PwC’s report ‘Global Entertainment and Media Outlook 2014-2018’ has just been released. Greg Unsworth, Technology, Media & Telecommunications Industry Leader at PwC Singapore, presented on 11th June both the global and Singapore data. For ad agencies and marketing departments, this report would be well worth the subscription.
Obviously, we do not have the space to show all the charts and figures but here are some to just open your eyes to the massive changes occurring in the advertising industry. In 2018, it is predicted that Internet advertising will overtake TV advertising. Mobile Internet advertising is forecast to gain a CAGR rate of 21.5% (CAGR -compound annual growth rate). Singapore is registering the fastest growth in internet advertising but it still lags behind large mature markets.
Individually the media in Singapore is holding up well. In fact, due to the strength of SPH and the size of the market, the newspapers are bucking a worldwide trend with ad revenues growing. However, magazines are not fairing so well.
Terrestrial television is still getting 82% of the ad revenues and a CAGR of 3.8% is forecast. Not spectacular but surprisingly steady.
OOH in Singapore rose by 18% between 2009 and 2013 but this is expected to slow to a CAGR 3.2%. It is the digital developments which are keeping the outdoor advertising healthy. Traditional static posters are likely to slowly disappear.
Singaporeans are well above global average when it comes to time and money spent on games. Over-the-top (OTT) movie streaming will continue its rapid growth by a whopping CAGR of 38.3 %. Home videos are a shrinking sector.
Greg Unsworth said, “We are going to continue to see a healthy growth in the entertainment & media industries in Singapore, particularly in the internet advertising and video gaming segments. Singapore’s strategy to capitalise on and lead the growth of digital is going to bring benefits to the media, entertainment and related industries.”