India exit angers clients

NEW DELHI - The Cricket World Cup 2007, forecast as a sure money-spinner for Indian broadcasters, has turned out to be a major disappointment due to Team India's earlier-than-expected exit, with the media industry now trying to salvage investments that are said to be worth anywhere between US$103 million to $138 million.

Attempts by some clients and agencies to get Sony Entertainment Television (SET) to shoulder part of the loss by giving discounts or cutting its advertising rates have been thwarted by the Indian Broadcasting Foundation and the Advertising Agencies Association. A joint statement declared that "all contracts are bilateral and should be governed by what the parties have agreed to in writing."

SET India revenue head Rohit Gupta said: "We did no deals keeping India's performance in consideration. We didn't just increase the rates in the last World Cup when India went to the finals, so why should there be any renegotiation this time?"

Advertisers and media agencies are trying to renegotiate deals on behalf of clients such as Maruti, Pepsi and Hyundai, by demanding SET  spread the clients' spend to other Sony channels.

In addition, Pepsi has pulled its 'Blue billion' campaign in the wake of India's early exit, replacing it with a non-cricket themed camapaign.

Other key advertisers affected are Hutch, LG and Hero Honda.

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