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FICCI South Media Report: Revenues estimated to grow by 16 per cent till 2017

By afaqs! news bureau , afaqs!, Mumbai | In Media Publishing | October 29, 2013
Television is the major contributor in the total media revenues in the South, with 56 per cent contribution.

As per the latest edition of FICCI Deloitte South India Media Report, the industry is at INR 23,900 crore and is expected to grow at a CAGR of 16 per cent over the next four years, reaching INR 43,600 crore in 2017.

FICCI South Media Report

Television is the major contributor in this, currently at INR 13,470 crore, further expected to grow at a CAGR of about 20 per cent over the next four years. The report suggests that although the expected rate of growth for 2013 was 14 per cent, due to the 'sluggish economic growth', it's come down to 11 per cent. Print is the second highest contributor with INR 6680 crore in FY 2013, expected to grow by 8 per cent CAGR till 2017. Films follow with contribution of INR 2680 crore currently.

Tamil Nadu is the biggest earner with 36 per cent of the total INR 23,900 crore that the region gets, followed by Andhra Pradesh with 31 per cent, Karnataka with 19 per cent and Kerala at the end with 14 per cent contribution.

Within television, subscription revenues currently represent 66 per cent and advertisement revenues represent about 30 per cent, with the remaining 4 per cent being contributed by content. The report suggests, "With digitisation of cable and the resulting shift from analog to digital ARPU levels, the share of subscription revenues in overall industry revenue is expected to rise to 73 per cent in FY 2017."

Meanwhile, over 60 per cent of the total ad revenue of South India (INR 4000 crore) is garnered by Tamil Nadu and Andhra Pradesh.

For the print media, 36 per cent of the total readership is contributed by Hindi publications, followed by 29 per cent by the South Indian vernaculars and then, by non-South vernaculars that contribute about 26 per cent. English publications have a miniscule share of 10 per cent of the total readership.

For the films business, in 2013, Tamil and Telugu films together accounted for almost 90 per cent of the revenue, with the rest being equally contributed by Kerala and Karnataka.

As for new media, its growing and now regional content has been made available on platforms like Apalya, Ditto TV and NexGTV.

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