A report on the prospects of growth in the media and entertainment industry by Pricewaterhouse-Coopers said Indian entertainment and media segments will grow at 10.1% and would be worth $55 billion by 2024.
The PwC Global Entertainment and Media Outlook 2020-2024 predicted a K-shaped bifurcated recovery for the sector in the aftermath of the coronavirus pandemic and said the upward curve would be led by strong growth in OTT platforms, internet advertising, videos, games and e-sports segment, music and podcasts. It also said digital revenue, globally, was expected to contribute 60% to the total entertainment and media revenues by 2020.
“OTT video in India is expected to see the largest gain and reach 5.2% by 2024, closely followed by internet advertising,” the report said, adding that while India would remain the world’s biggest cinema market in admission terms, cinema revenue in the country will contract at -2.6% to $1.5 billion over the next five years.
“The pandemic has accelerated ongoing shifts in consumers’ behaviour, pulling forward digital disruption and reaching industry tipping points that wouldn’t otherwise have been reached in the next few years. Our research shows that India will be the fastest growing entertainment and media market globally in terms of pure consumer revenue,” Rajib Basu, partner and leader, entertainment and media, PwC India, said.
The PwC outlook also said companies must build and maintain direct-to-consumer relationships, offer enough differentiation or scale to compete, and unlock greater value using the right technologies.
In the post-pandemic world, India holds the most potential of any market in the world in the OTT video segment and its rate of growth is expected to see total OTT video revenue overtake South Korea, Germany and Australia to jump to being the sixth-largest market in 2024, the report said.