PricewaterhouseCoopers has been publishing its latest forecasts for the media industry, including some numbers on the growth of consumer spending on video streaming. Note the ‘consumer spending’ part of that: this is about subscriptions and other digital purchases, but advertising is not included. Even so, the general message is: stonks!
The company predicts that by 2025, spending on ‘OTT video’ will grow by 60% to $94bn, split $81bn for subscription and $13bn for other ‘transactional’ spending. However, PwC also offered a warning that people’s appetite for multiple video streaming subscriptions is not limitless, especially with a potentially slower economic recovery from the Covid-19 pandemic ahead.
“As consumer attention is going to get more and more fragmented and folks go back outside, that $5.99 that they may have been willing to spend or $7.99 on the fourth or fifth streaming service or that cable subscription may get reviewed,” PwC’s CJ Bangah told The Hollywood Reporter.
Music Ally’s next Learn Live webinar will help you understand what’s required for artists to thrive in new international markets!