Revenue of the Indian entertainment and media industry is expected to grow at a compound annual growth rate (CAGR) of 8.3 per cent to Rs 3,65,000 crore, as per a PwC report. The Indian E&M industry’s growth would outpace the global rate of 4.6 per cent, the report added.
According to the ‘Global Entertainment & Media Outlook 2024–28: India perspective’ report, advertising revenues are projected to grow 9.4 per cent to reach Rs 1.58 lakh crore, which is also higher than the global average of 6.7 per cent. Advertising is expected to grow 15.6 per cent, reaching Rs 85,000 crore, which is the highest growth rate among the top 15 countries and 1.6 times above the global average.Â
Esports and online gaming is projected to reach Rs 39,583 crore by 2028, growing at a CAGR of 19.2 per cent.Â
When it comes to OTT platforms, the segment is projected to grow at a CAGR of 14.9 per cent to Rs 35,061 crore by 2028. It is the highest among the top 15 countries.Â
India is currently placed at the ninth spot, with the US leading the entertainment and media market revenue, followed by China. Global E&M revenues grew 5.5 per cent year-on-year, from Rs 13,891,000 crore in 2022 to Rs 17,359,000 crore in 2023.Â
Manpreet Singh Ahuja, Chief Digital Officer and TMT Leader at PwC India, said that the key growth drivers are digital advertising, OTT platforms, online gaming, and Generative AI.Â
The report added that India’s improved connectivity, rising advertising revenues, and favourable government policies around foreign direct investment (FDI) is expected to propel India’s growth figures. India’s Gen-Z and millennial population base of over 91 crore has access to India’s cheapest data costs, it added. Moreover, India has 80 crore broadband subscriptions, 55 crore smartphone users and 78 crore internet users.
Indians spend 78 per cent of their time on mobile phone apps on media and entertainment, the report added.
The PwC report stated that traditional TV advertising would grow at a 4.2 per cent CAGR between 2023 to 2028, while global revenues are set to drop by 1.6 per cent.Â
India’s out-of-home (OOH) advertising market witnessed substantial growth, increasing by 12.9 per cent in 2023, thanks to infrastructure enhancements. The market is projected to continue expanding at a CAGR of 7.6 per cent.
When it comes to print advertising, India defies the global trend of decline, which stands at a CAGR of -2.6 per cent. Instead, India’s print advertising market is expected to grow at a rate of 3 per cent. This growth trajectory positions India to become the third-largest print market globally by 2028.
The Indian cinema market is also on an upward trajectory, expanding at a CAGR of 14.1 per cent. This indicates a robust and growing interest in cinema across the country.
Music revenue in India, encompassing live, recorded, and digital formats, has shown impressive growth. From Rs 2,416 crore in 2019, it surged to Rs 6,686 crore in 2023. Projections suggest it will surpass Rs 10,899 crore by 2028, growing at a CAGR of 10.3 per cent.
India is projected to have the highest business-to-business (B2B) revenue growth rate globally over the next five years, with a CAGR of 5.6 per cent. This is in stark contrast to the global B2B revenue growth forecast, which is set at a CAGR of 1.9 per cent.