Post by account_disabled on Jan 9, 2024 4:50:39 GMT
Advertising in the audiovisual entertainment category will only reduce by 0.2% in 2020 in the ten key markets (Australia, Canada, Germany, India, Italy, Russia, Spain, Switzerland, United Kingdom and USA). These are Zenith 's forecasts reflected in the Business Intelligence – Video Entertainment report. According to the study, advertising investment in this area will far exceed the advertising market as a whole , which will plummet by around 8.7%. This is due to greater consumer demand, a greater supply of content and intense competition from companies that offer these services. Spending more time at home as a result of the coronavirus pandemic , users have chosen to consume video content in order to inform and entertain themselves. Television viewing time in Spain shot up 43% in May compared to 2019 . During this time, online video platforms have invested a large budget in creating content, so traditional television channels have been forced to improve their content offering. By country and according to the Zenith report, in the United States , online video content companies increased their advertising budgets by 142%, while television networks did so by 15%. In the United Kingdom , ad spend on online video platforms soared by 79% and traditional television ad spend grew by 34%.
Consumers are now faced with a wide and confusing variety of shows and movies competing for their attention" Although in both countries television networks and pay television platforms increased Email Data investment, it will be unsustainable in the face of the continuous decline in their income , Zenith points out. At the same time, online video platforms have continued to increase their budgets, making the most of the current opportunity to build a loyal customer base. “Consumers are now faced with a wide and confusing array of shows and movies competing for their attention ,” says Christian Lee, Global Managing Director at Zenith. “Audiovisual entertainment companies must overcome this complexity and provide consumers with entertainment that matches their personal preferences with minimal effort. “Brands that provide satisfying experiences and act as more than just content repositories will be better positioned for long-term growth,” he adds. In the wake of confinement and the coronavirus crisis, digital media has become even more essential. Audiovisual entertainment companies invest more in digital, outdoor and cinema advertising, but the last two have suffered a harsh impact due to the pandemic. Investment in digital has skyrocketed and total advertising investment in this sector is expected to increase from 53% in 2019 to 57% in 2020 .
Entertainment video will underperform in the next two years according to Zenith forecasts, which expects the sector to experience no growth in 2021 and 1.2% in 2022 (while general advertising will remain at 0 .6% below its maximum in 2019). After investing a larger budget in 2020, online video platforms will have less capacity to increase it next year, and traditional television networks will have to deal with reduced advertising revenue and pay TV subscriptions. In 2022, audiovisual entertainment platforms will invest 27% more than in 2019 in Spain and 19% more in India . In the United States, investment is expected to fall by 5% and in Australia by 7%. "This level of investment, both in content and advertising, will be difficult to maintain in the long term, and we foresee very little growth in 2021 and 2022" It should be noted that both in Spain and India there is a growing demand for video on demand . In the latter, especially in smartphones. Furthermore, the television advertising market in India is experiencing rapid long-term growth and is expected to recover in 2021. For its part, the United States is the only market where advertising investment in the audiovisual entertainment sector is expected to continue declining after 2020. This is because the increase in online revenue does not compensate for the constant decline in television advertising and pay television subscriptions.
Consumers are now faced with a wide and confusing variety of shows and movies competing for their attention" Although in both countries television networks and pay television platforms increased Email Data investment, it will be unsustainable in the face of the continuous decline in their income , Zenith points out. At the same time, online video platforms have continued to increase their budgets, making the most of the current opportunity to build a loyal customer base. “Consumers are now faced with a wide and confusing array of shows and movies competing for their attention ,” says Christian Lee, Global Managing Director at Zenith. “Audiovisual entertainment companies must overcome this complexity and provide consumers with entertainment that matches their personal preferences with minimal effort. “Brands that provide satisfying experiences and act as more than just content repositories will be better positioned for long-term growth,” he adds. In the wake of confinement and the coronavirus crisis, digital media has become even more essential. Audiovisual entertainment companies invest more in digital, outdoor and cinema advertising, but the last two have suffered a harsh impact due to the pandemic. Investment in digital has skyrocketed and total advertising investment in this sector is expected to increase from 53% in 2019 to 57% in 2020 .
Entertainment video will underperform in the next two years according to Zenith forecasts, which expects the sector to experience no growth in 2021 and 1.2% in 2022 (while general advertising will remain at 0 .6% below its maximum in 2019). After investing a larger budget in 2020, online video platforms will have less capacity to increase it next year, and traditional television networks will have to deal with reduced advertising revenue and pay TV subscriptions. In 2022, audiovisual entertainment platforms will invest 27% more than in 2019 in Spain and 19% more in India . In the United States, investment is expected to fall by 5% and in Australia by 7%. "This level of investment, both in content and advertising, will be difficult to maintain in the long term, and we foresee very little growth in 2021 and 2022" It should be noted that both in Spain and India there is a growing demand for video on demand . In the latter, especially in smartphones. Furthermore, the television advertising market in India is experiencing rapid long-term growth and is expected to recover in 2021. For its part, the United States is the only market where advertising investment in the audiovisual entertainment sector is expected to continue declining after 2020. This is because the increase in online revenue does not compensate for the constant decline in television advertising and pay television subscriptions.