Thread by @ValueEducator

#Saregama 2021 Annual Report Key Takeways :

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Topics Covered :
1. Music Segment
2. IP Creation
3. IP Monetisation
4. Social Media Platforms
5. Retailing Through Carvaan
6. Carvaan - Product to platform
7. Video Segment

8. Publication Segment
9.Changing media consumption

1. Music Segment
Saregama has India's largest music IP collection with more than 1,30,000 songs.
It has 15% of songs till 1960 contributing 5% of revenue, 27% of songs from 1961-1980 contributing 37% in revenues, 29% of songs from 1981-2000 contributing 28% of revenues

and has 29% of songs from 2001- 2021 contributing 30% of revenue.
This library includes music from the likes of Lata Mangeshkar, Kishore Kumar, Asha Bhonsle, RD Burman, Naushad, Mohd. Rafi, Jagjit Singh, MS Subbalakshmi, Pt. Ravi Shankar, Ustad Bismillah Khan, Ilaiyaraaja.

2. IP Creation
Company has created Intellectual Properties through new film music acquisitions across Hindi, Tamil and Telugu films and non-film songs across Punjabi, Bhojpuri, Gujarati and Hindi languages.

The selection process is both data driven and intuitive in nature with high focus on Monetisation and Return on Investment.
The company recently acquired music rights of the next set of films of India’s biggest film directors, Sanjay Leela Bhansali and Shankar.

It also released the biggest musical hit of the year, Paani Paani by Badshah.

3. IP Moentisation : Saregama Monetises its music in two ways
i)Licensing to Platforms-The songs are licensed on contract basis to platforms such as
A. OTT Platforms-Saregama licenses its music for online streaming to various Indian and global music streaming platforms.

This segment has grown in the past by 40% yoy and is expected to grow even faster, Eg-Wynk, Gaana, Spotify, Jio Saavn, Hungama Music etc.
B)Broadcasting Channels- The company Licenses its music to Television Channels for use in various TV serials, reality shows, promotions

Eg- Sony, Star, Viacom, Sun TV etc.
Video Streaming Platforms- The songs are licensed to platforms such as Netflix, Amazon Prime, Hotstar
4. Social Media Platforms- Saregama has 25 YouTube channels and has over 51MN subscribers.

for playing of music in events, shows, parties held in public places and in commercial premises like hotels, pubs, shops, malls etc.
5. Retailing Through Carvaan :
Launched in 2017, it’s an audio player with inbuilt speakers and 5,000 preloaded songs, allowing customers

to listen to their favorite music anytime without any ad breaks. The product also doubles up as a Bluetooth speaker and FM radio. Targeted at the 35+ age generation.
Carvaan is positioned as a perfect gifting option by the young to the old and by Corporates.

The product has been extended to multiple variants to cater to different customer segments Eg- Carvaan Karaoke targeting home parties and Carvaan Mini Kids targeted at screen wary parents of 2-10 yr old kids.
The product is retailed through 30k+ retail outlets.

6. Product to platform
The biggest advantage of converting Carvaan to a Platform is that it generate recurring advertising and subscription revenue in the future.

Carvaan’s unique business model invites content creators to release their podcasts non-exclusively on the platform, and offers 40% revenue sharing to them.

7. Video Segment
Yoodlee Films- The studio is positioned as a “Writer’s Studio” focused on telling powerful stories targeted at younger audiences across the world who primarily consume content on personal devices.

On the production side, Saregama makes films with the lowest expenses along with the help of an experienced in-house creative team that has won many awards and accolades in the feature film category.

The company hedges its risk by keeping upfront talent cost low by offering assured profit sharing to key artistes.
The vertical has released 16 films in the last 44 months on Netflix, Disney+ Hotstar and Zee5.

In FY21 Yoodlee delivered 2 movies to Netflix and both trended at #1 on the platform.
8. Broadcasting
Broadcasting- Over the last 20 years, Saregama has created over 6k hours of content for Sun TV

and at any given time broadcasts 3-4 serials creating around 15-16 hours of content per week. The IP of these serials is owned by Saregama which is also monetised on other platforms like YouTube (1.5B views in FY21).
6k+ hours of content for Sun TV,

The company’s top serial Roja has been the No.1 Tamil program for months.
8. Publication Segment :
Open Magazine- The Publication segment includes the publication of Open Magazine, a weekly current affairs and features magazine, through a 100% owned subsidiary.

The magazine targets the top strata of the society and highly intellectual readers and provides a platform to top brands to promote their product and services.
Originally available in 12 Indian cities.

It is now also available as an e-Magazine and enhance its reach beyond boundaries.

9. Changing media consumption
There is more content getting consumed by more people in the post-Covid era than the pre-Covid one.The digital revolution has been knocking at the door of the

entertainment industry for some time but is now set to boom.The other positive change is the slowly rising popularity of Indian content across global audiences.

Music Industry has been on an upswing globally, on the back of increased digital revenues Global recorded music industry revenues 2001-2020 (US$ billions).