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Advertising has not only come to reflect pop culture but has also
become an important element of economic growth. Today, every
person connected with the Indian economy or public should be
fully aware what advertising really is and why effective
advertising campaigns can be performed by full-service
advertising agencies.
WEAKNESSES:
1. The Media And Entertainment sector in India is highly fragmented.
2. Lack of cohesive production & distribution infrastructure, especially in the case of
music industry.
3. The lack of efforts for media penetration in lower socio-economic classes, where the
media penetration is low.
SWOT analysis cont.
• OPPORTUNITIES:
1. The concept of crossover movies, such as Bend It Like Beckham has
helped open up new doors to the crossover audience and offers immense
potential for development.
2. The increasing interest of the global investors in the sector.
3. The media penetration is poor among the poorer sections of the society,
offering opportunities for expansion in the area.
4. The nascent stage of the new distribution channels offers an opportunity
for development.
5. Rapid de-regulation in the Industry
6. Rise in the viewership and the advertising expenditure.
7. Technological innovations like animations, multiplexes, etc and new
distribution channels like mobiles and Internet have opened up the doors of
new opportunities in the sector.
THREATS:
1. Piracy, violation of intellectual property rights pose a major treat to the
Media And Entertainment companies.
2. Lack of quality content has emerged as a major concern because of the
'Quick- buck' route being followed in the industry.
3. With technological innovations taking place so rapidly, the media sector
is facing considerable uncertainty about success in the marketplace.
SCENARIO IN INDIA
• India's E and M industry is expected to grow at a compound annual growth rate (CAGR) of 10.5% between
2009-2013 compared to the global rate of 2.7% for the same period, projects a PwC report.
• While the Indian media industry would touch $18.58 billion by 2013, the global EandM market is expected
to grow 2.7% compounded annually over the five year forecast period to $1.6 trillion in 2013. After
registering a growth of around 16.6% compounded annually over the period 2004-08, growth in the Indian
media industry is set to decelerate to 8% in 2009.
• According to an Economic Times survey of 100 large private sector companies, the aggregate spending
on advertising by these companies grew by a huge 22.4 per cent last year over the previous year. More
than four-fifths of the sample companies have witnessed a rise in sales turnover in 2007-08 following
higher advertising spend.
• Growth rates will increase in 2010 to 10.4% as economic conditions are expected to improve. For the
remaining years of the forecast period, the industry will continue to grow at increasing rates, resulting in
the overall CAGR for the period 2009-13 of 10.5%.
Media market place
evolution
TRANSFORMATION OF
MEDIA INDUSTRY
Famous advertising agencies in world
Mudra south won the agency of the year at the ad club cochin s pap
awards 2009 10.4.09