The Economic Survey 2025-26 has thrown light on India’s experience-led sectors, such as live entertainment, tourism, digital media and urban leisure services, which are dubbed as the ‘Orange Economy’.
According to the Survey, rising demand for cultural, creative and experience-based consumption is driven by higher disposable incomes, digital reach and improving infrastructure.
Value in these sectors comes less from physical goods and more from creativity, cultural content and intellectual property, with spillover effects across travel, hospitality and local services, the survey added.
Live entertainment crosses Rs 10,000 crore
According to the survey, India’s concert and live entertainment economy crossed Rs 10,000 crore in 2024. The impact goes beyond ticket sales. Large events act as short-duration demand boosters for airlines, hotels, restaurants and city transport systems.
To support the segment, the Ministry of Information and Broadcasting is working on a single-window mechanism for live entertainment permissions, aimed at reducing the need for the 10–15 separate clearances currently required to host large events.
Globally, creative industries account for between 0.5% and 7% of GDP, the survey notes, adding that in the UK, music tourism alone contributed about 0.3% of GDP in 2022, the survey noted.
Tourism shifts toward specialised experiences
Tourism demand has remained strong, led by domestic travel. As per the survey, domestic tourist visits reached 2.9 billion in 2024, up 17.5% over the previous year. Between January and September 2025, domestic visits rose by nearly 52.7% year-on-year, indicating continued momentum, according to the survey.
According to the survey, the sector supports about 8.46 crore direct and indirect jobs. This accounts for 13.3% of total employment, thereby making it one of the largest employment generators.
Another trending category within the tourism section is medical and wellness tourism, which, as per the survey, has expanded at a rate of 12.4% compound annual growth rate between 2009 and 2024. The segment is estimated at $8.7 billion in 2025 and projected to reach $16.2 billion by 2030, the survey added.
Capacity expands across aviation and hospitality
The number of airports has increased from 74 in 2014 to 164 in 2025, while passenger traffic reached 412 million in FY25 and is projected to grow to 665 million by FY31, which in turn has led to an increase in the experience economy or Orange economy, as per the budget.
Hospitality indicators remain firm. Average hotel occupancy has stayed above 60% through November 2025, suggesting steady travel demand, the survey added.
Urban experience transport is also seeing traction. The Kochi Water Metro, an electric-hybrid ferry system, has recorded over five million cumulative passengers, showing uptake for new-format urban mobility services, the survey added.
Digital access widens the audience
The survey links the rise of the experience economy to deepening digital access. 85.5% of households now own at least one smartphone, while India has over 403 million Facebook users, the largest base globally.
In 2024, 48% of internet users watched online videos and 43% accessed social media. Around 40 crore users are active on OTT video and food delivery platforms, as per the survey.
Furthermore, the gaming market reached Rs 232 billion in 2024, while the animation and VFX segment touched Rs 103 billion, the survey noted.
More spending room for consumers
The survey also links experience spending potential to rising financial headroom. Recent personal income tax changes mean no tax is payable up to Rs 12 lakh of income, or Rs 12.75 lakh for salaried taxpayers, increasing disposable income at the middle-income level.
Rural consumption signals have also improved. In November 2025, 79.2% of rural households reported higher consumption, with the share of monthly income spent on consumption rising to 67%.
To conclude, the survey suggests that experience-led sectors, from concerts and cultural events to specialised tourism and digital media, are moving from niche to mainstream, supported by income, connectivity and policy easing, and are becoming a larger part of India’s services growth story.