The Indian Media and Entertainment Industry
The Media and Entertainment Industry of India is one of the fastest growing in the world, growing at a CAGR of percent from 2011-2016; and is expected to growat a CAGR of 13.9 percent to touch INR 2,41,940Crores by 2021 from INR 1,26,210 Crores in 2016. Film and television segments constitute almost 60% of the entire Industry and its key drivers.
Though demonetisation adversely impacted the Media and Entertainment sector's performance in 2016, especially advertising revenue, the impact was short lived and normalcy has returned. The long-term factors driving the future growth are expected to remain positive, with growing rural demand, increasing digital access and consumption, and the expected culmination of the digitisation process of television distribution over the next two or three years.
In the year 2001, the film industry was granted the status of an 'industry'. Since then,the GOI has taken several initiatives to liberalise the foreign policy regualtions relating to films. Through the liberalisation of the foreign exchange regualtions, the GOI has allowed 100 percent FDI in the film sector. Film entertainment companies are now listed on Indian and International stock markets and have attracted significant private equity and venture capital from accross the world.India's leading corporate houses like Reliance, Birla and Mahindra have also entered this sector. Reputable banks and financial institutions now provide funding and insurance services to the industry.
With close to 900 television channels, 183 million TV households, 299.24 million smartphone usersand 2,000 films produced annually, India's vibrant media and entertainment (M & E) industry provides attractive growth opportunities for global corporations. In recent years, with near double-digit annual growth and a fast-growing middle class, there has been a renewed surge in investments into the country by multionational companies.
Film Entertainment Industry
“ The Indian film industry is the largest in the world in terms of number of films produced with around 1,500 to 2,000 films produced every year in more than 20 languages. ”
Historically, the Film industry in India has grown at a CAGR of over 10%. In the year 2016, the film industry grosses total revenue of INR 14,230 Crores. Going forward, the industry is expected to grow at a much faster pace year-on- year reaching total gross realization of INR 20,660 Crores by 2021. The key growth drivers are expansion of multiplexes in smaller cities, investments by foreign studios in domestic and regional productions, growing popularity of niche movies, and the emergence of digital and ancillary revenue streams.
Worlds Fastest Growing
Film And Entertainment Industry
India M&E Industry (Rs Crores)
India Film Industry (Rs Crores)
Worlds Largest Film Industry
Number of Films made in 2016
Number of Tickets sold in 2016 (Rs Crores)