INDIA IS THE FASTEST GROWING M&E MARKET: PWC
FRANK D’SOUZA, PARTNER & LEADER ENTERTAINMENT & MEDIA, PWC INDIA
The PwC Global Entertainment & Media Outlook 2018-2022 released last week predicts growth at a CAGR of 11.6% for the Indian Entertainment & Media industry, to be led by increasing device penetration and lower Internet prices, which will in turn drive consumer demand for content.
While smartphone data consumption is set to grow at a CAGR of 90.4% for 2017-2022, the number of high-speed mobile Internet connections are expected to increase by 2.2 billion globally by 2022, with total global data consumption via smartphones overtaking fixedbroadband data consumption by 2020.
The rapid growth is expected to come on the back of digitally-driven segments, with virtual reality leading the way. India is projected as the fastest growing market (excluding Internet access), growing at a CAGR of 11.7% through 2022. The fastest growing segments in India are data consumption (non-revenue), OTT and Internet advertising. However, while OTT is one of the fastest growing segments, traditional TV and home video will still hold the largest share of the Indian entertainment and media market through 2022. Moreover, despite a global decline in newspaper revenue, India’s newspaper revenue is expected to grow at a CAGR of 4.4% on the back of expanding literacy rates, rural economic growth, regional news demand and low cover prices.
“While it is not surprising that India continues to be one of the fastest growing entertainment and media markets globally, what is encouraging is how non-linear media is expected to grow on the back of increase in device penetration, lower Internet prices, consumer content demand and portability preferences. This will manifest in significant growth in OTT, e-sports and Internet advertising.”