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Entertainment and Media Outlook: 2015 – 2019 South Africa – Nigeria – Kenya

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Entertainment and Media Outlook: 2015 – 2019 South Africa – Nigeria – Kenya Entertainment and media outlook: 2015 – 2019 South Africa – Nigeria – Kenya 6th annual edition September 2015 An in-depth analysis of the trends shaping the entertainment and media industry in South Africa, Nigeria and Kenya www.pwc.co.za/outlook Use of Outlook data The data in PwC’s Entertainment and media outlook: 2015-2019 (South Africa, Nigeria & Kenya) (“the Outlook”) is a comprehensive source of consumer and advertising data, which is also available online on www.pwc.co.za/outlook. PwC continually seeks to update the online Outlook data, so please note that the data in this publication may not be aligned with the data found online. The Outlook is the most up-to-date source of consumer and advertising spend data. This document is provided by PwC for general guidance only and does not constitute the provision of legal advice, accounting services, investment advice or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal or other competent advisors. Before making any decision or taking any action, you should consult with a professional advisor who has been provided with all the pertinent facts relevant to your particular situation. The information in this document is provided ‘as is’, with no assurance or guarantee of completeness, accuracy or timeliness of the information and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability and fitness for a particular purpose. Outlook content must not be excerpted, used, or presented in any portion that would render it misleading in any manner or that fails to provide sufficient context. Permission to cite No part of this publication may be excerpted, reproduced, stored in a retrieval system or distributed or transmitted in any form or by any means – including electronic, mechanical, photocopying, recording or scanning – without the prior written permission of PwC. Requests should be submitted in writing to Vicki Myburgh at [email protected] outlining the excerpts you wish to use, along with a draft copy of the full report that the excerpts will appear in. Provision of this information is necessary for every citation request to enable PwC to assess the context in which the excerpts are being presented. Without limiting the foregoing, excerpts from the publication may be used only for background market illustration, should not be the sole source of 2015-2019 information and must not form part of the majority of sourced information. Supplier to the Outlook Numerical data presented in the Outlook was supplied by Ovum, a provider of business intelligence and strategic services to the global telecoms and media markets. Ovum is a trading division of Informa Telecoms and Media Ltd. www.ovum.com © 2015 PwC. Published in South Africa by PricewaterhouseCoopers. All rights reserved. “PwC” is the brand under which member firms of PricewaterhouseCoopers International Limited (PwCIL) operate and provide services. Together, these firms form the PwC network. Each firm in the network is a separate legal entity and does not act as agent of PwCIL or any other member firm. PwCIL does not provide any services to clients. PwCIL is not responsible or liable for the acts or omissions of any of its member firms nor can it control the exercise of their professional judgment or bind them in any way. 6th annual edition Entertainment and media outlook: 2015-2019 South Africa – Nigeria – Kenya PwC helps organisations and individuals create the value they’re looking for. We’re a network of firms in 157 countries with more than 195 000 people who are committed to delivering quality in assurance, tax and advisory services. Tell us what matters to you and find out more by visiting us at www.pwc.co.za. PricewaterhouseCoopers Inc. 2 Eglin Road Sunninghill, 2157 +27 11 797 4000 www.pwc.co.za PwC | 3 Contents Industry Internet overview 39 17 Newspaper Magazine Book publishing publishing publishing 135 153 171 Out-of-home Radio advertising 251 231 Television Filmed Video games entertainment 73 115 97 Business-to- Music business 211 187 Cybersecurity 269 Editorial team Louis de Jager Elenor Jensen Vicki Myburgh Sunet Liebenberg Charles Stuart Senior Manager Senior Manager South African Senior Manager Associate Director Entertainment & Media Industry Leader 6 | Entertainment and media outlook: 2015 – 2019 • South Africa – Nigeria – Kenya About the Outlook Editorial team Let us analyse the Entertainment and • Vicki Myburgh, South African Entertainment & Media Industry media outlook 2015-2019 forecast Leader consumer and advertising spending • Shane Murugen, South African Entertainment & Media Assurance data for you Leader • Marthie Crafford, South African Entertainment & Media Advisory Leader From filmed entertainment to Actual historic and forecast magazine publishing, we uncover how consumer and advertising spending • Osere Alakhume, Nigerian shifts in spending are likely to shape data for 11 industry sectors across Entertainment & Media Leader the future of 11 entertainment and three countries is also available • Michael Mugasa, Kenyan media industry segments over the next online at www.pwc.co.za/outlook. Entertainment & Media Leader five years. We also share our thinking • Charles Stuart, Associate Director on the hot topics transforming the The online Outlook provides raw data and individual country • Sunet Liebenberg, Senior Manager industry. commentary. • Elenor Jensen, Senior Manager Our hope is that Outlook will help • Louis de Jager, Senior Manager you form a much clearer picture of tomorrow and make more informed Editing and design business decisions based on what’s ahead. • Linda Botha • Catherine Ensor • Jackii Esterhuizen Experience the Global Outlook Photography This edition of Outlook is part of a suite of PwC publications covering the global entertainment and media • Chris Wessels, CWPhotography industry. The Global entertainment and media outlook 2015-2019 is a comprehensive source of consumer and Administration advertising spend data, also available via subscription at www.pwc.com/outlook. This publication provides in- • Carol Rochfort depth five-year historic and five-year forecast spend data and commentary for 13 industry segments in more than Acknowledgements 50 countries. Many other PwC professionals and industry experts reviewed the text and contributed local expertise to this publication and we thank them for their assistance. We also thank the following: • Isidingo • Netflorist • Provantage • Sevens Furniture Stores PwC | 7 Vicki Myburgh South African Entertainment & Media Industry Leader Welcome, clients and friends in the entertainment and media industry and beyond to the Outlook. I’m delighted once again to bring you our annual Outlook. For five years we’ve been providing comprehensive consumer and advertising spend forecasts in our Entertainment and media outlook. We’ve examined these projections in great detail, looking at how changes in spending will reshape the industry, and how consumers, advertisers, content creators and digital distributors are responding to these shifts. Each year, our team of entertainment and media (E&M) specialists generates impartial and detailed consumer and advertising spend data (five year historical and five year forecast) for 11 industry segments in three countries. So, in addition to reading this publication, I encourage you to visit the online Outlook at www.pwc.co.za/outlook. This year’s Outlook shows consumer demand for E&M experiences will continue to grow, while migrating towards video and mobile. However, it’s increasingly clear that consumers perceive no divide between digital and traditional media. What they want is more flexibility and freedom – for which read ‘choice’ – in when and how they consume. And they’re choosing offerings that combine an outstanding and personalised user experience with an intuitive interface and easy access. This includes shared physical experiences like cinema and live concerts, which appear re-energised by digital and social media. Today’s entertainment and 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 experience. I hope you enjoy this edition of the Outlook and rest assured that our PwC E&M professionals continue to track the trends explored in this publication. Should you like to discuss anything covered, please contact one of them, using the details provided in this publication. We’d love to hear from you. Vicki Myburgh Entertainment and Media Leader PwC Southern Africa PricewaterhouseCoopers Inc., 2 Eglin Road, Sunninghill 2157, Private Bag X36, Sunninghill 2157, South Africa T: +27 (11) 797 4000, F: +27 (11) 797 5800, www.pwc.co.za Chief Executive Officer: T D Shango Management Committee: T P Blandin de Chalain, S N Madikane, P J Mothibe, C Richardson, A R Tilakdari, F Tonelli, C Volschenk The Company’s principal place of business is at 2 Eglin Road, Sunninghill where a list of directors’ names is available for inspection. Reg. no. 1998/012055/21, VAT reg.no. 4950174682 8 | Entertainment and media outlook: 2015 – 2019 • South Africa – Nigeria – Kenya Want instant access to more consumer and advertising spend data and analysis? At the click of a button you can …. Compare digital and non-digital spend data for 11 entertainment and media segments across 3 countries See year-on-year growth with Five-year forecast and five-year historical spend data Download Country and segment data and commentary to PDF. www.pwc.co.za/outlook PwC | 9 Q: How do I access consumer and advertising spending data? A: Take a look around the Outlook 2015-2019 One comparable online source of consumer and advertising spending Understanding where consumers and advertisers are spending their money in the entertainment and media industry can help inform many important business decisions. But being able to find comparable data, for multiple entertainment and media sectors and countries from a single source, can be a challenge.
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