THIRUVANANTHAPURAM: KSRTC plans to achieve 300 per cent hike in revenue in five years from the display of advertisements on its buses. The corporation hopes to amass Rs 161 crore in five years from this auxiliary revenue, which will give the debt-ridden corporation an opportunity to generate extra income. For displaying advertisements in KSRTC buses, the Karunagapally-based Orange Advertising gained the license rights for Rs 21 crore a year. The Ernakulam-based Chams Branding Solutions India Pvt Ltd obtained the rights in KURTC low-floor buses for Rs 5.33 crore a year.
“The advertisement revenue will achieve a growth of 300 percent increase in five years. The rights have been granted to advertisement firms for a period of five years and the corporation will receive a huge amount of Rs 161 crore in five years as compared to Rs 59 crore revenue as per the previous agreement,” said KSRTC CMD Tomin J Thachankary. The revenue from last year was Rs 8.38 crore for ads displayed in KSRTC buses and Rs 1.30 crore in low-floor buses.
Meanwhile, encouraged by the response, the management has decided to set up hoardings and video wall advertisements at all bus stations for displaying advertisements as part of maximising the revenue from non-operating sources.
This week, the corporation invited a tender for awarding the license for the display of advertisement in KRSTC fast passenger buses, ordinary buses, and KURTC buses on the auction-cum-tender basis for five years. The tenders for hoardings and video wall advertisements will be held on October 23. The corporation has also invited bids for the allotment of advertising rights on digital display on Pamba-Nilakkal chain special service buses. The last date to obtain the tender is October 30 and the pre-bid meeting will be held on 31.