afaqs!

My FM hikes ad rates by 20 per cent

By afaqs! news bureau , afaqs!, Mumbai | In Media Publishing | April 23, 2013
The channel currently enjoys ad rates in the range of Rs 200-350 per 10-seconds.

In order to deal with inventory crunch, My FM, the radio offering of Dainik Bhaskar Corp, has announced an increase in its advertising rates by 20 per cent.

The radio player states that it has been facing an inventory crunch as it has been consuming more inventory than what it is supposed to consume. It expects to put things in place with this move.

Across its 17 stations, the channel's ad-rates stand in the range of Rs 200-350 per 10-seconds. The rates are to be increased by 20 per cent, thus taking the same to Rs 240-430 per 10-seconds, with immediate effect.

However, the rates vary as they are market-specific and deal-specific. Also, deals are mostly done in bulk on radio.

It is learnt that the rates will be same for national and local advertisers. Currently, the ratio between the local and the national (retail) advertisers is about 65:35.

Harrish Bhatia

Harrish Bhatia, CEO, 94.3 My FM states that almost all the advertisers understand the need for the hike. "While some of the advertisers understand and accept the increase, there are a few others who understand but do not accept it."

Bhatia explains that My FM doesn't want the traction value of content to come down as it affects advertisers' RoI. Hence, the ad-rates were increased to enhance the quality of the product.

He suggests that the ad inventories of all the players are tight right now. "I believe all the players may be planning a hike or would already have. For us, the new price structure is designed keeping the interest of both clients and listeners in mind," he says.

It may be recalled that the company recently signed a sales alliance with Fever FM, which has a strong foothold in the metro cities. The new rates will be applicable to all the deals, including the ones that are done through this partnership.

For the record, the channel is spread across the seven states of Rajasthan, Haryana, Punjab, Gujarat, Maharashtra, Madhya Pradesh and Chhattisgarh, in cities such as Jaipur, Jodhpur, Chandigarh, Bhopal, Jalandhar, Ahmedabad, Surat, Udaipur, Gwalior, Indore, Ajmer, Amritsar, Bilaspur, Nagpur, Raipur, Kota and Jabalpur.

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