India's media and entertainment sector growth slows to 8% in 2023, TV lags

Television remained the largest segment, however, digital media is expected to overtake it in 2024.

Growth in the media and entertainment sector slowed down in 2023 to 8 percent from 21 percent in 2022 affected due to the headwinds from geopolitics, the uncertainty of war, a funding scarcity and regulatory implications that impacted advertising spends and reduced consumption.

The sector grew by Rs 17,300 crore to reach Rs 23,2000 crore (US$27.9 billion), said the FICCI Frames report that was released on March 5.
The growth last year was half of the Rs 37,100 crore growth that took place in 2022, mainly due to headwinds in advertising during the first half of the year, the report said.

While the sector was 21 percent above its pre-pandemic levels, television, print and radio still lagged their 2019 levels.

Television remained the largest segment, however, digital media is expected to overtake it in 2024. The media and Entertainment sector is estimated to grow 10.2 percent to reach Rs 25,5000 crore by 2024 and grow at a compound annual growth rate (CAGR) of 10 percent to reach Rs 30,8000 crore by 2026.

Except for television, all the segments in the media and entertainment sector grew in 2023.

New media including digital and online gaming grew the most, providing Rs 12,200 crore of the total growth, and increased its contribution to the sector from 20 percent in 2019 to 38 percent in 2023.

The share of traditional media comprising television, print, filmed entertainment, live events, out of home (OOH), music, radio stood at 57 percent of the sector’s revenues in 2023, down from 76 percent in 2019.

Experiential segments which include outside the home and interactive entertainment continued their strong growth in 2023, and online gaming, filmed entertainment, live events and OOH media segments grew at a combined 18 percent, contributing 48 percent of the total growth.