Television & News Industry: India


Published on

Published in: Business, News & Politics
No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Television & News Industry: India

  1. 1. Indian Television Market The News & Entertainment market with its current status & advertising trends.
  2. 2. The Indian Television Market <ul><li>The market size of Television industry is around 20,000 crores; out of which: </li></ul><ul><ul><li>8,000 crores is Advertisement market. </li></ul></ul><ul><ul><li>12,000 crores is encrypted/pay channels. </li></ul></ul><ul><li>*Source: Price Waterhouse Cooper (PWC) report-2008. </li></ul>
  3. 3. Television Viewership Data <ul><li>* The total viewership in Indian TV market is 112 million; out of which: </li></ul><ul><ul><li>Cable & Satellite viewership= 78 million </li></ul></ul><ul><ul><li>Terrestrial/Regional= 30 million </li></ul></ul><ul><ul><li>Direct To Home (DTH)= 4 million </li></ul></ul><ul><ul><li>IPTV ( Internet Protocol Television) & Mobile platforms have negligible viewer ship as if now. </li></ul></ul><ul><ul><li>*Source: Price Waterhouse Cooper (PWC) report-2008. </li></ul></ul>
  4. 4. Growth of TV Media Year after Year <ul><li>* The growth of TV media has seen an upward swing from year 2005 to 2007, which is: </li></ul><ul><ul><li>15% in 2005 </li></ul></ul><ul><ul><li>17% in 2006 </li></ul></ul><ul><ul><li>18% in 2007 </li></ul></ul><ul><li>* But the growth in the year 2008 is estimated to be only 17%. </li></ul><ul><li>*Source: AdEx Report-2007. </li></ul>
  5. 5. The Growth of TV market YoY 2005 2006 2007 2008( ESTIMATED ) 15% 17% 18% 17%
  6. 6. Growth in TV & Media Industry <ul><li>* Cumulative Annual Growth Rate (CAGR) is appx.18%, which is the forecast for the industry over next 5 years period. </li></ul><ul><li>* Reasons for Growth:- </li></ul><ul><ul><li>Technological Advancements. </li></ul></ul><ul><ul><li>Entry of large corporate players in all segments of the industry. </li></ul></ul><ul><ul><li>Increase in disposable income amongst Indian consumers & several other factors. </li></ul></ul><ul><ul><li>*Source: Price Waterhouse Cooper (PWC) report-2007 . </li></ul></ul>
  7. 7. FDI in News & Entertainment Industry <ul><li>* Almost 13 proposals for FDI in media were cleared by Ministry of Information & Broadcasting in 2006. Among these, are 8 proposals for News & Current Affairs segment. </li></ul><ul><li>* 2006 saw maximum flow of Foreign Investment in the E & M industry. </li></ul><ul><li>* The industry has secured FDI inflow approx. Rs. 8.5 billion in the year 2007. </li></ul><ul><ul><li>*Source: Price Waterhouse Cooper (PWC) report *2007 & *2008 . </li></ul></ul>
  8. 8. FDI in E & M industry <ul><li>FDI in Television channels: </li></ul><ul><ul><li>Entertainment channels = 49% </li></ul></ul><ul><ul><li>News channels = 26% </li></ul></ul><ul><li>FDI in Print Media Segment: </li></ul><ul><ul><li>Non- News Publication = 100% </li></ul></ul><ul><ul><li>News Publication = 26% </li></ul></ul><ul><li>FDI in Radio Sector: </li></ul><ul><ul><li>FM Radio sector = 20% </li></ul></ul><ul><li>*Source: The Association of Media & Entertainment Council (AMEC) report-2008 & PWC report 2008 . </li></ul>
  9. 9. Diversification & Investments <ul><li>* Most notable developments in E & M industry were the diversification in the value chain of the industry, such as: </li></ul><ul><ul><li>The TOI Group, having its presence in Print, TV & Radio entered into Filmed Entertainment Business with the release of its First English Film in 2006. </li></ul></ul><ul><ul><li>UTV diversified into Gaming by investing into Gaming companies India Games & Ignition. </li></ul></ul><ul><ul><li>*Source: Price Waterhouse Cooper (PWC) report-2007. </li></ul></ul>
  10. 10. Diversification Chart for Times Of India Group TV & Radio Film Ent. Print Media TOI Group TOI Group being present into Print, TV & Radio now entered into Film Entertainment.
  11. 11. Diversification Chart for UTV UTV TV Entertainment & News Gaming UTV diversified into Gaming from TV Entertainment & News.
  12. 12. Diversification & Investments <ul><ul><li>NDTV announced its plans to launch an entertainment channels in collaboration with film-maker Karan Johar’s Dharma Productions & also invested in a Radio Company in collaboration with a Sun Group. </li></ul></ul><ul><ul><li>Adlabs, having its presence in Films & Radio entered into TV Production by investing in Synergy Communications. </li></ul></ul><ul><ul><li>*Source: Price Waterhouse Cooper (PWC) report-2007. </li></ul></ul>
  13. 13. Diversification Chart for NDTV NDTV TV Entertainment & News Film Production Radio in collaboration with Sun Company NDTV being present in TV Entertainment & News entered into Films & Radio as well.
  14. 14. Diversification Chart for Adlabs Adlabs Films Radio TV Productions by investing in Synergy Communications Adlabs being present in Films & Radio entered into TV Productions.
  15. 15. Indian Electronic Media Industry <ul><li>* The no. of TV Channels in India may reach 500 by the end of 2008 from 402 in 2007. </li></ul><ul><li>* Amongst all the channels, Hindi entertainment channels account for as much as 75% of national viewership & 80% of the advertising revenue. </li></ul><ul><ul><li>*Source: The Association of Media & Entertainment Council (AMEC) report-2008. </li></ul></ul>
  16. 16. Share of Various advertising media in Indian Market <ul><li>Newspapers & Magazines hold 51% share, which is maximum in the Indian Media Advertising Market. </li></ul><ul><li>The largest share goes to TV which comes around 36%. </li></ul><ul><li>Radio & Internet hold only 5% share as if now. </li></ul><ul><li>Outdoor & Retail Media contains almost 8% share of the Indian Media Advertising Market. </li></ul><ul><li>*Source: AdEx Report-2007. </li></ul>
  17. 17. Share of different media in market Maximum share still lies with Print Media, TV holds second largest share in the advertising media market.
  18. 18. Advertising in TV industry <ul><li>* The no. of advertisers on TV grew by 29% in the span of 5 yrs. from 2003-07. </li></ul><ul><li>* The no. of brands advertised by these advertisers grew by 23% in 2007 as compared to 2003. </li></ul><ul><li>*Source: Price Waterhouse Cooper (PWC) report-2008 . </li></ul>
  19. 19. Potential for TV & News Industry <ul><li>Liberal Foreign investment policies by the government can boost the growth of Entertainment & News segment in India. </li></ul><ul><li>Indian Rural market which is 3 times larger than the urban market is yet to explore by the media industry. </li></ul><ul><li>TV & News industry is growing faster than the nominal GDP growth due to income elasticity wherein when income rise, proportionately more resources get spent on leisure & entertainment. </li></ul>
  20. 20. Potential for Growth of TV & News Industry Low Ads Spend Liberal FDI Policies Untapped Rural Market Economic Impetus Reasons for Growth Demand for Content *Source: Price Waterhouse Cooper (PWC) report-2007.
  21. 21. Potential for TV & News Industry <ul><li>Indian Advertising spends as a percentage of GDP is only 0.34 per cent, which is way below the percentages for both developed and developing countries. This provides an immense potential for growth. </li></ul><ul><li>There is a huge demand for content in E & M industry other than just Hindi & English Content. Growing demand for content on vernacular languages & dubbed foreign content is attracting the big players to Indian Media Industry to invest in. </li></ul>
  22. 22. Hindi News Channels’ Market <ul><li>The top 7 Hindi News Channels in the Hindi Speaking Market (HSM) are as follows : </li></ul><ul><ul><li>Aaj Tak. </li></ul></ul><ul><ul><li>India TV. </li></ul></ul><ul><ul><li>Star News. </li></ul></ul><ul><ul><li>IBN 7. </li></ul></ul><ul><ul><li>Zee News. </li></ul></ul><ul><ul><li>NDTV India. </li></ul></ul><ul><ul><li>News 24. </li></ul></ul>
  23. 23. Chart of HSM (Day Part) for Hindi News Channel * Source: TAM- (TVR) Report, 34th week, 2008 for HSM. 0.07 04.04 26.28 9599 News 24 7 0.07 04.56 28.76 10507 NDTV India 6 0.10 06.53 33.68 12304 IBN 7 5 0.11 07.22 33.71 12315 Zee News 4 0.16 11.23 39.96 14600 Star News 3 0.17 11.48 41.52 15168 India TV 2 0.18 12.41 46.56 17011 Aaj Tak 1 TVR (TV Rating) Time Spending (Min. : Sec.) % 0f Reach Reach (in 000 ) Channels S.No.
  24. 24. Chart of HSM (Prime Time) for Hindi News Channel * Source: TAM- (TVR) Report, 34th week, 2008 for HSM. 0.09 01.41 15.32 5596 News 24 7 0.10 01.57 17.47 6383 NDTV India 6 0.15 02.52 20.11 7346 Zee News 5 0.14 02.36 20.97 7663 IBN 7 4 0.25 04.48 27.43 10020 Star News 3 0.25 04.46 27.58 10076 India TV 2 0.27 05.08 32.20 11765 Aaj Tak 1 TVR (TV Rating) Time Spending (Min. : Sec.) % 0f Reach Reach (in 000) Channels S.No.
  25. 25. Current Scenario & Status Report for Top Hindi News Channels. Both Day & Prime Time Both Day & Prime Time India TV Both Day & Prime Time Star News Aaj Tak IBN 7 Day & Prime Time Zee News Day & Prime Time NDTV India Both Day & Prime Time News 24 Both Day & Prime Time 1 st 2 nd 3 rd 4 th 5 th 6 th 7 th Zee News IBN 7
  26. 26. Current Scenario & Status Report for Top Hindi News Channels. <ul><li>Aaj Tak stands on top in both Day Part & Prime Time in Hindi Speaking Market. </li></ul><ul><li>India TV & Star News stand on 2 nd & 3 rd position in both Day & Prime time in HSM. </li></ul><ul><li>Zee News in Day Part & IBN 7 in Prime Time is on the 4 th position in HSM. </li></ul><ul><li>IBN 7 in Day Part & Zee News in Prime Time stand on the 5 th position in HSM. </li></ul><ul><li>NDTV India & News 24 remains on 6 th & 7 th position in both Day & Prime Time in HSM. </li></ul><ul><li>* Source: TAM- (TVR) Report, 34th week, 2008 for HSM. </li></ul>
  27. 27. Other Popular Hindi News Channels in Hindi Speaking Market (HSM) <ul><li>India News : </li></ul><ul><ul><li>Reach (in 000) : 1813 (Day Part), 933 (Prime Time) </li></ul></ul><ul><ul><li>% Reach : 04.96 (Day Part), 2.55 (Prime Time) </li></ul></ul><ul><ul><li>Time Spent (MM.SS): 0.33 (Day Part), 0.11 (Prime Time) </li></ul></ul><ul><ul><li>TVR : 0.01 (Day Part), 0.01 (Prime Time) </li></ul></ul><ul><li>Voice Of India : </li></ul><ul><ul><li>Reach (in 000) : 6775 (Day Part), 4200 (Prime Time) </li></ul></ul><ul><ul><li>% Reach : 18.55 (Day Part), 11.05 (Prime Time) </li></ul></ul><ul><ul><li>Time Spent (MM.SS) : 03.02 (Day Part), 1.09 (Prime Time) </li></ul></ul><ul><ul><li>TVR : 0.04 (Day Part), 0.06 (Prime Time) </li></ul></ul><ul><li>TEZ (Aaj Tak): </li></ul><ul><ul><li>Reach (in 000) : 7072 (Day Part), 4183 (Prime Time) </li></ul></ul><ul><ul><li>% Reach : 19.36 (Day Part), 11.45 (Prime Time) </li></ul></ul><ul><ul><li>Time Spent (MM.SS) : 03.20 (Day Part), 1.12 (Prime Time) </li></ul></ul><ul><ul><li>TVR : 0.05 (Day Part), 0.06 (Prime Time) </li></ul></ul><ul><ul><li>* Source: TAM- (TVR) Report, 34th week, 2008 for HSM. </li></ul></ul>
  28. 28. Chart for Other Popular Hindi News Channels in HSM Note: These 3 channels together hold even less than 10% share of Hindi Speaking Market & rest share belong to the other channels excluding these three. This chart does not represent the share of top news channels (which covers more than 80% market). It only represents the remaining share of other popular news channels in the HSM.
  29. 29. Other Popular Hindi News Channels in Hindi Speaking Market (HSM) <ul><li>Other than top brands (holding more than 80% of total market share), the popular news channels in HSM are TEZ (Aaj Tak), VOI (Voice Of India) & India News , which together holds even less than 10% of the market share. </li></ul><ul><li>Amongst all the three, TEZ (Aaj Tak) holds the maximum share, VOI stands on the 2 nd position & India News holds least share, which is not even 2% of total HSM as if now. </li></ul><ul><li>Except these 3, there are other players in the market too like Samay, Live India etc. covering the remaining part (which is more than 10%) of the total Hindi Speaking Market. </li></ul>
  30. 30. Key players of the Non-News Channels in Indian Market <ul><li>* Sun TV is one of the largest regional broadcasters in Southern India. </li></ul><ul><ul><li>It is on this unique position because of the increase in local & regional languages content. </li></ul></ul><ul><ul><li>It has recorded steady growth in revenue of over 10 % annually for past 3 years. </li></ul></ul><ul><li>* UTV Software is one of the most active Indian Entertainment Companies with expanding relationship with Disney. </li></ul><ul><ul><li>UTV is believed to have valued itself at about $700 million. </li></ul></ul><ul><ul><li>*Source: The Association of Media & Entertainment Council (AMEC) report-2008. </li></ul></ul>
  31. 31. Key players of Non-News Channels in Indian Market <ul><li>* Zee Entertainment Enterprises (Zee TV) is the largest producer & aggregator of Hindi programming in the world. </li></ul><ul><ul><li>Zee has an estimated reach of 500 million viewers in over 120 countries globally including US, Canada, Europe, Africa, Middle East, South East Asia, Australia & New Zealand. </li></ul></ul><ul><li>* Non-Indian Entertainment Companies: </li></ul><ul><ul><li>Disney channel. </li></ul></ul><ul><ul><li>Sony Entertainment Television. </li></ul></ul><ul><ul><li>Star TV. </li></ul></ul><ul><ul><li>*Source: The Association of Media & Entertainment Council (AMEC) report-2008. </li></ul></ul>
  32. 32. Thank You Prepared By: Parul Gupta