Indian Advertising 2009-2013 KPMG FICCI Report:Internet Advertising to have fastest growth

The Indian Media and entertainment industry stood at INR 584 billion in 2008, a growth of 12.4 percent over the previous year. Over the next five years, the industry is projected to grow at a CAGR of 12.5 percent to reach the size of INR 1052 billion by 2013, says a FICCI & KPMG report on the sector . The report however, highlights that the market environment has become increasingly challenging for the sector, on the back of economic slowdown and the consequent slowdown in advertising revenues, especially in the last quarter of 2008. Sectors like TV, Print, Radio and Outdoor which depend on advertising revenues were largely affected and this is estimated to continue into the current year too. According to KPMG

Advertising spends grew at CAGR of 17.1 percent in the past three years. Going forward, it is expected to exhibit a robust growth rate at CAGR of 12.4 percent over the next five years. Potential upsides could take this higher

Internet advertising is seen at 840 crores in 2009 by KPMG and is expected to have one of the highest growth rates with an expectation to move to 2140 crores by 2013. The Overall Breakup of the total pie of advertising spends in 2008 was

• Television Rs 240.5 Billion
  
• Print Rs 172.6 Billion
  
• Film Rs 109.3 Billion
  
• Animation Rs 17.4 Billion
  
• OOH Rs 16.1 Billion
  
• Radio Rs 8.4 Billion
  
• Music  Rs 7.3 Billion
• Gaming  Rs 6.5 Billion
• Internet Rs 6.2 Billion