Projected Growth of India's Entertainment and Media Sector to Hit Rs 365,000 Crore by 2028

New Delhi, Dec 9 (NationPress) The entertainment and media industry in India is on track to achieve revenues of Rs 365,000 crore by the year 2028, indicating a compound annual growth rate (CAGR) of 8.3%, which notably exceeds the global growth rate of 4.6%, according to a report released on Monday.

Within this industry, advertising revenues are expected to increase at a CAGR of 9.4%, reaching Rs 1,58,000 crore by 2028, which is 1.4 times the global average of 6.7%, as highlighted in PwC India’s report. Much of this growth will be driven by the digital segment (specifically internet advertising).

In India, internet advertising is predicted to grow at a CAGR of 15.6%, achieving Rs 85,000 crore by 2028, marking the highest growth rate among the top 15 countries and 1.6 times the global average.

Conversely, the online gaming and esports industry in India is expanding at a CAGR of 19.2%, with projections indicating it will reach Rs 39,583 crore by 2028.

In addition, revenues from OTT platforms in India are set to grow at an impressive CAGR of 14.9%, the highest among the leading 15 countries, reaching Rs 35,061 crore.

“Our ‘Global Entertainment and Media Outlook 2024-2028’ highlights that significant growth drivers such as digital advertising, OTT platforms, online gaming, and Generative AI are transforming the industry landscape,” stated Manpreet Singh Ahuja, Chief Digital Officer and TMT Leader at PwC India.

With advancements in connectivity, increasing advertising revenues, and favorable government policies regarding foreign direct investment (FDI), India is predicted to exhibit one of the highest growth rates in the entertainment and media sector over the next five years.

Currently, India boasts 80 crore broadband subscriptions, 55 crore smartphone users, and 78 crore internet users.

Remarkably, Indians are dedicating 78% of their time to mobile applications linked to entertainment and media.

Infrastructure improvements have facilitated substantial growth in India’s out-of-home (OOH) advertising market, which expanded by 12.9% in 2023 and is anticipated to continue growing at a CAGR of 7.6%, as per the report.

In terms of print advertising revenues, while a global downturn is expected at a CAGR of -2.6%, the Indian market is forecasted to experience growth at 3%, positioning it as the third largest print market globally by 2028.

The cinema sector in the country is also on an expansion trajectory, growing at a CAGR of 14.1%, as stated in the report.