The Indian entertainment and media industry will grow at a CAGR of 11.6 per cent to reach Rs 3,53,609 crore by 2022 as device penetration and lower Internet prices drive consumer demand for content, a report by PwC said today.
“It is not surprising that India continues to be one of the fastest growing entertainment and media markets globally. 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. This will manifest in significant growth in OTT, e-sports and Internet advertising,” Frank D’Souza, Partner & Leader – Entertainment & Media, PwC India said at a conference.
PwC’s Global Entertainment & Media Outlook 2018-2022 pointed out that the total cinema revenue is expected to rise at 9.4 per cent CAGR over the forecast period. Average admission prices will move up to reach Rs 78 by 2022, up from Rs 55 in 2017, an increase of 7 per cent CAGR.
The number of screens in India are also expected to increase to 12,775 screens in 2022, up from 11,672 in 2017. The main area of growth in exhibition is in digital screens as the sector gets modernised. There are expected to be 5,532 digital screens in 2022, a significant addition to the 2017 figure of 3,524.
OTT or over-the-top video revenue has grown rapidly in recent years despite piracy to reach Rs 2,019 crore in 2017. Further, a 22.6 per cent CAGR will see India move into the top ten largest global OTT video markets in 2022 with revenue of Rs 5,595 crore.
Traditional gaming, however, is growing relatively slowly at just a 4 per cent CAGR, but the social/ casual gaming category will represent 82.2 per cent of all Indian consumer gaming revenue by 2022. The segment is expected to grow by a 56 per cent CAGR over the forecast period from Rs 1,645 crore to Rs 14,772 crore by 2022. “India was relatively late to the social boom, but over the next five years better connectivity, better telco offerings and a competitive handset market are expected to propel apps and games to the fore,” the report said.