Mumbai: India’s media and entertainment industry is expected to touch Rs1,05,000 crore by 2013 driven by increasing media penetration reaching out to more among the country’s huge population, an industry report said.
But advertising-driven sectors like television, print, radio and outdoor, have been largely affected by the economic slowdown and this is expected to continue in the current year too, the KPMG-Ficci report said.
In the last three years advertising spends grew 17.1% annually, but it could slow to 12.4% over the next five years, it said.
“In the immediate future, media corporates are likely to focus more on operating margins and assess opportunities for consolidation, while building on core strengths,” Rajesh Jain, head information, communication & entertainment, KPMG India said.
The media and entertainment industry, which grew 12.4% to Rs58,400 crore in 2008, is expected to grow 12.5% a year over the next five, closely mirroring the outlook for ad spend.
Sports media is seen to grow quickly as broadcasters, encouraged by cricket’s Indian Premier League example, start aggressively selling sports as entertainment packages.