The city-based Mid-Day Multimedia (MML) is looking at the possibility of replicating its outdoor advertising business model to other cities. To begin with, the company has identified Chennai for beginning its operations.

Tariq Ansari, managing director, MML, said: "We are excited about the Chennai acquisition. As a matter of fact, the first half of this year has been disastrous for the outdoor media market in Mumbai, registering a drop of 45.5 per cent, (from Rs 55 crore to Rs 30 crore). On the contrary, the Chennai market has, however, registered a good growth in this segment."

One of the chief reasons for the company to lay more focus on the outdoor model is the fact that it has reduced the company's dependence on the print business.

Said Ansari: "The outdoor model is fast becoming a front runner especially when companies are cutting spends on mass media advertising."

Ansari further attributed the Chennai acquisition to the fact that Mid-Day had to grow beyond being a single-city model. He said: "Strategically, we are convinced of the market-delivery model in Chennai. The opportunities to experiment with new technologies in that city is immense. The changing face of Chennai will also give impetus to our outdoor business."

The company at present has a monopoly position in the bus-shelter and light-pole kiosks business in Mumbai with more square feet display assets.

For the year ending March 2001, advertising revenues from the outdoor business have increased 79 per cent from Rs 16 crore to Rs 30 crore, while the contribution to the bottomline increased by 509 per cent from Rs 1.04 crore to Rs 6.34 crore.