EFFECT OF TELESHOPPING ON VIEWERS

(case study on Star CJ alive and Homeshop 18)

TABLE OF CONTENTS

S.NO

TOPIC

Page no.

Chapter 1
1

Introduction
Objectives
Significance of Research
Review of literature
Hypothesis

Chapter 2
2

Research methodology
Data collection
Data analysis
Hypothesis Testing

Chapter 3
3

Summary of findings
Conclusion
References
Annexure

7-11
12
13
14-16
17

19-26
27-28
29-44
45-49

51
52-53
54
55-57

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Chapter 1
INTRODUCTION

Teleshopping was the term coined by Michael Aldrich in 1979 in England.

Teleshopping defines as a direct marketing technique in which the seller directly
offers the sale of their products on television and prompts the viewers to place the
orders.
Teleshopping does not involve personal visits. The seller prepares a short film
which is shown on television screen. It provides the full demonstration and features
of the products along with a list of contact phone numbers in every city. People
who get influenced contact the seller and place the order.
The basic concept of teleshopping is that it offers what is not available in the
market. In teleshopping the products claims to provide astounding results.

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The teleshopping was first originated in the US. But it was not very successful in
the early years. It gained its popularity in the mid of 1990s.

TELESHOPPING NETWORKS IN VARIOUS COUNTRIES

Country

major teleshopping networks in various countries

US

Home shopping network, QVC Telebrands, TSN

Japan

Shop channel

Europe

TV-SHOP

Australia

TVSN

China

China shopping network

Brazil

Shop time

INDIA

Telebrands (India), Asian sky shop, star CJ alive, Homeshop

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ADVANTAGES OF TELESHOPPING
The foremost advantage of teleshopping is that it offers convenient shopping
to the customers. The customer can purchase the product without visiting the
retailer which saves valuable time, effort and money.
It helps the people who have less time from their busy schedule to go out
and shop the desired products.
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 Provides home delivery of products.

Offers the products at a price lower than the market price.

TELESHOPPING IN INDIA
Teleshopping is also known as direct response television shopping. Where the
retailer directly offers their products for sale on television and prompts the
customers to buy it. The payment for the product can made in cash or through
credit card. The concept of teleshopping was first introduced in the US in mid
1980s.

INITIAL LIMITATIONS OF TELESHOPPING IN INDIA

1. Lack of consumer interest in the service.
2. Lack of education and awareness among the people.
3. Low standard of living.
4. Low rate of women employment.
5. High prices of products were a major hindrance.
6. Difference in culture and language was also a major problem.
REASONS FOR POPULARITY OF TELESHOPPING IN INDIA

1. Busy schedules.
2. Attractive offers.
3. Availability of products at low prices than the market rates.

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STRATEGIES FOLLOWED BY TELESHOPPING CHANNELS

1. Reduction in prices
2. Money return offers
3. Free accessories
4. Featuring celebrities in the programs

PLAYERS IN INDIAN TELESHOPPING

1. Asian Sky Shop
2. Telebrands
3. Star-CJ
4. Homeshop 18
5. TVC
PRODUCT CATEGORIES
1. Mobiles and Cameras
2. Electronics
3. Home Appliances
4. Health & Fitness
5. Home Decoration
6. Kitchen & Dining
7. Jewellery & Watches

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STRENGHTHS AND WEAKNESS OF TELESHOPPING IN INDIA

STRENGTHS
1. Convenient shopping.
2. Focus on innovative and value for money products.
3. Credit cards are also accepted.
4. Helps people who have visual and oral defects.
5. Helps people who have less time from their busy schedule.
6. Home delivery of products.
7. Offers the products at a price lower than the market price.

WEAKNESSES
1. The difference in culture and language
2. Focus mainly on metros and B class cities
3. Focus mainly on educated and premium end customers

Strategies followed by teleshopping networks in India

Product:
1. New and innovative products
2. Indian and imported products offered
3. Customized products also offered

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Promotion:
1. Teleshopping channels aired the infomercials in 1-2 minute time capsules
between schedule programs in various channels.
2. They also target the customers by airing the infomercials in various regional
languages.
3. Features popular personalities for the demonstration of the products.
Price
1. Indian teleshopping networks extended their product range as low as Rs 200
so that they can also reach the mid class population.
2. Most of the products are in the range of Rs 1000-5000.
3. Early bird prices, free accessories, lowering of prices, double product pack
at the same price are also offered by the teleshopping channels.
Place
1. The networks extending their reach to semi metros and major towns across
India
2. The network also tied up with major retail outlets in various cities.

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