India’s media and entertainment market to exceed $ 23 billion by 2023 – Digital TV Europe

India’s media and entertainment industry is expected to grow rapidly this year with a value of INR 1,733 billion (US $ 23.7 billion).

According to a new FICCI-EY report, India’s M&E sector is expected to reach INR 2.23 trillion ($ 30.6 billion) by 2023 at a CAGR of 17%.

Television is expected to remain the largest segment, despite declining revenues over the past year. In 2020, India’s television industry fell 13% from INR 787 billion to INR 685 billion ($ 10.5 billion), largely due to reduced advertising rates during the lockdown months.

The subscription market fell 7% to INR 434 billion ($ 5.79 billion) due to the growing prevalence of free-to-air television and the decline in ARPU.

The report notes that the total time spent watching TV in India increased by 9% during the year and that smart TVs exceeded five million.

Looking ahead, TV revenues are expected to grow at a 7% CAGR to reach INR 847 billion (US $ 11.3 billion) by 2023, as smart TV adoption continues to grow. increase and OTT services benefit.

Dilip Chenoy, Secretary General of FICCI, said: “Although the media and entertainment industry has been largely affected by the pandemic, the good news is that digital subscription has increased by 49% and the industry of online games increased by 18%. Different sectors of the media and entertainment industry will take different time to recover, making the report more crucial. “

Ashish Pherwani, Partner and Media and Entertainment Leader, EY India, said: “The M&E industry has witnessed a shift in demand patterns as consumers actively seek alternatives and have time to try. new things. Consumption patterns have changed and increased in online news, games and entertainment.

“The offer has also changed as companies have taken the opportunity to reinvent themselves. Each segment has redefined itself across verticals becoming video, audio, text and experiential products agnostic and integrated to enhance their offerings. However, the gripping content created around news and escape, and the passion to build some of India’s most powerful brands remained steadfast. “