Zee's ramping up digital biz in line with changing dynamics:Subhash Chandra

The financial year 2015-16 saw Zee Entertainment Enterprises take definite steps towards emerging as a global content company, with a strongly growing digital footprint. These steps will be instrumental in achieving our long term goals and objectives.

In his message in Zee’s Annual Report for 2015-16, Dr Subhash Chandra, Chairman, Zee Entertainment Enterprises, wrote...

I am delighted to write to you at the end of what has been a very satisfying financial year for ZEEL.

Let me begin by expressing my gratitude for your consistent support and encouragement through our journey. That said, we do recognise that stakeholder aspirations are dynamic, and we must be aligned to evolving expectations. This is what motivates us to consistently deliver in an ever changing environment and proactively transform our strategies to meet the emerging trends and aspirations.

We began over 2 decades ago with a simple objective - to provide a contemporary entertainment experience to Indian audiences in their homes. In our journey we have helped create an industry, strengthened the nation’s economy and created a new paradigm in the media and entertainment space.

Today’s media environment has evolved dramatically - with the proliferation of multiple channels on one side and increasing number of viewing platforms on the other. Yet our objective remains providing viewers with high-impact entertaining content that enables happier lives. We have now evolved into a global content company entertaining 1 billion+ viewers globally and at the same time, have been consistent in our approach to growth and profitability. This consistency was evident in FY 2015-16, an otherwise challenging year for businesses around the world.

Just as consistency has been a hallmark of our journey, so has change! ZEEL has led the industry in its evolution and transformation. Along the way we have entered newer geographies both domestically and globally, launched multiple channels, strengthened distribution, expanded the genres we cater to and widened our audience profile. At ZEEL we have been nimble-footed in adapting and responding to the structural and disruptive change around us.

In the year gone by we took significant steps to strengthen our businesses and are committed to continue investing in them for the future.

The global media and entertainment industry is expected to grow at a CAGR of 4 per cent during 2015-18 to reach around US$ 2.3 trillion. This may seem modest in relative terms but its absolute impact is significant. Not just that, the share of various media is constantly getting recalibrated with digital growing at the fastest rate.

In the digital space it is no longer about just viewing content on multiple devices. On-demand viewing patterns have resulted in newer content formats, crisper episodes and differentiated content packaging tailor-made to audience preferences. This is where our expertise of rightly gauging the audience pulse is being leveraged ensuring that rich, engaging and relevant content is offered to our viewers across the globe.

India will be at the cusp of the transformation in the entertainment industry. We have an attractive GDP growth rate and rapidly growing disposable incomes. However, the share of wallet that entertainment commands today is lower than the global average presenting a great opportunity for growth. Increasing urbanisation coupled with the Phase III and IV digitisation by the government is ensuring better entertainment infrastructure and a more addressable and understandable TV audience across the country.

The introduction of BARC has been a welcome addition to the Indian Media Industry. Rural audiences who represent a significant chunk of the population are included for the first time in the viewership ratings. This is an important reset for all players as strategies are being revisited or drawn afresh. For ZEEL this is a welcome step given the depth and breadth of our content offerings and the reach of our channels. As a result of this many of our offerings, e.g. Zee TV and Zee Anmol have emerged stronger and their leadership has been underscored.

ZEEL is proactively reorganising its operations focusing on newer delivery formats and ramping up its digital business in line with the changing dynamics of the operating environment.

Multiple initiatives are being undertaken under the digital part of our business. We were among the first to launch an ‘Over-the-top’ (OTT) platform – Ditto TV to enable linear and on-demand content viewing. The launch of OZEE our native content app is another step in the direction of making all our network content available on an anytime, anywhere basis. We are also focusing on creating a best-in-class user experience to ensure viewer loyalty and delight.

With the launch of ZEE Unimedia we are bringing the advertising sales functions within ZEEL under one roof to enable us to offer a more robust solution to our advertisers and at the same time leverage the collective strength of our businesses and channel portfolio.

As we continue to focus on profitability and efficiency we are also increasingly conscious of our responsibility towards the environment and our planet. ‘ZEE is Green’ is an important initiative through which we seek to limit and mitigate the carbon-footprint of our production processes and operations.

At the core of ZEEL’s consistent performance and ability to capitalise on the rapidly changing ecosystem is our talented and driven team who are leading the march towards achieving our long-term goals. We are also upgrading the skills of our existing employees and bringing on board fresh talent from diverse backgrounds to be ready for the future.

Once again I am grateful for the constant support of all our stakeholders in our journey and hope that we will be able to bank on it in the years to come. Together let us embrace change and create a wonderful future led by the digital wave.