What is the future of the Entertainment industry for the next year ahead?
Over the last 12 months, every industry has taken a big hit and entertainment is no exception. We look at streaming to digital takeover!
This year has been a very difficult year for businesses in every industry, and the entertainment industry is no exception to this.
With theaters, festivals, concerts film sets going on indefinite delays, stadiums, and other event centers staying under lock and key, it’s safe to say that no sector of the entertainment industry has been left untouched.
But, the good news, is that just as other industries are finding ways to return to some normality or innovating new approaches to continue their operations.
Below are some of the most important ways the entertainment industry could change going forward over the next year!
Streaming:
Many aspects of the entertainment industry relied on physical attendance at events to bring in profits. This included movie theatres and concerts, which brought in the most amount of money.
The approach many players in those sectors have taken is to begin to push their focus toward streaming. ‘Over-the-top” video content is becoming the most important way that people watch movies.
OTT video revenue for media and entertainment (think: HBO, Hulu, Netflix) in the U.S. reached $20.1 billion in 2017, up 15.2 percent over the preceding year.
Since the advent of Instagram Live concerts, many artists are now prioritizing digital concerts to engage their fans and get their earnings back on track.
Even stand-up comedy, which is an activity that few people would have thought could exist without an audience, is being performed via Zoom — who would have thought!
Production and creativity:
Across various industries, there has been a commitment by participants to access and promote inclusivity to enable any interested person to access the tools to achieve success.
The entertainment industry is far ahead on that curve, as seen in digital platforms like YouTube that allow actors, singers, and other entertainers to showcase their talents while bypassing the industry gatekeepers.
In addition, many services have been established to give performers the opportunity to hire staff such as producers, songwriters, and voiceover artists on the cheap, or to even buy products like ghost-produced songs and books that they can use without any restrictions.
Digital takeover:
There are many people who still swear by their TVs and are committed to making it a date with their favorite TV hosts every day, but those people are beginning to be few and far between in this new age of TV programming!
The shift toward digital has been happening for a good while but the events of this past year have only served to accelerate this activity!
In 2018, the number of TV viewers fell significantly to less than 300 million. At the same time, the number of OTT viewers grew to 198 million.
Likewise, the amount of media ad expenditure that was going to TV fell 2 percent, largely due to a shift in focus by advertisers to digital video channels.
The shift to digital consumption is likely to be fuelled by an even faster acceleration by the deployment of 5G networks.
The increased reliance on smartphones is also another factor that is likely to have the same effect.
In 2012, the time spent on mobile engaging with media was 1.6 hours a day. In 2018, that number had more than doubled to 3.3 hours a day.
The combination of these technologies enables people to consume on-demand content with such ease and such high quality that they will unlikely be willing to return to traditional TV or radio programming.
The world is changing and you have to change with it!
By Pete Moore
