Voracious Readers- Group A4- Source- Mint

iPod, iPhone, iPad and now, an iWatch from Apple?

-By Tanushree Mam

Ø  Apple Inc. is testing designs for a watch-like device that will perform some functions of a smartphone.

Ø  The iPhone maker has discussed the experiment with manufacturing partner Hon Hai Precision Industry Co., or Foxconn.

Ø  Apple has hired people with experience in sensors and related technologies.

Ø  The company is experimenting with the design of a device similar to a wristwatch that will operate on the same platform as the iPhone and would be made with curved glass.

Hero end innings with cricket sponsorships

-By Tanushree Mam

Ø  Hero MotoCorp Ltd(HMCL) is breaking away from cricket and forming similar ties with other disciplines such as hockey, shooting and athletics.

Ø  It has ended its ties with the IPL, the Mumbai Indians team and all International Cricket Council events though Virender Sehwag has still been retained as the brand ambassador.

Ø  Hero has signed a four-year contract with the International Hockey Federation to sponsor all its event in the country. It was also the main sponsor for the Hockey India League.

Ø  Hero’s move is strategic considering the changing tastes as viewers are switching from cricket to other games that are slowly gaining favour.

Ø  This move will allow it to stand out from the clutter and improve its appeal to rural buyers.

Ø  A large proportion of Hero’s sales has traditionally come from rural areas (46% in the last fiscal year), a segment it needs to hold on to amid competition from rivals—No. 2 and former joint venture partner Honda Motorcycles and Scooters India and No.3 Bajaj Auto Ltd.

Ø  Typically, a brand would spend Rs.60-70crore for an IPL sponsorship across various media, including Rs.35 crore spent on television alone. It would be about one-tenth of that for the Hockey India League.

Ø  It appears to be a cost cutting initiative since Hero’s expenditure on advertising has risen to 3% of net sales from 2% last fiscal due to new brand launches and changes in the product mix. Also, their other expenses rose 28% to Rs. 3975 per vehicle in the December quarter from a year ago.

                                    Intel plans to launch online TV service this year

                                                                    

-          By Prajakta Sarmalkar

Ø  Intel Corp plans to launch an online television service this year that will stream live TV as well as provide content on demand, confirming reports that the world’s top chipmaker is getting into the media market.

Ø  Intel is currently negotiating deals with content providers.

Ø  They have been working for (the past) year to set up Intel media, a new group focused on developing an Internet platform. It’s not a value play, it’s a quality play where they will create a superior experience for the end user.”

Ø  The service would be centred on a set-top box and would offer smaller bundles than those currently offered by cable operators, tailored to what customers want.

Ø  Intel has struggled to get its virtual television service off the ground due to unwillingness on the part of major media content providers to let Intel unbundle and licence specific networks and shows at a discount to what cable and satellite partners pay, according to sources.

Ø  Intel’s plan, if successful, would go further than products currently offered by Apple, Amazon and Netflix by offering live programming as well as on-demand content.

Ø  Intel’s set-top-box will also have a camera that could be used to automatically steer content and ads toward specific users.

MTV Consumer Products to add more offerings for youth

                                                                                                                                          -By Rati Sawant

Ø  From eye-wear to adventure bikes and debit cards to tablets, MTV Consumer Products, which is present in 15 categories, plans to expand to 25 categories by the end of the next fiscal.

Ø  In the next few months, it will step into several categories that include condoms, women’s inner-wear,  and relaunch of its apparel line, wrist-wear and laptops.

Ø  The company is also exploring partnerships with cafes and youth hostels. MTV products are also expected to be available in shop-in-shop formats in partnership with retail outlets.

Ø  Most of these brand licensing agreements with partners for the 15 categories are unique to India and are now being replicated in other countries.

Ø  Some of MTV’s key licensees include Bwitch, Citibank, Crusoe, Firefox, Aureole-Inspecs, BILT, PLG, J K Ansell, Mochi, Swipe Telecom and Global Fragrances.

Ø  MTV has also collaborated with SWIPE Telecom to launch six-inch ‘fablet’ devices called MTV Volt, which have an app that offers on-the-go access to MTV.

Ø  The company is focusing on striking long-term deals and ramping up its creative team as it plans to expand consumer products under its other brands, such as VH1 and Comedy Central.

Hero ends innings with cricket sponsorships

-Vaibhav Pathak

·         Hero MotoCorp Ltd (HMCL) is breaking away from cricket, having been a high-profile sponsor of events and teams associated with the game for more than two decades.

·         They will form similar ties instead with other disciplines such as hockey, shooting and athletics, according to five people aware of the development.

·         India’s largest two-wheeler company ended its ties with the Indian Premier League (IPL), the Mumbai Indians team that it’s a part of and all International Cricket Council events. 

·          As part of the shift, Hero has signed a four-year contract with the International Hockey Federation to sponsor all its events in the country. Hero is also the main sponsor for the Hockey India League, which concluded last week.

·         The move to cut ties with cricket is strategic because:

1) Hero is trying to stay ahead of changing tastes as viewers switch from cricket, which is the dominant television sport in India, to other games that are slowly gaining favour.

2) This will allow it to stand out from the clutter and improve its appeal to rural buyers, it expects.

3) Sponsoring cricket is also vastly more expensive, so breaking with the sport will allow companies to deploy their money elsewhere.

·         Typically, a brand would spend Rs.60-70crore for an IPL sponsorship across various media, including Rs.35 crore spent on television alone. It would be about one-tenth of that for the Hockey India League. In hockey, advertisement spending is Rs.5-6 crore with about Rs.1 crore allocated to television.