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India’s print media sees ads rebound, but costs are up
Newspaper planning & buying
India
India’s print media could see increases in advertisement revenue offset by higher newsprint costs, according to a ratings agency.
Context
The print industry saw a decline in newspaper paginations and circulation volumes during the pandemic, but it is now preparing to respond to renewed economic activity and growth.
Takeaways
- A report from India Ratings & Research notes that print media players derive about two-thirds of their overall revenue from advertising, while one third comes from circulation and other operating income.
- Ad revenue growth of between 25% and 30% is predicted for the 2023 financial year. This follows on 25% growth in the 2022 financial year.
- But the report also notes that the industry imports about 60% of the newsprint consumed, with Russia accounting for some 38% of the total in the 2021 financial year.
- The price of newsprint was already rising and during March and April of this year, the price of imported newsprint jumped 80% because of the war in Ukraine. Faced with shortages, further price increases can be expected over the next six months.
Sourced from India Ratings & Research, Economic Times [Image: Pexels]
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