Defying all the global trends going around, Indias Media and Entertainment industry looks solid in the coming years. According to a report by PwC, while the global media and entertainment industry grows at less than 5 percent in the period of 2016-21, Indian ecosystem will see a growth of 10.6%. The reports suggests that Indian media industry will become worth ₹291,000 crores by 2021.
The key points in the global report mentions that TV advertising in India will continue to grab the lion’s share from the advertising budget, however, the internet advertising will be the fastest growing factor in the mentioned period of time.
The report also mentions that India will see a great growth in the adoption of newspapers and it will continue with a steady growth rate. This is because of the popularity of publications and increasing literacy rate. The global trend shows a decline in the newspaper readers, however, India has found a sweet spot yet again.
Talking of the factors behind India’s slow adoption rate for online mediums, the report stated that full digitisation of India is still a few years away and till then, televisions and newspapers will continue to dominate the respective categories. Global expectations for growth in television subscription revenue is 1.9%, whereas, Indian TV subscription market will see a growth rate of 11.6% till 2021. Television subscription market in India was worth ₹52,755 crore in 2016 and it is expected to touch ₹90,713 crore in 2021. Though the number of subscribers keep on increasing, experts state that the explosive growth of the recent times can not be repeated.
Internet advertising is one of the most promising sectors for the industry enthusiasts. With a growth rate of 18.6% till 2021, this can open a lot of possibilities. However, India is still not a fully digitised market, this fact further opens up the opportunities.
Being a mobile-first nation, India has a lot of possibilities in mobile advertising space, however, the smaller screen accounts for only 27.6% of total online advertising and that does not seem to improve in the near future.