The study forecasts market growth from an estimated Rs 415.4 billion in 2007 to Rs 766 billion in 2012 (CAGR of 13 per cent).
The last 12 months have been a period of exceptional growth for Indian media; all sectors (except music and marketing services) have achieved double digit growth. A large number of new services have been launched across television (Tata Sky), commercial radio (second phase of FM licencing) and publishing (Mint newspaper).
In addition to increased corporate investment, leading private equity groups such as Blackstone and Sequioa Capital have completed their first major investments in the Eenadu group and Shaadi.com respectively.
According to the report, the medium term outlook remains excellent with double digit GDP growth and increasing advertising spend in sectors such as the automotive industry, telecoms, retail and financial services. In the longer term, the sector fundamentals are also positive – the sector will benefit from growing private consumption, urbanisation and higher literacy.
The study forecasts that sectors likely to experience the strongest growth are Pay TV, online media and radio. In the Pay TV market, the arrival of conditional access system (CAS) in cable television and the emergence of DTH will ensure that channel and platform operators can collect subscription revenues accurately for the first time (CAGR 2007-2012 of 16.8 per cent). In online media, Internet reach will increase rapidly from its current level of four per cent of the population; this should drive revenue growth at CAGR of 29.2 per cent through to 2012.
The report includes: the investment case for the Indian media market; in-depth profiles and five year forecasts for all sectors including television, newspapers, magazines, radio, outdoor advertising, business media, online media; and a review of all foreign investment into the Indian media sector since 2000.
The report also contains detailed profiles of over 40 leading Indian media companies (including Adlabs, CyberMedia, Deccan Chronicle, Dish TV, Hathway cable, HT Media, India Today group, Indian Express, Info Edge, Inox Leisure, Jagran Prakashan, Malayala Manorama, Mid-day Multimedia, Nimbus, Shringar Cinemas, Sony Entertainment Television, Star TV, Sun TV, Tata Sky, UTV, Wire and Wireless India and Zee Entertainment).
