PROJECT OF July 25

MARKETING 2009

Relaunching of Radio Mirchi98.3FM to sustain as a market

leader. The extensive market survey was done to know the
taste of the people to innovate new marketing strategy and
Report of Module-1
deliver the people best service according to their wish. Also
the threats and competitors are highlighted as well and market
share and other essentials are also mentioned here.
RELAUNCHING OF RADIO MIRCHI 98.3 FM

GROUP MEMBERS:
1. Syed Golam Gaous ROLL NO.58
2. Subha Rudra ROLL NO. 51
3. Soumodeep Mitra ROLL NO. 47
4. Sayak Ghosh ROLL NO. 66

Batch details:
Group n0.7
ISBE/SA-2/2009-11
Date of submission: 25/07/2009
Faculty members:
Prof. Debashish brahma
Prof. Dipankar sarkar
Project title: Relaunching of Radio Mirchi 98.3 FM

Methodology:

Most of the informations and research are done from internet. We had also our own radio
with us as well. We have also done public survey to take a feedback about Radio Mirchi
98.3.

RADIO INDUSTRY - A QUICK OVERVIEW

Radio is a popular medium for entertainment and news in the rural areas of south Asia.
In the urban areas, on the other hand, due to popularity of television, the number of
radio listeners has declined over the several years. However, radio listening habits have
undergone a perceptible change in the last three or four years particularly in the urban
areas of India. This revival of listening to radios occurred due to the policy of the Indian
government to broadcast entertainment programs through FM radio channels. The
second phase of privatization of radio broadcasting resulted in the implementation of
nearly 400 new FM radio stations across 91 cities in India in 2007. As the private FM
radio stations are not permitted to air news as per the government rules, all the programs
aired by the channels are music-based entertainment programs targeted primarily at
younger audiences.

The obvious disadvantages of radio are the lack of visual images and the relatively
passive nature of the consumers. Nevertheless, radio ads can be extremely creative with
the clever use of music, sound and other creative devices; which can tap into the
listener’s imagination to create powerfully relevant and liked images.

Emergence Of Radio Mirchi:

Radio had been the most cost effective source of entertainment in India for a long time.
Until 1993, All India Radio (AIR), a government undertaking was the only radio
broadcaster in India. The government then took the initiative to privatize the radio
broadcasting sector. It sold airtime blocks on its FM channels to private operators. Since
then Times FM, the Times group’s brand, operated its business till June 1998 as the
most famous radio station in India. Times FM represented Radio Mirchi in that period
until the government decided not to renew contract to private operators.

In 2000, the government announced the auction of 108 FM frequencies across 40 cities of
India. Entertainment Network (India) Limited [ENIL] won the largest number of
licenses and became the only commercial FM (Frequency Modulation) broadcaster
present in all 4 metros, with an exclusive presence in 7 cities. Thus, under the ownership
of ENIL, Radio Mirchi entered in the radio market of India.
Attributes
Attributes are a set of things that can describe the characteristics, properties, qualities,
values, strategies, technicalities, infrastructures and many other things of a
product/service. In short, we can say that an attribute is long-listed but giving specific
ideas or description of a product/service. In marketing, an attribute plays a major role.
Because attributes are something that consumers are always looking for satisfying their
core/basic needs. So, an attribute of a product/service can only be derived by
discovering the QSP (i.e. quality, service and price).

FM Radio
FM (Frequency Modulation) Radio falls under the category of services. The main aim is
to render services to the general public by way of entertainment and giving any sort of
entertainment falls under this category. In the present market scenario, everyone is
running behind money and by doing this they almost forgot the meaning of
entertainment. It is almost vanished out of our lives and it is very much realistic. Because
after struggling for 16 to 18 hours a day, there is nothing entertaining than a good sleep.
But after the launching of FM Radio, the whole scenario has changed. Because
previously people are not very interested in listening to radios or rather we can say
“Akash Vani”, as they can only listen to the news and some old songs which are not
highly appreciated. But as the FM Radio is launched in the market, it creates huge
sensation especially among youngsters. As FM Radio is a medium of entertainment, it
offers a range of services like music, news, traffic updates, quiz events, etc. It can also be
a medium of communication because they are hosting some shows where people can
share their experiences and also there are some special events where people can talk to
their favorite celebrities invited by them from time to time on special occasions and
everything will be live on air. The FM is now available on our mobiles, iPods, mp3
players, etc. which is very easy to carry. The RJs (Radio Jokeys) plays a very important
role in interacting with the people and they are host of the events/shows.

Attributes of FM Radio

There can be many attributes of FM Radio but the basic and core attribute of it, is
entertainment, according to the expectations of the listeners/audiences by satisfying
their needs and wants. Entertainment basically consists of the following:-

Music (of different genre)

Sound quality

Type of shows, RJ of the show, target listeners, type of songs, timings of the song,
timings of the show, etc.

News - type of news, updated news, news content, way of delivering the news,
timings of the news, etc.

Traffic Updates - current updates, updates from different areas, updates of main
junctions, etc.

Quiz Events - target audiences, type of quiz, entertaining as well as information
based events, etc.

RJs - age group, interactive, passionate, friendly, way of communicating, etc.

Information (through talk shows)

Agony aunt services

Attributes of Radio Mirchi 98.3 FM

There are certain parameters by which uniqueness of a radio channel can be

judged/identified. There are many radio channels available and equally competitive.
And all of their aim is to create audiences by organizing the best shows according to the
demand of the listeners.

Apart from the basic attributes of entertainment of FM Radio, there are some special
attributes of Radio Mirchi 98.3 FM. It is voted as the no.1 radio channel in many states as
far the audience feedback is concerned. The uniqueness of this channel can be
determined through certain attributes. They are as follows:-

Brand Image: - Radio Mirchi has developed a very healthy brand image over
years of continuous service. It is very good at identifying the demands of their
listeners and fulfilling the needs. The networking of this channel is very wide. It is
almost airing in every parts of India.

Customer Service: - Radio Mirchi is voted as the no.1 radio channel in almost
every state. It indicates that they understand the needs of their listeners of various
age groups. They knew very well how to retain their listeners in spite of the fact
that there are many other radio channels available.

Ease of Access: - Radio Mirchi can be accessed almost everywhere in India. It

shows the wide range of reach of the frequencies in air. Nowadays it can be
accessed via internet also.

Quality of Service: - There should not be any doubt regarding the quality of
services provided by Radio Mirchi. The quality of shows or events organized by
them is very unique and all the shows or events are different from each other. And
also the sound quality is very good too.

Technical Quality: - Radio Mirchi is very good in technical quality also. If it is not
true then we can’t get the frequency everywhere from cities to remote areas also.
Technical quality also includes the sound techniques, which is also very good.

Programme Quality: - As Radio Mirchi is the best in customer service; it is

obvious that the programmes organized by them are also very good. The
programmes of this channel are very different from each other. They know very
well the exact timing of the programmes which can attract their target audiences.

Target Audiences: - Radio Mirchi is very good at identifying the wants and needs
of their listeners. They knew exactly about their target audiences and the shows
were arranged in that manner. They also knew the choice/preference of their
audiences very well.

Interaction/Communication: - Here the role of RJs is very important. Because it

only depends on them how they interact with the audiences. And Radio Mirchi
has hired very popular RJs who can interact with the audiences friendly. For
example- RJ Mir is a part of it in Kolkata, who is a very famous personality.

Innovative Events: - Radio Mirchi is very good in organizing exciting,

entertaining but information based quiz events, where an open ended question is
asked and the first caller to answer this question will get some prize. But the
innovative part of such quiz events are that some questions asked were very
tricky, the first to solve the trick gets a chance to go live on air and he is
welcomed in the studio just like a celebrity guest. It attracts the audiences,
because everyone in this world wants to be famous.

Competitors of Radio Mirchi 98.3 FM and their Attributes

There are many competitors available like Red Fm, Big Fm, Power FM, Friends FM, etc.
In spite of all competitors, Radio Mirchi still remains at the top spot. But there are two
channels (i.e. Red FM 93.5 and Big FM 92.7 FM) which gives a fare challenge to Radio
Mirchi 98.3 FM. And the attributes of these two channels in comparison to Radio Mirchi
are shown in brief:-

Attributes Red FM 93.5 Big FM 92.7

Brand Image It is a very old channel and has earned a very good It is not a very old channel but has
brand image. earned a very high brand image in a
short period of time.

Customer It is equally good in satisfying the customers’ needs and It is very much closer to satisfying
Service wants. the customer services better than
everyone.

Ease of Access It is more or less same as accessing the frequency is In this case, it is lacking behind, but
concerned. it progresses very quickly.

Technical It is almost the same as far as the technicalities are It is having a very decent technical
Quality concerned. quality, but improvements can be
done.

Programme In this case, it is lacking behind because variety is there In this case, it is also lacking behind
Quality but of similar kind of shows. because variety is not available but
non-stop music shows with lesser
ads is the best part of it.
Target It is almost same because if they don’t know their target It is almost the same but one thing
Audiences audiences they can’t be a competitor. they understand better is that
audience doesn’t like too much ads.

Interaction/ As it is previously discussed that it depends upon the As it is discussed earlier that it
Communication RJs which is almost the same but can be improved. depends upon the RJs which is very
close to it but can be improved

Innovative In this case also they are lacking behind because events Here its has to work hard to
Events are organized more or less the same as quiz events. organize creative events to compete.

TARGET CUSTOMERS:
Radio Mirchi covers a huge range of customer profile. It serves from children to old aged
people. They are very much customer friendly in that sense. They value the thoughts and
emotions of every age group. It has got a craze mostly among young Indians. India
being a relatively young country, since it has got average age around 33, therefore it is a
great privilege for Radio Mirchi to tap this market easily. Radio Mirchi is very lucky
when it comes to customers, because it has been found from various surveys that
customers are very loyal to Radio Mirchi. Below the shows that are offered to the
audience of Kolkata.

Hi Kolkata – Monday - Saturday 7:00 AM to 11:00 AM : Hi Kolkata with RJ Mir

encompasses everything that gets Kolkata’s pulse racing, from traffic chaos to bandh or
strike. This show gets the commissioner, the minister, the mayor to have a say on any
hot topic of the city. With traffic updates in peak hours, quick quizzes, etc. and obviously
Mir’s inmitable humours bring entertainment for true blue Kolkatan. It has huge fan
following.

Nobboi Not Out! – Mon-Sat 11:00 AM to 1:00 PM: Delightful music, soft, lilting, mood
lifters with RJ Sree who brings very green life to Kolkatan.

Harano Sur – Mon-Sat 1:00 PM to 4:00 PM: Old Hindi songs with RJ Neel gives
pleasure to middle aged people and the lovers of old songs listeners.

Kolkata Express – Monday to Friday 4:00 PM to 9:00 PM: With RJ Deep in the driving
seat-listen to the hottest hits, test GK about city, cinema, cuisine & win prizes. Cricket,
movies, Kolkata and trivia constitute B2B. Be it the traffic snarls, the delicious nalen
gurer sandesh, the busiest hangouts in the city or the viewers' reactions to the latest
Bollywood releases, be informed and updated about the trends and happenings in
Kolkata. Thus it has craze among various ages from teenagers to young adults.

Coffeehouse Classics – Monday to Friday 9:00 PM to 12:00 AM : Evergreen hits of

Kishore Kumar, Asha Bhonsle, Lata Mangeskar, RD Burman and other legends and a
husky RJ Rupsha, that's truly a combination that ask audience to wrap up their day &
get ready for bed. A show loved for its trivia on superstars, singers and composers from
the golden era of Bollywood & Tollywood - Coffeehouse Classics is truly nostalgic &
magical !

Rupsha creates moods, captures memories and appeals to the finer sensibilities of the
young and all those who are young at heart. Celebs from Shobha De to Bikram Ghosh,
Saira Banu, Zeenat Amaan to Neetu Singh have all shared special moments and
memories on her show.

Dr Love – Every Sunday 6:00 PM to 9:00 PM: With RJ Gunjan this programs is based on
solution of love problems and personal problems. Thus it has a great knock to teenagers
and college goers.

Mirchi Top 20 – Saturday 7:00 PM to 9:00 PM: With RJ Deep top 20 sizzling top 20
songs of the week attracts songs lovers.

Club Mirchi – Saturday 9:00 PM to 1:00 AM: Every Saturday DJ Richard sets fire on the
dance floor with bollywood remixes irrespective of audience stand whether they are in
their hom or in car, DJ Richard is ready to make dance his audience. Thus this programs
attract prople of party age in urban area.

Ami Ek Jajabor – Sunday 8:00 AM to 10:00 AM: From east to west of the country travel
with RJ Gunjan the perfect tourist guide tells the audience what to wear, where to stay,
where to plan for a tour, how to go everything and that gives pleasure to the audience
those who are very adventurous and love to travel a lot.

Dawsher Desh – Sunday 5:00 PM to 6:00 PM: Listen contemporary Bengali music
with RJ Deep. Aadhunik to Bangla bands- top 10 songs countdown goes with RJ deep to
give the pure Bengali taste to its Bengali listeners.

Sree Ramkrishna Proshongo – Mon-Sun 5:00 AM to 7:00 AM : Begin the day with
words of wisdom, with the stories of Sree Ramkrishna Kathamrito. Swami
Swatantrananda takes audience through the life & times of Sree Ramakrishna. Thus it
has the target customer of old aged people.

Sunday Suspense – Sunday 12:00 PM to 1:00 PM : RJ Deep reads some Satyajit Roy’s
suspence tales which attract children to know about the story and brings customer to its
channel.
Sunday Coffeehouse Classics – sunday 9:00 PM to 12:00 AM: RJ Riya plays hot and hit
songs of last Sunday. So it is a great privilege for those regular Radio Mirchi listeners
who had missed one Sunday to listen.
Thus Customer centricity is the pivotal role that is played by the Radio Mirchi 98.3
FM.

CONSUMERS NEED, WANTS AND DEMANDS:

Needs are the basic human requirements. People need air, food, clothing and shelter to
survive. People also have strong needs for recreation, education and entertainment.
Nowadays, FM Radio is one of the best ways of entertainment. Music has played a very
significant part in our lifestyle. And it is the basic need of each and every music lovers.
Consumers basic needs is to listen music and getting pleasure out of it. So the first look
out of Radio Mirchi is to provide customer satisfaction. They need to listen current news
to keep themselves updated. Consumers compare Radio Mirchi with other FM channels
and point out that sometimes RJs talk more rather playing music which sometimes make
them very monotonous, to get rid of this monotony they need to be entertained more and
more.

Consumers want is directed to specific objects that satisfy their taste. Consumers are
very loyal to Radio Mirchi and there is 33% of Radio Mirchi listeners never tune to other
radio channel. Radio Mirchi is the best in satisfying customer needs and when the
customers are satisfied, they are enjoying the every moment of their life. And Radio
Mirchi becomes the entertaining partner of their life. According to our market survey
Mirchi has got more popularity among its girls and housewives listeners. They want
some new kind of shows to listen in their favourite radio channel. Even they want to
listen news in FM to make themselves updated.

Consumers demand to listen English music in Radio Mirchi and they prefer to
listen some kind of party music, disco music at the weekend. They demand for new
innovative game shows to make this radio channel more happening. Customers demand
to their favourite FM channel is very high. They demand everything that makes them
happy. Thus they demand for English music, news, talk shows, game shows etc. And it
should be the primary objective of Radio Mirchi to satisfy their customers needs, wants
and demands.

CORE PRODUCT:
Entertainment: Radio Mirchi is in the business of entertainment. So their first motive is
to make people happy and joyful with their programmes. Their programmes are basically
designed in such a way that can fulfill the basic needs of the people. People’s basic need
from Radio Mirchi is to be entertained and they are successful in doing so.
BASIC PRODUCT:
Radio – FM is the basic product.

Core product has to be converted into basic product. Radio Mirchi adds attributes like
talk shows, bollywood song, album songs, regional songs and that make this FM
channel more happening to the customers. FM is now just not a means of entertainment,
even people use it for that purpose mostly, but still there are lots of things that can be
added to make people much more attractive to its channel.

EXPECTED PRODUCT:
Since Radio Mirchi has got a large spectrum of its customer of various ages, so
expectations from different ages are different and that is the main criteria for Radio
Mirchi to make its shows in such a manner that matches with the expectation of the
customers. Teenagers mostly college goers like to listen English music in Radio Mirchi,
customers of young adult ages want to listen more innovative programmes in this FM
channel. Their expectation is so high from their favourite channel. Radio Mirchi should
concentrate in this segment to go on with its leading market share. Radio Mirchi is the
most happening and demanding radio stations all over the country. The reason behind
this is their popularity, creativity, loyalty amongst listeners and the innovative events
they are organizing. Radio Mirchi takes credit in understanding the preferences of its
listeners. Their shows are organized in a proper manner, depending on the audiences
they are targeting and also upon the timings of the show. They also have special shows
for several occasions, such as Valentine’s Day, Diwali, Christmas, New Year, etc.
Suppose, on the eve of Valentine’s Day they are playing latest romantic songs targeting
the youth as their main audience and even by inviting an ideal celebrity and make
audiences interact with them live only on Radio Mirchi and win exciting prizes. They
even have started internet radio station. Now anyone can listen Radio Mirchi just by log
in to its website.

AUGMENTED PRODUCT:
This is the level where the mostly competition takes place in developed countries, but for
India the most competition takes place at the expected product level. So here is the open
market for Radio Mirchi to keep far back its competitors. Here Radio Mirchi can go for
brand positioning by going for some new innovative programmes or promoting their
existing programmes by adding some new features and highlighting those in the
promotion, so that they can provide something which is beyond the expectation of the
customers. Radio Mirchi had already started to create some augmentation as they are the
first FM channel who started association with Mirchi movies the new innovative
initiatives, “Listen to my movie” for the visually challenged people and their first venture
was “Hari Puttar-A comedy of terrors”.

POTENTIAL PRODUCT:
The potential product encompasses all the possible augmentations and transformations
the service offering might undergo in the future. Here is where Radio Mirchi should
search for new ways to satisfy customers and distinguish their offerings. They could
think upon some new ideas which was never been thought by anyone. Here comes the
innovations strategy of the company.

In todays hectic life everybody wants to get relax and for relaxation there is no media
better than radio or FM. That is why FM channels are now very demanding among the
urban Indian. They are coming out with the programs that attract urban Indians. Thus
Radio Mirchi and its competitors also are launching lots of programs that actually fulfill
the desire of the audience. FM channels celebrates lots of programs in specific special
days like valentine’s day, mother’s day, independence day, birth day of any singers or
music directors, death anniversary of any singers or music directors etc. Thus they love
to tune to various channel.

CURRENT BRANDING/MARKETING STRATEGY OF RADIO

MIRCHI
The strength of Radio Mirchi 98.3 FM lies in its innovative program contents. Needs are
the basic human requirements. People need air, food, clothing and shelter to survive.
People also have strong needs for recreation, education and entertainment. Apart from
television FM radio is the alternative for entertainment and information on-the-go. And
radio mirchi has understood this important attribute of the FM radio channel. So it had
made this attribute as a important part of its branding strategy. Radio mirchi is the most
lively, happening and demanding radio in Kolkata. The main driving force behind this
popularity is the creativity in it programs. They understand what customers actually
demand from a FM radio channel and delivers their programs on that platform. Radio
Mirchi’s main branding / marketing strategy is to cater the expectation of all the age
group whether its a teenager, youngster, housewife, working professionals or aged
person. Radio Mirchi provide programs on different categories may it be Gossips, Recipe
of different types of food, Child care tips, relationship problems, career guidance, Beauty
Secrets, etc. The Radio Mirchi target market was defined using interesting factors such
as lifestyle, attitudes, occasions rather than demographic information alone. Although
the customer description generally fall within the demographic that have been identified,
this approach will provide an increased understanding of what motivates the listener and
can be used to focus target marketing and positioning efforts more precisely.
Another unique branding strategy of Radio Mirchi is that it did not remain confined to a
particular city or state. It has its network spread among various cities of India, which
makes it a brand which is present in all India level and also it creates brand awareness
among people.

Radio Mirchi as a part of it branding strategy has used various punch line in different
cities which makes it more customer centric brand. Example “Idhu semmma hot
machchi!" in Chennai."Gwalior Jhoome"in Gwalior, "Idi chaala hot guru!" in
Hyderabad, “Sakat hot maga!”- in Bangalore.

Customer Value Proposition Of Radio Mirchi

The main unique selling propositions (USP) Radio Mirchi are:-

• It’s programmes are not only for young generation but also various programme
for all age groups at different time slots.

• Another USP is that the mode of communication of the RJ’s with its listener.
Today Radio Mirchi is not confined to a particular city but it has wide spread
network in various cities and mostly regional languages of that particular area is
used. This strategy is mostly used while streaming live programmes where
customers can talk to the RJ’s maybe for some contest, songs request. As a result
of which Radio Mirchi uses various punch line in different cities such as “Idhu
semmma hot machchi!" in Chennai."Gwalior Jhoome"in Gwalior, "Idi chaala
hot guru!" in Hyderabad, “Sakat hot maga!”- in Bangalore. This is an unique
customer centric branding strategy.

• To maintain its customer oriented branding strategy Radio Mirchi also airs
certain programs which are all about the customers , here customer can live chat
with the with various eminent personalities maybe any doctor, teacher or any
advisors etc. Example of the programme Dr. Love can be citied here where
listener can talk live for any sort of relationship problems. This makes radio
Mirchi unique. Also live songs request is also another customer centric branding
strategy.

• Radio Mirchi not only stream various programme just from the radio stations but
also its conducts various kind of live shows in street such as quizzes, peoples
opinion about any particular events etc. this creates a brand image in the mind of
the general public.
• Radio
dio Mirchi is also associated in various cultural events in various educational
institutes in India such as BLITZKRIEG 2008 (ICFAI), COBWEB 2008
(COLLEGE FEST OF LHMC) and SPADAN 2008 (COLLEGE FEST OF
VIVEKANANDA COLLEGE).

MARKET SHARE OF RADIO MIRCHI:

Radio Mirchi dominates in Mumbai, Delhi and Kolkata; As per the latest
listenership figures released by IMRB, Radio Mirchi is the leading FM station with
48.25 lakhs listeners and 72 per cent market share.

Big FM surges ahead in Bangalore. Radio Mirchi continues to lead in Mumbai with
a market share of 17.3 per cent. It is followed by Red FM, with a market share of 16.5
per cent. Big FM is at No. 3, with a market share of 14.1 percent; while AIR FM Gold
has slipped a position to No. 4 and has
has a market share of 13.3 per cent.

MARKET SHARE IN MUMBAI

AIR FM
GOLD, 13.3 RADIO
MIRCHI, 17.3

BIG FM, 14.1

RED FM, 16.5

In Delhi too, Radio Mirchi has maintained its No. 1 position, with a market share of
23.8 per cent. AIR FM Gold has displaced Fever from the No. 2 position with a
market share of 17.2 per cent. Fever FM is No. 3 in the city, with a market share of
16.3 per cent.

MARKET SHARE IN DELHI

RADIO
FM, 9.2 RADIO
MIRCHI, 23.8
FEVER, 16.3

AIR FM
GOLD, 17.2

Big FM has surged ahead of Radio Mirchi in Bangalore. It has recorded a market
share of 18.5 per cent. Radio Mirchi is at No. 2, with a market share of 18.3 per cent.
Fever FM is No. 3, with a market share of 13 percent,
percent AIR FM RAINBOW has
12.9%, Radio city 11.7%,, Radio One 9%.
9%

MARKET SHARE IN BANGALORE

RADIO ONE, 9

RADIO BIG FM, 18.5

CITY, 11.7
RADIO
MIRCHI, 18.3

AIR FM FEVER FM, 13

RAINBOW, 12.9

( Market shares are taken from internet sources as of 2009,june 29)

 In Kolkata Radio Mirchi, Big FM and Aamar FM continue to occupy the No. 1, No.
2 and No. 3.. Radio Mirchi has a market share of 19.4 per cent, Big FM has a share of
15.3%, while Aamar FM has a market share of 12.2%, Friends FM occupy 12.1%, Red
FM occupy 8.2%, Fever FM occupy 7%, Radio One occupy 6.3%, Meow FM occupy
6.1 %.

MARKET SHARE IN KOLKATA

MEOW FM
RADIO ONE 7%
7%
FEVER FM RADIO MIRCHI
8% 22%

RED FM
10% BIG FM
18%
FRIENDS FM
14% AAMAR FM
14%

Sources of Information:
http://www.radiomirchi.com
http://www.enil.co.in

http://www.google.co.in
http://www.exchange4media.com

MARKETING MANAGEMENT-
MANAGEMENT Kotler, Keller, Koshy, Jha