$1.6 billion in online advertising revenue
The total revenue of Turkey’s Internet advertising market reached $1.6 billion in 2022, and this revenue is expected to increase at a compound annual growth rate of 8.6 percent by 2027, reaching $2.3 billion.
PwC published the Global Entertainment and Media Industry Outlook 2023-2027 report.
According to the report, the 24th edition of which was published this year, the total revenue of the global media and entertainment industry increased by 5.4 percent in 2022, reaching $2.3 trillion. This rate indicates a slowdown compared to the 10.6 percent growth recorded in 2021, when economies began to recover following the Covid-19 outbreak.
PwC’s Global Entertainment and Media Industry Outlook 2023-2027 research, covering 13 entertainment and media segments across 53 regions, included analysis of media spending and advertiser and consumer predictions for the next 5 years.
According to research, as Internet advertising continues to increase, the gaming industry is also drawing attention for its strong growth potential. While technology stands out as one of the most important driving forces in the industry, generative artificial intelligence and the metaverse present new opportunities by transforming the entertainment and media experience.
‘WILL TEND TO DECREASE IN THE NEXT 5 YEARS’
Murat Çolakoğlu, media and entertainment sector leader at PwC Turkey, whose views were included in the statement, said: “Based on the research results, the growth rate of the sector, which increased significantly after the pandemic, is predicted to will tend to decrease. in the next 5 years. “This situation forces companies to develop new strategies, taking into account current and future trends in the industry and consumers.”
Taking into account the findings of the report on Turkey, Çolakoğlu stated that 2.4 million dollars of the size of the sector, which will reach 5.5 million dollars in total in 2022, is the revenue generated by the Internet access segment, and said:
“Approximately 77 percent of this revenue is generated from mobile Internet access. Internet advertising is a powerful catalyst for growth due to increased time spent on e-commerce and digital platforms. Revenue from this segment is expected to grow at a CAGR (compound annual growth rate) of 8.6 percent by 2027, reaching $2.3 billion.
On the other hand, the television advertising market, which still maintains its importance in Turkey as in the world, has grown by 36 percent in 2021 and 35 percent in 2022 since the Covid-19 crisis, reaching 448 million of dollars. Growth will slow, but the segment is expected to reach $539 million in 2027 at a CAGR of 3.8 percent, according to the research.
Furthermore, the podcast segment continues to develop in Türkiye. “The fact that the number of monthly listeners will increase by 13.8 percent and reach 11 million in 2022 is an indication of the dynamic potential the sector has.”
ADVERTISING COULD BE THE FIRST TRILLION DOLLAR MARKET
According to the report, with the increase in time spent on e-commerce and digital platforms, companies around the world will spend much more to reach consumers in the purchasing and decision stages in the coming years. Advertising is projected to surpass consumer spending as the largest category by 2025.
The Internet advertising category has been a strong growth catalyst, recording 8.1 percent growth in 2022. The report also shows that global advertising revenue will increase from $763.7 billion to $952.6 billion between 2022 and 2027. , achieving a compound annual growth rate of approximately 4.5 percent annually.
According to this trend, advertising is on track to become the first category among the top 3 entertainment and media categories to reach $1 trillion in annual revenue. The third major category, Internet access, is also projected to surpass consumer spending in 2026.
According to the report, which shows that the share of consumer spending on entertainment and media in overall spending will decrease, consumer spending per capita, which will be 0.53 percent of average personal income in 2023, They will constitute 0.45 percent in 2027.
The report notes that the impact of consumer spending on entertainment and media products and services is decreasing and the impact of advertising is increasing. This trend is one of the factors changing conditions for industry leaders and requiring a comprehensive reassessment and change.
INTERNET ADVERTISING MARKET IN Türkiye
The total revenue of Turkey’s Internet advertising market reached $1.6 billion in 2022, and this revenue is expected to increase with a compound annual growth rate of 8.6 percent by 2027, reaching $2.3 billion.
The podcast industry in Türkiye continues to experience strong growth. The number of monthly listeners, which was 9.7 million in 2021, increased by 13.8 percent in 2022, reaching 11 million.
The Turkish music, radio and podcast market reached $125 million in 2022, while in 2021 it was $79 million. Total revenue is projected to grow at a CAGR of 11.6 percent over the forecast period, reaching $217 million in 2027. (BRITISH AUTOMOBILE CLUB)