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The Indian entertainment and media industry is anticipated to reach Rs. 3.5 trillion or Rs. 353,609 crore by the year 2022, thriving at a Compound Annual Growth Rate (CAGR) of 11.6 per cent between 2018 and 2022, according to a report by global accounting firm PricewaterhouseCoopers (PwC).

The document titled Global Entertainment & Media Outlook 2018-2022 noted that as mobile connections reach 850 million masses by 2022 subsequently the data consumption in India is set to increase. The country will come forth as one of the top 10 ample Over-The-Top (OTT) video markets by the aforesaid period with a 22.6 per cent CAGR.

Global Entertainment & Media Outlook 2018-2022

Not an astonishment for India

"It is not surprising that India continues to be one of the fastest growing entertainment and media markets globally," said Frank D'Souza, partner and leader, entertainment and media, PwC India. "However, 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."

Without doubt, as D'Souza said, this growth will be driven by a rise in online content consumption.

Report outlines

According to the report, OTT video revenue has reached RS. 2,109 crore in 2017. India will be seen move into the top 10 bracket by 2022 with a revenue of Rs. 5,595 crore at CAGR of 22.6 per cent. In past two years, more or less 30 OTT platforms have come to existence, including American services like Balaji Telefilms ALTBalaji and those owned by broadcast networks like Star India’s Hotstar and Sony Entertainment Television’s SonyLIV.

The thriving rivalry among international and regional subscription Video on Demand platforms is with over 70 per cent of revenue in 2017 and is expected to grow with 79.4 per cent of market revenue from SVoD by 2022.

The Internet advertising in Indian has reached to Rs. 6,513 crore in 2017. The mobile video advertising, a fastest thriving sub-segment of India's Internet advertising market, expected to rise of total Rs. 2,155 crore at 32.8 per cent CAGR by 2022.

Celluloid's or cinema's entire revenue is anticipated to rise at 9.4% CAGR over the forecast period. Average ticket prices in India will move up to reach Rs. 78 by 2022 from Rs. 55 in 2017. The number of screens is also expected to increase to 12,775 by 2022 from 11,672 in 2017 at a 1.8 per cent CAGR.

Indian traditional gaming is flourishing at a 4.0 per cent CAGR, but the social/casual gaming family will stand for 82.2 per cent of all Indian consumer gaming revenue by 2022. The segment is expected to increase by a 55.9 per cent CAGR over the forecast period from Rs. 1,645 crore to Rs. 14,772 crore.

"To succeed in the future that's taking shape, companies must revisit every aspect of what they do and how they do it. This means going above and beyond in how they envision their business, generate revenues, create and organize their capabilities and build and retain trust," said Christopher Vollmer, global advisory leader for entertainment and media, PwC U.S.

By Sowmya Sangam