Companies

‘India will have fifth-biggest newspaper market by 2026’

India is expected to become the fifth-largest TV advertising market globally by 2026, while the cinema industry is expected to clock 38.3 per cent growth during 2022-26 after the hit from the pandemic. As per PwC’s latest global Entertainment and Media Outlook 2022-26, the Indian media and entertainment sector overall is expected to reach ₹4.3 lakh crore by 2026, clocking 8.8 per cent CAGR.

After the pandemic-induced slowdown in 2020, TV advertising market clocked a growth of 16.9 per cent and reached ₹32,374 crore in 2021. The segment is expected to see 6.3 per cent CAGR to reach ₹43,410 crore by 2026, to make it the fifth-largest globally, the report stated.

Internet advertising is set for 12.1 per cent CAGR to reach ₹28,234 crore by 2026, from ₹15,962 crore in 2021. Given India’s mobile-first Internet access market, the mobile sector accounted for 60.1 per cent of total internet revenue in 2021 and this is expected to rise to 69.3 per cent by 2026, the report added.

“India is the third-biggest cinema market globally in terms of admissions, after China and the US, in 2021,” the report noted, adding that it was set to touch ₹16,198 crore by 2026 to register the highest growth rate — 38.3 per cent CAGR — among all the segments.

OTT video revenue nearly doubled in 2021 to ₹10,863 crore and is expected to reach ₹21,032 crore — CAGR of 14.1 per cent — by 2026, driven by subscription services.

Rajib Basu, Partner and Leader–Entertainment and Media, PwC India, said, ”The Indian media and entertainment outlook for the next few years is quite unique. There is an exciting pace of growth of digital media and advertising, led by the deeper penetration of internet and mobile devices in our market. At the same time, traditional media will hold their steady growth rate over the next few years. We shall see a very different profile of media and entertainment-related businesses and revenue models emerging in the digital space once we have the rollout of 5G.”

Newspaper market

“India will see an increase in total newspaper revenue at a 2.7 per cent CAGR from ₹26,378 crore in 2021 to ₹29,945 crore in 2026. India, which will leapfrog both France and the UK to become the fifth-biggest newspaper market by 2026, will also be the only country to grow total newspaper print revenue consistently across the five-year forecast period. India will also be the only country to grow daily print newspaper copy sales (by volume) during the forecast period,” the report noted.

The country’s total video games and esports revenue was ₹16,200 crore in 2021, and is forecast to reach ₹37,535 crore by 2026, at 18.3 per cent CAGR. The report noted that while it’s still a fairly small market for the country’s size and population, India’s video games market is the third fastest growing in the world and predominantly geared toward social or casual gaming.

The music, radio and podcast segment grew at 18 per cent in 2021 and is set for 9.8 per cent CAGR to reach ₹11,536 crore by 2026. Driven by music streaming platforms, India’s recorded music industry, one of the key sub-segments, is seeing a steady CAGR of 13.6 per cent and expected to touch ₹4,849 crore by 2026.

Published on June 23, 2022