Media investment in India is on an explosive growth path and is expected to exceed 5 billion next year and possibly hit 10 billion by 2011, according
to a new study from GroupM. The study, dubbed "This Year, Next Year: India," included an examination of all major media in India, including internet, outdoor, and cinema, and concluded that overall media investment is growing at an annual compound average of 21%.
Among specific media, the report discovered: Internet users have grown tenfold to 21 million since 2000. Online brand display advertising and transaction generation are the mainstay of internet ad revenues. Search is now increasingly being used by DR advertisers and total internet ad revenue will overtake magazines and radio in the near term. TV growth is being sparked by the launch of new channels and the growth of new ad categories. The majority of TV advertising continues to be for household consumer goods. Radio is often the only channel where electricity and literacy are scarce. It’s set to outperform as the government releases more bandwidth, consumer appetite for music-based content rises, more people drive, and audience measurement begins. Virtually all mobile phones now receive FM radio.
