The Fifth Largest TV Network

March 07, 2005
Copyright Mediaware Infotech Pvt. Ltd.


Most stores have been employing "announcers" to direct customers to discount offers and new/remote sections of their store. Many local retail outlets & malls play music on their CCTV monitors. But when the largest retail chain in the world (Wal-Mart) decided to bombard shoppers with TV in their aisles, they ended up becoming U.S.A.'s 5th largest TV network - and still growing!

Wal-Mart TV
Launched in 1998, Wal-Mart TV is controlled from Wal-Mart headquarters (Arkansas, U.S.A.) and broadcasts different content to almost all its 2600 stores across America. Wal-Mart offers the nearest to a 'captive audience' in an age of crowded TV neworks with declining ratings.

Wal-Mart's raison d'etre is clearly to display a constant stream of brand advertisments from its clients - companies like Kraft, Unilever, Hallmark, PepsiCo. Of course, these are interspersed with previews of movies, sports events, rock concerts, et al. Not to mention the (now mandatory) corporate messages from Wal-Mart!

Dream Audience
Nielsen Media Research has measured Wal-Mart TV viewership and concluded that shoppers watch Wal-Mart TV for an average of 7 minutes per visit. That sort of captive audience, so close to the point of sale - in the age of TiVo - is bound to catch the eye of marketers.

Given that Wal-Mart TV lays claims to 130 million eyeballs every 4 weeks, it must come as no surprise that its ad rates reportedly range from $100,000 to $300,000 for a 4 week burst. And that existing clients like PepsiCo are planning to increasing their ad spend for Wal-Mart TV.

Power of Television
Wal-Mart plans to tailor its broadcasts to each area of its stores - much like a multi-channel broadcaster whose different viewers are provided different channels & programs. For example, a Consumer Durable Section would have programming as well as commercials specific to these products. The Food Section could focus on recipes & commercials for kitchen equipment.

Moreover, stores in different regions broadcast programming tuned to regional tastes, situations and perhaps even prevailing weather!

Add the captivating effect of huge, high quality TV screens with ceiling-mounted speakers along the aisles and you have the power of TV at its distracting best!


Follow the Leader

In 2004, Bob Dylan ('70s youth icon & global artiste) chose to endorse lingerie products for Victoria's Secret. Commercialization has made rapid progress since then. Today consumers are bombarded with brand messages - both blatant & subtle - from 360 degrees! The reading is clear - if there are areas which are not a part of this bombardment, they soon will be!

So it should not be long before other retail chains follow Wal-Mart TV. And although no chain may have the reach of Wal-Mart, today's digital broadcasting technologies permits the luxury of economical & scalable broadcasting platforms.

Meanwhile, Wal-Mart shoppers are expected to pick up loads of bananas while watching Wal-Mart TV. At the very least!

Banana Vision*

Somewhat derogatively nick-named "Banana-Vision", 7 year-old Wal-Mart TV is the 5th largest TV Network of the U.S.A. Claiming to capture 130 million eyeballs every 4 weeks (or a phenomenal 4.65 million eyeballs everyday), Wal-Mart TV's viewership is incredible because these eyeballs are captive, i.e. not shared with any other medium for the period of engagement.

The nearest comparision would be a portal engaging millions of surfers every day, with the surfers not tuned to any other medium or portal during the period of surfing!

In a move which confirms its growing popularity, Wal-Mart is currently upgrading its broadcasting equipment along with its TV sets (to 42" HDTV).


*
Banana Vision has probably been coined because the most prominent TV panel is positioned above a pyramid of bananas!

Mediaware Infotech Pvt. Ltd.
The New Mahalakshmi Silk Mills Premises, Mathuradas Mills Estate, Opp. Kamala City, N.M.Joshi Marg,
Lower parel (West), Mumbai - 400 013. Tel: 91 - 22 - 56602635 - 38 Fax: 91 - 22 - 5660 2634 - ext 300