IMC 2008: Indian magazine industry is the fastest growing in the world

The last session of the day at the Indian Magazine Congress 2008 was presented by Mukesh Jain, associate director, transaction advisory services, Ernst & Young. Jain started by giving an overview of the Indian media and entertainment industry. The IMC 2008 was held in Mumbai on Monday.

He said that the high volume market in India makes up for the low average revenue per consumer in this sector. He said that in spite of the low revenue, this industry will keep growing at 20 per cent per annum.

According to Jain, the Indian magazine industry is the growing the fastest in the world and, therefore, attracts international interest. Even with incoming global attention, the regional market still rules the roost as Hindi magazines dominate with 44 per cent of the market share, whereas English magazines appeal to only 21 per cent of the market.

Jain then spoke about the funding options available to print publications and laid out two options from which they could choose: equity and debt. The equity option was feasible for sectors such as film production and TV broadcasting since the risks involved are high, while sectors such film distribution, radio and print could ideally go for debt as they could provide collateral. He also elaborated on the equity funding options available for the print media sector.

Jain then explained how financiers perceived the industry and how this sector could prepare for the future.

The Indian Magazine Congress 2008 was organised in association with Worldwide Movies (WWM). The theme of the Congress this year was: Where Is the Next Big Opportunity?