Indian Ad Industry To Grow By 9% In 2012: Expected To Reach Rs. 28,013 Crore

Must Read

Can CBD Gummies Be Beneficial For College Students?

College students often feel more pressure than they have ever—or will ever—feel in their entire lives. Many...

Will Google’s Move To Delete 2,500 YouTube Channels Add Fuel To The Fire With China?

The US-China trade war has started rearing its ugly head. Both sides are now turning to extreme...

India Enterprise IT Spending To Reach Rs. 1,910 Billion In 2012: Manufacturing And communication Industry To Drive The Growth

Manufacturing and Communication Industry is expected to drive the overall growth in the years to come. Sectors like Education,...

Indian advertisement industry has missed the opportunity of incubated marketing trend as its growth percentage rate had shrink to 8 percent in 2011. Earlier, it was predicted that Indian advertisement industry will grow at the rate of 17% in 2011, but due to global meltdown, inflation and weakening rupee against dollar it has settled down only with 8 percent. Recent study reveals that Indian advertisement industry revenue has stood at Rs. 25,594 crore ($5.18 billion) in 2011 and is predicted to reach Rs. 28,013 ($5.60 billion) crore by the end of 2012 – an increase of 9 percent year-on-year.

The growth rate of Indian advertisement industry in 2012 is expected to be 1 percent higher than 2011. The low growth rate in Indian ad industry is mainly due to the weakening of the rupees  against dollar and higher inflation rate, which is expected to continue till the first half of 2012.

Interestingly, 2011 recorded the lowest growth in last one decade, except 2009 when it went into negative figure.

Advertisements

Advertisement Industry is mainly classified in to two types:-

  1. Print advertisement.
  • Outdoor advertisement.
  1. Digital advertisement.
    1. Advertisement on television.
    2. Advertisement Through radio.
    3. Internet advertisement.
    4. Advertisement through Cinemas.

Report highlights that Print advertisement has achieved growth rate of 8 percent which is comparatively 5 percent lower than the predicted value. Eventually, it has lost a negligible market share from 42.3 percent to 42.2 percent. It’s mainly due to the rise in prices as well as attraction towards internet marketing which has registered appreciated growth of 45 percent compared to projected 35 percent in 2011. And, it is expected to grow further by another 50 percent in 2012.

One of the most surprising discovery in the report is of Outdoor advertisement industry that has registered negative growth of 10 percent loosing around Rs. 144 crore in 2011. However, it’s been expected that it will improve by 5 percent in 2012 taking the revenues to Rs. 1362 crore.

Advertisement on Television continued its legacy as one of the leading advertisement media in the ad pie and has grown further from 44.5 percent to 44.8 percent (Rs.11, 418 crore) in 2011. Still, it failed to reach the predicted value of 45.7 percent (Rs. 12,636 crore). However, it’s been predicted that it will further grow with 10 percent rate in 2012 compared to 8.25 percent in 2011.

Interestingly, advertisement on Radio – which had registered a significance growth of 30 percent in 2010 – was unable to maintain its flow as it had registered growth of mere 2 percent in 2011. Adding further, it’s been expected that advertisement on Radio will grow 5 percent in 2012 taking its revenue to Rs. 948 crore ($0.186 billion).

Advertisements

While advertisement through Cinema has grown up unexpectedly by 18 percent compared to earlier predicted value of 10 percent, taking its revenue to Rs. 140 crore ($0.028 billion). It’s been predicted that it will continue the momentum in 2012 and is expected to grow by another 15 percent in 2012. The rise in Advertisement from cinemas is mainly due to the rise in the number of hit movies in 2011 that will help the industry to find more crowd on ticket window.

Indian advertisement industry will continue its growth rate in 2012 and is expected to grow further by 9 percent. However, we might see the downfall in Outdoor and print media as companies are showing their interest more on internet advertisement. In last few years internet has become a most preferred advertisement platform for marketers who are looking for improved ROI as internet advertisement is much cheaper, instant and – the most important is that – it’s a medium where people can engage themselves.

(Credit: exchange4media)

2 COMMENTS

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest News

OYO Introduces New Initiatives to Increase Employee Satisfaction

With work from home having become the new norm for most Indian startups due to mandatory social...

Amid Acquisition Talks, TikTok Gearing Up For A Legal Battle!

Desperate times call for extreme measures. The popular short-form video app TikTok has been facing unprecedented amounts of backlash from Uncle Sam...

PAN-Aadhaar link: 32.71 Crore Indians Can Now Reap the Benefits

The agenda to link every citizen's Aadhaar card with their PAN card has been on the Indian Government's radar ever since 2017....

When A City Had To Pay Ransom To Cyber Criminals!

While the rapid advancement in technology surely did gift us with newer and more powerful devices, be it smartphones or iPads, it...

Can Twitter’s New Feature Really Make You Feel Safe?

Twitter has been on what seems like a campaign to make the site a place for more meaningful conversations among users. Ever...

TikTok Acquisition: Not A Cake Walk for Microsoft

After President Trump announced an order banning US companies' transactions with Chinese businesses, which is set to come into effect 45 days...

In-Depth: Dprime

Will ‘TikTok By Microsoft’ Be A Winner?

For the last two years, TikTok has been in the public eye for all sorts of reasons. First, it was the exploded...

Facebook Subscription Model: Looking Beyond Ad Dollars?

Seldom do job listings create a stir this gripping. However, when the job listing in question is a stealth post from Twitter,...

Will The Online Food Delivery Market in India End Up Becoming A Two-Horse Race?

It's pretty much evident that the food delivery space in India is all set to get riled up soon enough as one...

More Articles Like This