The mild tremors that enforced a downward push on the Industrial growth on account of the demonetisation and Goods and Service Tax regime are over. The industrial growth is back on track with the events and activations industry in India set for an “exponential growth”, suggests Event and Entertainment Association of India’s document #Experience Next – Technology is changing Indian events and activation industry.
The report further suggests that sports, personal events and activations will drive the growth. Indian sports industry, which accounts to a mere 1% to the global market, is rated to have an 18% growth rate over the next five years.
The report is based on an industrial survey, which suggests that the “IPs will continue to provide disproportionate revenue and over 80% of respondents planned to launch at least one or more intellectual properties in the next two years”.
Digital events Digital events are poised to grow at 20% over the next few years, given that 90% of marketers believed it to be important to them.
The report suggests that sports industry will grow at 18% over next 5 years as the nation has more than 10 new national leagues in the offing. In spite of highly successful leagues like Indian Premier League, Pro Wrestling League and Indian Soccer League; multi-million dollar media rights and sponsorship deals, India presently has a mere 1% share in the global sports market.
The Reliance Sports CEO, Sundar Raman has shared the following views on the sports industry, its trends and growth prospects.
“Since 2014, the sports industry in India has changed from being cricket-focused to including several new sporting leagues in football, kabaddi, wrestling, hockey, badminton, table tennis and other sports. Sports viewership has also undergone a transformation, with sports other than cricket contributing to over 20% in 2016.
The unprecedented increase in viewership for the Rio Olympics 2016 (from 90 million for the London Olympics 2012 to 191 million) as well as for leagues such as the Pro Kabaddi League and the Indian Super League is testament to this changing outlook of the Indian audience. Correspondingly, sports sponsorship is increasing, too, with Vivo’s five-year deal estimated at INR 300 crore and Hero’s three-year INR 160 crore for title sponsorship of Pro Kabaddi League and Indian Super League respectively.
Proliferation of these city-based franchisee leagues has helped in reaching out to a larger audience, thereby offering opportunities for regional investments in sports.
Additionally, the past two years have seen an emergence of women in sports, with notable performances in cricket, golf, badminton, tennis, gymnastics and athletics.
Viewership numbers have been encouraging, with Hotstar recording 1.9 million concurrent viewers for the ICC Women’s Cricket World Cup Final and PV Sindhu’s Rio Olympics final match garnering over 17.2 million impressions on TV and over 5 million views on Hotstar. Global leagues, federations, clubs and sports companies clearly recognize India’s potential and have been investing in various initiatives, with a few such as the La Liga even opening offices in India.