PwC’s Global Entertainment and Media Outlook 2015-2019 suggests digital growth will more or less match non-digital demise across NZ’s entertainment sectors. Newspapers and music are tipped to be the losers, with growth in the earnings of TV advertising and filmed entertainment both predicted to be below the likely rate of inflation.
Only games, sales of which are predicted to grow at 5.1% a year over the report’s five-year period, represent growth in real terms.
Its all about online, according to PwC, which predicts overall growth for the digital sector of c10% each year against a minute 0.13% growth for non-digital media and entertainment.
PwC’s Digital Strategy and Data Leader Greg Doone said in a release, “The challenge for entertainment and media companies is to blend traditional intuitive approaches with data insights and to maximise the value of the experiences they offer.”
There’s not a lot of good news for broadcasters, with further fragmentation of audiences likely and TV advertising predicted to grow 3.3% each year, barely ahead of inflation. Internet advertising, by contrast, is expected to grow at over 11% a year and is already more valuable overall than TV advertising.
“It’s increasingly clear that New Zealanders see no significant divide between digital and traditional media: what they want is more flexibility, freedom and convenience in when and how they consume their preferred content.,” said Doone.