Wednesday, December 20, 2006

Ads, not tickets, fetch Volvo buses Rs 1.16 cr a year

Ads, not tickets, fetch Volvo buses Rs 1.16 cr a year
Vijay Times

BBa an ngga allo orree:: Ever noticed those eye-catching ads of a clothing major on the window panes of Volvo buses belonging to the Bangalore Metropolitan Transport Corporation (BMTC).

Well, these buses have been fetching good revenue for the state-run transport company when it comes to advertisement revenue. Deciding not to depend only on daily commuter revenue, the space on the side window panes have been given on contract to three ad firms which are fetching BMTC a huge sum of Rs 1,16,64,000 per annum.

Vishwanath, chief traffic manager (commercial), explains, "Ad space on 24 Volvo buses have been given on contract to display Excalibur clothing. This will also include advertisements from Hutch shortly. Each bus has been given for Rs 4,86,000 per annum." The unique see-through ads involve pasting of commercial ads that enable commuters to see outside the panes, while visibility from the outside is blocked, enabling only the advertisements to be visible to outsiders. The three firms Sporting and Outdoor Services, Horizon Media and Vijay Advertising - have bagged contracts to display commercial ads at present.

A total of 32 bright-red Volvo buses are being operated by BMTC on seven routes, earning daily ticket revenues of Rs 2.3-Rs 2.5 lakh. Besides, BMTC earns revenue from ads displayed on the sides and rear from its 4,050-strong Janapriya and Parisara Vahini fleet. Certainly, a novel way of recovering the Rs 70 lakh the state-run corporation paid for each bus.

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