Category — Media & Entertainment

India’s Media & Entertainment Sector to Grow at 13.9%

According to the FICCI-KPMG media and entertainment industry report 2017, released on the inaugural day of the three-day annual media conclave FICCI FRAMES, this sector in India is projected to grow at a pace of 13.9% CAGR during 2016–21, with advertising revenue expected to increase at a CAGR of 15.3%.

Excerpts of the report from the Economic Times:

  • Television is expected to grow at a CAGR of 14.7 percent over the next five years and both advertisement and subscription revenues are projected to exhibit strong growth at 14.4 percent and 14.8 percent, respectively.
  • Print is projected to continue its growth at 7.3 percent, due to continued readership growth in vernacular markets and advertisers’ confidence in the medium, especially in tier II and tier-III cities.
  • The film sector is forecast to grow at a CAGR of 7.7 percent, as revenue streams broaden driven by the growth of regional content, expansion in overseas markets, and higher digital revenue streams.
  • Digital advertising is expected to grow at a CAGR of 31 percent forming 27.3 percent of the total advertising revenues.
  • The animation and visual effects industry is projected to grow at a CAGR of 17.2 percent, led by the continued growth in outsourced services, and the increasing use of animation and VFX services in India’s television and film space.
  • The Out of Home segment is estimated to grow at a CAGR of 11.8 percent due to the development of regional airports, privatization of railway stations, growth in smart cities, setting up of business and industrial centers, and a growing focus on digital Out Of Ho
  • Radio is expected to grow at a CAGR of 16.1 percent, with the commissioning of new stations in both existing and new cities, and introduction of new genres.
 Media Sources

March 24, 2017   No Comments

SFO International Film Fest to Honor India’s Shah Rukh Khan

The San Francisco International Film Festival, to be held April 5-19 at various venues throughout San Francisco and Berkeley, Calif., will pay a special tribute to Bollywood star Shah Rukh Khan. This event will take place April 14 at 8:30 p.m. at the Castro Theater in San Francisco, and will be followed by a screening of Khan’s 2010 film, “My Name is Khan,” in which the city of San Francisco formed the backdrop.

India West reports that according to the San Francisco International Film Festival, “To muster an American equivalent to Shah Rukh Khan, you’d have to combine several high-wattage celebrities – Brad Pitt plus Tom Cruise plus Will Smith – and it still wouldn’t be enough.”

A Scene from the movie My Name is Khan

As part of this tribute, director and producer Brett Ratner will moderate an intimate conversation with the actor, producer, and humanitarian, exploring his unique balance between commercially-minded cinema and artistic values.

 

March 22, 2017   No Comments

Amazon Expands Prime Video in India

Having launched its Prime Video at a lower price than Netflix, Amazon India is now consolidating partnerships to expand its user base in the country. It recently partnered with Vodafone, which, after its merger with Idea Cellular in a $23 million deal, is the biggest telecom company in the country with a customer base of 400 million. Amazon aims to penetrate this user base and also build a competitive edge against Reliance Jio and other Indian service providers that are offering streaming services on mobile phones.

Forbes reports that Amazon India is focusing on local content and targeting smartphone video consumers in India. Mint claims that India is expected to have 650 million internet users by 2020, making it a huge market for video-on-demand consumption.

Amazon Prime Video

Amazon’s strategy of partnering with a telecom operator that can provide 4G services on mobile phones will likely work since the majority of India’s population is not likely to invest in a fast landline broadband connection to view content on large screens.

 

March 20, 2017   No Comments

Digital Advertising in India Grows Rapidly

According to a report titled ‘Digital – The New Normal of Marketing’ by the Confederation of Indian Industries and KPMG India, digital advertising, which accounted for 12.7 percent of total ad expenditure in 2016, is expected to reach $3.6 billion  in 2020, growing at an expected Compounded Average Growth Rate  (2015-2020) of 33.5 percent.

Salient points from the report according to Forbes:

  • Nascent technologies such as emotions analytics, predictive marketing could be used to leverage the power of data
  • Native ads blend in to combat mobile and desktop ad blocking and appear as regular content delivering value and relevance to the consumer
  • Authenticity, relevance, and value are increasingly important parameters for content creation and distribution
  • The digital consumer’s attention span has come down to 8 seconds, (in 2007 it was 12 seconds)
  • Customers trust peer recommendations and reviews than professionally curated content
  • ‘Programmatic advertising’ is the future of digital advertising

Online Marketing

“Singularity, connected systems, Cognitive and AI will create a world where the marketer will be marketing not only to humans but the ‘self-thinking’ machines,’ says Rachna Nath, Partner and Head, Digital Consulting, KPMG, India.

 

February 4, 2017   No Comments

In India, Netflix and Amazon Adopt Different Marketing Strategies

Amazon.com Inc., and Netflix Inc., have contrasting approaches in the way they pursue growth in India and internationally.

Netflix debuted in India 10 months ago; however it does not believe in a physical presence in the various countries globally where it operates. This is because content making decisions are taken at its office in Los Angeles. The company depends on its user data to purchase programs that have multinational appeal, and does not depend heavily on local content in the regions it is present. Netflix’s chief executive Reed Hastings acknowledges that currently in India, Netflix caters to the elite, but “in the next couple years we will want to grow beyond that.”

Netflix Logo

Amazon has a different strategy. It’s Prime Video is available in select countries including India. Amazon Studios chief Roy Price visits Mumbai often, and scouts for locally appealing content for its video services. Price says, “You can have a global service, but there are no global customers. There are only local customers.” In Indian entertainment, for instance, “the musical aspect is super important, so you want to embrace that,” he added, reports the Wall Street Journal.

Amazon paid about $10,000 to potentially bid on rights for the popular Indian Premier League Cricket games too.

 

November 7, 2016   No Comments