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TV’s 10% growth will add to AdEx growth in 2015 in India, predicts ZenithOptimedia

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MUMBAI: The year 2014 saw the biggest Lok Sabha elections held in the country with Bharatiya Janta Party winning with a majority giving people a hope of ‘aache din’.

It has been just over six months of the newly elected government led by Prime Minister Narendra Modi and it seems to have captured the collective consciousness of the country. And as the year comes to an end, ZenithOptimedia’s Advertising Expenditure Forecasts says that falling food prices as well as oil prices have contributed to a reduction in the Consumer Price Inflation to a historic low of 5.52 per cent in October. IMF and World Bank have forecast an identical 6.4 per cent growth in 2015, up from 5.6 per cent in 2014. The stock market index has crossed 28000, up from 20000 in November 2013.

Hence, we enter 2015 with a strongly positive consumer and business sentiment, albeit recognising that consistent on-ground delivery and reforms will be needed to keep this sentiment up. Hence, cautious optimism, though with way more optimism than same time last year, is still the right expression.

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The agency expects consumption to continue picking up, with passenger car and utility vehicle sales turning positive, credit card spending on the rise, loans for durables growing. From an ad-expenditure point of view, FMCGs will continue their dominance but given the weak monsoons, some categories might stay flat or have slow growth. High growth is expected from telecom, e-commerce, mobile phones, cars and two wheelers, retail, realty and the BFSI sector. 2015 will also be the year of ICC Cricket World Cup, which will also be a trigger to growth in ad expenditure.

And with the new TV measurement system scheduled to launch in 2015, as is the much-awaited phase III expansion of FM Radio. Regional media, across print, TV and all other media continues to drive growth in media consumption. With internet base increasing to 250 million, smartphone ownership expected to reach 200 million by 2014 end, and the country awaiting the launch of 4G services by telecom operators, online and mobile will continue to see the maximum growth rate. Digital advertising however, has become dearer as the government decided to re-impose service tax.

Given these factors ZenithOptimedia expects the ad-ex to grow by 12 per cent to Rs 40,307 crore, at an overall level in 2015, as against 10.7 per cent in 2014 (over 2013). This growth will be primarily fuelled by print at 12 per cent, TV at 10 per cent and online and mobile at 25 per cent. Other media are expected to grow between 5 – 10 per cent.

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Global forecast

The year 2014 continued the trend of seeing the rise of mobile advertising and social media, and the transition to programmatic buying of digital display, will help the global advertising market grow 5-6 per cent a year over the next three years.

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According to ZenithOptimedia, global ad spend will grow 4.9 per cent to reach $545 billion in 2015. The global economy is expected to improve (the IMF predicts 3.8 per cent global GDP growth in 2015, up from 3.3 per cent in 2014), but advertising faces a tough year-on-year comparison after the Winter Olympics, World Cup and US mid-term elections in 2014. Ad spend growth will therefore be slightly below 2014’s 5.1 per cent.

2016 will be a quadrennial year – with the Summer Olympics, US Presidential elections and the UEFA European Football Championship – and we expect these events to propel ad spend to 5.6 per cent growth that year, before it slips back to 5.2 ad spend in 2017 in their absence.

 

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MAM

Talking heads: TV9’s chief takes the host’s chair with style — but could do with a laugh

Barun Das has swapped the boardroom for the studio and is pulling off a polished interview show — mostly

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MUMBAI: There is something quietly audacious about a media chief who decides that running a television empire is not quite enough and plants himself in front of the camera for a good chinwag with the great and the good. Barun Das, chief executive of TV9 Network, has done precisely that, and for the most part, he carries it off with considerable aplomb.

Duologue with Barun Das, now in its fourth season on JioHotstar, is exactly what it says on the tin: two people, two chairs, no frills. In the earlier seasons, Das has sat across from a rather stellar roster, Sri Sri Ravi Shankar, Aparna Sen, Viswanathan Anand, Kiran Rao, among many other renowned names. And in the fourth instalment he has had guests of the likes of Aamir Khan, Sourav Ganguly, Bianca Balti (Italian super model and cancer survivor), Lothar Matthäus (German football World Cup-winning captain). Throughout, he has coaxed from them nuggets that their publicists would probably rather keep under wraps. Cricket, relationships, spirituality, acting, health, behind-the-scenes machinations that plague politics, intellect, nepotism, nothing is entirely off the table.

Das’s greatest asset is his manner. Unhurried, well-dressed and disarmingly calm, he has the rare gift of making his guests feel so thoroughly at ease that they occasionally forget they are being filmed for television. The questions arrive softly, like a spinner tossing up a googly rather than a fast bowler hurling bouncers, and more often than not, they draw out a telling answer. He has no cue cards or teleprompter to help him along, which is probably a rarity for a host. Some credit must go to the research team operating quietly in the wings, who evidently do their homework so that Das does not have to fumble for his.

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Where Duologue stumbles, however, is in its almost determined refusal to lighten up. Each 45-minute episode carries the solemn weight of a budget speech. A dash of wit, a moment of mischief, the odd belly laugh, none of it makes an appearance. Serious conversation has its place, but even the most earnest of interviewers, think David Frost at his best, knew when to let the air out of the room.

Das has built something worth watching. He simply needs to remind himself, and his guests, that a smile never hurt anyone.

Rating: 4.25 out of 5.

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Available on JioHotstar.

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