Advertising Revenue Models of Select News Channels and Their Influence on News Content in
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Abstract
The News Channel industry in India is highly crowded with a high dependence on advertising
newlinerevenue. In India more than 70% of the broadcaster s revenue comes from advertising. This
newlinealong with the crowded market space presents a number of challenges for the news channels
newlineto survive and thrive. This exploratory study is an attempt to understand the news channel
newlinebusiness in the context of advertising revenue models and the factors that influence the
newlineproduct of the news channel industry news content. Through qualitative research
newlinemethodology, the study approaches the research objectives with the theoretical foundation of
newlinethe market model of media. With interviews of domain experts from marketing, news
newlinecontent,and news business, the study is an attempt to understand various factors in the
newlineadvertising sphere that influence the news content of the news channels in India. The reliance
newlineon advertising revenue influences the content of the news channels which gets shaped by the
newlineparameters of the market. The findings suggest that both ratings and perception have a
newlinebearing on the decision of advertisers. Some are ratings-driven, some perception driven and
newlinesome may look for the right balance. However, be it ratings or perception, it is the content
newlinethatinfluences both. However, in the advertising-led economy, the content that pleases the
newlinemarket parameters finds a preference in the newsroom. On the other hand, certain advertisers,
newlinewho are becoming particular about content and want to stay clear of channels associated with
newlinenegativity. The financial forces pose challenges for the news channels and thenature of news
newlineconstrains the creativity of the content creators. This coupled with social media space and
newlinedependence on news wires has added to their woes. Content differentiation has become a
newlinechallenge in the newsrooms. Marketing domain experts and sales and revenue professionals
newlinestate that the advertisers have a preference for certain news anchors and the perception
newlinecreated by the anchors influences the...