Traditional, digital media will co-exist in India: report
Despite rapid digital evolution in India, traditional and non-traditional media are likely to grow and coexist over the next few years. A new report, One Consumer, Many Interactions, by the Confederation of Indian Industries (CII) and Boston Consulting Group (BCG), said India will remain a multimodal market, considering the consumer has access to multiple platforms. However, there will be differences in “what”, “when” and “how” media will be consumed.
“There might be a slowdown of growth in traditional media, but there is still much headroom for growth, given the penetration story has not played out completely,” said Kanchan Samtani, partner and director, BCG. More than 95% TV households in India are single-screen; hence, most TV consumption happens in a family-viewing setting, the report says.
The Indian consumer is not entirely used to paying for content, while most platforms are advertising driven, unlike US, where the cost of a cable connection can be as high as $80 per month. In comparison, India works with $3. Besides, literacy levels constrain print penetration, and screen density is much lower than China and the US. There should be increasing rural electrification in the coming years creating more windows of opportunity for traditional media, Samtani added.
Overall media consumption growth in India continues to outpace global counterparts. At a 9% compounded annual growth rate over six years, per-capita consumption is growing at twice the pace of China and nine times that of US. At 4.6 hours of consumption per-capita, per day, India is behind China (6.4 hours) and US (11.8 hours), suggesting further headroom for growth.