201

Indian Media Industry

Overview

2013

Media and entertainment registered a

growth of 11.8%
Low rupee against dollar
Grew from INR 821 billion in 2012 to
INR 918 billion in 2013, at the rate of
11.8%
Digitization, upcoming election,
increasing new media business
14.2% is projected growth rate for
2018

2014

2013

Overview

2014

Print Media

The Way it is

Indian print industry grew by 8.5%

and is expected to grow by 9%
224 billion INR- 243.1 billion INR
(2012-2013)
The high dependence on
advertisement revenues
Focused on consolidating their
position in core markets and
penetrating them further through the
launch of regional dailies

2014

The Way it
Varying newsprint prices (41,500 INR/
is$650-700)
Decentralizing printing operation to
reduce delivery time
GDP 4.9%- 2013-14
Advertising is a prime contributor
(67%)to the print revenue
REVENUE share %

Newspaper
94%

2014

The Way it
Strong faith of advertisers on this
ismedium

Niche magazine witnessing high growth

rate
Declining magazine industry
Increasing cover price of newspapers
and magazines

2014

The Way it
Subdued growth of English dailies
isgrowth rates in regional markets
High

High population rate

Rising literacy levels
Rising income
Expanded reach by launching newer editions in
local languages or sub-editions by adding printing
centers in the local areas.
The Hindu launching a Tamil edition; Times of India
launching a Gujarati edition NavGujarat Samay and
Dainik Bhaskars entry into Patna.
DB Corp has also consolidated its presence in MP
with the launch of a 4th edition.
HT Media also has separate editions for Gurgaon
and Noida.

The Way it
is

2014

2013

The Way it
Testing
various business models to identify the
is
right monetization opportunities

English dailies launching vernacular dailies

South Indian markets driven by high literacy
rates
30% of AIR are contributed from SI states
TOI had shut down its elite weekly supplement
Crest
Outlook closed down Marie Claire, Geo, People
Rupee depreciation had significantly impacted
the revenue
No major mergers and acquisitions in print media

Literacy(IRS 2012)
rates

2013

Literacy(IRS 2012)
rates

2013

Top 10
dailies

2014

Key Trends-PRINT

2013

Testing various business models to identify the

right monetization opportunities
English dailies launching vernacular dailies
South Indian markets driven by high literacy
rates
30% of AIR are contributed from SI states
TOI had shut down its elite weekly supplement
Crest
Outlook closed down Marie Claire, Geo, People
Rupee depreciation had significantly impacted
the revenue
Pricing strategy- cover price increased

Key Trends-PRINT

2013

HT launched page one plus

Times of India introduced a 3-Dadvertisement of
the TV series Mahabharat
The Hindu launched www.thehinduhub.com
DAVP ad rates for print media raised by 19 %
Print likely to gain at televisions expense (12 min
ad Cap)

Key TrendsPRINT

20
13

Key Trends-

PRINT

2013

Key Trends-

PRINT

2013

Key Challenges-PRINT

2013

Readership Measurement: A challenge

which remains unresolved

IRS data has not been accepted by newspaper

industry
The Media Research User Council Board (MRUC)
Readership Survey Council of India (RSCI), are the
two bodies
that undertook the readership survey.

Implementation of Majithia Wage Board

supreme Court that asks newspapers and news
agencies to implement the recommendations of the
Majithia Wage Board
Have to pay their employees the revised pay scale
with arrears from November 2011

Key Challenges-PRINT

2013

Indian print industry hit by depreciating rupee

and increasing newsprint cost
Weakening rupee-dollar exchange rate coupled with
increasing newsprint prices
Nearly 48 per cent of the newsprint used by Indian
publishers is imported

Magazines growth continues to be a

challenge

60 pages annual magazine launched by Mumbai

Indians
Discovery Channel Magazine introduced by Discovery
Networks Asia-Pacific and the India Today Group

Industry wants to increase FDI Ceiling to 49

per cent
FDI limit in print media from 26 to 49 per cent
stating that print companies need inflow of funds to

Television

Television

2014

Digitization process- Phase 2 cities

Carriage fee reduction
Increase in subscription revenue
12 min ad cap
TVR to TVT (TV viewership per thousands)
TV households 161 million-2013
139 million c&s

Television

2014

Value chain
Content production

Creative, fragmented, low entry barriers

Increased production cost
Higher production quality

Broadcasting

TRAI regulations on ad
Ad revenue
Subscription revenue
Carrier cost

Distribution

STB
MSO- DEN, SITI cable, ASIANET, HATHWAY, FASTWAY
Local cable operator

Television

2014

Status of digitization:

Phase 1: June 2012-98%

Phase 2: March 2013-90%
Phase 3: December 2014 (not yet begun)- rajkot,
mysore, pune, sholapur, Kanpur etc

56 million analog signal users

40 million digital cable
44 million DTH
15-20% increase in subscription revenue

Television

2014

Decrease in Ad revenues due to economic slow

down
87 billion INR subscription revenue
152 billion INR ad- revenue
Real estates, consumer durables, automobile,
financial services
Top advertisers- HUL, Cadburys, ITC, P&G,
Reckitt Benkiser, Ponds India, Colgate Palmolive
etc

Television

2014

GEC channels share 48% of viewership

Hindi- 30%; regional- 18%
Popular shows- 24- adaptation of American
series- Colors
Jodha Akbar- Zee; Mahabharath, Bharat ka veer
putr- Maharanapratap
Comedy nights with Kapil- colors
Taarak Mehta Ka Oooltah Chashma- SAB TV
Male Audience- Crime Patrol- Sony; Savdhan
India, Sapath Life OK; 24
Big RTL Thrill- Male centric adventure channel
Fictions- Adventures of Hatim- life OK, Jodha

Television

2014

Broadcasters having multi movie deals with stars:

Ajay Devgan- Exclusive satellite rights (2013-17)
for 4 billion INR, Salman Khan- 2013-18 for 5
billion INR
South indian markets has richness in content,
better cultural fit
The penetration of TV & C&S is more than indian
average
Adaptation of Hindi shows in regional TV Kaun
Banega corepati, Big Boss, Balika Vadhu

Television

2014

Online viewing of TV content

PCs, Mob, Tablets is growing
60 million people watched online videos
Viewership patterns depends on content, platform,
devices, data services, payment mechanism
Mob apps- Tata Sky, Dish TV, Hotstar
Speed and network coverage
Show specific websites, FBs, Twitter handles

Television-TAM

2014

Currently TAM has 10,300+ Peoplemeters installed

across India.
monitors 40,000+ people across 225 cities / towns.
TVM5 peoplemeter is compatible to monitor Analog
as well as digitally penetrated households.
This peoplemeter is also compatible with any TV set
Plasma TV, Color TV, HDTV and even a Black and
White TV set.

Television-TAM

2014

What do the Indian audiences watch on TV?

Which programmes are being accepted and rejected
by the audiences?
Where are these programmes watched? Is one
geography/state/city/market stratas viewing
preference different from the others?
At what time of the day are people watching?
What is the profile of TV Viewers? Can they be
segmented by:
Age
Gender
Socio-Economic Classes

Television- TAM

2014

What platforms are Audiences watching TV?

Terrestrial
Cable & Satellite - Analog
Cable & Satellite - Digital
How do viewers respond to changes in stimulus such as:
Changes in content type or story lines
Changes in scheduling of the programme
Changes in the distribution or the accessibility of the
channel
Market changes like On-Air, Activations, PR, Celebrity
participations, etc.
Influence of technology Digital STB households Vs Analog
Households.
Environmental changes:
Power supply failure
Political or Natural calamity diversions