OTT, video gaming, music, podcast, and internet consumption increases occurred as a result of social-distancing and self-isolation. Many in-person events were transformed into digital versions.
PWC’s “2020 Global Entertainment & Media (E&M) Outlook” report predicts that the total E&M revenues in the UK will receive a spike, with a compound annual growth rate of 2.8% to reach £79.8bn in 2024. The figure reflects a -6.7% decline in revenues expected this year as a result of the stay-at-home-restrictions put in place amid the Covid-19 pandemic.
The firm company decided to delay the publication of the Outlook report to further analyze the impact of the pandemic. “While we’re confident our projections are robust, their future accuracy could clearly be affected by the continued rapid changes related to the pandemic, including policy responses from the Government," PWC wrote.
Though the pandemic significantly impacted the region’s media business as a whole, the effects varied by sub-sectors. Social distancing, self-isolation, and stay-at-home orders played a large role in OTT, video gaming, music, podcast, and internet consumption increases.
The change was less fortunate for services that require consumers to leave their homes, such as movie theaters, magazines, and outdoor advertising. However, much of these events were transformed into digital versions, opening doors for the possibility of revenue models and new ways to engage with audiences.
The industry is in much better a fit position to cope with the pandemic this year than around two decades ago. Many media companies are more ‘digitally’ enabled to accommodate working from home to continue content creation and distribution. There is less reliance on print, more subscriptions rather than ad-funded models, and streaming is making its way into the mainstream.
While we’re confident our projections are robust, their future accuracy could clearly be affected by the continued rapid changes related to the pandemic, including policy responses from the Government.” PWC