India's entertainment and media (E&M) industry may grow by 10.5 per cent cumulatively next five years, to touch Rs 92,950 crore (Rs 929.50 billion), a PriceWaterhouseCoopers report said on Wednesday.
"The Indian entertainment and media (E&M) industry is estimated to grow from Rs 56,390 crore in 2008, at a CAGR of 10.5 per cent for the next five years to reach Rs 92,950 crore in 2013," the report titled 'Indian Entertainment and Media Outlook 2009' said.
"Over the period 2009-13 India will grow at 11 per cent, the fastest among BRIC countries," the report said, adding that this growth will be fed by robust spending on recreation, education and cultural services.
The trend is evident from the recent tie-up between Anil Ambani's Reliance Group with Steven Spielberg's DreamWorks Studios, continuous FDI inflows in Zee Telefilms, Balaji Telefilms and launch of new publications, among others.
The television industry is projected to be the major contributor to the overall industry revenue pie.
"The television industry is estimated to grow at a stable rate of 11.4 per cent cumulatively over the next 5 years, from an estimated Rs 24,470 crore in 2008," the PwC report said. However, growth has been moderated as the industry grew by 16.6 per cent in 2004-08.
"Slowdown has impacted the Indian E&M industry more from an advertising standpoint than a subscription standpoint," the report said.
The slowdown impacted the print industry more than the television industry as advertisers slashed ad spends except for FMCG and telecom.
Internet advertising, however, picked up, it said. "Internet advertising is one of the few segments that have had a low impact of the slowdown. Over the next five years, digital technologies will become increasingly pervasive across all segments of media," PwC Global managing partner, entertainment and media practice, Marcel Fenez, said.
There will be "no hiding-place" from the impact of new models and dynamics across the industry, he added.
"The fastest growing Facebook demographic is 35-54 years and the second fastest is people above 54 years of age," Fenez said.
