Indian Railways look to boost advertising revenues; aims Rs 2000 crore
In another means to obtain non-fare proceeds, the government will now be gearing up to earn advertisement revenues to the tune of Rs 2,000 crore from corporate giants who will soon be able to use trains as ad spaces.
The proposal is ready and is expected to get the approval of the railway board next week, a report by Times of India said on Monday.
The report quoted a senior government official who said, “The railways has shunned the earlier approach of selling advertisement rights on a piece-meal basis and is ready with plans to award media rights for the entire train (both inside and outside) and stations on a long-term basis to big corporate players.”
“…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,” the report added.
With head-on elections in five states including Uttar Pradesh and Punjab, the railways has ruled out hiking passenger fees.
Indian railways, who has proposed several plans like installing over 2,000 ATMs on platforms and leasing out big, outstation platforms like Surat and Navapur for wedding receptions, has been finding alternative ways of mopping up revenues.
Last year, the railways sold rights for vinyl wrapping advertisements on the exteriors of four trains with an aim to earn over Rs 8 crore in a year. The trains included Mumbai Rajdhani, August Kranti Rajdhani, Mumbai-Ahmedabad Shatabdi and Ahmedabad-Mumbai double-decker, the report added.