Media & Entertainment Industry is big in India spearheaded by the Largest Film Industry in the world – The Bollywood. Although last couple of years have not been good due to recession, the Industry is expected to grow at a compound annual growth rate (CAGR) of 13 per cent over the next five years. M&E Industry will cross 1 trillion rupee mark by 2014.
The joint report released by FICCI & KPMG also showed that M&E Industry grew at 1.4 percent in 2009, subscription revenues of TV and print grew by 8.5%, while sectors like OOH, films and radio registered a negative growth in 2009.
Here are some of the Highlights of Media & Entertainment Industry Report:
- Advertising spends grew at CAGR of 10 per cent in the past three years, with almost flat growth in 2009, and is expected to exhibit a robust CAGR of 14 per cent over the next five years.
- The television industry, which is pegged at Rs 257 billion, has been growing at the rate of 6.8 per cent since 2008
- Though the average time spent on watching television remained largely flat, the number of advertisers on TV increased from 8,500 in 2008 to 9,400 in 2009.
- The television industry is projected to grow at the rate of 15 per cent over 2010-14 and reach a size of Rupees 521 billion in 2014.
- The Indian print media has shown a moderate growth of 2 per cent in 2009 and reached around Rs 175 billion in size.
- Print advertising volumes grew only by 3 per cent in 2009.
- The election print advertisements saw an increase from 0.8 per cent in 2008 to 1.6 per cent in 2009.
- The print industry is projected to grow at a CAGR of 9 per cent in the next five years and will reach Rs 269 billion by 2014.
- Radio industry was also affected by the slowdown, showing a decline of about 7 per cent during 2009.
- The radio industry is estimated to have grown at the rate of 9 per cent since 2006 and is pegged at Rs 7.8 billion by the end of 2009
- The radio industry is expected to grow at the rate of 16 per cent for the next five years and reach a size of Rs 16.4 billion by the end of the five year term
- In 2009, the Indian OOH industry witnessed a 15 per cent drop.
- The share of OOH medium in the overall media pie reduced from 7 per cent in 2007 to 6 per cent in 2009.
- OOH media is estimated to have reached RS 13.7 billion in 2009, a negative growth of 15 per cent over 2008.
After a lackluster last year, 2010 promises to be a great year for Media & Entertainment Industry !