Publishers give mixed reactions to Pitch Madison print estimates
While some print players believe growth will surpass the estimates, most agree that regional print will see higher growth than English
The 2015 edition of Pitch Madison Media Advertising Outlook has pegged Indian advertising industry to grow at 9.6% in the year 2015. An in-depth look at each sector shows how the growth will be driven this year.
Pitch Madison Media Advertising Outlook (PMMAO) 2015 expects that Print will continue to attract the largest chunk of the advertisers’ money with an estimated share of 40% of the overall advertising pie. The Print advertising market is projected to grow by 5.3% in 2015 taking the total Print market close to Rs 16,100 crore. While Print continues to be the largest contributor in spends, its share in the overall ad pie has steadily fallen from 47% in 2008 to 41% in 2014, and this is expected to fall to 39.6% in 2015.
Mitrajit Bhattacharya, President AIM and Publisher of Chitralekha Group doesn’t agree with the predictions at 5%. He said, “I don't believe print revenues will grow by a mere 5%. Yes, it will be lower than last year's rate of growth due to lack of election advertising. However, you have to keep in mind that there was a huge lull before the elections last year where most brands were holding on their spends and Diwali was almost a month earlier.”
He added, “The general market conditions have improved substantially while the uncertainty with policies has reduced, there are tractions in business of FMCG, Auto and telecom. A good sensible budget will only help. Rate cuts and implementation of GST (2016) at a reasonable rate will further improve the situation. I see no reasons for print business to grow at any rate lower than 10%.”
Supporting the estimates of Pitch Madison Advertising Outlook report, Anant Nath, Director, Delhi Press, said, “There is nothing to deny, it’s not much a growth and five percent is something that would seem credible at this time. It’s not a realistic figure but a healthy figure, since economy is not going more than five percent. If economy will grow more than 6-7 per cent then advertising will grow around 10-12 per cent, it’ll be more modest and realistic.”
Regional Will Do Better
Jwalant Swaroop, COO, Sakal Media Group highlights significance of different genres and its value. He said, “Overall, today the division is between English and regional. English grows with large share and magazine budget is not growing as expected.”
He added, “I am not defending print and it’s not growing as it was growing earlier. Digital has impacted this domain, print doesn’t mean newspaper alone. I think the rate of growth will not be so less. It will be more than 5 per cent and from regional language perspective it’ll be in double digits.”
Pradeep Dwivedi, Chief Corporate Sales & Marketing Officer, Dainik Bhaskar highlights how the positive growth from government will lead to the advertisement rate this year. He said, “The growth remain modest and fundamental, once the capital investment and spend come in, the economic wheel will start turning fast.”
“I think the overall prediction is good and regional will do better in comparison to English and other metros.” Said, K K Goenka, MD, Prabhat Khabar.
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