Tuesday, May 27, 2014

DTH - Pain Direct to Home

Right now , I am feeling so nostalgic about the days when Cable TV services were provided by the friendly neighborhood cable-wallah. This nostalgia has been induced wholly by my interaction with my DTH provider , Tata Sky.

Under the cable-wallah regime, one paid a one time deposit ( negotiable), no installation charges mostly ( though they tried to get customers to pay for the cable being laid)  and a monthly subscription. This outlay bought you some 100 channels ( quality of reception is a point much debated) and in case of any  down-time due to issues such as cable fault etc, free service. Thus, one paid for and received a bundled service i.e cable TV reception.

When I moved houses, I subscribed to Tata Sky, after hearing friends talk about quality of TV viewing and lure of moving to an organised service provider, that too belonging to a reputable business house.

The way it works is - one 'buys' a set-top box and a dish from the DTH company, pays for the channel packages and hopes it doesn't rain or becomes overcast( because if it rains / is overcast, there would be interruption in service). So, a customer is 'buying' a set-top box from the company, and paying separately for the channel package. Period. In case there are any service issues needing a service personnel to visit ( unless one has subscribed to the highest tier package), it would be charged.

As a business model , this is brilliant. The customer has an upfront outlay , for buying the set-top box and hence cannot shift easily if unsatisfied. An excellent exit-barrier. The services are completely unbundled - one pays just to buy the channel package, and then again for any service issues - so the Company makes money at each point. Net net, the Company doesn't care whether one gets to watch the channels one has paid money to watch.

The only problem is - as a customer, one has to pay for service , to watch the channels for which one has already paid good money.

Apart from the cost, there   is the usual hassle of navigating one's way through the call center for any issues. Last year, I inquired the call center about the charges for the renewal of my annual package, and paid the amount communicated. Subsequently, on receiving the conformation sms, I found out that  the annual recharge amount was different and the Company's call center itself misguided me!

Last evening my TV reception just curled up and died. I called up the    call center, registered a compliant and gave a preferable time of 11.00 a.m for the technician's visit ( of course on a paid basis) and confirmed my address and contact details. I immediately received a sms confirming the visit at 4.00 p.m. So far so good. At 11.00 a.m, I received a call from the technician,  asking me to confirm my address ( probably just in case i have shifted to a new one - between 7.30 last evening to 11.00 this morning). The technician promised me that he would surely come over by evening. I asked him, humbly, why did he need to confirm the address and why was I asked for a time preference promised a time in the first place. He simply said that the call center guys just keep on doing these things. God forbid.

As of now, I am waiting for Tata Sky to repaid my connection so that I can get the service for which i have already paid for in full - and feeling nostalgic about my cable guy.

Moral of the story - If one opts for a service which is structured to be unfair to the consumer, it is one's own fault.  


Sunday, January 20, 2013

Fooled by openness


I am reproducing here my brief Twitter conversation on 4th January with a lady who, among other things, is a journalist / columnist with a once well –regarded newspaper .

The conversation on Twitter went as follows:

“Columnist’s - The RSS chief says rapes occur in India not Bharat. Which Bharat does he live in? And, has he ever met a Dalit woman?

Self - What has caste to do with rape??

Columnist - Caste has everything to do with rape in rural India. You need a little bit of Bharat Darshan.”

At which point, I promptly unfollowed the said lady and went on with my life.

Somehow, this brief chat has stayed with me and prompted a few thoughts / questions. Of course, bashing everything that RSS / BJP /say or do (right or wrong,in this case wrong) or do not say / do not do is ‘de-rigueur’ for any self-respecting journalist in India, but this is not what set me thinking.  I somehow could not reconcile with  the approach towards the issue being commented upon and the didactic attitude.

On the Topic

Why do people, especially media “professionals” make such generalizations? Is it not the duty of a columnist / journalist to back up claims with data – not motherhood statements?

Why does media /mediapersons in India paint everything with the brush of caste, religion etc. The entire framework of any crime, any problem is constructed around these.  

Why the question of caste is deemed to be a holy cow, the root cause of all problems, including drinking water and state of education?

On the conversation itself

Does being a journalist / columnist provide a license to proclaim points of views as absolute truths – of the kind that should not be questioned by lesser mortals.

In my opinion, if one professes a view on social media, one should be ready for the inter-activity due to the very nature of the medium being used. A know-all approach, which might work well in print media will not work on a Twitter or a Facebook, where one should be ready to discuss openly any comment one makes. It’s a 2-way street now, and the journalist / columnist does not sit on a holy pedestal, controlling the communication, and any disagreements the reader might have will have to be routed by the supplicant (reader) through an editor, and will see the light of day only if the said authority permits.  

I was (re)reading ‘Fooled by Randomness’ by Nassim Nicholas Taleb and his thoughts on the practice of journalism (dealt with in this book in context of financial journalists) came across to be so very relevant, in context of all traditional media.  The noise created by journalist is drowning meaningful information and sensible discourse about the society.

In my view, in today’s society, the role of the journalist (especially a print journalist) has moved beyond being a provider of information to that of a catalyst bringing about a debate about relevant issues. The print media-person should give up the mindset of being an intermediary of information which leads to such a didactic tone, even when a print journalist is using a new age media.  

Tuesday, January 03, 2012

The ecnomist PM gives away Rs 3600 Crs !

The PM recently agreed to give 12.5 acre piece of land at Indus Mills in Mumbai for an Ambedkar Memorial, as per the demands made by RPI and assorted other political parties.

As reported by the TOI toady, this property was worth Rs 3600 Crs, basis the redevelopement potential.

Was another memorial to Ambedkar needed in a country where millions go hungry - irrespective of their caste or creed [ or the reservations provided / denied to them in jobs , education etc] ?

Are we so bankrupt of  productive intent / effort / ideas to not put such a valuable piece of property to a tangible benefit of the socitey, especially a poor , deprived society such as us?

Is it not a loot of public property to serve narrow political purposes ?

Which school of economic thought did the PM adhere to while granting this gift for such a purpose ?

While courts may have upheld Mayawati's actions of building various parks and memorials to be legal, I don't think such a misuse of public exchequer and property would ever be teneable in a court considering morality and propriety.

Saturday, December 17, 2011

Quotas in Lokpal ?

There are reports in today's newspapers that the Government has proposed quoats for various castes in the proposed Lokpal body.

Can corruption, especially at highest level of polity, have a differential impact based on people's caste or creed ?

Why can't the Governemt just staff the Lokpal with the most competent, honest and well meaning individuals, irrespective of their caste / religion or such other artificial divisions ?

If at all this quota can be considered rational,  why not take this thought process  to its logical conclusion, and have quotas for women / sports persons / freedom fighters / disabled / Project - affected ( the last category would persumably include the Congress politicians) etc etc etc ?

Till when will this country be held ransom to the divisory tactics the Britishers initiated during Raj and the Indian politicians perfected post independence ?

How far will the brandwagon go?

Today's Economic Times carries a story on its front page, about schools "prescribing" branded uniforms, shoes and "study aids" such as iPads for their srtudents. This comes closely on the heels of the news earlier this week about a Mumbai school mandating use of Ipads for its students.

Everyone is aware of the  existing nexus the school managements have with local apparel / text-book etc. shops, and how parents are forced to buy school uniforms, shoes, school bags and everything else the school management deems fit from "approved" shops or the school directly, generally paying more than market prices for inferior products. Or at least forgoing their freedom of choice.

The corporate marketeers have now latched on to this exploitive tactic, tying up ( of course, some consideration must be involved) with schools to sell their products.

The Economic Times article states :

"Brands such as Adidas, Reebok, Lee, Woodland, HCL and Samsung are now reaching out to schools and colleges not only to expand revenue channels by tapping a captive audience, but also to build brand among future consumers, even as the trend has raised eyebrows among child experts. "


Of course, parents of school-going kids are sitting duck targets for such exploitive practices, carried out by school managements and now corporates - where can they go ?

While regulatory mechanisms such as Consumer Forum provide relief ex-post, can there be a mechanism to curb such practices and nip them in the bud, so as to speak?

While over-regulation is never a solution, it appears that increasing consumerism will only lead to more such sharp shooting marketing. And by intoning words such as brands, quality, superior products, its is the large corporates, in cohorts with the media, which is devloping / spreading such practices.

Do marketeers coming up with such practices have an iota of compuction left ?

Why doesnt Mr. Kapil Sibal and the Ministry of Education spare more thought and effort to check and prevent this blatant exploitation of  school -goers and their parents?

Why does the media does not come out unequivocally against such going-ons, instead of  commenting on them in a neutral tone, knowing fully well that these are restrictive, anti-consumer practices taregted at a segment which cannot protest beyond a point?

The most important question is  - when / where / how will the brandwagon stop? Brands are a connotion of quality, consistency and consumer connect. However, the way brands are marketed and are evolving, they are totally devoid of these elements,. Instead, they stand for snob value and a total disconnect with reality. Brands have become like a stock market bubble - where market price loses all connect with the intrinsic value ( quantitative as well as qualitative). All stock market bubbles end in a crash - should the business of brands go the same way?

Tuesday, December 06, 2011

The hope of future ?

For all those who see Rahul Gandhi as the hope of future, the youth icon, the fresh (40 years fresh !) face of Indian (dynastic?) politics, his recent comments and stand on furthering the cause of Muslim reservation (  with eyes firmly on UP elections) is a sure indicator of things to come.

If Mr Gandhi is indeed the face of the modern politics that Congress is supposed to be practicing ( with stalwarts like Digvijay Singh mentoring the prince till he is ready to occupy the family fiefdom), why doesn't he take up the issues of good governance, corruption, rural developement etc etc ? or even good infrastructure?

What is stopping him from fighting the UP election on real issues facing common man, instead of the regressive politics his family and by extension his political party has been practicing for decades?

Wednesday, October 05, 2011

SBI downgrade: Paying the price for the transition ?

Yesterday's downgrade of SBI's standalone rating ( signifying financial strength) , from C- to D+, by Moody's is , in my opinion, a culimination of the transition unleashed by Pratip Choudhury on taking over as Chairman. The erosion of almost 2% in its Tier-1 capital in Q4 FY 2011, due to higher provisioning was the starting point of the analysts questioining the asset quality of the Bank, and the end-result is yesterday's downgrade.

As the largest shareholder, the Government of India should ask the management to clarify the reasons for the sudden and significant increase in provisioning during Q4. Whether the asset book and  accounting norms really warrant this provisioning, which led to a 99% drop in its net profit for that quarter ? Ot was it motivated solely by the new Chairman's desire to show the inefficiencies of the previous regime, and the vigilence and pro-activeness of the incumbent one? Mainstream media has reported widely on this phenomenon, especially in PSU banks, where each top management transition is followed by a significant fall in performance, ostensibly to lower the bases with which the incumbent management would be compared going forward.

The loser in this game are the shareholders, with Governemt of India (and hence the citizens of India) being the largest block. The management continues make statements such as " the downgrade is not a downgrade per se" ( http://www.moneycontrol.com/news/business/moody39s-downgrade-notdowngrade-per-se-sbi-chairman-_593931.html).

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Tuesday, October 04, 2011

The LCC farce in India

How to start a low cost airline in India?

Take a full service airline, change the name, do away with free food and other freebies, possibly tweak the plane configuration to all-economy – and voila – we are ready!

World over, the Low Cost Carriers ( LCCs) operate on a business model which is different from what a traditional, full-service carrier would have. They operate from secondary airports ( often distant from cities) which have lower costs such as parking charges etc., often fly different routes, and offer bare-basic services to their customers. The aircrafts purchased are often of different configurations, enabling cost savings on procurement as well as maintenance.

In India, most of the airline owners thought that just by doing away passenger amenities, their airlines would become low cost. For e.g, the so called Jet –Konnect uses the same airports, same planes and the same routes as Jet – and becomes a LCC just by a change in name and cutting out passenger facilities. I think very few airlines have realized that they have to operate in a very different manner to realize the low costs. Parameters such as aircraft turn-around and employees to aircraft ratio need to be monitored closely and punctuality helps. ( In my view, Indigo has done a good job on these).

The problems the LCC sector faces are arising out both of the aviation infrastructure, as well as their business model. While airports and ground handling remains in-efficient, the way these airlines are run contribute majorly to their poor operating performance. While MIAL (which manages the Mumbai airport) might have done a good job of changing the tiling and exterirors of the airport and selling retail space, it has not done anything to improve the actual aviation infrastructure , which is what any flyer would / should be most bothered about ( because that determines your actual flying experience – I am at the airport to fly to / from somewhere, not to shop / eat !).

The LCC airlines in India developed without a proper eco-system / infrastructure to sustain them at the low-fare, low cost value proposition. With rising costs, low fares were not possible, thus impacting demand.  It seems that a shake-up / consolidation is the only way this industry would find its right bearings.

My thesis is validated by the statement Kingfisher Airline's CEO made, stating that the operating costs involved were the same as in a full-service carrier and the revenues lesser  - http://www.moneycontrol.com/news/business/operating-costlow-cost-carrier-competitive-kingfisher_594359.html

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How to irritate your co-passengers in Mumbai local trains

While these suggestions are primarily meant for 1st class passengers, I think they can be applied (though with a varying degree of success) in the 2nd class compartment. I am unfortunate not to have any experience of the Ladies compartments (not that I would mind, but it’s a punishable offence) and hence can’t offer any suggestions there.

Legs in V – formation with arms stretched
No – this is not a yoga posture. If you get a seat, keep your legs in V-formation, with knees opening outward, and arms stretched out of the line of your body. This position helps you maximize the space you occupy, and as everyone knows, space in Mumbai  is at a premium. Such a seating posture helps you invade the  personal space of the passenger(s) seated besides you, and is especially effective if you are seated in the middle. This is also a key body language signal, which says aloud that you, alpha male that you are, care only and only for your personal comfort and no further.

Stand with backpacks on your back / front
In a crowded train, the backpack is your only protective shield. Wear it on you back if you are standing, and the guy behind you will curse the day he was born – and ditto for the guy in front of you, if you choose to wear it on your front. A backpack slung on your frame also helps consume the standing space meant for at least one more person, with the net result of making the compartment feel more crowded for others.

Sound of Music
While listening to your favourite music on the mobile phone, be generous and share it with the world – keep the phone on loudspeaker. This would generate immense goodwill for you, as people are befitted by free music (of course, of your choice!) in the stressful environment of a local train compartment. While its another matter that the sound emanating from your phone might be a shrill cacophony, its clearly the faulty eardrums of your co-passengers (who also seem to have defective eyes, the way they are staring at you).  

Let the whole world know!
Talk on your phone loudly, as if you are relying on your own lung power rather than the air-waves to carry your voice. Let the whole world know that you are not afraid of them knowing about your business or personal matters, thereby setting high standards of transparency (Isn’t that whats Anna Hazare wants?). It doesn’t matter that people are reading, talking, or sleeping – my voice loudest.

Regulate
Stand at the footboard – right from VT, even if you have to get down at Virar / Karjat / Panvel – and don’t let people use that part of the entrance. Insist that they use the other half of the entrance only for boarding and lighting. After all, it’s a matter of property rights, and having paid the (subsidised) fare, you have as much claim as anyone else on railway property, inconvenience or safety be damned. This way you are regulating the flow of people in or out of the compartment, ensuring that maximum no. of people of discouraged from using the trains, thus reducing the load and the subsidy burden on railways.

 P.S : These are some common irritants I have faced during last 5 years of my commute on Harbour Line, and I can safely assume that these are common issues faced everyday – small irritants showing the utter lack of civic sense that  relatively well-to-do ( 1st class passengers) , middle class citizens have .

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