Frames: Fifteen years of being the biggest M&E event in India

13 Mar,2014

Source: KPMG in India Analysis


By A Correspondent


The fifteenth edition of FICCI-Frames had reason for some special celebration. But, save the strong mention of this milestone, it would appear like any other Frames.


The presence of a film star at the inauguration, the FICCI officebearers, a representative or two from the government and a large industry presence.


Yet, it’s possibly the biggest event of the media and entertainment sector each year, and even the curation of the conference was wanting, as a celebration of the industry, it was unparalleled.


But first a disclosure. MxMIndia is a media partner of the event, as it is of many FICCI M&E events through the year. Though that’s not the reason why we are covering the event. By the sheer presence of industry heavyweights around, it gains importance.


Unlike the issue of digitization in the year 2012 which made the thirteenth edition of Frames such a huge pull, what we had last year was a disappointment. And this year’s edition is a continuation of that. To say that it’s a conference of the entire media sector may be incorrect. Successive editions of the event have given shoddy treatment to the print and sectors other than television and cinema.


The FICCI-KPMG report on the sector -  in the backdrop of the various adspend reports published by media agencies – is a reference volume for the trade. Although the report is available online, the near-9MB, 293-page hardback is best consumed on print.


An extract from the summary capturing the highlights of 2013:

The Indian Media and Entertainment (M&E) Industry, one of the most vibrant and exciting industries in the world, has had a tremendous impact on the lives and the Indian economy. As the M&E industry widens its reach, it plays a critical role in creating awareness on issues affecting, channelling the energy of and building aspirations among India’s millions. As it entertains and informs the country, the M&E industry has been a catalyst for the growth of large parts of the Indian economy. Take for example, a villager – illiterate and previously unaware of what life has to offer, who begins to see a better life through entertainment programs on TV and aspires for a better life for him and his family. This drives demand for various products and services. These aspirations have been key to self motivated transformation taking deep root in India – Transformation not just from handouts and government schemes, but transformation stemming from ambition and aspiration. The media plays a significant role in our lives today and is all pervasive with touch points ranging from television to newspapers to films to radio to outdoor properties. With the addition of new media such as social networking services, animation and VFX, online gaming and applications running on mobile devices, a new dimension has been added to the world of media that was dominated by traditional media. In addition to their implicit impact, all media platforms provide a great opportunity to carry explicit messages to create social impact. Further, interactive and social platforms give people a voice.


Examples include –

• Films: Short films on disadvantages of tobacco consumption/smoking before each film screening in a theatre


• Television: TV shows on social issues to raise awareness, such as Crime Patrol – Dastak (Sony Entertainment Television), Savdhaan India – India fights back (Life OK) and Satyamev Jayate (Star Plus).


• Radio: Content highlighting social initiatives aired on radio such as Mirchi for Muzaffarnagar (Radio Mirchi), Munni Vardaan Hui (Red FM), and Green Ganesha (Big FM).


• Print: Friends of Hindustan (Print campaign by Hindi daily Hindustan in Patna), Good is in our DNA (print campaign by DNA).


Social Media: UNICEF India’s campaign of ‘Take Poo to the Loo’ on Facebook, Twitter and Youtube to spread the message of the harmful effects of open defecation;4 connects consumers with each other and provides a platform for opinion generation.


In calendar year 2013, the Indian Media & Entertainment (M&E) industry registered a growth of 11.8 per cent over 2012 and touched INR 918 billon. The overall growth rate remained muted, with a slow GDP growth and a weak rupee. Lower GDP meant lower demand from the consumer and this impacted advertising. At the same time, the industry began to see some benefits from the digitisation of media products and services, and growth in regional media. Gaming and digital advertising were the two prominent industry sub-sectors which recorded a strong growth in 2013 compared to the previous year, albeit on a smaller base. For projections till 2018, digital advertising is expected to have the highest CAGR of 27.7 per cent while all other sub-sectors are expected to grow at a CAGR in the range of 9 to 18 per cent. Overall, the industry is expected to register a CAGR of 14.2 percent to touch INR 1785.8 billion by 2018.


The Indian M&E sector showed some resilience and began to grapple seriously with some structural issues it has long talked about but not engaged with. These include TV and Print industry measurement, advertising volumes, inventory and rates, actions to see digitisation through and reap its benefits, working out the MSO-LCO relationship, copyright laws and operational efficiency. Many of these remain alive and will take a few years to sort through. Others, like phase III of radio – are still pending regulatory action.


Increasing digitisation across sub-sectors of M&E industry, rate increases in TV, channel packaging by MSOs, innovative strategies to monetise digital content, rapid growth of new media powered by increasing smartphone penetration, and campaign spending during the general elections are likely to be the key levers of growth for the Indian M&E industry in 2014. A well thought out, consistent and long term outlook on regulation is also the key to create an M&E industry that is world class in scale and plays its part in transforming India.


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