harsh 1 Report post Posted August 30, 2005 (edited) : Grabbed from the Forums of < LINK HAS BEEN REMOVED > Hi all, 6 * 100 * 10 * 20 * 20 = 2400000 24 lakhs in 20minutes.. clue is KBC 2! Any guesses?? 6(Rs/SMS) * 100(entries) * 10( cities ) * 20 (districts ) * 20(states) = 6 * 400000(people trying for the 2 lakhs cash price) Imagine what if 1000 entries try out from 100 cities?? The figure simply grows by 2 more zeores and yields a whooping 24Crores!! And it does not stops there... 1000 entries from 100 towns is a very small number .. in practice it could be another multiple of 100 or worst case a multiple of 1000 on an average.. In that case it is 24 * 100 crores earnings in just 20 minutes on every episode! And the price money :-)) mere 2 CRORE (and from whose pocket ;-)) Smart Business by Sidharth Basu! And the best part of this calculation is just the SMS earning! What about the Ad money ?? A rough annual profit calculation goes like this... 2400 * (5 * 4)(episodes/month) * 12 = 576000 crores Let even 50% get dissolved in taxes and other payments, still you will be left with ( which includes even the meagre 480 crores of price money..i.e., if every episode bags 2 crore prize!! ) 2,88,000 Crores profit ( only from SMS !!!! ) CHEERS!!!!!!!! Edited August 30, 2005 by Vishal Gupta Share this post Link to post Share on other sites
amitstg 0 Report post Posted August 30, 2005 if this much amt is left with the star they will soon be in a position to buy whole reliance infocom as its valuation is much lower than what u calculated. This profit is far away from from what reliance+wipro+infosys earns collectively. Share this post Link to post Share on other sites
Dilbert 0 Report post Posted August 31, 2005 Hey don't phorget to add munnies earned from endorsements. Moreover the prize money is sponsored by LIC...haha Siddharth B & Amitabh B are laughing all the way to the banks..... Cool business man!!! Share this post Link to post Share on other sites
city02 63 Report post Posted August 31, 2005 'There are three kinds of lies in this world: Lies, Damned Lies and Statistics!' - Mark Twain just goes to show you can 'prove' anything by multiplying out all assumptions. according to this, KBC2 alone would become the largest company (revenue earner) in India in a year! let's see if they can even make a billion dollars (Rs. 4,400 Crore) in SMS revenue. i highly doubt it ... Share this post Link to post Share on other sites
SexyGurl 0 Report post Posted August 31, 2005 (edited) There are many rules of thumb. One of them states: Where there is money, there are mother f*kkers. A second one states: Evaluate any financial proposition, like a mother f*kker would. Here we go: 20 states - sure. Even if my arithmetic is poor enough to count upto 20, I do hear that India has more than 20 states. But for the purpose of analysis, I would prefer to call these as 20 telecom circles. 20 districts (PER CIRCLE): Merlin's Beard Every telecom circle doesn't have 20 districts under it. eg. for the Delhi Circle -- I'd call it just one district .... or at most 4 districts, if I count NCR towns separately. Similarly for a circle like Maharashtra: 20 districts possible, but something like Sholapur, Sangli etc. would count as 1 district. 10 cities (PER DISTICT): C'mon an a$$hole on the street will laugh, if there are 10 different cities within New Delhi. The same a$$hole will die out of laughter, if you say, Sholapur or Sangli districts have 10 cities within them. 100 entries (PER CITY): Here the argument breaks. It could actually be higher than 100 or lower .... depending on how the city is defined. In any case, the validity of 100 entries per city ... is not empirically verifiable. WOW HOW WOW ! BOOPS ... So, deep an analysis and we end up inconclusive, with egg in our hand. How I wish, the guy who put the numbers was bold enough to expect 1 lac entries per "city". Unfortunately no. He was intent on ensuring that our neat analysis gets nowhere. Anyway, let's try another approach. KBC2 gets SMSes only from the airtel holders: who number 12.7 million all over India. Assuming 20 circles, it has 12.7 million / 20 = 6.3 lac subscribers per circle (on average). Assuming (as stated), each circle is deemed to have 20 districts, each district has: 6.3 lac/20 = 32,000 subscribers. Again (as stated), each district is deemed to have 10 cities (funny, but let's stick to the definition that 1/10th of a district is called a "city"): Each "city" has 3200 subscribers. Ok .... now the analysis can proceed: will KBC2 generate 100 SMSes from every 3200 subscribers? That 1 out of every 32 subscribers of Airtel, must send an SMS (not just watch KBC). In other words, 3% of all airtel subscribers MUST not only watch KBC but actually send an SMS. How many of airtel subscribers must watch KBC2 --- Anyway, these numbers don't really look bizarre enough .. to make a sensible person laugh to death ... .but it's surely a big deal. So, 24 lacs per KBC2 show .... sounds awkward. But really, I won't think any of you would bet your life on it, on the impossiblity of it happening. In any case, if generating 24 lacs was such big deal, Sunil Mittal would contribute 24 lacs from his own pocket .... as a one time generosity. Now the next part was .... Increasing this 24 lacs revenue even further, by expecting more SMSes. 1000 SMS per "city". --- You convert it into 2.4 crores. But you need 30% of Airtel's subscribers base to ACTUALLY send an SMS. F**K you .... I don't buy the argument that 30% of airtel subscribers will send an SMS to KBC2. But even if 2.4 crores was to be generated by SMSes ... 2 crore is given away in prize money. Practically all gone. And the Ad revenue will just pay the production costs of KBC2 ... just like any other TV episode will cost (i.e. any other TV episode, with no 2 crore give-away). Though, in this case KBC2 needs to pay a hefty fee to Amitabh Bacchan .. .so AD money, better be good enough. I don't under-estimate Amitabh Bachhan ability to attract Ad money for KBC2. Ad money should be sufficient to pay AB's cost .... and a small profit margin for STAR. So, where are the big (abnormal) bucks. The analysis proves that this is too normal financially. Nothing too out of the world. Anyway finally, the annual analysis: It's simply wrong arithmetic .... check the numbers. 576000 crores .. is an arithmetically incorrect calculation. If SMS revenue is 24 lacs i.e. 0.24 crores per episode: Annual SMS revenue is-- 0.24* (5 * 4)(episodes/month) * 12 = 57.6 crores. Just 57 crore rupees of SMS revenue for running KBC2 for all year !!! And 240 episodes of KBC2 will need to give 480 crores as prize money. STUPID .... what's the fun. STAR would stop the show, if the Ad money is not large enough to pay for the prize money and Amitabh's fee. SMS revenues are paltry. Here we go, generating another thumb rule: You don't go door to door collecting people's p(i)ss, to solve the problem of water scarcity !!! Edited August 31, 2005 by bhutes Share this post Link to post Share on other sites
amitstg 0 Report post Posted August 31, 2005 well calculated bhutes bhai ! Share this post Link to post Share on other sites
