PwC has come up with a new report and it has revealed that there is a dramatic shift in Kenya’s entertainment and media (E&M) industry and the market is expected to reach $4.8 billion by 2028. This change is being driven by Kenya’s booming internet economy, spurred by smartphone penetration and enhanced digital infrastructure.
Digital Media on the Rise
The report is tracking the rapid rise of internet advertising and predicts that it will continue to grow at a 17.4% CAGR up to $365 million by 2028. The mobile gaming and streaming services are emerging while traditional media segments like radio, television and print are growing at a slower pace. For instance, the growth rate of print media is projected to grow at 1.6% CAGR, hence either legacy media has to innovate or will become extinct.
The Power of AI and Data Analytics
AI is expected to have a leading role in determining the future of Kenya’s media industry. AI enabled content generation, consumer profiling and automated advertising will change the way of business interaction with the customers. This is because Kenya is currently experiencing a growing enthusiasm towards AI technologies and is beginning to incorporate tools like ChatGPT.
A Shift in Consumer Behavior
More and more Kenyan consumers are shifting to digital content that leads to the growth of OTT platforms, mobile gaming and CTV advertising. The OTT services are forecast to continue growth at a 10.9% CAGR to $16 million by 2028, with mobile gaming thought to be closing in on traditional gaming as smartphones become more accessible.
A Booming Market for Investors
Although Kenya is smaller than South Africa and Nigeria, its entertainment industry is expanding faster and provides more entry points. Only companies that understand the potential of AI, digital marketing, and data-driven engagement will be part of this shift. This is because as the digital revolution unfolds businesses have to adapt to Kenya’s changing media landscape or be left behind. The future is digital and Kenya is leading the way in Africa’s media transformation.
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