainee and my primary objective is to understand the OOH industry
and how an OOH company works.

3. Before starting the task, team along with the General Manager (Mr. Surandra Mohan
Sharma) and C.E.O. (Mr. Atul Rai) met me to clarify the project given to me and why
it is important for the organization. To know the basics of Sales and Marketing
Function. How the work is to be carried out? limits and constraints

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4. The info provided by them is given was about industry and the company was very
useful in completion of the project and the report as well.

5. To accomplish the objective of the internship following steps were taken:

First step was to identify the companies, who can be the client of The Zebras. To
collect such data tools like internet and various printed recourses were used.
After creating the data base I used to visit the corporate offices of the prospect client
companies and ask for the contact details of the person who take care of the
advertisement activities in the respective companies.
This all data is record in an excel sheet which will help in starting the sales process
for the company (The Zebras).

PROJECT ANALYSIS

This project was a critical project for the organization, as it was contributing to the database
of the company which act as a building block to the sales and marketing function of the
company it gives knowledge about the prospect client company and helps in understanding
that how the presentation should be planed in such a way that a positive result will come out
of it for the company (The Zebras) in terms of revenue, client satisfaction resulting in to
long term relationship and for client it should be able to draw out desired result out of its
campaign.

It was an honour for me as company showed their confidence in me. Though this was a
critical project but the sales and marketing department was particularly very hostile for it. It
was decided that after working for one month for database , I have to send the proposals to
the prospect client company ( refer annexure 2 and 3). Finally we achieved the task on date.
We started it on May 20, 2009 and got out of it on July16, 2009. It was a very difficult time
particularly because for me. They used to work on their routine work from Morning 8:30 to
5:30 P.M. and from 10:30 A.M. they use to leave the office for pitching and sales.

For me it was from 8:30 A.M. till the time I drop. Though there was no official designated
hierarchy for the team but since I was able to provide full time to the project, I was made
the single point window for all the information and updates for the management. Also the
offer letter was designed by me but the approval from the design was taken as in future they
will be the custodian of this system. I carried the project from the corporate office situated
at Karol Baag Delhi, I were provided with a Laptop and a separate table in office for the
project.

The most time consuming part was collection on of database for The Zebras, in Noida and
Gurgoun; As I got the list with more than 40 corporate offices. The project to ensure that all
sales is most important function for any organization. The respective contact points for
various companies of the group were very cooperative and did according to the instructions
laid down. During our visit to the Head Office located at Okhla Phase I, I explained the
whole project and they appreciated the work done by me.

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Various other facts which I was able to draw out of my internship were:

1. The decision related to advertisement is taken at the top level management
and is handled at the corporate offices of the companies

2. There is a more demand for the sites which are located at airports and DMRC
stations.

3. Cost of an OOH campaign for a client varies highly as per the volume of the
company.

4. The client company refer those OOH first which offer a verity of services to
them at the same time.

CONCLUSIONS

The Indian Media & Entertainment industry (M&E) comprises of media (TV, Print, Radio,
Out of Home, Internet), distribution (TV, DTH, etc), filmed entertainment, music, animation
and others. The M&E space has benefited from the economic boom of the recent years. It is
an acknowledged fact that as a country progresses, people tend to spends more on
entertainment products. As per the 2008 annual edition of the FICCI and
PricewaterhouseCoopers Report, the M&E industry has grown at 17% during CY 2007
growing from Rs 43,800 crores to Rs 51,300 crores in CY 07.

PwC believes that the M&E industry will grow faster at 18% for the next 5 years – taking the
industry to a level of nearly Rs 1.16 lac crores by 2012.While TV (distribution and
advertising), Print and Filmed Entertainment will continue to remain the largest segments in
theM&E space, the smaller segments like Radio and Out of Home are also expected to grow
sizably. As per PwC Report, 2008, growth forecast for the radio industry for the next 5 years
is 24% per annum – a number that the radio industry generally believes to be a conservative
one. As per this report, the size of the radio industry will grow from Rs 620 crores in CY07
to Rs 1800 crores in CY12.

As mentioned earlier with Indian consumer facing a million advertisements every day on
television and less time in the busy run of the day to read the newspaper, this is the perfect
time for the OOH media to grow.

Some of the fastest growing sectors in India today, such as telecom, real estate and financial
services, can all make good use of outdoor. In addition, the booming retail sector will provide
plenty of opportunities to innovate and create exciting outdoor advertising. After all, more
malls mean more people out of their homes.

All that is needed to sustain is recognition of OOH as an industry, regulation and some
amount of research to validate the ROI on ad spend by marketers on OOH media.

With the above things in place OOH as a medium will witness rapid growth and expansion.

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But major problem with OOH is that Indian Government has not recognized it as an industry
and large number unorganized player have demolished the beauty of this industry.

If we compare Indian OOH Industry with world US OOH industry, it is far behind from it as
in US OOH media is a strategic part of media planning while in India advertisers do not
recognize it as a advertising channel although it has least avoidance and high repetition rate.
OOH media is also much cheaper than TV advertisement as it cost corors for a campaign on
TV and it cost in laces for campaign through outdoor.

The Zebras has an competitive edge because of its product (139 railway Jansampark No. and
Airport Trolleys) it offer to its client but major segment of the market is captured by the
TIMES OOH, BRIGHT OUTDOR and OOH MEDIA, as they are able to giver better sites to
advertise as mentioned in their profile. As organization is in growing stage it should focus on
more innovative ideas for OOH so that they can stand strongly in the competition.

If Indian Government payes attention toward it in order to makr it more organized it has
much wider scope than estimated by FICCI and PWC.

Limitations with the Company:

1. Indian OOH industry is very much unorganized and is still struggling to be
recognized as an industry due to Government’s attitude and presence of unorganized
players.

2. Big advertisers like MADISON, JWT etc. have also entered in to the industry whose
client – supplier relationships are very strong.

3. They have less innovative services as compared to its competitors.

4. Most of the advertisers still feel OOH as an unnecessary expense.

RECOMMENDATIONS:

After accomplishing the project assigned to me and deep study of the industry here are some
recommendations to the company which may help the company to grow further in the
industry and perform better.

1. The Zebras is a good and growing company but office infrastructure of the company
is not up to the mark as per the present scenario and it is necessary for a company
operating in such domain to have an impressive infrastructure as it gives first
impression when a client enters in through the gate.

2. The company should also use interactive marketing as tool for selling i.e.it should
own a website necessary according to present competitive market. As other
competitors of the company do own a very interactive website.

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3. In Delhi – NCR Region DMRC sites are emerging as most desirable sites for
advertisement soothe company must try to bid to get rights for of advertising on
DMRC SITES.

4. 139 (Railway Jansampark No.) service provided by the company is a impressive tool
for advertisement as it has least avoidance. But the positing of the product is not
correct as they try to target the companies who make lifestyle product. For 139 they
should target the companies whose target customers are SEC D and D or ruler
segment of India and the companies who focus more on CSR (corporate social
responsibility) like PCRA, NACO, NECC, Ministry of Environment and Forest etc.

TAKE AWAYS – KEY LEARNINGS

1. Marketing mix i.e. 4P’s (Product Price, Place, Promotion): these 4P’s of ant company
are the guns which should fire at the same time simultaneously in order to have best deal
with the client.

2. Client – Supplier Relationship: In an outdoor advertising industry it is very important to
maintain relationship with the client as success of an agency depends only upon the success
of the client.

3.The Selling Process: The industry follows the similar sales process which is mentioned in
the books each step of the selling process is a building block of the business which starts
from prospecting and ends with the after sales & services.

4. Qualites of A perfect Salesman:

I. A salesman should dress in clean formal attire and shine on his/her shoes and shining
smiling face which make one more presentable.
II. One must be capable of expressing his/her views in front of the client clearly and
should capable of understanding the client requirements.
III. It is important to build and maintain relationship with the client.

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References

1. http://www.coolavenues.com/know/mktg/parul_1.php/06/16/2009/2:14PM
2. http://www.pwc.com/in/en/press-releases/index.jhtml/06/16/2009/2:19PM
3. http://www.indiaprwire.com/pressrelease/industry/06/16/2009/2:22PM
4. http://www.wikianswers - What are the steps in selling/07/09/2009/2:22PM
5. http://www.economywatch.com/world-industries/advertising/ 07/09/2009/2:25PM
6. http://www.strategic-
alliance.com/sales_process.htm#prospecting/07/09/2009/2:29PM
7. http://www.economywatch.com/world_economy/07/09/2009/2:29PM
8. http://www.outdooradz.com/07/10/2009/3:00PM
9. http://www.oohmedia.com/07/10/2009/3:05PM
10. http://www.timesoohmedia/0710/2009/3:15PM
11. http://www.brightoutdoor.com/0710/2009/3:20PM
12. http://www.enil.co.in/areport.htm/07/12/2009/4:02PM
13. http://www.pluggd.in/online-advertising-in-india/advertising-market-in-india-tv-and-
radio-to-grow-faster-than-the-print-internet-1410/07/22/2009/12:00AM
14. http://www.financialexpress.com/news/Global-meltdown-to-dent-financial-
advertising-sector-in-India/364585/07/29/2009/11:29PM
15. http://www.signindustry.com/pressrelease/2008/2008-07-02-
Outdoor_Advertising_Sector_booming_in_India.php3/07/29/2009/11:30PM
16. http://www.economist.com/opinion/displayStory.cfm?story_id=12429544/07/29/2009
/11:33PM

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ANNEXURES

73
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Sr. Nameof Thecompany IndustryS City Address Contact Person Department Landlineno. mobileno. e-mail id
1 IDEACelluler TeleCommunication Noida B- 68Sec64Noida Mr. MaheshDeshmukh G.M. Marketing 9990555555 9891005555
2 Haldiram'sFoodsPvt. Ltd. F& B Delhi B-1Sec64 Ms. EktaGupta Marketinghead o120-2400284/85/86(EX: 133) snacks@haldiram.com
3 SaharaComputers&ElectronicsLtd. Computers Noida B-4sec63 Mr. Asif khan/Mr.KripaShankerAss. Manager Marketi
0120-4397235/1204397222
ng 0120-4397209 kripa.shanker@itj.in/asif.khan@itj.in
4 SpiceHotspot ltd. TeleCommunication Noida B-16Sec63 Mr. Sameer BDM Marketing 1204720900 9717794072marketing@hotspot.co.in
5 UflexLimitedFilmsDivision ZipPouch&Films Noida A-1Sec60 Ms. Sandhya MarketingManager0120-4002121
HR 0120-3982236 sandhya@flexfilm.com
6 Paramount GroupOf Companies Realestate Noida H-123Sec63 Ms. AnubhaDhama Media&maeketin0120-4613000
gHead paramount.del@gmail.com
7 CarnationAuto Ltd. Automobile Noida StudioNo. 205-06Sec127 Mr.Kashif Khan MarketingHead 0120-4522222 kashif.khan@carnation.in
8 DairyIndiaPvt. Ltd. F& B Noida H-112Sec63 Mr. RavindraPal Singh MarketingManager0120-4768000
HR 9999012452rpsingh@gopaljee.com
9 Info Edge(India) ltd. Shaadi.com,naukri.com Noida A-88Sec2 Mr. Sumit Gambhir GM Marketing 0120-4303239/4304601 9810771227/9899111496 sumit.gambhir@naukri.com
10 JaksonPvt. Ltd. Genrators Noida A-43Pase2Opp.NEPZHosieryComplex Mr. SandeepGupta M.D. 98100969997sandeep.gupta@jakson.com
11 JayPeeGreens Realestate Delhi JAHouse63, Basant LokVasant Vihar Mr. Vibhor Gupta MarketingHead 011-26141540/011-26147411 9999810002vibhor.gupta@jaypeegreens.com
12 DishTv DTHServices Noida FC-19FilmCitySec16 Mr. ArvindJoshi Manager Marketin0g120-2599555/4698401 arvind_j@dishtv.in
13 B.A.G. Films&MediaLtd. Entertainment Noida FC-23FilmCitySec16A Mr. TrilokChand Ass. Manaer Sales0120-3911541/3911557
&Marketing 9811620079trilok.chand@bag.in
14 YamahaMotersIndiaLtd. Co. Automobile Gr. Noida A-3Surajpur Industrial Area,Noida-Dadri RoadSurajpur Marketing 0120-2351193/94
15 RituWears FashionApperals Noida B-2Sec65 Mr.Rahul Kumar Sales&MarketingHead
0120-2405101/02 9971183225marketing@rituwears.in
16 D.S.Group FMCG Noida B-86-87,Sec2 Mr Rajeevjain G.M.Marketing 0120-4032200 rajeev.jain@dsgroupindia.com
17 AsianAcadamyof Film&telivision Entertainment Noida FCSec16FilmCity Mr. VinayKumar Manager Marketin0g120-2515254/55/56 0120-3945540 info@aaft.com
18 Monster.com searchengin Gurgoun Mr. ShivanKumar HRHEAD 0124-4682200 9313059637
19 Voiceof IndiaTv NewsChannal Noida A-37Sec60 Mr. SPartha Manager sales 0120-4007700 9999641777s_partha@rediffmai.com/spartha.78@gma
20 Amrapali Group Realestate Noida C-56/40Sec62 Mr. NandanVerma Media&maeketin0120-4055555
gHead 981093063
21 Mahuaa tv Entertainment Noida FC-13Ist flr Sec16A Mr. HarshVardhan Sales&MarketingHead
0120-3991200 9711274321h.goivedi@mahuaatv.com
22 HavellsIndiatd Electricals Noida Qrgtowers2dSec126YanunaExpressway Mr. MukeshJain AGM 0120-4771000 mukesh.jain@havells.com
23 Indiatv NewsChannal Noida 17B&CFilmcity 1204051000
24 Niruls F& B Noida NirulasCorner housepvt. Ltd. Sec2 Mr. Rohit sharma Ass. Manager Marketi
01204040404/4354080
ng 9999561122rohit.sharma12@nirulas.com
25 I-trust financial services Gurgoun 345udyogviharphase2 Mr. Vishal Sharma Sales&MarketingHead
0124-4780222 989911998vsharma@itrust.in
26 InformtionTvpvt. Ltd. IndiaNews Delhi 276, Capt. Gaur Marg,Shrinivaspuri NewDelhi-65 Mr. KartikeySharma MD 011-66231000
27 PiccadilyGrup PiccadilyHotels Delhi 276,PiccadliyHouse,Capt. Gaur Marg,Shrinivaspuri NewDelhMr. i-65KartikeySharma MD 01141802300/26316231 kartiksharma@piccadilygroup.com
28 Bharti Airtel Ltd. TeleCommunication Gurgoun Bharti Airtel Ltd. UnitechWorldCyber ParkTower -A3rdFlrMr.Sec-39C. SureshNathan Sr. Manager SCM 1244242242 9910073365c.sureshnathan@airtel.in
29 LeisureHotelsLtd hotels Delhi DD29NehruEnclave, kalkaji, NewDelhi19 Mr. MukundPrasad Director 011-26423304/26447803 mukund_prasad@leisurehotels.co.in
30 Bajaj ElectricalsLimted Electricals Delhi 1/10,Asaf Ali Road, NewDelhi-02 Mr.GulshanAghi GM NorthRgn. 3236055/3233056/3235057 3234171gaghi@bajajelectricals.com
31 ITCLimitd hotels Delhi ITCMaurya, DiplomaticEnclaveNewDelhi21 Mr.Rakeshkrishan Controller 011-26112233 Extn:1841/1861 rakesh.krishan@itcwelcomgroup.in
32 IndianOil Carporation Petolium Delhi Yusuf sarai NewDelhi Mr. R.S. Settia DGM Mkt. 9873248642r.settia@indianoil.com
33 FMCG Gurgoun EnkeyCenter 2ndflr VanijayNikunj phase5 Mr. RakeshKumar BrandMgr. Mortin0e124-2398200 9350868521
34 FMCG Gurgoun EnkeyCenter 2ndflr VanijayNikunj phase5 Mr.Rohit Marwah BrandMgr.Dettol 0124-4204553 9313103530
35 FMCG Gurgoun EnkeyCenter 2ndflr VanijayNikunj phase5 Mr. Sachinmehta Brand. MgrAirwick0124-4204553 9811680283
36 Pioneer Enterprses Delhi D-56,FllatedfactoryComplex,JandewalanNewDelhi55 Mr.S.maheswaran Director 011-23614190 9311169445sm@pioneerterprises.net
37 LeisureHotelsLtd hotels Nanital ZeroGarjia, Dhikuli,Ramnager244715 Mr.B.K.Suri CoporateMgr.(Hr&A)05947284132/34 9758755895hr@leisurehotels.in
38 Honeywell Indialtd Electricals Delhi 2ndflr7,FactoryRoadNear safdarjunghospital NewDelhi 29Mr.AvishTyagi territorymanager011-26174240 9810400034mkdelhi@honeywell.com
TwiningsPrivateLtd
C-062C, 6thFloor , Super Mart - I , DLFPhase-IVGurgaon,
India
39 TwiningsPvt. Ltd. FMCG Gurgoun Mr. Jai prkashtoshisal Brandmanager 9810814852jaiprakash.toshnisal@twiningsovo.com

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ANNEXURE 2.
. OFFER LETTER BY THE ZEBRAS TO PROSPECT CLIENT COMPNIES

Reference No. TZ/MTNL/09-10/ June 10, 2009

To
The Executive Director,
Mahanagar Telephone Nigam Limited,
2nd floor Khurshid Lal Bhawan,
Jan path,
New Delhi – 110001

Kind Attention: Mr. S M Talwar

Sub.: Proposal for Advertising on the Airport Baggage Trolleys at Delhi

Dear Sir,

We would like to thank you for the courtesies extended to our team during a meeting with
your team in your office.

As you are aware, The Zebras is a part of the AD’s World group operating in the Out Of
Home Advertising domain for more than 17 years. We are the only Group in this domain
with An ISO 9001:2000 Certification, which goes to show the intent of the Group and the
Organisation to follow systems and increase Returns on Investments to Clients.

The group has 10 offices in the country and has been servicing more than a 100 Client’s
nationally with a dedicated team of more than 140 people onboard. We currently market the
advertising on the Airport Baggage Trolleys and advertising on The Rail Sampark Enquiry
Number 139.

This medium of Airport Baggage Trolleys gives the feeling of ownership of a
particular city and the displays on them could change from time to time to suit the
communication need month wise. The front basket of the Trolley could carry MTNL
Logo & the messege below the basket on the front and back. Needless to add, these
trolley's move at least 700 times in and out of the airport in a month to give maximum
visibility and top of mind recall.

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We would like to offer the Airport Baggage Trolleys at a special price of Rs. 1500.00 per
trolley per month at Delhi Airport. The mentioned rate per trolley is inclusive of production
and installation charges and vinyl will be replaced every 2 months at no cost for the entire
duration of the Campaign. All taxes as per Government of India norms will be charged extra.

We recommend a 6 Months Campaign to enable you to take a favourable decision basis your
budgets and internal planning.

We are also enclosing a small credential presentation on The Zebras for your kind perusal.

Please feel free to call on us should you have any queries on the same.

Thanking you and looking forward to a fruitful Business Association with Mahanagar
Telephone Nigam Limited (MTNL) in the days to come.

Warm Regards

For The Zebras

Atul Rai
C.E.O.

Encl. The Zebras Credentials
PowerPoint presentation on Airport Trolleys
Attested Copies of Contracts for Delhi Airports
Estimate for the Delhi Airport Trolleys

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ANNEXURE3.

Airport Trolleys Estimate_Mahanagar Telephone Nigam
Limited
Estimate ZEB/DEL/066/09-
Executive Director
No. 10
Mahanagar Telephone Nigam Limited Dated 10.06.2009
2nd Floor,Khurshid Lal Bhawan,
Janpath
New Delhi - 110001
Per
Sr. Unit Total
No. Specifications Unit Cost Cost for Total Cost for
1 Month
In Rs. In Rs. 6 Months In Rs.

Towards the Display charges for Mahanagar
1 Telephone Nigam Limited
Airport Trolleys at Delhi, details as enclosed
below
inclusive of Production and Installation

2 Airport Trolleys 500 1500 750000 4500000
3 Add Service Tax @ 10.30% In Rs. 463500

Grand Total In Rs. 500 4963500

In Words: Fourty Nine Lakhs Sixty Three Thousand
Five Hundered only

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ANNEXURE 4.

CERTIFICATE OF ISO REGISTRATION

78
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ANNEXURE 5

.LIMCA BOOK RECORD OF THE COMPANY

79
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Annexure 6

Creative adaptation is showing on paper how an advertisement will be displayed on a OOH
Media vehicle.

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