Bureau, New Delhi
The Indian Railway department has readied a plan to accelerate the revenue by increasing the OOH advertising share by opening up a new advertising avenue. The department has worked on a plan to award the rights of entire trains as well as railway stations. The proposal is all set to be presented for the approval from the railway board in the coming week.
The new plan has been opened after the nod given by nation’s PM Narendra Modi with an aim to increase the revenue from the alternate resources including Advertising options.
As per the new policy, a company can attain consolidated media rights for branding the entire train, which will allow the advertising inside and outside the bogies. The train branding packages will be offered through bidding in a phased manner, starting with Rajdhani and Shatabdi services.
The authority is seeing this new avenue quite lucrative as primarily due to a financial crunch, the state-run transporter are eager to gather some funds through outdoor advertising. Moreover, the hike in passenger fares has also been put on hold for the time being due to the upcoming state elections. The authority has fixed the trip digit target of raising funds around Rs. 2000 Crore in nonfare revenue which includes OOH advertising as well.
The new policy will offer Out-of-Home Advertising policy and allow monetisation of railway assets by means of advertising. Huge LED screens will come up at stations, platforms and foot overbridges (leading to station areas) for advertising shared an official.
Hoping for substantial revenue from non-fare sources, railways will try to reach out to big names from the advertising world for spaces on trains and level crossings.
While looking into the history, the railway had sold the right for exterior branding of four trains with an aim to earn over Rs. 8 Crore in a year last year. The trains included Mumbai Rajdhani, August Kranti Rajdhani, Mumbai-Ahmedabad Shatabdi and Ahmedabad-Mumbai double-decker.
Watch this space for more information related to tenders.