The Cable business is moving into a new phase in Bengaluru. Operators have started introducing the pay and watch or à la carte method of channel delivery. While Star India Pvt. Ltd. introduced this mode on November 6, many others are expected to follow suit. In this mode, operators charge on the basis of the number of channels you would want to watch.
Prior to the introduction of à la carte options, total payment made by the customer to the cable operator was in the range of Rs. 150 to Rs. 300, depending on the locality.
However, under the à la carte, the Star has started charging in the range of Rs. 2 to Rs. 140 per channel. “The pack of about 10 channels that used to be offered at Rs. 28 to customers now cost around Rs. 203, which will eventually be around Rs. 300, including service and entertainment taxes,” president of Karnataka Sate Cable TV Operators Association Patrick Raju said, speaking to an English daily published from Bengaluru.
“The network had brought in the offer of an à la carte stating that it would reduce the cost to customers. However, the opposite has been happening with the rates only increasing. Other channels too may follow suit leading to losses for cable operators as well,” Mr. Raju said.
Meanwhile, sources in the Telecom Regulatory Authority of India (TRAI) said that all channels were to be provided in an à la carte mode as per the regulations.
“That does not necessarily mean that it will be more expensive. This way, consumers get to pick their preferred channels saving on the costs of unwanted channels. However, the increase or decrease in prices cannot be determined currently since the market is yet to pick up on such offers,” sources said.
However, dish operators said there has been no change in the rates being offered for the channels and their packs continue to be offered in the range of Rs. 180 to Rs. 600.
The dish operators offer channels to their customers in a combination of packs and à la carte basis.
However, under the à la carte, the Star has started charging in the range of Rs. 2 to Rs. 140 per channel. “The pack of about 10 channels that used to be offered at Rs. 28 to customers now cost around Rs. 203, which will eventually be around Rs. 300, including service and entertainment taxes,” president of Karnataka Sate Cable TV Operators Association Patrick Raju said, speaking to an English daily published from Bengaluru.
“The network had brought in the offer of an à la carte stating that it would reduce the cost to customers. However, the opposite has been happening with the rates only increasing. Other channels too may follow suit leading to losses for cable operators as well,” Mr. Raju said.
Meanwhile, sources in the Telecom Regulatory Authority of India (TRAI) said that all channels were to be provided in an à la carte mode as per the regulations.
“That does not necessarily mean that it will be more expensive. This way, consumers get to pick their preferred channels saving on the costs of unwanted channels. However, the increase or decrease in prices cannot be determined currently since the market is yet to pick up on such offers,” sources said.
However, dish operators said there has been no change in the rates being offered for the channels and their packs continue to be offered in the range of Rs. 180 to Rs. 600.
The dish operators offer channels to their customers in a combination of packs and à la carte basis.
