Indian Media Market 2007

Abstract

• Coverage of broadcasting, publishing, entertainment and online media
• In-depth assessment of the ‘investment case' for the Indian media market
• Analysis of all foreign investment in the Indian media market over the last 7 years
• 5 year growth forecast for each segment of the media market
• Detailed profiles of over 40 Indian media companies
• Over 280 charts and tables
• Researched and written ‘on the ground' in India

Executive summary

Five trends for 2007

Competition in the Pay TV market

• Competition for subscribers between cable and DTH and also amongst DTH operators is increasing. 2007 may see the launch of two new DTH services (from Reliance and Sun TV), bringing the total to four. The battle is largely being fought on the basis of price and not on content.
  • Major listed companies:
    • Dish TV
    • Hathway cable
    • Sun TV
    • Wire & Wireless India

Rollout of new multiplexes

• The boom in new multiplex construction is being slowed down by delays in the construction of new shopping malls and other regulatory issues. However, the planned build of almost 600 new screens across 44 cities (over the next 3 years) may lead to overcapacity in some areas - occupancy rates have already fallen from 50% to approximately 35%.
  • Major listed companies:
    • Adlabs
    • PVR
    • Inox Leisure
    • Shringar

Newspaper market - new launches

• The year began with the launch of HT Media' s new business daily, Mint. This title has entered an already crowded business newspaper market. Across the sector, double digit growth in adspend is encouraging publishers to launch new titles and expand geographically. This is leading to very significant price competition in major cities (especially among English language titles). Local language titles continue to have the best growth prospects.
  • Major listed companies:
    • HT Media
    • Jagran Prakashan
    • Deccan Chronicle

Expansion in radio

• The successful licencing of over 240 new radio stations in 2006 has led to an enormous increase in the number of stations coming on air. In 2007, the sector is likely to see increased competition for audiences, but will also capture a greater share of advertising budgets. There is also likely to be some consolidation in the sector and more foreign investment.
  • Major listed companies:
    • Adlabs
    • Entertainment Network
    • Sun TV

Internet growth

• The online media sector should continue to experience strong growth in both reach and revenues. Broadband' s share of the market will grow from its current 20%.
  • Major listed companies:
    • Info Edge

Report structure

The study

This is the third edition of Heernet ventures' analysis of the Indian media market.

The study is structured into the following five sections:

• I) Investment thesis. An analysis of the investment case for the Indian media market with an assessment of the broader economic case, sector-specific growth drivers and a 5 year growth forecast (2007 - 2012) for each segment of the media market. There is also an analysis of investment activity (including foreign and private equity investment and IPOs)
• II) Media market overview. An overview of the Indian media market, including analysis of market size, structure, media reach and penetration, regulatory regime, adspend and Internet and telecoms usage.
• III) Country profile. A profile of India examining key demographic and economic factors and trends (economic growth, population and employment, urbanisation and regional diversity).
• IV) Sector profiles. A detailed analysis of each sector of the Indian media market. Each sector profile covers size and structure, current trends and developments, major players and deal activity. All sectors of the broadcast, publishing and entertainment markets are covered.
• V) Company profiles. In-depth profiles of over 40 Indian media companies, covering activities, key products, financial performance, management and ownership and deal activity.

Key details

• Length: 250 pages (280 charts and tables)
• Target audience: Media companies, private equity firms, investment banks, management consultants, business journalists