The Indian entertainment and media industry is poised to register 19% compounded annual growth rate (CAGR) to reach Rs 83,740 crore by 2010 from the present Rs 35,300 crore, according to a report released by FICCI-PricewaterhouseCoopers (PwC).Authored by Deepak Kapoor, India Leader, Entertainment and Media Practice, PwC, the report said the industry has out-performed the Indian economy, and is one of the fastest growing sectors in India."The economy is one of the driving factors that has fuelled the growth of the sector. It has given a fillip to consumers' income, which, in turn, has increased the disposable income that consumers spend on mediaand entertainment," Kapoor said.The other key factor is the liberalised foreign regime - the most recent being foreign direct investments in two important sectors, print media and radio. Films, TV and other segments are already open to foreign investment.Areas that were pointed out as untapped potential for growth were penetration in the lower socio-economic classes (SEC) and ad spends.Media penetration is poor in lower socio-economic classes, and efforts toincrease the penetration even slightly in the lower SECs would deliver much higher results. On the other hand, Indian advertising spends as a percentage of the GDP stands at 0.34%, which is extremely low when compared with other developing countries.The television industry continues to take the lion's share of the entertainment sector at over 42%, and is poised to grow at an annual compounded rate of 24% per annum for the next five years.While the filmed entertainment industry is poised to grow at 15% for the next five years, the print industry is projected to grow at 12% per annum for the next five years. On the emerging segments, live entertainment was estimated to grow at 18%, mobile entertainment at 67% and Internet advertising at 50%.
