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India’s media ad market estimated at Rs 163 billion in 2006: AdEx India report

19-January-2007
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India’s media ad market estimated at Rs 163 billion in 2006: AdEx India report

The media ad market in India stood at Rs 163 billion in 2006 as compared to Rs 132 billion in 2005 as per an annual report titled ‘ADEX India: Ad Industry Outlook 2006’ compiled by AdEx India, a division of TAM Media Research. The largest share of this pie is dominated by print (48 per cent), followed by television (41 per cent), together accounting for 89 per cent of the media ad pie. OOH, which is seen as the promising space in media, claims a share of 6 per cent.

Though the year 2006 saw a boom in the radio industry with several players entering the market, the year saw radio with only a 3 per cent share of the total media ad market. Following this were cinema and the Internet where both claimed 1 per cent each of the total pie.

A comparative analysis of the advertising revenues in 2005 and 2006 shows that in 2006 revenues estimated were 48.2 per cent in print, while in 2005 the share stood at 47.9 per cent. Interestingly, the revenue in TV was 41 per cent in 2005 whereas in 2006 it had dipped slightly to 40.6 per cent.

Advertising revenue garnered in 2005 in radio was 2.4 per cent, which stood at 3.1 per cent in 2006. OOH garnered a revenue share of 6.8 per cent in 2005, whereas in 2006 it was 6.1 per cent. In cinema, 2005 saw advertising revenues at 1.1 per cent, which was estimated 1 per cent in 2006. Also, Internet which stood at 0.8 per cent in 2005, the advertising revenue estimated in 2006 in this space was 1 per cent.

The ad revenue growth rates indicate that in 2006 it rose to 23.4 per cent as compared to a mere 14.1 per cent in 2005. Ad revenue growth across media vis-à-vis 2006 and 2005 indicates that while radio grew at 58 per cent, it was followed closely by Internet at 52 per cent. TV and Press stood at 22 per cent and 24 per cent, respectively, while cinema and OOH both grew at 10 per cent each.





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