GroupM country update predicts moderate recovery for the smallest BRIC in 2010
India's advertisers are making the most of soft media pricing to sustain campaign weights at reduced cost. GroupM now pegs 2009 ad revenue growth at only 1 percent excluding one-off election spending, down from the 3 percent we forecast in the summer.
This update "This Year, Next Year: India Media Forecasts" is part of GroupM's annual media and marketing forecasting series drawn from data supplied by holding company WPP's worldwide resources in advertising, public relations, market research, and specialist communications. It includes forecasts for advertising spending in all major media.
India is still on line to be the world's 15th largest ad market in 2009 with total ad revenues of $4.9 billion. We now expect ad growth of 6 percent in 2010 to $5.2 billion, revised down from 8 percent last time. "India will make a leading contribution to ad recovery in 2010, though less V-shaped than its BRIC counterparts Brazil, Russia and China" said London-based GroupM Futures Director Adam Smith, who oversees all "This Year, Next Year" reports.
"Our new long-range model predicts India will return to annual ad growth in the range 13 to 14 percent from 2011: below its former 16 percent trend, but still exceptional".
GroupM publishes its next global edition of This Year Next Year on December 7.