Bangalore Metro update: Tenders invited for providing consultancy services for Increasing Non-farebox Revenue through Advertising at 5 Metro Stations

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In order to increase non-fare box revenue through Advertisement. Bangalore Metro Rail Corporation Limited (BMRCL) has invited Proposals for selection of consultancy services through an open competitive bidding process for the following Stations.

Name of the Metro Station:

  • Baiyappanahalli 
  • Indiranagar
  • M G Road
  • Kempegowda (Majestic) 
  • Yelachenahalli

Key Details:

  • Tender No.: BMRCL/ED(C&AM)/PD/Consultancy Services-Advt /2021-22
  • Name of work: Short Term Tender for Selection of Consultancy Services for Increasing Non-farebox Revenue through Advertisement at Baiyappanahalli, Indiranagar, MG Road, Kempegowda (Majestic) and Yelachenahalli Metro Stations.
  • Sale Start Date: 23/08/2021
  • Sale End Date: 13/09/2021
  • Date of Pre-bid Meeting: 06/09/2021
  • Date of Opening: 15/09/2021

About the Project:

  • Bangalore Metro Rail Corporation Limited (BMRCL), a joint venture of Government of India and Government of Karnataka, is a Special Purpose Vehicle (SPV) entrusted with the responsibility of implementation of Bangalore Metro Rail Project.
  • BMRCL currently operates a route length of 48.5 km with two Lines viz, Line 1 (Purple Line) of 18.1 Km and Line 2 (Green Line) of 30.45 Km under Phase-1 of Bangalore Metro Rail Project. 
  • There are 45 station complexes along this 48.5 km line. 
  • The daily ridership in Phase-1 had shown a quantum jump and had reached ridership of 4,90,000 per day, pre-Covid.
  • As Bangalore Metro Project continues to grow, BMRCL desires to increase the non-farebox revenue realization to make Bangalore Metro sustainable. 
  • BMRCL is already in negotiations with various corporates to raise the funds under innovative financing techniques by offering to them rights/entitlements such as naming rights of station, advertisement rights, commercial retail space, connectivity through bridge/walkway to their campus/premises etc., for specified periods, against payment of lump sum amounts to the Company which will help partly defray the cost of construction of the Stations/ Line. 
  • BMRCL is keen to explore additional levers to maximize non-fare box revenue, especially through advertisement.
  • BMRCL intends to engage a Consultant to maximize the non-fare box revenue of BMRCL in the above priority areas of 5 Metro stations (KGWA, BYPH, PUTH, IDN, & MAGR). 

Objectives:

The overall objectives of this Consulting assignment would be to:

  • Define Station wise overarching framework to prioritize and optimize space utilization for advertisement inside the station, outside the station and on Metro station piers. 
  • Define station-wise road-map for advertisement.

The duration of engagement of consultancy services is 3 months (12 weeks) and the quoted price is fixed. 

Scope of Work:

The Consultant would be required to identify levers for non-fare box revenue enhancement and develop a roadmap for implementation, through the following activities:

Space Utilization Framework:

  • Assess the current users / usages and planned users / usages of space at BMRCL Metro stations through site visits to select metro stations, and interviews with relevant stakeholders at BMRCL
  • Benchmark 3-4 Indian Metro services (such as Delhi, Mumbai and Hyderabad) to understand: 
    • Methodology space utilization across various users / usages i.e. commuter’s movement, commuter arrival by foot, commuter arrival by public transport / ride-sharing services / personal vehicles and associated parking (if applicable), parking for other private (non-metro) users, Advertisement.
    • Various models in Advertisement to maximize revenue potential, and also constraints (if any) that prevent revenue maximization. For this purpose, other comparable public infrastructure providers such as airports, bus stations and railway stations may also be benchmarked. 
    • Synthesize best practices relevant for BMRCL,
  • Develop a preliminary framework to optimize space utilization in BMRCL metro stations (to jointly optimize user convenience and non-fare box revenue potential), basis the site visits, interviews with stakeholders and benchmarking exercise.
  • Validate and refine the framework on advertisement in metro stations mentioned in the following sections 
  • Finalize the space utilization framework for BMRCL metro stations, which takes into account nuances across various types of stations (residential vs. commercial areas, high vs. low traffic stations, etc.)

Advertising & Co-branding:

  • Market assessment:
    • Undertake a market assessment of the commercial rates for outdoor/ indoor/ in-vehicle/ print/ LED/ video advertising for various sites in Bengaluru.
    • Assess the market demand for print/ LED/ video type advertisements, their infrastructural requirements and the comparative profit margins for each type for space owners.
    • Create a list of advertisement agencies that work on this scale iv. Undertake a study to determine the potential candidates for co-branding of stations based on proximity, possible access to metro, size of workforce, etc.
  • Define Advertising interventions for 5 Metro Stations:
    • Develop draft guidelines for advertising based on market assessment and benchmarking. 
    • Use guidelines to develop recommendations on advertising for 5 metro stations (KGWA, BYPH, PUTH, IDN, & MAGR).
      • For inside station buildings, the consultant shall identify zones for advertising aimed at maximization of revenues while also maintaining aesthetics for better user experience. 
      • For Metro stations, the consultant shall follow Bengaluru City’s advertisement policy to identify advertisement locations, no advertisement zones, unacceptable thematic content, structures to be used for advertisement and illumination. 
    • Develop detailed implementation plan for quick-win initiatives: 
      • Roll out of advertising in additional identified spaces 
      • Optimization and refresh of existing advertising spaces iv Develop detailed implementation plan / road-map for longer term initiatives, linked to expiry of current contracts.
      • Prepare bid documents for appointment of new advertising agencies at the Metro stations.
      • Incorporate leemings from advertising interventions for Metro stations into the Space Utilization framework and the draft guidelines for advertising

Licensing / tendering and allotment procedure:

  • Identify the shortcoming/gaps in the current system of allotment of advertisement sites of similar agencies (basis benchmarking).
    • Recommend steps to bridge the gaps leading to increased revenues 
    • Identify the process within the case studies (ref point 1(i) for realization of revenues such as: 
      • Verification of all types of advertisements 
      • Procedure for advances, deposits etc. 
  • Define staff responsibilities for procurement, revenue collection, detection and enforcement.

Formulation of Advertisement policy and roadmap:

  • Formulate Advertisement policy for BMRCL based on the latest advertisement rules of BBMP.
  • This section should include among other things – 
    • Categorized (location based) list of all sites with advertisement potential 
    • Assigning of identification numbers to each location 
    • Site specific/ categorized suggestions (alternatives where relevant) for advertisement types (print/ LED/ video) 
    • Illumination (can be used for ensuring safety in dimly lit areas, needs to be regulated so as to not be a visual irritant for passengers).
    • Identification of sites relevant for advertisement/ civic messaging by public agencies. 
    • Incorporate latest technological innovations for state of the art advertising 
  • Apart from site specific provisions, the policy should also include – a) Use of technology for operation-and management of the vertical b) Rate revision methods and linkage to market rates

Tenderers can download Tender documents from BMRCL website www.bmrc.co.in.


Source: BMRCL-Tender | Image Credit (representational):BMRCL

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