Friday, 3 January 2025

Pro AV India: A land of diversity and contrasts

AV Magazine

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A decade ago, the Indian government kickstarted ‘Make in India’ aimed at reducing dependency on imports, while elevating its role in the global economy.

It’s on track to achieve USD1 trillion in exports by 2028. Boeing, for example, placed its largest aerospace engineering facility outside the US in Bangalore where Cyviz recently completed a collaboration installation integrated with Boeing’s existing Cisco infrastructure.

A related Digital India programme launched in 2015 is also reaping dividends. With more than half a billion internet subscribers, India is second only to China as the largest market for digital consumers. As connectivity becomes omnipresent, consultancy McKinsey predicts it will create significant economic value and change the nature of work for tens of millions of Indians.

A national smart cities initiative aims to digitise everything from traffic management to law and order to water supply and waste management, all monitored through command centres.

Naturally, all of this means the country is full of potential AV business. AVIXA ranks India as the fastest-growing pro AV market globally with annual revenue projected to reach $11.8 billion in 2029.

“There are several things going for India this decade,” says Prashant Govindan, director, Generation AV at TiMax APAC. “That the bulk of the population is aged between twenty five and forty creates a unique demographic dividend both from a market and a growth perspective. Within this macro market, there are unique opportunities in Tier One, Tier Two and even Tier Three cities and towns. Industries that cater to this demographic are seeing rapid growth and will continue to do so for the next decade or so.”

Local offices in the western and northern territories
The majority of new business comes from multi-nationals as more organisations set up local offices in the western and northern territories, reports Justin Joy for Peerless-AV: “The most significant change in recent years has been the acceptance of quality brands across verticals, demonstrating that the value propositions of a product are becoming more important, not just price.”

Simon Roehrs at Ross Video says domestic pro AV is showing substantial growth. “India’s commitment to becoming a digital-first economy has encouraged businesses to invest in AV technologies to improve operational efficiency and customer experiences,” he adds.

Hans Chia of Clear-Com notes a spike in demand for live events in conferences, trade shows, and entertainment attributing the market’s rapid growth to digital transformation.

Datapath’s Andy Lee has seen the market go from strength to strength. “That’s not to say it doesn’t have its challenges, but we’ve seen year on year growth and are set for our record year there in 2024-25 with some prestigious projects hopefully closing in the next few months.”

Infrastructure investment
Major infrastructure investment spans control rooms, unified organisational communications, and public safety as well as sports stadiums: The 132,000 seat Narendra Modi Stadium, Ahmedabad is touted as the world’s biggest (and will be full for cricket).

“On the enterprise side, companies including Reliance Industries, Indian Oil, State Bank of India, Bharat Petroleum, Tata Motors, and Rajesh Exports are part of the global economy with a global supply chain and customer base making modern corporate communications infrastructure indispensable,” notes Samuel Recine at Matrox Video. “India also ranks fourth in global defence spending, behind Russia. In summary, the climate for pro AV in India is strong with strong forward prospects.”

“Even in government and public sectors such as state funded universities where traditionally technology adoption has been slowest, a rapid digitisation wave is fuelling AV adoption,” says Govindan who cites a recent tender for digitisation of courtrooms right down to district level with over 10,000 rooms, saying more such initiatives are underway.

Hospitality is undergoing an AV surge as hotel chains remodel and create new customer experiences. With 80-plus hotels under construction Marriott plans to operate over 250 hotels and 50,000 rooms in India by 2030. The IHG group, Accor, and Taj (Indian luxury hotel group), plans another 500 properties.

“With such explosive growth, in domestic travel and stays, hospitality chains are investing in AV tech as a differentiator to add to the overall customer experience, with specialty restaurants, bars, lounges, spas and conferencing and ball rooms,” says Govindan. “The wedding season is another growth driver in micro markets such as Jaipur, Udaipur, Agra, Goa and Kerala with even domestic customers seeking out exclusive experiences.”

Evolving AV culture
Rapid growth into digital and IP/IT solutions has, however, left something of a lag in skills and buying perceptions.

“Many organisations are now prioritising high quality video workflows to support content production and streaming, including large manufacturers, social media companies, and corporations,” says Straker Coniglio of AJA Video Systems. “However, volunteers are often asked to run these production workflows, despite having little to no technical expertise. As a result, we’re seeing more pronounced demand across the region for reliable technologies that provide high quality AV and user-friendliness, as well as affordability.”

While there is regional diversity in terms of spending power Govindan describes the overall outlook as “highly aspirational with a desire to associate with high quality (or perceived high quality) brands. This is reflected in the choice of apparel brands, shoes, and cars. This generation is more image conscious and will pay a premium for being different.”

On the other hand, there’s a price-conscious India that still values a good bargain. Says Govindan: “Older generations will shop around for a deal. They still have considerable influence and buying power. In the AV world we encounter purchase managers from this generation who tend to look for a bargain, though a vast majority now choose value for money over pure price.”

India is a big software development talent pool
Recine suggests India boasts one of the world’s richest software development talent pools. “Yet India exhibits some frugality versus some Western counterparts when it comes to technology asset classes spanning diverse price ranges,” he says. “The economy for pro AV customer personalisation and system integration services overall isn’t as fully developed as some Western countries. Most of the country’s most noteworthy networking talent is still primarily tied up in rapidly growing government and corporate infrastructure leaving a gap in the media networking talent pool.”

On the plus side, the Indian population has a very strong English capability which allows them to access training information for topics like AV-over-IP.
Sidharth Chhibber, director of Acoustic Arts concurs: “Traditionally, cost effectiveness has been a key consideration. However, as AV solutions are becoming far more sophisticated all the brands that we distribute for (including Powersoft, Biamp, Cloud Electronics and Audix) have shown strong growth.

“A key vertical driving AV demand is education, specifically for digital learning and smart classrooms. The education sector offers a clear example of how AV technology is becoming indispensable, especially post-pandemic.”

Joy finds product knowledge is grasped quickly by local consultants and integrators. “There’s a good level of awareness that each brand provides, which is apparent during discussions at major expos such as InfoComm India and AV-ICN. Having a local presence is extremely important here, as are frequent visits to conduct training and maintain relationships to ensure brand acceptance.”

 

Displaying growth
Research firm, DSCC predicts that India is set to become the next big flat panel manufacturing nation. A younger growing population, compared to China’s which has peaked and falling, is a contributory factor. As is that India’s domestic TV market - the third largest after China and the US - continues to grow.

The India Cellular & Electronics Association projects domestic display manufacturing will grow 29 per cent a year due to a surge in demand for phones, TVs and IT hardware.

“Retail is another fast adopter of AV but price consciousness remains,” says Joy. “Hospitality and healthcare are sectors where we still see growth potential. Since the government is pushing for new airports, shopping malls and smart cities we’ll only see the number of DooH screens rise.”

Indeed, the transport sector, both air and rail, is poised to double in the next couple of years in terms of traffic and reach. New airports in regional cities connected by the government’s incentive for regional airlines (UDAN) and the rapid growth in air traffic between Mumbai, Delhi, Bangalore, Hyderabad and Chennai is driving this growth.

“New airports and terminals to existing airports are being added in Mumbai and Bangalore, while a new greenfield airport is being built in Noida in the National Capital Region,” Govindan adds. “Additional airports in Goa, Maharashtra, Uttar Pradesh, Madhya Pradesh and Gujarat have been built leading to growth in many Tier Two and Three cities.”

The government’s ambitious push for high-speed rail transportation with the new Vande Bharat trains across the country is also developing the overall connectivity to smaller cities. “Notable is the public-private partnership which aims at international standards of train termini with state of the art PA and digital signage,” says Govindan.

Audio developments
In terms of sound, most of the technology developments are in performing arenas and convention centres. “Two large convention spaces have recently opened up in Delhi (the Bharat Mandapam, the Yashobhoomi ICC) and the Jio CC in Mumbai, with many more in the pipeline. This sector is seeing major growth,” says Govindan.

In August, Avocor opened the first of two Experience Centres in partnership with regional distributor, Mindstec as part of plans to “significantly expand our footprint” in the market, explains Avocor sales director, Rohit AK.

He reports that overall office leasing in India is “shooting through the roof.” From 74.4 million sq ft in 2023 leasing is expected to hit 80 million sq ft this year and projected to cross 100 million in 2025 of which domestic firms are expected to contribute to 60-65 per cent of the total acreage.

“These figures have kept us excited and are keeping us on our toes,” says Rohit. “Hybrid collaboration is the key product category today and it is seen across verticals, from offices to government organisations to class rooms to hospitality and to every industry that needs collaboration.”

Central government has concentrated on digitising thousands of public schools over the last decade through the Digital India programme which is projected to spend $1.7 billion between 2021-2026. In the latest budget, 6.6 per cent of overall GDP is to be spent on education alone.

“This push on from digital education has been a catalyst for our industry,” says Rohit. “Those companies who are manufacturing in India with the ‘Make in India’ tag are getting preference over non-Indian OEMs in government tenders. This is creating ecosystems for local AV manufacturing which will help the overall customer experience in the longer run.”

 

Immersive experiences
One of the most notable aspects of AV applications in India is the trend for projection mapping and architectural lighting. Similarly, immersive galleries and interactive museum exhibits are being developed to enhance cultural engagement, making art and history more accessible.

“Cities and states are increasingly focused on creating captivating experiences for visitors through immersive displays,” confirms Narendra Kumar Rai at Eyeviz Digital Solutions (Dataton’s partner). “This trend is spreading beyond major tourist destinations, with regions nationwide recognising the potential of these technologies to attract and engage tourists.”

Eyeviz blended projection mapping with the natural beauty of the Ganges River to create a unique attraction that celebrates the cultural heritage of religious sites.
“AV culture in India is shifting from the inner sanctum to a more integrated approach that emphasises innovation, interactivity, and audience engagement,” says Rai. “India is positioning itself as a key player in the global AV landscape, with unique applications that reflect its diverse cultural heritage and forward-looking aspirations.”

Regional variations
The corporate business is largely driven by Bangalore, known as India’s Silicon Valley, closely followed by Hyderabad and Chennai. New Delhi sees a higher volume of government-related projects.

“The west of India drives banking, financial services, and insurance with the majority of financial institutions having their HQs in Mumbai,” reports Rohit. “East of the country is largely driven by state government spending for AV.

“Hyderabad has emerged as a growing hub for corporate activities, presenting exceptional opportunities for high-end AV solutions,” confirms Chhibber. “Goa’s hospitality sector has been buzzing, with numerous new restaurants and nightlife venues opening up over the past two to three years, further driving demand for advanced AV installations.”

Lee highlights “thriving tech cities such as Bengaluru and Pune which have an abundance of large corporations with brand new facilities.” Datapath products have been sold into CCTV rooms, reception areas and desks showing dashboards of company data.

Peerless’ dvLED mounts were recently specified for a large museum project and its kiosks and outdoor displays are being installed in developing smart cities such as Gandhinagar, the capital of Gujarat, and the city of Gurgaon - India’s second largest IT hub and third largest financial and banking hub.

“Southern India is where the multi-nationals are and where the majority of office fit-outs are happening,” says Joy. “The west of the country is known as a retail, museum and entertainment hub and the North is predominantly a government hotspot.”

Diverse regions and cultures
Engaging with India’s AV market requires a nuanced understanding of its geographic and cultural diversity.

“Our key piece of advice is to focus on local collaboration and customisation,” shares Rai. “Given India’s vastness, different regions have unique preferences, challenges, and cultural contexts. By partnering with local vendors, artists, or cultural organisations you can gain invaluable insights. This collaboration not only helps in tailoring solutions to meet specific needs but also fosters trust and credibility within the community.”

Ross Video’s top advice for engaging with the market is also to focus on localisation. “Tailor your products, services, and marketing strategies to suit the specific needs, preferences, and cultural nuances of each region,” urges Roehrs. “India’s market is highly varied, with differences in language, consumer behaviour, and business practices across states. By adopting a localised approach, whether through regional language options, customised marketing efforts, or understanding local business norms, you can connect more deeply and effectively with your target audience.”

Lee agrees: “If you’re not based there yourself get a good partner(s) and work with them by visiting regularly.”

 


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