The revenue of the entertainment and media industry in the country is projected to reach Rs 3,65,000 crore by 2028, growing at a compound annual growth rate (CAGR) of 8.3 percent, outpacing the global rate of 4.6 percent, according to a report released by PricewaterhouseCoopers (PwC) on Monday.
Within the sector, advertising revenues are projected to grow at a CAGR of 9.4 percent, reaching Rs 1,58,000 crore by 2028, which is 1.4 times the global average of 6.7 percent, according to PwC India’s report. Most of this growth will come from the digital front (internet advertising).
Internet advertising in India is expected to grow at a CAGR of 15.6 percent, reaching Rs 85,000 crore by 2028, the highest growth rate among the top 15 countries, and 1.6 times the global average.
On the other hand, the online gaming and esports sector in the country is growing at a CAGR of 19.2 percent and is projected to reach Rs 39,583 crore by 2028.
Meanwhile, OTT platform revenues in the country are projected to grow at a remarkable CAGR of 14.9 percent, the highest among the top 15 countries, reaching Rs 35,061 crore.
“According to our ‘Global Entertainment and Media Outlook 2024-2028,’ key growth drivers such as digital advertising, OTT platforms, online gaming, and Generative AI are shaping the future of the industry,” said Manpreet Singh Ahuja, Chief Digital Officer and TMT Leader at PwC India.
With India’s improved connectivity, rising advertising revenues, and favorable government policies around foreign direct investment (FDI), the country is predicted to see one of the highest growth rates in the next five years.
At present, India has 80 crore broadband subscriptions, 55 crore smartphone users, and 78 crore internet users. Indians are spending 78 percent of their time on mobile phone apps related to entertainment and media.
Infrastructure enhancements have supported massive growth in India’s out-of-home (OOH) advertising market, which grew by 12.9 percent in 2023. It is expected to continue growing at a 7.6 percent CAGR, the report noted.
When it comes to print advertising revenues, despite a global decline at a CAGR of -2.6 percent, India’s market is expected to grow at a rate of 3 percent, making it the third-largest print market in the world by 2028.
The cinema market in the country continues to expand, growing at a 14.1 percent CAGR, the report added.
(IANS)