The new report from PwC provides Entertainment and Media forecasts for the next five years.

PricewaterhouseCoopers (PwC) recently released its annual Global Entertainment and Media Outlook 2016-2020, which provides an in-depth five-year outlook for global consumer spending and advertising revenues directly related to entertainment and media (E&M) content. According to the report, Internet advertising revenues will overtake TV advertising revenue for the first time in 2018, as advertisers catch up to consumers who have been spending more and more time online, especially on mobile.

The PwC outlook forecasts that U.S. E&M spending will reach $720 billion by 2020, up from $603 billion in 2015. The report notes that while widespread industry disruption and intense competition for consumer attention has created new challenges, there are also many new opportunities for companies to capitalize on in the new media environment.

“Today’s entertainment and media reality is one of [the] companies intensely competing for dollars with the increasing proliferation of free online media alternatives. This global multi-speed media landscape has created unprecedented challenges for companies in the battle for customers and value,” said Deborah Bothun, PwC’s Global and U.S. Entertainment & Media Leader. “The acceleration of digital and technology innovation is expected to continue to force companies to innovate and reimagine the industry as we know it.”

The report’s conclusions about the challenges come as advertisers face unprecedented problems, ranging from ad agencies’ engaging in alleged “non-transparent business practices” to rampant ad fraud, and the fast-growing consumer trend to block ads altogether. Ad spending is increasing as companies try harder to make an impact, in the face of growing challenges to reaching consumers.

While Internet advertising is expected to overtake TV advertising in 2018, TV advertising will remain strong and is still expected to grow. U.S. TV ad revenue is predicted to increase from $69.9 billion in 2015 to $81.7 billion in 2020. Over the same period, Internet advertising is expected to grow from $59.6 billion to an estimated $93.5 billion.

“We don’t see an abrupt switchover during the forecast period, but more of a continued evolution towards more multichannel viewing and more digitally enabled viewing,” Christopher Vollmer, principal with Strategy and PwC’s global strategy consulting firm, told Adweek.

Within the realm of Internet advertising, significant shifts are also expected, as advertisers move their spend from desktop to mobile. In 2015, mobile advertising’s $20.7 billion made up 34.7 percent of total Internet ad revenue, but mobile ad revenue is projected to make up 49.4 percent by 2020. The most impressive gains are expected in mobile video Internet ads which are projected to grow from $3.5 billion in 2015 to $13.3 billion in 2020.

“Consumers are engaging with media increasingly on their mobile phones, and even at work. These mobile behaviors are challenging the traditional value of attention and the ability to monetize advertising dollars. There’s no one perfect metric to inform advertisers of the value they get when you consider the shifting consumer behaviors,” said PwC’s Bothun. “However, the market will be hindered by consumer resistance to a poor ad experience and potential widespread adoption of ad-blocking technology.”

The industry is going to keep growing, and advertisers will keep spending, but it is increasingly essential for ads to be relevant to consumers and to cater to their needs. New approaches to Internet advertising will be crucial if the $93.5 billion that is going to be spent on it in 2020 will have a tangible impact.

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