PwC says print down, digital tipped to rise
Bec Fary / July 03, 2013 02:59 PM
Newspapers might be looking a little thin but we’re set for more YouTube ads, says a Pricewaterhouse Coopers media forecast.
Newspaper ad revenue is set to fall sharply over the next four years while it’s full steam ahead for online advertising according to the latest edition of PwC’s Australian Entertainment and Media Outlook.
The outlook, released yesterday, estimates newspaper revenue will fall by more than seven percent.
The report takes a detailed look at Australia’s media and entertainment spending, highlighting 2012 was a difficult year for the sector.
Australia’s total media and entertainment spending in 2012 increased just 0.7 percent to $30.9 billion.
PwC’s forecast for the next four years is a little better, with total spending tipped to increase at a compound annual growth rate of 2.9 percent to $35.7 billion by 2017.
Advertising in newspapers is expected to fall by 7.1 percent and magazine advertising is flagged at 2.7 percent.
Internet and pay TV advertisers are set to make up the difference, with 7.8 percent and 4.1 percent growth respectively.
PwC’s Global Entertainment and Media Outlook is more optimistic, with newspaper revenue expected to stay steady around the world.
Globally, internet revenue is tipped to grow by 11.5 percent.
The Australian Outlook includes the estimated compound annual growth rates for total spending across 11 entertainment and media sectors:
Internet: 7.8 %
Subscription TV: 4.1 %
Out-of-home media and entertainment: 3.8 %
Interactive games: 3.4 %
Radio: 1.8 %
Free-to-air TV: 1.7 %
Music: 1.5 %
Filmed entertainment: 0.4 %
Books: -0.4 %
Magazines: -2.0 %
Newspapers: -7.1 %
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