PwC sees entertainment industry growing to Sh350bn in four years
New research by PwC says TV advertising will overtake radio’s in 2016. PHOTO | FILE
The value of Kenya’s media and entertainment industry is forecast to grow by 83 per cent to Sh350 billion by the end of 2019, with the Internet expected to be its largest driver.
New research by audit and financial advisory firm PricewaterhouseCoopers (PwC) released on Thursday says the industry was valued at Sh190 billion ($1.8 billion) in 2014, up 13.3 per cent from 2013, when it stood at Sh169 billion ($1.6 billion).
The study says television and radio will be the other drivers of the growth, apart from the Internet.
“The Internet is expected to be the largest driver of growth, followed by television and radio,” said the research.
Traditional media
TV advertising is projected to overtake radio’s in 2016. Internet advertising will see the fastest growth rate at a compounded annual growth rate of 16.8 per cent, PwC said.
But even though growth is forecast to be brisk for the new media, traditional media will still be dominant, the study shows.
Vicki Myburgh, entertainment and media leader for PwC Southern Africa, said media firms need to put mobile and video as the centerpiece of customer experience.
“Today’s media companies need to do three things to succeed; innovate around the product and user experience; develop seamless consumer relationships across distribution channels; and put mobile and increasingly video at the centre of the consumer’s experience,” said Myburgh.
The study also included South Africa and Nigeria. In South Africa, the value of media and entertainment business is forecast to grow by 56.4 per cent by 2019 while in Nigeria it is likely to double by the same year.
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