The following information was issued by EY in a press release:
The Indian Media and Entertainment (M&E) industry is expected to touch USD 34.8 billion, witnessing a CAGR of 11.8 per cent over 2016-21, according to a report titled 'Digital inflection point: Indian media and entertainment', released at the FICCI-IIFA Global Business Forum in New York.
(Of) the sub-sectors in the M&E industry, digital (which includes digital advertising, advertising on mobile, OTT, etc.) is expected to register the highest growth at 26 per cent CAGR in the 2016-2021 period. This is followed by organised sector (expected to grow at 16 per cent CAGR), radio (at 14 per cent CAGR), TV (at 11 per cent CAGR), music (11 per cent CAGR), films (at 10 per cent CAGR) and print (at 7 per cent CAGR), in the same period.
Commenting on the report, Ashish Pherwani, Partner - Advisory, Media and Entertainment, EY says, "The Indian M&E sector is at a digital crossroads today. Every segment of the industry, including print, TV, radio, film, experiential marketing and OTT, is being impacted by digitisation, and is showing growth, consolidation and innovation. It presents an excellent opportunity for companies looking at establishing and expanding their presence in the country, and making the most of the India digital growth story."
Leena Jaisani, Assistant Secretary General - FICCI, says, "India is home to one of the most vibrant, dynamic and differentiated M&E markets in the world. The Indian M&E industry has adapted and innovated its offering to cater to the huge and varied demand in each segment of the industry, be it films, broadcast, digital, animation, print or live events. The Government has (helped boost) growth, investment opportunities and ease of doing business in the industry with initiatives such as single window clearance, favorable tax incentives, policies and regulations... Today, definitely, is the time to invest in the Indian Media & Entertainment Industry."
According to the report, currently, television continues to dominate the M&E sector, with the segment accounting for 46 per cent of the sector's revenue share in 2016. Television, print (23 per cent) and film (11 per cent) segments together accounted for (approximately) 80 per cent market share in 2016. Break up of the remaining 20 per cent: digital (6 per cent), organised events (4 per cent), radio (2 per cent), music (1 per cent), and other segments (7 per cent).
In 2016, total advertising spend across all segments in India stood at USD 8.18 billion which is estimated to reach USD 16.7 billion in 2020. Print media and TV together accounted for 76.2 per cent of the total revenue from advertising in 2016. Mobile advertising has emerged as the third largest advertising medium in India after TV and print.
The report also makes a prediction about the subscription market: pegged at USD 9.3 billion in 2016, it will grow to USD 15 billion by 2020.
Read the detailed report below:First Published : July 17, 2017