TV AdEx in India projected to grow at 11.1% in 2020: GroupM
MUMBAI: After managing a 9.5% growth in 2019, TV ad expenditure in India is projected to grow at 11.1% in 2020, according to GroupM‘s This Year Next Year Worldwide Media Forecast report.
The total ad expenditure on TV is expected to increase to $5.76 billion in 2020 from $5.19 billion in 2019. TV’s share of total AdEx declined to 43.1% in 2019 from 44.2% in 2018.
Internet AdEx grew at 30.5% to $3.18 billion in 2019 and is projected to grow at 26.3% to reach $4 billion in 2020. The Internet’s share of AdEx is projected to grow from 26.4% in 2019 to 29.6%.
In 2019, newspaper AdEx grew at 2.3% to reach $2.5 billion. The report has downgraded its growth projection for print to 1%. The share of newspaper fell to 21.5% and is expected to decline further to 19.3%.
Radio, which grew at 8% to reach $413.2 million, is expected to see flattish growth. The medium’s share of total AdEx continues to remain low single-digit and is expected to shrink further in the coming years. The magazine segment continues to see a double-digit decline in AdEx while growth for Outdoor + Cinema is in single digits.
Overall, AdEx grew at 12.4% to touch $12.05 billion in 2019. For 2020, the growth is expected to be 12.6% to touch $13.5 billion.
Commenting on the numbers, GroupM South Asia CEO Prasanth Kumar said, “In 2020, India faces challenges and uncertainties across sectors, just like other markets. However, this also brings opportunities for brands to innovate. This will be propelled by greater use of technology and better content across media.”
The TYNY report reveals that India is the world leader among other larger media markets in advertising across mediums and will continue to give a stellar performance in terms of numbers with high single digits.
The growth rate in ad spends is estimated at 12-13% each year from 2020 to 2024, similar to 2019 levels. India along with Brazil is expected to overtake France’s position in terms of advertising numbers.