Industry to record world’s fastest CAGR of 10.75% over next four years, according to PwC
According to a consultant, the country’s media and entertainment (ME) sector will experience the fastest growth in the world in terms of consumer spending and advertising by 2025 and be worth more than Rs 4 lakh crore. According to PwC, the industry would grow at a compound annual growth rate (CAGR) of 10.75% over the next four years, reaching Rs 4,12,656 crore by 2025.
“Despite the pandemic, India’s entertainment and media industry has shown remarkable resilience,” said Rajib Basu, partner of the consultancy firm, adding that India would be the growing entertainment and media market. fastest in the world in terms of consumption and advertising revenue.
Technological advancements and deepening internet access will continue to influence the way Indians consume content, he said, adding that there will be more appetite for localized content and there will be more appetite for localized content. new business models will also evolve. TV advertising has risen to Rs 35,015 crore in 2020 despite the pandemic and will increase at the rate of 7.6% to contribute over Rs 50,000 crore to the overall pie, he said.
Internet advertising is expected to grow at a faster rate of 18.8% per year over the period 2020-2025 to reach over Rs 30,000 crore by the end of the cycle, he said. The report adds that mobile internet advertising revenue in India was Rs 7,331 crore in 2020 and will reach Rs 22,350 crore by 2025, an increase of 25.4%.
The mainstream newspaper and magazine industry, however, is expected to grow at a much lower rate of 1.82% to reach Rs 26,299 crore by 2025, he said, adding that print advertising revenue has fallen. 12% and print circulation revenues were down 4%. in 2020 due to the pandemic in 2020.
Box office revenue is expected to recover and increase at a CAGR of 39.3% to reach 13,857 crore by the end of 2025, he said. PwC added that the movie industry, which has been hit hard by the pandemic, will return to pre-pandemic levels by mid-2023.
Total revenues of the Indian music, radio and podcast market fell in 2020 to Rs 4,626 crore, as the pandemic took nearly Rs 522 crore from the country’s live music industry, a- he declared. The global music, radio and podcast industry will grow 19.1 percent annually to reach Rs 11.026 crore in 2025, the consultancy added.
Revenue from video games and e-sports reached Rs 11,250 crore in 2020 and is expected to grow to Rs 24,213 crore in 2025, at an annual growth rate of 16.5%, he said.