Get a glimpse into the growing graphics market in India, a country with billions of people and millions of opportunities in digital imaging.
Several estimates have been made about the size of India's graphics market, but none has come from any organized group specifically following graphics printing in India. That said, I am confident that India's market for graphics printing is big, that it is growing at least 15% per annum, and that the potential for continued growth is great. India's potential is not, however, as a manufacturing hub of printers, inks, and flexible materials, but instead as a possible supplier of printed materials to Western markets. Some interesting market dynamics and outside influences affect India today, and these factors will help drive not only the domestic graphics industry, but also the potential for the export of printed graphics.
The advertising industry in India will be something just short of $3 billion in 2006. And similar to the US market, outdoor advertising captures about 7% of total ad expenditures. In India, that percentage equates to $200 million of the total money spent on advertising. As a comparison, the Outdoor Advertising Association of America (www.oaaa.org) estimated that advertisers spent $6.3 billion on outdoor advertising in the US in 2005. This demonstrates the huge potential represented by the Indian market and explains why it is capturing international attention. In August, JCDecaux, the world's number two outdoor-advertising company, announced its entry in the Indian market. The company agreed to an exclusive contract to service approximately 200 bus shelters in the city of New Delhi.
The retail environment
The interesting thing about the retail sector in India is not its size (approximately $250 billion), but its overwhelmingly underdeveloped structure. There are approximately 10 million grocery stores and another 15 million retail outlets in India. About 95% of these outlets are small and family-owned. The infrastructure to support these shops is just now developing. And it can be said that the infrastructure to support print advertising is only in the very early stages as well.
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