China’s entertainment and media industry is poised to make significant strides in the coming years, potentially closing the gap with the United States. According to PWC’s latest Global Outlook, revenues from advertising and consumer spending in China are projected to increase by more than 7% to reach $362.5 billion by 2028. This growth rate is nearly double that of the U.S., although the American market will still maintain a substantial lead with revenues amounting to $808.4 billion. Despite this, PWC noted that China’s consistent growth indicates that it is steadily narrowing the disparity in market size when compared to the U.S.
The report also highlighted the rapid growth expected in markets such as Indonesia and India in the coming years. PWC forecasts significant expansion in these countries, with India projected to become the world’s fastest-growing OTT video-streaming market by 2028. This growth can be attributed to India’s large and diverse population, many of whom have a strong affinity for sports content, particularly cricket. By the end of the forecast period, India’s entertainment industry is expected to be valued at nearly $100 billion, with Indonesia following closely behind.
An important aspect of the industry’s evolution highlighted in the report is the shifting landscape of advertising revenues in the era of streaming services. PWC predicts that global ad revenues will surpass $1 trillion within the next two years, doubling the figure reported in 2020. This trend reflects a “plateauing effect” that has prompted major streaming platforms like Netflix, Disney, and Prime Video to reevaluate their business models and explore new revenue streams, including advertising and measures to combat password sharing.
By analyzing these key trends and projections, it is evident that the global entertainment and media industry is poised for substantial growth and transformation in the coming years. With emerging economies like China, India, and Indonesia playing a significant role in driving this growth, industry players must adapt to evolving consumer preferences and technological advancements to capitalize on the expanding market opportunities. As the industry continues to evolve, stakeholders will need to navigate regulatory challenges, changing consumer behaviors, and technological disruptions to stay competitive and foster innovation in the ever-changing landscape of entertainment and media.
Leave a Reply