PricewaterhouseCoopers (PwC) has released a report on the UK entertainment and media sector, predicting that it will grow annually by 3.1% over the next five years and will be worth £64bn in 2018.
Their Global Entertainment & Media Outlook predicts that by 2018, 50% of the UK population will own a tablet, 73% will own a smartphone and 15.5billion apps per year will be downloaded. It anticipates the following tipping points occurring in the next five years.
- In 2018, consumer eBooks will overtake print copies.
- Digital console games revenue will overtake online games in 2014 and mobile games revenue in 2017.
- TV On Demand revenues will overtake TV subscriptions in 2015.
- eBooks, digital console games and TVs are all reliant on the internet, and this is reflected in our predictions for the internet sector.
- In 2016 mobile internet access revenues will overtake fixed broadband revenues.
- Mobile Internet subscribers will account for 88.9% of the UK population by 2018, providing smart
In terms of advertising, PwC predict the UK advertising Industry will grow 4% annually to be worth £19.8bn by 2018.
By 2018 internet advertising will be the largest advertising segment, with internet video advertising the fasting growing sub sector at 23.9% compound annual growth rate (CAGR), followed by mobile (17.1%).
The UK is the largest internet advertising market in Europe, London is widely seen as the digital advertising capital of Europe given its use of the English Language and is the third largest territory in the world (after the US and China).