Story by: Taschica Pillay, Sunday Times | Image courtesy of iStock
Internet access spend contributed to the growth in South Africa’s entertainment and media industry.
During 2015 and 2016 the entertainment and media industry grew by 10.7%‚ owing to internet access spend.
According to PricewaterhouseCoopers Entertainment and media outlook for 2017 – 2021 — which provides an in-depth analysis of the trends shaping the entertainment and media industry in South Africa‚ Nigeria‚ Kenya‚ Ghana and Tanzania — South Africa’s entertainment and media industry forecasts the sector’s total revenue to reach R177.9-billion by 2021‚ up from R132.7bn in 2016‚ with internet access accounting for R27-billion or 60% of the increase.
The mobile internet penetration of 52.3% in 2016 is set to increase to 77.8% in 2021.
“Over the next five years there will be a hundred-million mobile internet subscribers in South Africa‚ Nigeria‚ Kenya‚ Ghana and Tanzania‚” said Vicky Myburgh‚ PricewaterhouseCoopers SA entertainment and media leader.
Digital revenue is also the source of the large majority of growth‚ says the report.
Internet advertising in South Africa continues to grow rapidly‚ with the total on-line advertising spend growing by 16.5% in 2016‚ reaching R4.4-billion. By 2021 it will increase by R8.1-billion.
“By 2021 of the total internet access‚ 90% would be mobile‚” she said.
Myburgh said while they had seen a high growth rate in virtual reality and video games‚ they were smaller in absolute rand value.
Among the non-digital segments‚ magazines and newspapers are set to decline. Cinema remains popular and live experience still being an attractive evening’s entertainment‚ said Myburgh.
“Advertising makes up 37% of total cinema spend in South Africa which is way above any other country globally.”
Box office and cinema advertising is forecast to reach R2.2-billion in 2021‚ up from R1.9 billion in 2016.
To read the full article visit www.timeslive.co.za.
