PwC: Entertainment & Media Spend Was $1.6 Trillion in 2011; Will Rise To $2.1T By 2016 With Digital Leading Growthby admin
Global spend on entertainment and media services, according to a new Global Media and Entertainment Outlook report out from PwC, will reach $2.1 trillion by 2016, from $1.6 trillion in 2011. But the continuing shift to digital over physical distribution will mean that growth will come at a slower pace than in previous years — and at a rate slower than that of overall GDP, 5.7 percent versus 6.6 percent. PwC says digital spend will generate 67 percent of E&M spendng growth in the next five years.
Ironically, although the move to digital means more efficiency and therefore less spend on entertainment and media services, that trend is actually helping some sectors: music, led by digital purchases, will rise (modestly) in 2013 after years of decline. PwC says that digital accounted for one-third of all recorded music spend in 2011, and it will overtake global spend on physical music (CDs mainly) in 2015. Similarly, PwC notes that spend on digital ads for consumer magazines will offset declines in print ads for that sector.