India to emerge as the third largest television advertising market by 2016

India will emerge as the third largest television advertising market by 2016 behind Japan and China, said a recent report. With a compounded annual growth rate (CAGR) of 15%, television ad revenue in India will overtake Australia and Korea to touch $5.4 billion (Rs. 26,325 crore), said the report titled –‘The India TV Industry Act II’, released on Wednesday by Media Partners Asia Ltd, a Hong Kong-based company that provides analyses of media and telecom industries.

Advertising and subscription revenue of Indian television will grow at an average 12% annually in the next five years to reach $15 billion (Rs. 73,125 crore).

Indian television executives said the medium is boosting revenue by constantly reaching new viewers. Star India tops the report’s rating of Indian television networks, followed by Sun TV Network Ltd, Zee Entertainment Enterprises Ltd and Multi Screen Media Pvt Ltd.

The rating was done on parameters including flagship channels, bouquet strengths, scale, content sourcing Intellectual Property Right and syndication, distribution leverage, financial strength and future readiness. Television networks will focus on ramping up subscription revenue to boost growth in coming years, the report said.

Source: Percept

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