Brand Imaging Strategy in Media Industry -A Case Study of Dainik Bhaskar Group

A Synopsis Submitted for the proposed research work of Ph.D. Degree Under the faculty of Management From Devi Ahilya Vishwavidyalaya, Indore August 2011

Supervisor Researcher Dr. Sandeep Malu Mishra Faculty, Shri Vaishnav Institute of Management Road, Gumasta Nagar, Indore. Indore. Ku. Ananya Mangal 33, Sukh Dev Nagar Airport

Research Centre
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Shri Vaishnav Institute of Management, Indore.

Brand Imaging Strategy in Media Industry - A case study of Dainik Bhaskar Group
IntroductionMedia of India consists of several different types of communications media: television, radio, cinema, newspapers, magazines, and Internet-based Web sites. The Indian media was initiated since the late 18th century with print media started in 1780, radio broadcasting initiated in 1927, and the screening of Auguste and Louis Lumire moving pictures in Bombay initiated during the July of 1895 is among the oldest and largest media of the world. Indian mediaprivate media in particularhas been "Free and Independent" throughout most of its history. The period of emergency (19751977), declared by Prime Minister Indira Gandhi, was the brief period when India's media was faced with potential government retribution. The country consumed 99 million newspaper copies as of 2007making it the second largest market in the world for newspapers. By 2009, India had a total of 81,000,000 registered Internet userscomprising 7.0% of the country's population, and 7,570,000 people in India also had access to broadband Internet as of 2010 making it the 11th largest country in the world in terms of broadband Internet users..As of 2009, India is among the 4th largest television broadcast stations in the world with nearly 1,400 stations.
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The organization Reporters without Borders compiles and publishes an annual ranking of countries based upon the organization's assessment of their press freedom records. In 2010 India was ranked 122nd of 178th countries, which was a
setback from the preceding year.

In the 1950s 214 daily newspapers were published in the country. Out of these, 44 were English language dailies while the rest were published in various regional languages. This number rose to 2,856 dailies in 1990 with 209 English dailies. The total number of newspapers published in the country reached 35,595 newspapers by 1993 (3,805 dailies). Newspaper sale in the country increased by 11.22% in 2007. By 2007, 62 of the world's best selling newspaper dailies were published in China, Japan, and India. India consumed 99 million newspaper copies as of 2007making it the second largest market in the world for newspapers.

Dainik Bhaskar- Beginning of a New Era

Dainik Bhaskar is an Indian Hindi-language daily newspaper published by D B Corp Ltd.. It was started in year 1958 from Bhopal, the capital city of Madhya Pradesh. Dainik Bhaskar was first published in Bhopal and Gwalior of the central province. The newspaper was launched in year 1956 to fulfill the need for a Hindi language daily, by the name Subah Savere in Bhopal and Good Morning India in Gwalior in year 1957, it was renamed as Bhaskar Samachar In 1958, it was renamed as Dainik Bhaskar which is now 1st in India and 11th worldwide for the largest circulation of a daily newspaper. By 1995, Dainik Bhaskar had displaced Naiduniya as the No. 1 newspaper in Madhya Pradesh (MP). The newspaper decided to expand outside MP, and
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identified Jaipur, the capital city of Rajasthan, as the market with the highest potential. Dainik Bhaskar's target was to enter Jaipur as No. 2 newspaper (in terms of circulation) on Day 1, with 50,000 copies. To achieve this target, it did a survey of 200,000 potential newspaper buying households in Jaipur. Instead of outsourcing the task of surveying households, it set up an inhouse team of 700 surveyors. The team was highly trained in customer engagement, and was trained by experts in body language, grooming, posture, approach methods, social norms and rules etc. Based on survey feedback, they went back to each of the households surveyed, to show them a prototype of the newspaper and gave them the option to sign for an advance subscription. The customers were offered a subscription price of Rs. 1.50 (as against the newsstand price of Rs. 2) and a refund in case of dissatisfaction. When Dainik Bhaskar's first launch outside MP happened in Jaipur on 19 December 1996, it entered the market as No. 1 newspaper with 172,347 copies. Rajasthan Patrika, the former No. 1, had a circulation of just 100,000 copies at that time. The newspaper's next target was Chandigarh. It launched a customer survey in January 2000, covering 220,000 households. At that time, the English language newspapers in Chandigarh outsold the Hindi newspapers by six times, with The Tribune as the leader (50,000 copies). Dainik Bhaskar's survey found that people in Chandigarh preferred English newspapers because of better quality. As a result, the newspaper concentrated on design, and incorporated the local Chandigarh dialect in the design, mixing Hindi and English. Dainik Bhaskar's second launch outside MP happened in Chandigarh in May 2000: it entered the market as No. 1 with 69,000 copies. In June 2000, Dainik Bhaskar entered Haryana, again as No. 1 on first day, with 271,000 copies. For its fourth launch outside MP, Dainik Bhaskar identified Ahmedabad, Gujarat as the city with highest potential. It surveyed 12,00,000 households, with a team of 1050 surveyors, 64 supervisors, 16 zonal managers and 4 divisional managers. The surveyors were gathered largely through posters at colleges and
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word-of-mouth publicity, instead of expensive print and TV advertisements. Nearly 40-50% of the surveyors were later absorbed in Dainik Bhaskar or Divya Bhaskar, while the rest were given a certificate of appreciation. The team was trained to reach out to 8 lakh households in Ahmedabad and 4 lakh households in adjoining districts, in a time span of 40 days. The newspaper was launched in Ahmedabad on 23 June 2003, under the name Divya Bhaskar, as No. 1 with 452,000 copies (a world record). Within 15 months, it entered two more cities of Gujarat: Surat and Vadodara. To counter the Bhaskar's group's threat, the leading Gujarati newspapers came up with color pages, price reductions and several highvalue customer offers. However, by 2009, Divya Bhaskar became the largest circulated Gujarati daily with 11.5 copies. Dainik Bhaskar's pre-launch door-to-door twin-contact launch programme has been recognized as an Orbit shifting innovation. It has won Business Process Innovation award by Marico Foundation, and is a case study in several B-schools including IIM Ahmadabad and SPJIMR. In 1996, Dainik Bhaskar had a circulation of 350,000 copies in Madhya Pradesh (MP). By 2004, this figure rose by more than 1000% to become 3.5 million in six states (including 2.5 million in Hindi and 1.2 million copies of Divya Bhaskar in Gujarati). In 2006, it was launched at Amritsar and Jalandhar simultaneously, with 178,000 copies. - Delhi, Madhya Pradesh, Rajasthan, Chattisgarh, Himachal Pradesh, Punjab, Haryana, Chandigarh, Uttar Pradesh, Maharashtra and Gujarat. Divya Bhaskar is the largest circulated daily of Gujarat as per ABC (Audit Bureau of Circulation), and has the maximum number of editions by any newspaper in Gujarat. It is published from Ahmedabad, Baroda, Surat, Rajkot,Jamnagar,Bhuj, Mehsana, Bhavnagar (Saurashtra Samachar). The company launched English newspaper DNA in Mumbai in 2004 in partnership with the Zee Group. DNA is today published from Mumbai, Bangalore, Pune, Ahmedabad and Jaipur. DNA is the second largest broadsheet newspaper of Mumbai, as per Indian Readership survey ( IRS R2 09)

At present, Dainik Bhaskar is Rs.3358 crore media house with 10,000manpower strength & 160 offices all over India, has daily newspapers, 2 standalone weeklies & 1 magazine in 10 states of the country. Bhaskar is the largest read newspaper group in India with 2.97 crore readers. 28% potential of India with Bhaskar markets. Daily newspapers (broadsheets)of Dainik Bhaskar group consists of - Dainik Bhaskar, Divya Bhaskar, Saurashtra Samachar, Prabhat Kiran, DNA & DNA Money. Weeklies (tabloid) - Divya Bhaskar- New York & Indore editions. Magazine (Monthly) Aha! Zindagi Hindi & Gujrati & Lakshya (New Magazine), ME. Magazine (Bi-monthly) Young Bhaskar, Bal Bhaskar. Magazine (Weekly) SHE. The group uses latest ERP solution software application product (SAP) to integrate all departments in every editions of newspaper. Now a day, Dainik Bhaskar Group has developed a brand image of itself with unmatched example in a class of its own. The growth strategy of this image needs a research. Review of related literatureManagement students are very fond of case studies. In modern times, many of the Management Institutes have made case studies as an integral part of their teaching and learning programme. In this manner, Dainik Bhaskar group has become case studies in many text books of management studies. Some of the IIMs have also started the case study of Dainik Bhaskar as a part of their curriculum While plethora of information is available about theoretical analysis of brand imaging strategy in product based organizations, there is not a single reference available on the topic related with the proposed research work. Though, some annual reports have been published by Dainik Bhaskar group for its various stakeholders, there is not a single research work on the proposed topic. Hence, the researcher has decided to break the ice on the proposed topic. RationaleThe newspaper industry in particular and media industry in general has become a real Fourth Estate in modern democratic world. The brand imaging strategy of media industry sets ways for the other players in the economy.
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On the same lines, the brand image of media decides the fate of the democracy in any country. It is evident, in modern era of globalization, that the publicity, advertisement and media management have been the matters of deep concern of any management in any organization. The researcher, in the light of above facts, feels that the proposed work is the need of the house. Objectives of the researchIn the light of above facts, following are the objectives of the proposed research1. To study the growth pattern of Dainik Bhaskar group as a whole, 2. To analyze the financial, personnel and marketing strategy behind the development of brand image, 3. To find the key factors responsible for the present brand status of Dainik Bhaskar group, 4. To provide suggestions for further growth of the Dainik Bhaskar Group.

HypothesisThe proposed research work is based on following hypothesis1. Dainik Bhaskar group had well thought strategic planning for growth. 2. The group has developed its various dimensions in systematic manner. 3. The brand image of Dainik Bhaskar is outcome of the functional effect amongst various factors i.e. finance, human resource management, marketing etc.

MethodologyThe proposed research work will be based on two methods7

1. Empirical Research 2. Interviews. The Empirical Research will be based on the secondary data published by Dainik Bhaskar group and its ancillary association. The strategy for brand imaging will be analyzed using those data. The conclusions will be supported by personal interaction with various stakeholders of the organization. Scaling techniques including testing of significance will be used appropriately. Proposed ChaptersThe research work is proposed to be divided in seven chapters1. Chapter 1- Introduction. 2. Chapter 2- Growth of media industry in India 3. Chapter 3- Growth of Dainik Bhaskar with milestones and development of Dainik Bhaskar as a brand. 4. Chapter 4- Human Resource Planning in Dainik Bhaskar for brand positioning. 5. Chapter 5- Financial Management in Dainik Bhaskar for brand imaging.
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Chapter 6- Marketing and other strategies of Dainik Bhaskar for brand banding.

7. Chapter7- Findings and Conclusion.

LimitationsThe proposed research work is likely to have following limitations1. The work is concentrated on Dainik Bhaskar group only, although a comparison with other leading media houses will be made at various places.
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2. Only secondary data will be used for proposed research work, although they will be supported with interviews and interactions with various stakeholders. 3. The study will be based on the performance of Dainik Bhaskar Group during last five years, although mile-stones of progress since establishment will also be taken into consideration. 4. Research will be done on performance on Dainik Bhaskar group as a whole, but concentration will be on media part including daily newspapers, radio and B T.V. channel. 5. And, last but not least, the limitations of an individual researcher will also be there during research work.

Even after these limitations, the researcher hopes a very fruitful work.

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-Dainik Bhaskar Group -Mumbai Stock Exchange. *************

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