At the end of 2023, TV ad revenues were 26 per cent of the total ad revenues of Rs.2.32 trillion. It is a fall of 36 per cent since 2019. In fact, 2023 was a bad year for TV, but 2024 could be worse, as digital media would overtake TV. This is inevitable since content is being increasingly consumed on smartphones.
However, there is still a loyal to TV audience of higher age group that is accustomed to appointment-based viewing and consumes TV content. Besides, TV’s larger screen is an altogether a different experience. It makes TV relevant. Advertisers who want to reach mass market of traditional lean-back audience find TV convenient.
TV has unprecedented reach and ease of use. It is thus very good at building brands — especially brands at awareness stage which require continuous reinforcement. Brands being promoted on TV have strong recall value.
TV also is good for sports marketing. Of the total sports audience of 678 million, a high 51 per cent still prefers to watch sports on TV. For some time, sports will co-exist both on TV and OTT. TV provides an experience of community viewing, whereas other screens are viewed solo.
Slowly, TV homes will upgrade to pay TV homes.
There is action on internet-based and broad band video market. There is a demand for streaming services (Netflix, Prime Video, Hotstar). This has disrupted TV. YouTube provides video on demand — it has 61 per cent of TV’s reach. In some areas, such as Delhi, UP, Bihar and Northeast, it has reach similar to TV or even higher.
Nonetheless, TV will continue to be an important channel for advertisers. TV screen will grow to 202 million by 2026. Many connected TV screens will be added here. There will be migration from linear to connected TV. It will add to viewership. It will attract more advertising. Video on demand will be seen both on mobile devices and connected TVs.
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