Many companies will benefit from the Next Wave, but some verticals will capture the lion's share of the growth and profits. Among the most significant of these "Next-Wave Verticals" are media and entertainment groups.
They are gaining importance in India because of the country's growing middle class, improving literacy rates and increasingly organised retail sector driving demand for print, radio, and TV content.
Improvements in infrastructure and advances in technology are also rapidly increasing media penetration in rural areas of the country where more than two-thirds of the population resides.
Tapping into the 'teenager effect'
Advertising spending in India is roughly one-third of that in the US and Europe, but that's rapidly changing as retailers find competition growing and consumers become more sophisticated and discerning in their buying decisions.
There are now more Indian homes with television sets than homes with telephones. India's 119 million television households comprise about 60 per cent of the total households in the country.
About 50 million receive cable-television services, leading to a penetration of about 42 per cent.
The television-distribution market consists of revenues generated by companies that distribute television programming to viewers.
This includes spending by consumers on subscriptions to basic and premium channels delivered by cable operators, satellite providers, or Internet protocol television (IPTV) services, as well as on video-on-demand (VOD).
Image: A boy watches an episode of soap opera 'Tulsi' at a television shop | Photograph: Massoud Hossaini/AFP/Getty Images
Also read:
Global banks target Indian investors
Advertisement
