FICCI-KPMG-Report-13-FRAMES

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The power of a billion: Realizing the Indian dream
Introduction
Not long ago, the thought of being able to reach and engage with the
billion-strong and significantly diverse Indian customer base seemed far
fetched. Today, powered by digital technologies, growth in penetration of
broadband and digital cinema, increasingly sophisticated mobile devices, and
a regulatory framework that is enabling growth and change in several sectors
of the industry, the dreams of advertisers, media houses, and telcos are
beginning to move towards fulfillment.
Not so surprising then, that the theme for the FICCI
Frames 2013 conclave is ‘A Tryst with Destiny:
Engaging a Billion Consumers’
At the same time, this comes against the backdrop of a subdued macro
environment that has dampened advertising spends. Key sectors still
struggle with challenges of sub optimal scale, fragmented audiences,
distribution leakages and the need for better industry co-ordination. Along
with the opportunities presented by digitization and convergence, to realize
the promise of a billion, come key questions for M&E companies and the
government.
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• Global slowdown in economic growth
• Continued crisis in the EU
• 5 percent growth in real GDP (nominal growth 11.7 percent ) in India
in 2012-13 (vis a vis 6.2 percent previous year) 1
How can we extend our reach?
How can we formulate multi platform distribution strategies to reach new
audience segments and enable better subscription revenues? How do we
penetrate emerging and lucrative regional pockets? How can we ensure
access to media at realistic price points for the under-served population near
the bottom of the pyramid?
730 million TV Viewers 2
181 million Press AIR 3
159 million Radio listeners 3
176 million Internet users 4
Significant potential to grow reach in a country of one billion
How do we create true connect?
How can we effectively segment a diverse audience base and then research
and customize content for each segment, to ensure relevance? For example,
how do we balance dubbed vs localized content in newly penetrated regional
and rural markets? Or international vs locally produced content targeting key
cities? Is there a business case for further zoning/ going hyperlocal within
penetrated markets for greater localization of offerings? How do we engage
the multitasking youth of today? How do we then inculcate processes to
measure and monitor audience and reader responses, and then to ensure
responsiveness and flexibility?
01. Central Statistical Organization (CSO) estimates
02. KPMG Analysis based upon Census 2011 and Industry discussions
03. IRS Q3 2012
04. KPMG Analysis based upon TRAI, IAMAI estimates and industry discussions.
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