Indian entertainment and media industry: The future is here, says FICCI-PwC report
The Indian entertainment and media industry is poised to grow at 19 per cent compound annual growth rate (CAGR) to reach Rs 83,740 crore by 2010 from its present size of Rs 35,300 crore, according to the 2005 annual edition of the FICCI-PiceWaterhouseCoopers report

Indian entertainment and media industry is poised to grow at 19 per cent compound annual growth rate (CAGR) to reach Rs 83,740 crore by 2010 from its present size of Rs 35,300 crore, according to the 2005 annual edition of the FICCI-PiceWaterhouseCoopers report, ‘Indian Entertainment and Media Industry – Unraveling the potential’. The industry has been forecast to outperform the economic growth in each year till 2010. “Economic growth, rising income levels, consumerism coupled with technological advancements and policy initiatives taken by the Indian government that are encouraging the inflow of investment, will prove to be the key drivers for the entertainment and media industry,” the report said.
“Two factors that will contribute to the growth of the industry are low media penetration in lower socio-economic classes and low ad spends,” said Deepak Kapoor, Executive Director and Leader for PwC’s Entertainment & Media Practice in India. “Today, media penetration is poor in lower socio-economic classes, but efforts to increase it even slightly are likely to deliver much higher results, simply due to the absolute numbers being large,” he added.
Strong economic growth, rising consumer spending and regulatory corrections are drawing foreign investments in most segments of the entertainment and media industry, especially the print media. “The sector needs a consistent and uniform media policy for increase in investments in all sectors, needs efforts not just by the industry bodies, but by the government, with empowered officers enforcing anti-piracy laws,” said Dr Amit Mitra, Secretary General, FICCI.
The report said that Indian advertisement spends as a percentage of GDP, at 0.34 per cent, was abysmally low, as opposed to other developed and developing countries, where the average was around 0.98 per cent. “While today the low ad spends may seem like a challenge before the entertainment and media industry, it also throws open immense potential for growth,” points out the report. This potential can be estimated by the fact that even if India was to reach the global average, the advertising revenues would at least double from the current level of around Rs 132 billion, the report stated.
For the television industry, the report forecast that it would grow at an CAGR of 24 per cent and would be of the size Rs 42,700 crore from its present size of Rs 14,800 crore. Subscription revenues are projected to be the key growth driver for the Indian television industry over the next five years. Subscription revenues will increase both from the number of pay TV homes as well as increased subscription rates. The buoyancy of the Indian economy will drive the homes - both in rural and urban (second TV set homes) areas - to buy televisions and subscribe for the pay services. New distribution platforms like DTH and IPTV would only increase the subscriber base and push up the subscription revenues, the report said.
The forecast for the print media has been included for the first time in the report. The print media is expected to grow at a CAGR of 12 per cent and will reach Rs 19,500 crore by 2010 from the current size of Rs 10,900 crore. “With the literacy on the rise, more people in rural and urban areas are reading newspapers and magazines today. Also, there is more interest in India amongst the global investor community. This leads to demand for more content from India. Foreign media, too, is evincing interest in investing in Indian publications,” the report observed.
In
conversation with Deepak Kapoor, Executive Director and Leader of PwC’s
Entertainment & Media Practice
Which sector you think in the entertainment industry will receive maximum investment in one year’s time? All sectors are doing well and have tremendous potentialhence all are likely to receive investment both in the shortterm and long-term. However, sectors where one needs immediate investments are radio due to the large number of frequencies that are privatised, television distribution due to digitalisation and addressability, theatrical film industry such as investments in digital cinemas and multiplexes and many others. Do you think there should be a uniform foreign investment limit for all the sectors of E&M industry? We do not believe there should be a single limit- what should be there is a consistent and a uniform foreign investment policy for all sectors of the E&M industry.
Do you think the current chaos in the addressability system in the television sector is detrimental for the television industry? What is the way out? We believe an addressable system is extremely important for the growth of the television industry. Unfortunately, there is no one single-solution to this issue as it has wider implications for all stakeholders. Conditional Access System (CAS) is a technology that makes the present cable system addressable. An addressable cable system and DTH can surely co-exist.
A new introduction in this year’s report on Entertainment and media industry is the print media. How ready is this sector to face the onslaught from other media in India? Print media is one of the most mature segments and also one of the oldest segments of the E&M industry. Inspite of this, there still exist several growth drivers for this segment - such as rising readership levels, rising literacy levels and many others. Hence, there should be no doubt on the potential for this segment. |
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E4M Our strategy is to target younger audiences through Sports: Rajiv Dubey, Dabur
The Head of Media at Dabur India spoke exclusively to exchange4media on the World Cup, associating with Indian Idol, the company’s digital spending and much more
With quirky campaigns, memes and moment marketing, timed with the ongoing World Cup and particularly the India-Pakistan matches, Dabur India has got considerable consumer attention for its popular brands – Red Paste, Cool King Hair Oil, Chyawanprash, Dabur Vita and the recently launched Bae Fresh Gel toothpaste.
The 140-year-old company is going big on key sporting events, World Television Premiere (WTP) movies and reality shows. It is now gearing up to become the title sponsor of popular talent show ‘Indian Idol’ on Sony TV for the first time, shared Rajiv Dubey, who leads the media strategy at Dabur.
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Swapan Seth's new book 'COOL' is out
The book is a reflection of the author's 'eclectic taste across categories'
Advertising professional and art collector Swapan Seth has announced the launch of his new book COOL. The book is described as "a ready reckoner to the hip and the happening, of the known and the very unknown."
The book is a reflection of the author's "eclectic taste across categories: from boltholes to exotic hideaways."
COOL has been published by Simon & Schuster India and is available on Amazon.
Seth is an ad veteran with a long and illustrious career in the industry. He became the youngest-ever Creative Director at Clarion at age 24. He was VP at 26 at Trikaya Grey. Two years later, he started his agency Equus.
He writes for publications such as The Economic Times, Hindustan Times and India Today. This is his second book and he has previously published THIS IS ALL I HAVE TO SAY.
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Disney Star signs 9 sponsors for Asia Cup PAK
Charged by Thums Up, Nerolac Paint+, Amazon Pay, Jindal Panther, My11Circle, MRF, Samsung Galaxy Z Flip5, Wild Stone and Thums Up come on board
e4m Staff Disney Star has signed nine broadcast and digital streaming sponsors for the upcoming Asia Cup.
Charged by Thums Up, Nerolac Paint+, Amazon Pay, Jindal Panther, My11Circle, MRF, Samsung Galaxy Z Flip5, Wild Stone and Thums Up have come on board for the upcoming tournament.
As reported earlier by exchange4media, Disney Star has sought Rs 26 crore for the co-presenting sponsorship on TV and Rs 30 crore for Disney+ Hotstar.
According to industry sources, the associate sponsorship on Star Sports has been priced at Rs 19.66 crore, whereas for the ‘powered by’ sponsorship on Disney+ Hotstar, the broadcaster is seeking Rs 18 crore.
As per the information available with exchange4media, Disney+ Hotstar has three sponsorship tiers-- co-presenting (Rs 30 crore), powered by (Rs 18 crore) and associate sponsorship (Rs 12 crore). The broadcaster is offering an estimated reach of 120-140 million for co-presenting sponsors, 90-100 million for powered by and 60-70 million for associate sponsorship.
A spot buy for 10 seconds has been priced at Rs 25 lakh for the India vs Pakistan matches, while for the non-India matches, the ad rate for 10 second is Rs 2.3 lakh. The India matches plus the final for ODIs has been priced at Rs 17 lakh per 10 seconds.
Asia Cup is scheduled to be held from 30 August, 2023, to September 17, 2023.
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Sorted 360 wins creative & social media mandate of Reliance Mall
The agency will manage offline and online campaigns for Reliance Mall
Sorted 360, an integrated creative and social media agency, has won the mandate to providing brand solutions for Reliance Malls across India.
“Sorted 360 is set to enhance Reliance Malls' market presence with their unparalleled creative prowess and strategic thinking,” read a press release.
“Sorted 360's commitment to pushing the boundaries of creative communication aligns perfectly with Reliance Malls' ethos. With a pan-India presence spanning across 19 cities and growing, Reliance Malls has consistently captivated customers by offering an array of Reliance brands and third-party fashion & lifestyle brands. The mall has established an unparalleled connection with its patrons through superior quality, a remarkable value proposition, and an unmatched shopping experience,” it read further.
"We are thrilled to welcome Sorted 360 as our trusted partner in advancing our brand presence across the nation," said the Head of Marketing at Relaice Malls. "Their proven expertise in retail, shopping center management, and innovative creative strategies make them the perfect fit for our vision."
"Partnering with Reliance Malls is a testament to our commitment to shaping extraordinary brand experiences," remarked Prerana Anatharam, Co-founder of Sorted 360. "We are excited to leverage our strategic and creative acumen to further elevate Reliance Malls as the epitome of convenience, choice, and excellence."
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KlugKlug onboards Hemang Mehta as Country Manager for Indias
Mehta was most recently Head of Agency Relationships at Network 18 Media & Investments
KlugKlug has appointed Hemang Mehta as its Country Manager for India.
Mehta will play a pivotal role in driving KlugKlug's growth and expansion within the Indian market and be responsible for Sales & GTM Strategy
Prior to that, he has also represented organisations like Exponential (now VDX.tv), India Today Digital and Rediff.com. His expertise spans various domains including digital media sales, mobile marketing, media planning, and buying, social media marketing, and more.
Hemang Mehta expressed his enthusiasm about joining KlugKlug, saying, "I am thrilled to be a part of KlugKlug, a forward-thinking platform that is reshaping the influencer marketing landscape. As much as I look forward to collaborating with the exuberant team at KlugKlug, I am super excited to interact with the brands to deliver powerful data-backed Influencer solutions that will guarantee business outcomes."
Commenting on the appointment, Kalyan Kumar, Co-Founder and CEO of KlugKlug, stated, "We are excited to welcome Hemang Mehta to our team as the Country Manager for India. His extensive experience in digital media sales and marketing will be instrumental in driving our efforts to provide influencer marketing solutions to our clients. We believe Hemang's leadership will be key in scaling our operations and expanding our reach within the Indian market."
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