Indian pay TV biz to double by 2018


Industry to generate revenues of $7.4 billion in the next five years | In the next five years, the Indian pay-TV industry will almost double to $12.3 billion in revenue, from $7.4 billion in 2013.

As per projections from Media Partners Asia (MPA), the Indian pay-TV sector is poised to register a CAGR of 11 per cent till 2018.

Incidentally, in 10 years’ time, i.e. by 2023, MPA predicts that the industry will generate revenues of approximately $16.4 billion. The projections are findings of MPA’s latest report titled India Pay-TV & Broadband – Future Trends. As per MPA, India had approximately 65 million paying digital subscribers at the end of 2013. And its projections indicate that 70 per cent of the Indian pay-TV market will be digitalised by 2023. “Subscriber growth will remain strong between 2015-2017 as DAS is implemented in Phase III and IV areas. After 2017, digital pay-TV subscriber growth will decelerate as consolidation and monetisation take priority,” the report stated.

MPA believes that in contrast to the industry’s volumeled growth between 2009-2013, the growth for the next five years will be ARPU-led. Total pay-TV subscribers are expected to reach 165 million by 2018 and 180 million by 2023, implying long-term penetration of 80 per cent, adjusted for multiple subscriptions.

Beyond traditional cable and DTH, there is a growing opportunity for alternative platforms, including the Doordarshan-owned Free Dish, headend-in-the-sky (HITS) and over-the-top media (OTT), to address a widening need gap between TV households and pay-TV subscribers. DTH industry revenues is expected to reach $4.0 billion by 2018, and $5.5 billion by 2023. “DTH industry revenue growth will be driven by robust subscriber additions over 2014-16 and by improved churn and suspension management,” MPA said.

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