The Indian entertainment and media industry is projected to grow at a compound annual growth rate (CAGR) of 8.3% to reach Rs 3,65,000 crore by 2028, outpacing the global CAGR of 4.6%, according to PwC India’s report titled ‘Global Entertainment & Media Outlook 2024–28: India Perspective.’ India’s advertising market is set to expand at a 9.4% CAGR, rising from Rs 1,01,000 crore in 2023 to Rs 1,58,000 crore in 2028, largely driven by internet advertising, which is expected to grow at 15.6% CAGR over the same period.
“India’s Entertainment & Media sector is on the cusp of a major transformation. According to our Global Entertainment & Media Outlook 2024-2028, key growth drivers such as digital advertising, OTT platforms, online gaming, and Generative AI are shaping the future of the industry. These rapidly expanding segments are positioning India as a global leader in innovation and growth. Businesses that adapt and innovate in these areas are poised to seize unparalleled opportunities in this dynamic landscape.” Manpreet Singh Ahuja, chief digital officer and TMT Leader, PwC India, said.
Key growth areas include online gaming and esports, projected to grow at 19.2% CAGR to Rs 39,583 crore by 2028, and the over-the-top (OTT) segment, which is forecasted to expand at 14.9% CAGR to Rs 34,992 crore. Furthermore, the report reveals that India’s cinema market is also expected to grow at 14.1% CAGR, while print advertising revenue will see a modest growth rate of three per cent, contrasting with a global decline in the print segment. Music revenue, encompassing live, recorded, and digital formats, is anticipated to grow at 10.3% CAGR, reaching Rs 10,899 crore by 2028.
Infrastructure advancements and increasing broadband penetration are key enablers, with India boasting over eighty crore broadband subscriptions and fifty-five crore smartphone users, the report added. The report highlights the significant potential of Internet advertising, expected to grow faster in India than in most Asia-Pacific markets. Traditional TV advertising will continue to expand in India at 4.2% CAGR, even as global revenues decline.
Strategic opportunities identified in the report include the integration of generative AI to enhance content creation and personalisation, the development of advertising-supported OTT tiers, and responsible gaming initiatives to position Indian studios on the global stage. Recommendations include market consolidation through mergers, cost optimisation via automation, and the adoption of targeted strategies using data analytics.