Study of Indian Media Industry

67
 1 A PROJECT REPORT ON S tu dy of I ndian Media I ndus tr y   Submitted By: Mayank Ghatawat MMS, Marketing 2008-2010 In Partial Fulfillment of award of Master in Management Studies Degree Under the Guidance of: Prof. Dipesh Maitra  N. L. Dalmia Institute of Management Stud ies & Research (Batch 2008-2010)

Transcript of Study of Indian Media Industry

Page 1: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 1/67

  1

A

PROJECT REPORT

ON

Study of

I ndian Media I ndustry  

Submitted By:

Mayank Ghatawat

MMS, Marketing

2008-2010

In Partial Fulfillment of award of

Master in Management Studies Degree

Under the Guidance of:

Prof. Dipesh Maitra

 N. L. Dalmia Institute of Management Studies & Research

(Batch 2008-2010)

Page 2: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 2/67

  2

DECLARATION

I, Mayank Ghatawat, a student of MMS of N.L.Dalmia Institute of Management

Studies And Research, Mira Road hereby declare that I have completed this

 project on “ Study of Indian Media Industry” in the academic year 2008- 10.

This information submitted is true and original to the best of my knowledge.

Mayank Ghatawat 

Prof. Dipesh Maitra Prof. P.L.Arya

Faculty –  Marketing Director

 NLDIMSR NLDIMSR

Page 3: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 3/67

  3

ACKNOWLEDGEMENT

The work that I have presented today to you stands as a testimony to the sincere efforts

 put in by me and to the guidance and help given to me by so many people directly or

indirectly, for whom I would like to thank from the abyss of my heart.

The joy of completion is never complete till the fruits are shared with the ones who

helped me to achieve my aim to some extent.

I wish to express my deepest gratitude to TAM Media Research for giving me this

valuable opportunity in doing my project work using their valuable resources, in their

esteemed organization.

I shall have a great sense of pleasure to express my gratitude to our internal guide Prof.

Maitra, whose guidance has really helped me to prepare an effective project.

Page 4: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 4/67

  4

TABLE OF CONTENT

INDEX

Executive Summary 6

1 Introduction 7

2 Types of Media Vehicles 7

3 Media Strengths & Weakness 9

4 India Media Industry‟s Present Scenario  12

5 Advantages & Disadvantages of Major Types of Media‟s  16

6 Media Class 18

7 Conceptual Model for Media 19

8 Media on an Increase 20

9 The Reach of Different Mediums across SEC‟s  20

10 Region Wise spread of theaters 21

11 Media Penetration as of 2003 21

12 Industry Overview 21

13 Update on Indian Media landscape

•  TV penetration and CS penetration in India

•  Reach of various media

•  Growth in number of channels

•  Growth in viewership of different genre‟s 

•  Top rated programs in different genre‟s 

•  Impact of fragmentation on TV viewership

27

14 Region wise analysis of TV Consumption pattern

•  TV viewership share across markets (UP, MP, WB…etc.) 

•  Viewership share of markets by language

•  Genre wise share across markets

34

Page 5: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 5/67

  5

•  Reach level of different genre‟s across regions 

15 Understanding Advertising pattern in India

•  Size of advertising revenue by media

•  Growth in Ad spends across years

•  Share of ad spends across languages

48

16 Analyzing advertising pattern on TV, Print & Radio

•  Ad revenue trend across years

•  Ad revenue split across zones

•  Top Categories, Advertisers & Brands in different Zones

51

17 Major Findings 62

18 Bibliography 63

Page 6: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 6/67

  6

EXECUTIVE SUMMARY

Introduction

The Indian Media and Entertainment (M&E) industry is poised to enter a golden era.

One of the largest markets in the world, the industry is seeing strong growth and has the

 potential to garner US$ 200 billion by 2015. This booming industry opens lot of

opportunities; hence it is necessary to analyze the previous trends to have a better

understanding of its future operations.

Objectives

The primary objective of this study is to analyze the present scenario of the Indian

media industry & its growing trends over the years.

To understand the most attractive medium TELEVISION in details & its viewing

 pattern

The Ad spends on various mediums

Research Methodology

This is an exploratory research along with secondary data. There are various Industry

tools used in churning the accurate data for the purpose of this study.

 National surveys data has been used to support the study.

The study has special attention to Television medium.

Limitations

The major limitation for this project are:

 National Surveys based on Census, last updated in 2001.

Lack of intense database for all mediums.

Lack of measurement of some mediums.

AdEx ( Advertisement Expenditure data available only for Radio, Print &

Television)

Page 7: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 7/67

  7

INTRODUCTION

INTRODUCTION TO MEDIA: 

Media: - Literal definition of media is “MEDUIM”. A medium of transfer, a medium of

change, a medium of transformation, a medium of education; that is what the term

”Media” means in the context of propagation of ideas, information, knowledge and

news & analysis.

TYPES OF MEDIA VEHICLES

Broadcast media:

1.  Television

2.  Radio

Narrowcast media:

1.  Video and cable TV,

2.  Cinema

Print:

1.   Newspapers:

(a) Daily

(b) Weekly

(c) Sunday

(d) Weekend supplement

2.  Magazines:

(a) Consumer magazines: general interest or special interest.

(b) Business publications: trade & institutional publications, etc.

Page 8: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 8/67

  8

Outdoor:

(a) Billboards

(b) Transit media

Rural media

New media

Page 9: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 9/67

  9

Media Strengths and Weaknesses

Media Strengths Weaknesses

Television

  Dynamic attention getting media,

combining visual, sound &

animated stimulus

  Strong potential Impact & High

market coverage

  Good at demonstrating products

  Enabling targeting through

selection of viewing channels and

slots between specific programme

  Role model advantage: here the

advertisers have celebrities as

endorsers. Celebes are role models

of the youth and the youth always

ape to be like them

  Creation of AIDA: advertising in

TV attracts Attention that creates an

Interest and Desire that can lead to

Action in the form of final

 purchase.

  High level of initial expenditure

required

  „Now you see it, Now you don‟t‟

media, in that commercials are on the

screen and gone within seconds

  Poor at communicating lengthy

technical information

  Time consuming to produce an ad

  TV ads alone do not suffice: in order

to make the campaign successful TV

ads have to be supported with other

media like print or radio.

  Ads are very short to provide any

detail information.

  Statutory controls: the TV ads have to

adhere to the I&B rules. Surrogate

advertisements have been banned

Page 10: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 10/67

  10

 Newspaper

  Targeting is possible through

 profiling readership

  Good level of market coverage

  Local advertising possible

  Inexpensive medium when used

selectively.

  Reinforcement medium

  Static media, not suitable for product

demonstration

  Potential for poor reproduction,

sometimes limited to black and white

 print

  Quality of paper used is not very

effective and reduces the

attractiveness of ads

  Possibility of an individual advert

 being lost on a page of adverts

  Short-life span, i.e. yesterdays

newspapers become today‟s rubbish

  Informal reading: people may skip ads

Radio

  Mass use of radio by audience,

 particularly in cars on the way to

work and home. 90% of India has

access to Radio which is unmatched

 by any other media

  Very effective for reaching the

large rural audience.

  High geographic and demographic

reach

  Targeting is possible through

selection of channel and

 programme

  Audio communication only

  Misunderstanding: sometimes there

might be a misconception regarding

the radio ad as it is only heard.

   Now you hear it, Now you don‟t

  Lower attention levels than television

from the audience

  RJ needs training: it is very important

that the Radio Jockey is trained

enough to deliver the ad. Sometimes

the voice really matters. If the voice is

irritating then there is a chance that the

campaign may flop.

Page 11: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 11/67

Page 12: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 12/67

  12

INDIAN MEDIA INDUSTRY’S PRESENT SCENARIO 

The Indian Media and Entertainment (M&E) industry is poised to enter a golden era.One of the largest markets in the world, the industry is seeing strong growth and has the

 potential to garner US$ 200 billion by 2015.

The eighth PricewaterhouseCoopers (PwC) Global Entertainment and Media Outlook

has ranked India as the fastest growing market in the world for spends in entertainment

and media in the next five years. India will be one of the key drivers in pushing the

global entertainment and media industry to US$ 2 trillion by 2011. With a compound

annual growth rate (CAGR) of 18.5 per cent, the Indian M&E industry is the fastestgrowing in the Asia-Pacific, says the study.

Cinema

The Indian film industry, with over 3 billion admissions per annum, is the largest in the

world, in terms of number of films produced per year. This industry, which was worth

US$ 2.12 billion in 2006, is estimated to grow at a CAGR of 16 per cent to US$ 4.42 billion by 2011.

The opening of the film industry to foreign investment coupled with the granting of

industry status to this segment has had a favourable impact, leading to many global

 production units entering the country. For example, Walt Disney has partnered with

Yash Raj Films to make animated movies, the Warner Group is funding the Sippys' film

 projects, Viacom has joint-ventured with the TV 18 group to form Viacom-18, and

Sony Pictures Entertainment has co-produced Saawariya with SLB Films (Sanjay LeelaBansali FIlms).

Simultaneously, advancements in technology along with a rise in consumer income and

change in consumption patterns has led a massive shift in all spheres of the film

industry -- production, exhibition, distribution and marketing.

One perceptible change has been the rapid growth of multiplexes, which meets

consumer demand for quality entertainment and has also helped boost production of

niche films targeted at niche audiences.

Page 13: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 13/67

  13

Television

The television industry in India is currently at its prime, contributing the largest share in

the total media and entertainment industry in the last three years. While India is the

third largest cable television market in the world, the penetration levels of pay TV is

still low which promises a huge untapped potential for growth.

A report by PwC estimates that the Indian television industry's revenue will grow at a

CAGR of 22 per cent to US$ 13.11 billion by 2011 from US$ 4.82 billion in 2006. The

 buoyancy of the Indian economy coupled with new distribution platforms like DTH and

IPTV among others is likely to propel the growth of this industry.

Significantly, there has been an increase in the growth of digital distribution platforms

like DTH. A report by Ernst & Young estimates that by 2010, 28 per cent of the

estimated 100 million pay TV households are likely to switch to digital platforms, with

DTH at the top.

Music

The Indian music industry, which until recently was overwhelmingly dominated by film

music, is now being propelled by non-film music as well. According to the PwC report,

the Indian music industry is estimated to grow at a CAGR of 4 per cent from US$ 1.81

 billion in 2006 to US$ 2.19 billion in 2011. Significantly, the share of digital music is

likely to increase, with an estimated growth rate of 25 per cent.

Digital music sales exceeded physical sales of music for the first time in 2006,

 primarily driven by mobile phone platforms like caller ring back tones, ring tones and

music clips.

The surge in mobile sales has helped India emerge as one of the world's largest markets

for mobile music. According to the Cellular Operators' Association of India, the size of

the mobile music industry is likely to grow to around US$ 170 million by the end of

2007, from about US$ 115 million in 2006.

Page 14: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 14/67

  14

Radio

The cheapest and oldest form of entertainment, reaching 99 per cent of the population,

this segment is likely to see dynamic changes, with the advent of private players

(including foreign participation).

Presently, 30 odd radio companies, having license to operate 266 private FM radio

stations across 91 cities within the next 12 months, have already invested US$ 884.33

million. Simultaneously, the number of operational FM radio channels reached 120, by

the end of October 2007.

According to industry estimates, India will have 600 stations (250 All India Radio and

350 private) in 100-odd cities, this year. Looking ahead, this segment is likely to see a

robust CAGR of 28 per cent, growing from US4 1.26 billion in 2006 to US$ 4.29

 billion in 2011.

Advertising

The Indian advertisement expenditure is doubling every five years, boosted by robust

growth in television and print campaigns, says a report by London-based Zenith

Optimedia, the media planning and buying arm of advertising group Publicis.

After growing at an average of 13-15 percent in the last three years, the Indian

advertising industry is estimated to grow 61 per cent by 2010, with advertising spending

growing from US$ 5.74 billion in 2007 to US$ 9.28 billion by 2010. Simultaneously,

the share of advertising expenditure is likely to increase from 0.5 per cent of GDP in

2007 to 0.53 per cent of GDP in 2010.

The advertisement industry recorded robust growth in the current financial year. Whiletelevision advertisement volumes recorded a growth rate of 33 per cent during the

January-September 2007 compared to the same period in 2006, print advertising grew

 by 21 percent during January-September compared to same period in 2005.

Others

Segments like print media, animation and gaming are also likely to see interesting

growth rates. According to Nasscom, the Indian gaming market is likely to grow 72 per

cent from US$ 48.51 million in 2006 to US$ 429.54 million in 2010. Similarly, the

Page 15: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 15/67

Page 16: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 16/67

Page 17: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 17/67

  17

ADVANTAGES AND DISADVANTAGES OF THE MAJOR

TYPES OF MEDIA

Advantages Disadvantages When to Use

Direct Mail Most personal form of

advertising. By selecting

names by zip code,

mailing can be pinpointed

to precise geographic area

Mailing lists may be used

to target specific groups

Can evaluate its

effectiveness by

calculating response rates

Difficult to find

mailing list of

 prospects by

occupation at home

addresses

Cost for reaching each

 prospect is high

Many people don‟t

like unsolicited offers

If the right mailing list

can be found, this is

 potentially the most

effective medium  –   no

other medium gives the

 prospect as much a

feeling of being speciallyselected

Particularly valuable in

competitive situations

Internet Relatively cost-effective

Can target types of

viewers

Messages can be timely

Ads can be interactive

Able to reach a global

audience

Should be one

component of the

marketing strategy

impact gauging is

difficult

Range of costs can

vary dramatically

Appropriate for ongoing

campaigns, especially as

resource for additional

information. Banners,

Ezines & links can drive

traffic to site

Magazines Can select targeted

audiences

Ad size flexibility

High quality printing

Prestigious editorial

environment

Long life  –   prospects

keep magazines and

reread them

Wide geographic

circulation  –   usually

cannot be used to limit

recruiting to specific

area

Long lead time for ad

 placement

Costs can be high

When job is specialized

When time and

geographic limitations

are not of utmost

importance

When involved in

ongoing recruiting

 programs

Newspaper Short deadlines Easy to ignore When you want to limit

Page 18: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 18/67

  18

Ad size flexibility

Circulation concentrated

in specific geographic

areas

Reach a diverse audience

Classified sections well

organized for easy access.

Considerable

competitive clutter

Circulation not

specialized  –   pay forunwanted readers

Poor printing quality

 No Specific TG.

recruiting to a specific

area

When sufficient numbers

of prospects are clusteredin a specific area &

When enough prospects

are reading help-wanted

ads to fill hiring needs

Outdoor

(roadside

billboards)and Transit

(posters on

buses &

subways)

Difficult to ignore. Can

reach prospects as they

are literally traveling totheir current jobs

Precise geographic

selectivity

Reaches large numbers of

 people manytimes at a

low cost

Only very brief

message is possible

Requires long lead for preparation & must be

in place for long

 period of time.

(Usually 1-3 months)

When there is a steady

hiring need for large

numbers of people that isexpected to remain

constant over a long

 period of time

“Point-of-

Purchase”

(Promotiona

l materials

at recruiting

location)

Calls attention to

employment story at time

when prospects can take

some type of immediate

action

Creative flexibility

Limited usefulness:

 prospects must visit a

recruiting location

 before it can be

effective

Posters, banners,

 brochures, audio-visual

 presentations at special

events such as job fairs,

open houses,

conventions, as part of an

employee referral

 program.

Radio and

Television

Difficult to ignore. Can

reach prospects who are

not actively looking for a

 job better than

newspapers and

magazines

Can be limited to specific

Only brief,

uncomplicated

messages are possible

Lack of permanence;

 prospect cannot refer

 back to it. (Repeated

airings necessary to

In competitive situations

when not enough

 prospects are reading

your printed ads

When there are multiple

 job openings and there

are enough prospects in

Page 19: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 19/67

  19

geographic areas

Creatively flexible. Can

dramatize employment

story more effectivelythan printed ads

Little competitive

recruitment clutter

make an impression.)

Creation & production

of commercials  –  

 particularly TV: can be timeconsuming &

costly

Lack of special

interest selectivity.

specific geographic area

When a large impact is

needed quickly. A “blitz”

campaign can saturate anarea in two weeks or less

Useful to call attention to

 printed ads or web site

Page 20: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 20/67

  20

Page 21: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 21/67

  21

Page 22: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 22/67

  22

Why the Media is on an increase?

All the above mentioned reasons are leading to an expanded growth in the usage of

Mass Media for communication

The Reach of Different Mediums across SEC’s 

The above grid shows that SEC A1 is reached well through all the mentioned

Mediums.

Page 23: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 23/67

  23

Region Wise spreads of theaters

Andhra Pradesh has the highest penetration of theaters in India

Media Penetration as of 2003

Medium All India Urban

Print 25% 46%

Terrestrial Televison 53% 80%

Cable & satellite Television 20% 46%

Radio 22% 25%

Cinema 7% 11%

Internet 1% 3%

Industry Overview:

Current Market Size is estimated at USD 7.72 bn

Expected to reach USD 18.32 bn by 2010, a CAGR of 19%

Maximum growth expected in Television and Film segments

More than 300 national and regional TV channels

Close to 1000 films made every year

Liberal FDI policies across all the segments of the industry

Government focusing on regulations to give further impetus to the industry

Page 24: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 24/67

Page 25: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 25/67

  25

Key Drivers of the Indian Media & Entertainment Industry

Enabling regulations related to broadcasting, print and radio by the

Government

Development of content for niche viewers

Pricing remains a key driver, whether it is for cable subscription, film tickets

or newspaper prices

Increased consumerism and increased advertisement spend by marketers (i.e.

more revenues for media companies) fueling further growth

Use of technology for special effects, animation and other creative work

leading to better quality of media products

Page 26: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 26/67

  26

Indian Television Industry - Wholesome entertainment

Largest segment in the industry with market size of USD 3.24 bn in 2005

Expected to reach USD 9.34 bn by 2010, a CAGR of 24%

Subscription accounts for 58% of the total revenues followed by advertising

and software

India currently has 105 million TV households and over 60 million cable

connections

TV penetration expected to increase to 135 million households and cable

connections to 85 million households by 2010

Page 27: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 27/67

  27

The Idiot Box

Television in India holds the biggest pie of share in the Media Industry

The growth levels expected in this Medium is humungous

This medium will specifically see lot of organized growth

There is a need to understand this medium in detail, as it will pose great

influence on other Medium‟s too. 

Page 28: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 28/67

  28

Understanding the Indian Media Landscape

Update on Indian Media landscape

TV penetration and CS penetration in India

Reach of various media

Growth in number of channels

Growth in viewership of different genre‟s 

Top rated programs in different genre‟s 

Impact of fragmentation on TV viewership

Region wise analysis of TV Consumption pattern

TV viewership share across markets (UP, MP, WB…etc.) 

Viewership share of markets by language

Genre wise share across markets

Reach level of different genre‟s across regions 

Understanding Advertising pattern in India

Size of advertising revenue by media

Growth in Ad spends across years

Share of ad spends across languages

Analyzing advertising pattern on TV, Print & Radio

Ad revenue trend across years

Ad revenue split across zones

Top Categories, Advertisers & Brands in different Zones

Page 29: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 29/67

  29

Update on Indian Media Landscape

What changes are observed in Universe Size ?

The Total TV owning households has seen a 3% increase in a year.

This shows the kind of potential this medium has in the current scenario.

Page 30: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 30/67

  30

What is the change in the TV ownership & CS penetration?

All over India, 51% of homes have Television Sets, among them 61% of homes are

C&S homes… 

Delhi had max. No. of TV Households and

TamilNadu had max. C & S Penetration

The C& S penetration & colour TV sets has increase over the years

Page 31: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 31/67

  31

State wise break up of TV owning households, TV ownership

& CS penetration

66%60%0.5Meghalaya

59%45%1Tripura

35%57%2Uttaranchal

86%91%3Delhi

60%74%5Haryana

44%38%5Chattisgarh

45%29%5Jharkhand

28%34%6Assam

48%80%7Punjab/HP/Chandigarh

70%69%8Kerala

47%38%9Orissa

36%46%11Rajasthan

61%56%11Gujarat

83%66%12Karnataka

47%40%13Madhya Pradesh

22%22%16Bihar

92%67%17Tamil Nadu/Pondicherry

62%43%18West Bengal

91%66%19Andhra Pradesh

58%63%23Maharashtra/Goa

27%36%29Uttar Pradesh

61%51%219All India

C&S HouseholdsTV OwnershipHouseholdsStates

66%60%0.5Meghalaya

59%45%1Tripura

35%57%2Uttaranchal

86%91%3Delhi

60%74%5Haryana

44%38%5Chattisgarh

45%29%5Jharkhand

28%34%6Assam

48%80%7Punjab/HP/Chandigarh

70%69%8Kerala

47%38%9Orissa

36%46%11Rajasthan

61%56%11Gujarat

83%66%12Karnataka

47%40%13Madhya Pradesh

22%22%16Bihar

92%67%17Tamil Nadu/Pondicherry

62%43%18West Bengal

91%66%19Andhra Pradesh

58%63%23Maharashtra/Goa

27%36%29Uttar Pradesh

61%51%219All India

C&S HouseholdsTV OwnershipHouseholdsStates

 

Delhi has a whooping 91% TV ownership out of the 3 Million households, out

of which 86% are C& S households

Southern states like Andhra Pradesh, Tamil Nadu/ Pondicherry, Karnataka,

Kerela have a high level of C& S penetration

Page 32: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 32/67

  32

What is the reach of different medium?

Growth in number of channels

Page 33: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 33/67

Page 34: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 34/67

  34

What do the viewers watch in India?

Regional & Hindi GEC together constitute nearly 50% of the total viewership pie

Is domination of big players coming down ?

Page 35: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 35/67

  35

Is Fragmentation on rise?

The viewership share of top 5 channels has been steadily declining across year

How has fragmented viewing impacted Time spent on TV ?

Which genre’s have been impacted due to fragmentation ? 

News and Kids have observed increase in avg. weekly time spent over years…  

English movies, Hindi & Regional GEC, and Cable genre have witnessed drop in

time spent… 

Page 36: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 36/67

  36

Region wise analysis of TV Consumption pattern

Which markets have higher TV viewership share ?

Maharashtra, TN & AP constitute around 40% of All India viewership

Source: TAM People Meter System

Page 37: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 37/67

  37

Analyzing each market in detail 

Analyzing AP market

Telugu language has the maximum viewership share followed by Hindi in AP

Regional GEC commands a share of 46% followed by Cable at 12% and Regional

Movies at 11%

Regional GEC has a reach of 91% in AP followed by Regional Movies at 82%

Page 38: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 38/67

  38

Analyzing Karnataka market

Karnataka market has a mix of languages that are viewed

Regional GEC and Regional Movies together constitute 60% of total viewership in

Karnataka

Apart from Regional GEC & Movies, Hindi GEC & Movies have a avg. weekly

reach of 65%+

Page 39: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 39/67

Page 40: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 40/67

  40

Analyzing TN market

Among all languages, 84% of viewership is to Tamil language in TN

Sun TV garners 42% share followed by KTV at 15%

Page 41: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 41/67

  41

Analyzing Orissa market

Viewership share of Hindi programming is at 69% in Orissa

Page 42: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 42/67

  42

Analyzing WB market

Bengali and Hindi programming have maximum viewership share in WB

Regional & Hindi GEC together command 50% viewership share among all genre‟s 

Page 43: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 43/67

  43

Analyzing Gujarat market

Hindi & English programming constitute to 92% of total viewership in Gujarat

Hindi GEC genre garners 40% share among all genre‟s while Star Plus leads the

channel share at 20%

Page 44: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 44/67

Page 45: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 45/67

Page 46: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 46/67

Page 47: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 47/67

  47

Analyzing Delhi market

Hindi language programming commands a share of 90%

Hindi Movies and Hindi News are neck to neck in terms of viewership share in

Delhi

Page 48: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 48/67

  48

Analyzing PHCHP market

Hindi programming has the maximum share followed by English programming at

10%

Hindi GEC & Movies together constitute 50% of the entire viewership pie

Page 49: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 49/67

  49

Analyzing Rajasthan market

9 out of every 10 viewers prefer hindi programming in Rajasthan

60% of viewership in Rajasthan is on Hindi GEC and Hindi Movies

Page 50: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 50/67

  50

The Indian Advertising Scenario

Growth in the Number of Companies 

Page 51: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 51/67

  51

Size of Ad revenue pie & How is it split by Medium

What is the size of Indian ad revenue pie?

Page 52: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 52/67

  52

Print stride ahead all other media with 48% ad revenue

What is the split of Ad spends across languages?

Page 53: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 53/67

  53

Analyzing advertising pattern on TV, Print & Radio

Television

Growth of Ad spend on TV across years

Ad volumes on TV grew faster than ad spends

Page 54: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 54/67

  54

What is split of Ad spend on TV across Zones ?

What is the split across genres?

Page 55: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 55/67

  55

Which are the top Categories on TV ?

31% of ad spends accounted by Overall Top Categories

Page 56: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 56/67

  56

Which are the top Advertisers on TV ?

HLL was the Top player on TV

Page 57: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 57/67

  57

Which are the top Brands on TV ?

Colgate Dental Cream had the max. ad spends

Page 58: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 58/67

  58

Print

Growth of Ad spend on Print across years

Ad spends and Volumes on Print growing almost same pace

Page 59: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 59/67

Page 60: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 60/67

  60

Which are the top Advertisers on Print ?

4 of the top 10 advertisers are from the Auto sector

1%356Nokia Corporation10

1%365Samsung India Electronics Ltd91%417Reliance Communications8

1%433Hero Honda Motors Ltd7

1%440Tata Motors Ltd6

1%458LG Electronics India Ltd5

1%506Bajaj Auto4

1%594Pantaloons Retail India Ltd3

1%711Maruti Udyog Ltd2

1%828Hewlett Packard India Ltd1

% shareSpends(Rs. in Mn.)

AdvertisersRank

1%356Nokia Corporation10

1%365Samsung India Electronics Ltd91%417Reliance Communications8

1%433Hero Honda Motors Ltd7

1%440Tata Motors Ltd6

1%458LG Electronics India Ltd5

1%506Bajaj Auto4

1%594Pantaloons Retail India Ltd3

1%711Maruti Udyog Ltd2

1%828Hewlett Packard India Ltd1

% shareSpends(Rs. in Mn.)

AdvertisersRank

 

Page 61: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 61/67

  61

Which are the top Brands on Print ?

IIPM is the highest spender on Print

0.3%171Parsvnath Developers10

0.3%178Hero Honda Motorcycles9

0.3%184Ministry Of Consumer Affairs8

0.4%227TVS Star City7

0.4%238Incredibleindia6

0.4%243Big Bazaar5

0.4%273Maruti Car Range4

0.5%296Reliance Mobile3

1%322Ministry of Health & Family Welfare2

1%360IIPM1

% shareSpends(Rs. in Mn.)

BrandsRank

0.3%171Parsvnath Developers10

0.3%178Hero Honda Motorcycles9

0.3%184Ministry Of Consumer Affairs8

0.4%227TVS Star City7

0.4%238Incredibleindia6

0.4%243Big Bazaar5

0.4%273Maruti Car Range4

0.5%296Reliance Mobile3

1%322Ministry of Health & Family Welfare2

1%360IIPM1

% shareSpends(Rs. in Mn.)

BrandsRank

 

Page 62: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 62/67

  62

Radio

*Only FM Radio stations are considered for the Analysis  

What is split of Ad spend on Radio across Zones?

Page 63: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 63/67

  63

Which are the top Categories on Radio?

43% of ad spends accounted by Overall Top Categories

High Cross Media promotions on Radio

2%47Corporate/brand Image10

2%50Internet/SMS Service9

2%63Life Insurance8

3%78Publications/books7

3%80Mutual Funds6

3%81Jewellery5

4%105Independent Retailers4

6%183Cellular Phone Service3

8%225Properties/Real Estates2

13%376TV Channel Promotions1

% shareSpends

(Rs. in Mn.)CategoriesRank

2%47Corporate/brand Image10

2%50Internet/SMS Service9

2%63Life Insurance8

3%78Publications/books7

3%80Mutual Funds6

3%81Jewellery5

4%105Independent Retailers4

6%183Cellular Phone Service3

8%225Properties/Real Estates2

13%376TV Channel Promotions1

% shareSpends

(Rs. in Mn.)CategoriesRank

 

Page 64: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 64/67

  64

Which are the top Advertisers on Radio ?

Four players from the Cellular Phone Service category in the Top 10

Real Estate, Insurance, Auto and Pharma advertisers secure place in the Top 10

0.8%23Tata Sky Ltd10

0.8%24Hutchison Essar Telecom Ltd9

0.9%25Prince Pharma8

0.9%26Maruti Udyog Ltd7

1%33Life Insurance Corporation of India6

1%45Bharti Airtel Ltd5

2%45Reliance Communications4

2%47GTM Builders & Promoters3

2%60MTNL2

5%161Hindustan Lever Ltd1

% shareSpends

(Rs. in Mn.)AdvertisersRank

0.8%23Tata Sky Ltd10

0.8%24Hutchison Essar Telecom Ltd9

0.9%25Prince Pharma8

0.9%26Maruti Udyog Ltd7

1%33Life Insurance Corporation of India6

1%45Bharti Airtel Ltd5

2%45Reliance Communications4

2%47GTM Builders & Promoters3

2%60MTNL2

5%161Hindustan Lever Ltd1

% shareSpends

(Rs. in Mn.)AdvertisersRank

 

Page 65: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 65/67

  65

Which are the top Brands on Radio?

The top 10 brands constitute only 10% of the total spends… 

Independent Retailer from the North tops the brand list across Radio Spends

2 brands each of real estate, cellular phone service provider and pan

masala/zarda in the Top 10 list.

0.5%15Pan Bahar Pan Masala10

0.5%16Big Bazaar9

0.5%16Pan Parag Pan Masala8

0.5%16Parsvnath Developers7

0.6%18Dollar Club6

0.7%22M-Tech Developers5

0.8%22Airtel Cellular Phone Service4

0.8%23Tata Sky3

1%32Reliance Mobile2

2%47GTM Jewellery Mart1

% shareSpends(Rs. in Mn.)BrandsRank

0.5%15Pan Bahar Pan Masala10

0.5%16Big Bazaar9

0.5%16Pan Parag Pan Masala8

0.5%16Parsvnath Developers7

0.6%18Dollar Club6

0.7%22M-Tech Developers5

0.8%22Airtel Cellular Phone Service4

0.8%23Tata Sky3

1%32Reliance Mobile2

2%47GTM Jewellery Mart1

% shareSpends(Rs. in Mn.)BrandsRank

 

Page 66: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 66/67

  66

Conclusion

The number of channels increasing over years, fragmentation of viewership is on rise

Avg. weekly time spent on Total TV has been steadily decreasing

Maharashtra, TN and AP are the largest markets in terms of viewership at an All India

level

The size of Indian media advertising is pegged at 163bn of which Print commands

48% share.

Ad spends on Radio in 2006 over 2005 have grown at a faster rate than that of TV and

Print

Genre‟s like News (English, Hindi, Regional & Business), Kids, Music have witnessed

increase in viewership across years… 

Regional & Hindi GEC together constitute nearly 50% of the total viewership pie

 Number of channels contributing to 80% viewership has increased from 31 in 2004 to

41 in 2007

The avg. weekly time spent on total TV is dropping across years

On Radio : Four players from the Cellular Phone Service category in the Top 10

On Print: Properties/Real estates is the top spender on Print & 4 of the top 10

advertisers are from the Auto sector

On TV: Ad volumes on TV grew faster than ad spends & Overall GECs accounted for

62% of ad spends

9 out of 10 viewers in MP are exposed to Hindi GEC genre

Bengali and Hindi programming have maximum viewership share in WB

Page 67: Study of Indian Media Industry

8/12/2019 Study of Indian Media Industry

http://slidepdf.com/reader/full/study-of-indian-media-industry 67/67