New Delhi: The public relations (PR) industry grew 18% to touch Rs1,315 crore in FY2017, according to a report titled ‘State of the Industry Survey 2017’ by the Public Relations Consultants Association of India (PRCAI).
Digital, social media and content-driven campaigns contributed as much as 29% to the revenue of PR firms.
A survey, conducted among 36 public relation companies and 28 corporate communication teams of various companies in India, between July and August this year by FeedbackBusiness Consulting, shows that the industry is expected to continue to register double-digit growth, reaching Rs2, 000 crore by 2020.
“This year, we increased the ambit of the survey by including in-house communicators. The findings of the report this year again points to the fact that the key to successful PR in today’s world lies in integrated PR solutions and visual communications. Constant innovation and smart adaptation to the changing landscape are indispensable for PR firms today,” said Nitin Mantri, president of PRCAI and chief executive of Avian Media .
According to the report, the retail, automobile and packaged consumer goods (FMCG) sectors are biggest revenue sourcs for PR firms
Revenue from the Information and Communication Technology (ICT) sector, which was last year’s biggest client of PR firms, accounting for over 20% of the revenue generated by agencies, is on the decline with a revenue share of only 8%.
There has been a decline in the revenue share of financial services as well. Overall, the private sector continues to account for 95% of the public relations spending.
In terms of revenue share, media relations was the biggest source of revenue for PR consultancies, generating nearly 49 % of the total revenue.
Meanwhile, digital and social media continues to contribute significantly (12%) to the revenue of the industry. Other services that are doing well include influencer marketing, designing strategies for companies looking to enter the India market, creative design and website development.