Why the Entertainment Industry is Looking Towards India for Growth

The recent and ongoing pandemic has caused havoc for most business sectors around the world. One of the hardest hit has been the entertainment and media industry. There have been many suggestions towards a recovery, and one of the main suggested routes out of the entertainment doldrums is to look east. India specifically is a great entertainment market having both the culture and the infrastructure. The entertainment industry now eyes India as a means to move forward and for growth.

The Indian entertainment sector

The Indian film industry is the largest entertainment industry in the world, with over 1.3 billion people in India and with mobile use hitting record highs. India is unquestionably the new growth point for media and entertainment. 

India sells more than 2 billion Bollywood movie tickets each year across the country – this is 800 million more than in the US. Ticket sales numbers are impressive, but so are the number of actual films produced in India. More than 2000 films are produced in the country each year, contributing billions in revenue to the media and entertainment industry. It is expected to reach $100 Billion by 2030; these are astonishing numbers, and it is definitely worth trying to understand this phenomenon.

The main sectors showing growth

The following sectors of the Indian media and entertainment sectors are those that have proven to be the future of the sector and potential for investment:-

Film

Indian film is predominantly known for Bollywood, or previously known as Bombay cinema. It produces, as aforementioned more films than Hollywood (USA) and Nollywood (Nigeria) put together. However, for a new entrant to the market, it is important to understand that the regional film industry in India is just as important. The Telugu or West Bengal film industry is just as vibrant as Bollywood and is becoming more accessible as translations of local dialects allow these films to be screened across the country and even on global platforms. ’Indie’, or independent Indian films, are now growing faster than ever before, and it is the regional film industry that is driving this unprecedented growth.

Television

In terms of subscribers, India has the second-largest pay-tv market globally after China. And this is expected to grow at 7,5% after more than doubling in size between 2001 and 2018. There are many avenues for growth in the sector. First is advertising, and the lure of billions of customers and viewers in seats watching pay or digital television. Second, global broadcasters are looking to the country as a potential market for their programs through partnerships with local producers and broadcasters. 

Online media

Growth in the digital media space in India has boomed in recent years, with more than 620 million internet users in India and internet penetration at 45%. This translates to millions of social media users. The number of users on social media platforms in the country has grown by more than 20% over the last year, with around 32% of the population connecting and engaging on social media. The potential for growth in the digital and social media sector is therefore expansive. With the possibility of reaching billions and not just millions of users, digital and social media platforms and influencers could extract economic benefits that will go beyond the stars. 

Sport

eSports streaming and growing online users mean that the possibility of getting fans in both stadiums and watching sports at home is very real. As many of us have had to change our sports watching habits over the last few years because of COVID, so the growth in eSports players and gamers grown globally and in India. After the explosion of the Indian Premier League for cricket and the viewers that this franchise was able to secure, it became obvious the size and strength of the Indian television and sports streaming channels. The ability to stream the games live on mobile devices. With translated commentary in all regional dialects, the sport that had already gripped the nation has become even bigger and the financial opportunity immense.

What to consider in the production of media and entertainment

Language issues

India is one of the most diverse nations in the world. The news and media often present it as a homogenous country. The truth of the matter is that there are so many languages that must be considered. The way to go until very recently was for foreign entrants to the Indian market to film and then simply translate to Hindi, but there are changes afoot, and many are using professional translation and interpretation throughout the process to ensure dialects and languages are matched exactly.

As the regional film industry in India grows, there is now a clear understanding of the market and how different language and dialects can be used to capture audiences and thus market share.

Culture

There is no way to provide relevant entertainment and media if you do not understand the culture of the country, and in India, this will also mean understanding the regional differences that exist. Then there is the culture of Bollywood and the predominant film style. Many of the independent filmmakers are moving away from this historically Indian film style or culture to a film culture that is less sentimental and has no song and dance. It is a way to compete outside India but may not necessarily meet the needs of the mass Indian market.

Without understanding Indian culture, the differences between regions and religions, and the Indian film culture, it will be impossible to compete in the country’s media and entertainment space.

The Indian media and entertainment market is growing, this is undeniable, and for those looking to enter this market segment, there will be vast opportunities. However, there are also certain threats that could serve to put any investment at risk. It is a volatile nation, and before embarking on any Indian adventures, it is wise to do your homework. This article has provided a starting point to understand and appreciate why Bollywood and its associated offshoots, social media entertainment, and mobile fun in India will be at the centre of global entertainment and media. The entertainment sector looks to India for growth and the opportunity to bounce back from what has been a pretty poor 18 months.

James Daniels

James Daniels is a freelance writer, business enthusiast, a bit of a tech buff, and an overall geek. He is also an avid reader, who can while away hours reading and knowing about the latest gadgets and tech, whilst offering views and opinions on these topics.