MUMBAI: The entertainment and media sector in India will see an 8% increase in revenues this year, while online advertising is set to be one of the main drivers of expansion in the future, PricewaterhouseCoopers predicts.
(This story, originally run on Friday, 31 July, 2009, stated the entertainment and media sector in India would see revenues decrease by 8% this year. This has now been corrected to show revenues will in fact increase by that amount.)
According to the professional services firm, the Indian entertainment and media industry enjoyed a compound annual growth rate of 16.6% over the five-year period to 2008.
Similarly, it expects the segment to register a CAGR of 10.5% for the half-decade to 2013, taking it to a value of 929 billion rupees ($19.3bn; €13.7bn; £11.7bn) overall.
Television was responsible for a 43.5% share of revenues last year, and will record an annual improvement of 11.4% in each of the next five years, taking it to a total of 420bn rupees.
Advertising is expected to contribute 41% of the medium's funding by the final year in PwC's forecast, up from the present level of 39%.
Print media in India had a value of 162bn rupees in 2008, but this figure should reach 213bn rupees by 2013, with magazines contributing 6.5% of growth, and newspapers a further 5.6%.
Radio revenues will also climb to 19bn rupees by 2013, an 18% upswing year-on-year, with the medium's share of the advertising market rising from 3.8% to 5.2% as a result, PwC says.
Online adspend will also increase by 32% in this period, from 5bn rupees to 20bn rupees, with its share of the market more than doubling, from 2.3% to 5.5%.
While the outdoor industry is set to see sales rise from 15bn rupees to 25bn rupees, its proportion of ad revenues will remain largely static.
The gaming, animation visual effects industry will also grow by 22%, to 42.5bn rupees, by 2013, with film seeing an upturn of 11.6%, to 185bn rupees.
Data sourced from Indiantelevision.com; additional content by WARC staff