Financial Daily from THE HINDU group of publications
Monday, Dec 19, 2005


Group Sites

Home Page - Advertising
Marketing - Insight

Ad industry smiles as revenues rise 14 pc

Nithya Subramanian

New Delhi , Dec. 18

IT has been a sparkling year for the advertising industry. Overall ad revenues during 2005 grew by 14.1 per cent to Rs 13,200 crore up from last year's Rs 11,600 crore.

According to the advertising tracking agency, AdEx India, for a second consecutive year, the print media grew at a higher rate of 16.1 per cent compared to television's growth rate of 11.4 per cent. In terms of shares, television share fell from 42 per cent to about 41 per cent, while print grew from 47.1 per cent to 47.9 per cent. Other media vehicles such as outdoor advertising garnered a share of 6.8 per cent, radio had 2.4 per cent, cinema 1.1 per cent and the Internet had a 0.8 per cent share of the advertising pie.

"These numbers indicate that the growth in the print media is not merely a flash in the pan. While last year's growth in this segment was attributed to election-related advertising, this year, the growth has come due to advertisers shifting from classifieds to space. Educational institutions, real estate and retail continued to be the major drivers," said AdEx India officials.

With respect to television, the official said that general entertainment channels have managed to retain their revenues due to the good performance of StarOne and SaharaOne, and their overall share has shrunk marginally. In fact, the Hindi film, regional language and news channels have witnessed growth. "There has been a general shift towards Hindi movie channels with advertising rates going up. There has also been an upward correction in the ad rates of regional channels," he added.

This year also saw Internet and radio advertising picking up, with the former crossing the Rs 100-crore mark. Not just the private radio channels, but even Prasar Bharati-owned All India Radio (AIR) have been witnessing an increase in advertising revenues. However, spends in outdoor advertising and cinema have declined marginally.

More Stories on : Advertising | Insight

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Rains hamper rabi rice, cereals sowing

Bay system moves parallel to coast
NMDC research finds commercial scope for kimberlite
Centre, States may explore VAT rate hike to offset CST losses
Travel insurance going places
Personal care products set for robust growth, says FICCI
`Automated software to revolutionise BPO sector'
Luxembourg SE emerges top draw for India Inc
H-P reviewing staff security systems
Another buoyant week likely
IMD redemption: SBI unlikely to face exchange rate burden
Growing risk of phishing attacks
Ad industry smiles as revenues rise 14 pc

The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright 2005, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line