The future of Filmed Entertainment

cinema streaming

According to the PwC Entertainment and Media Outlook 2014-2018, revenue for filmed entertainment is increasingly coming from OTT services such as Netflix (from $3.3 billion to $10 billion in 2018) and transactional video services such as iTunes and Google Play: overall, the digital VOD is growing at a 24.8% CAGR and will reach $14 billion only in the US, offsetting the declines in physical media such as DVDs and BluRay discs from $12.2 billion to $8.7 billion.


Global entertainment and media outlook: film

Besides the fact that the US will keep its dominant position in the worldwide market with a total of $39.2 billion, the news is that the digital sector will be overtaking the box-office revenue by 2018, which is slightly growing at a 3.1% CAGR from $10.8 billion to $12.5 billion, mainly due to an average ticket price increase from $8.90 to $9.80.

The general trend observed in the research simply describes a natural shift due to technological advancements and changes in consumption habits, whereas the good news is that overall revenue for the industry is growing.