Happy to share our investment in Cellcast Asia Holdings – Cellcast is in the business of participation content. They create interactive shows that run across TV, internet, radio and other media, and allow consumers to participate through SMS and IVR. The users pay to participate.
Quite of few mobile VAS investments have been in aggregation plays. It is my belief that in order to create sustained value, the business needs to be more than an intermediary – it needs to own at least either the content/application (a la T-Series), or the consumer relationship (a la 8888). Cellcast does both — it has a proprietary real time platform to enable participation content, develops its own shows on top of it, and owns the customer relationships. It still uses the telco for billing, but services a larger part of the value chain than most other players we have seen in VAS space.
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Alok congrats on this unique deal (especially not hesitating to work with a spin off from a global company). I think interactive TV is an emerging space which is better understood in Europe than South Asia. Having said that there is a very large and lucrative opportunity in populous markets like India and China. Its upto entrepreneural ventures like this to tap it, because existing media houses still seem stuck in the sas-bahu fare.
I have heard good things about Cellcast India and their business model and market presence. The company should focus on staying with its leadership position in this market and develop content with mass appeal. Also as you said the consumer relationship aspect is critical.
Hello!
We are team from US and launched a web site in India called http://www.gizmobazaar.com One of its kind. Catering to mainly computers, electronics, mobile phones segments. Currently more then 2000 products listed on the web site. Delivery in 2 Business Days and aims to be the no1 e commerce portal
we also launched auctions.gizmobazaar.com where potential customer can come and bid on the products listed on the web site.
please feel free to comment
sidh9581@msn.com
Gizmo E Bazaar Pvt Ltd
9/49 B Kirti Nagar
Industrial Area
New Delhi 110015
India
Phone: 011 91 45072994-45072995
Direct: +91 9999319424
support@gizmobazaar.com
sidh9581@msn.com
All the best! Interesting choice of instrument esp. the recourse to the UK company. Just watch Pankaj & Co carefully…
Best wishes, Alok…!
Allow me my $ 0.02….The revenue potential of modern broadcast systems depend to a large extent on creation of compelling interactive content that secures widest user adoption in a span of days, before other production houses / channels ape it and eliminate the opportunity. Contesting on IP has proved to be a waste of time and money since creative variations invariably find their way in. That leaves short bursts of dynamic programs that keep changing its formats to retain viewer interest, involvement of celebrity anchors/guests (calls for large investment upfront) etc. as there’s little choice else. In media business, there’s less room for trial and error. You are either a hit or a miss; there’s nothing in between. With almost every program (even news) vying for interactive user participation and revenue, focus should be on quick scale up by erecting higher quality barriers that ensure a safer home run.
Hi Alok,
Well me too believe, ITV holds a lot of potential in the Indian market. Thanks to it’s successful reverse bidding show and other ITV formats which have become popular among the indian audiences. ( well my startup was the first in south india to run a reverse bidding contest on TV in partnership with Honda on Asianet http://youtube.com/watch?v=CHZCxNdI-fY , whats more i also owns a domain Bid2w.in , further we also ran a 24/7 ITV mobile based TV channel in kerala in JV with Asianet christened “hI” .)
Though i have exited out of the start up as well as the mobile & online VAS space, i believe depending on the mobile operators for billing is the biggest hurdle players are facing in the market. But i believe the situation is definitely going to change with the digitalization of cable TV as well as services like DTH. Wherein players like Cellcast doesn’t have to depend on the mobile operator but jut partner with the DTH operator or a digital cable operator.
Now ITV services over digital platforms enables the customers to use “their remote control” and settop box to use ITV services like…say a reverse bidding contest .( May be the service providers can charge the subscribers a flat fee like Rs 10/ day for taking part in the contest). The advantage here is that ITV VAS service providers can work on a better deal with the network operators ( cable or DTH operators) like a 70:30 deal in favour of content developers.
But the problem here is not many networks are digitalized here.( companies like Hathway and Asianet had already started digitalizing their networks) and the problem with DTH is the lack of a return channel to offer ITV services in it’s full format. But i hope may be within 2-3 years the market will mature..till then content developers has to live at the operators mercy for the revenue share cheques to arrive at least once in 10 years 🙂 .
Anyway wish Alok & Canaan all best for their efforts in turning the idiot box into an intelligent box!