Contract management in the Indian media industry

Abstract

The $14.8 billion Indian Media industry is increasingly getting competitive with the entry of new players, foreign investments and expansion by current players. This combined with explosive growth of Internet media has made advertisers increasingly discerning, putting tremendous strain on the sources of revenues for the broadcasting companies. Besides, the spending on advertisement in India is quite low at 0.34 percent of GDP. Hence it becomes imperative for the media broadcasting companies to optimally allocate the limited advertising space (airtime) between the forward market and the scatter market in order to maximize revenue and meet contractual and regulatory requirements. In addition there is an increasing need to maintain very smooth relationship between production houses, distributors and advertisers.