The Public Relations industry will almost double in the next four years to touch Rs 2,100-crore mark driven by rising demand for its services from the technology sector, according to a report.
The industry grew with almost same pace in last four financial years. It more than doubled between financial years 2007-08 and 2015-16, said the report by PR agencies' umbrella body, the Public Relations Consultants Association of India (PRCAI) and Feedback Business Consulting.
The PR industry closed the last fiscal year with a revenue of Rs 1,120 crore from Rs 490 crore in 2007-08, and is set to touch Rs 2,100 crore by 2020, it said.
The industry grew 19 per cent in the past financial year against 13 per cent a year ago. The industry is hopeful of clipping at 15-16 per cent over the next four years.
The report says growth is being driven by the information and communication technology sector, which now constitutes 20 per cent of the income, making them biggest clientele for PR firms.
The next two revenue streams are financial services and the FMCG sector which account for 12 per cent and 9 per cent, respectively, it added.
PRCAI President Nitin Mantri attributed the strong growth in the past years to new services such as digital and social media communication, along with crisis and CSR management.
He said start-ups, sports and entertainment are the emerging business segments.
On the challenges the industry faces, the report said the biggest challenge is acquiring the right talent and retaining them.
On the business model, the report said 74 per cent of revenue comes from retainer businesses now, but this is changing fast to project model.
The PR industry currently employs over 7,750 professionals and the annual job growth is 5-10 per cent. Most of this workforce is employed in Delhi and Mumbai, both of which continue to be the industry hubs in the country.
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