According to PricewaterhouseCoopers' 12th
annual Global Entertainment and Media Outlook report, entertainment and media spending
in the U.S. increased for the first time since 2007, reported
the New York Times.
PwC reports that spending increased by 3.1% in 2010,
while predicting a gain of 3.5% percent with growth continuing in the single
digits from 2012 through 2015, the article said. Ad spending in the U.S. increased 5.4% from
2009; that year's report noted that ad spending had fallen 14.4% from 2008. The
jump from -14.4% to 5.4% marks the largest yearly gain in the annual reports.
"The pace of advertising recovery happened at a much
faster pace than expected," said Stefanie Kane, entertainment, media and
communications partner at PricewaterhouseCoopers. "Driven largely by the
surging digital revolution, the consumer migration to digital has continued at
an ever faster pace and advertisers are responding by seeking greater
involvement with the consumer's experience."
The annual report focused on the growing presence of
digital media and devices, and claimed that digital has become the standard for
entertainment and media executives in the industry. The report bases its
prediction that ad spending will increase in the next five years on the
continuous growth of the digital media landscape, and increases in Internet access
and advertising spending.
Total entertainment and media spending is predicted to
grow from $443 billion in 2010 to $555 billion in 2015, with a growth rate of
4.6%. Television advertising on broadcast, online and mobile TV will see growth
as well.
Print and digital consumer magazines will see increases
in advertising and circulation revenue in 2015, although still lower than in
2006. Spending in newspaper publishing will continue to fall, but online access
to newspaper content will help nudge out of its decline, with paid digital
circulation revenue increasing to $319 million in 2015 from this year's $150
million.
Total worldwide spending across the industry is predicted
to increase to $1.9 trillion in 2015 from $1.4 trillion last year, at an annual
growth rate of 5.7%.
