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Global Media Industry

Entertainment and media spending worldwide is expected to grow at an annual rate of over 5.5% to reach almost $2 trillion in 2015, according to PwC. The market is being fuelled by economic growth, and a consumer trend toward purchasing from digital platforms is contributing to a rise in recorded revenues.

Companies operating in the global media industry create, produce and distribute content in various forms including television programs, printed content, online content and audio recordings. The industry includes TV broadcasting, radio stations and cable television broadcast networks as well as newspaper publications, magazines and websites.

The world media industry is also being fuelled by new developments in technology, which are increasingly rapid over recent years. Rising numbers of mobile device owners and a prevalent trend toward screen culture are also factors driving the media market.

Key Market Segments

The world digital music industry is expected to reach almost $13.75 billion in 2013, according to Business Insights. This represents a 30% expansion over a four-year period, up from just over $4.80 billion in 2009. With ever increasing numbers of consumers owning portable music playing devices and smartphones along with the widespread adoption of broadband and mobile technologies, the market is growing in scope. The main challenge the industry faces is piracy, with illegal music downloads representing huge losses to digital music companies.

The global newspaper industry (which could be included in the broader publishing market) is expected to exceed $99 billion in 2015, reports MarketLine. The market grew close to 2.5% in 2010, with more than 210 billion copies in circulation, and it predicted to reach almost 237 billion copies in 2015 – for more than 10% market growth in five years. Daily newspapers represent the leading market segment, with almost 80% of the overall market. The EU has a 40% share in the global press market. The Yomiuri Shimbun is the world’s number-one newspaper company, holding over 2% of the overall market.

The world recorded DVD and video industry is expected to exceed $56 billion in 2013, according to MarketLine, registering almost 20% expansion in five years. The Americas market share exceeds 56%.

The world broadcasting and cable TV market is expected to reach almost $475 billion in 2015, according to MarketLine, for 27% growth in five years. TV advertising represents the leading market segment, with almost 48% of the overall market. The Americas holds a 44% stake the in the world broadcasting and cable TV market. The market overall is moderately competitive due to limited buying power and company differentiation.

Developed markets such as the EU and the US are turning to advanced TV services to hold onto subscribers, while developing nations in Asia and Latin America are concentrating on pay-TV to expand, reports Parks Associates.

The world movies and entertainment industry is expected to record decelerating growth, at a yearly rate of -0.3% through 2015 to reach almost $86 million, reports MarketLine. Box office sales represent the leading market segment, generating revenue of close to $32 billion, or 36% of the overall market.

The world digital broadcasting market continues to record strong growth, expanding 30% in 2011, reports Paul Budde Communications. In 2011, the industry counted 50 million Internet Protocal TV subscribers across the world. Developed nations continue to move towards all digital broadcasting.

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