Kenya is on the verge of a large growth in its entertainment and media industry. PwC has now uncovered that sector will be worth $4.8 billion in the next three years in new research.
The growth is due to an increase in the number of smartphones in the country, better internet connectivity, and a tech-savvy young population, making the country one of the fastest-growing digital economies in the continent.
Digital Advertising Takes Center Stage
Digital advertising is growing and set to dominate with revenue expected to hit $365 million by 2028. Kenya now boasts the world’s fastest-growing internet advertising market which indicates a significant shift to digital media from traditional.
This transformation is courtesy of increased mobile-first connectivity and the rise of 4G subscriptions has only propelled mobile-based services further.
The Role of AI and Streaming Services
AI will likely change Kenya’s entertainment and media industry for the better in terms of content, users, and production. The use of ChatGPT and AI tools and machine learning algorithms is growing which points to more and more companies embracing digital transformation.
Services and mobile gaming are also growing very quickly, which makes the traditional TV and print media unions obsolete. While the 3.2% traditional TV advertising revenue growth rate is still high, it is insignificant when compared to the rise of Over The Top (OTT) streaming platforms which are projected to reach $16 million by 2028.
Opportunities for Businesses and Investors
Kenya has immense investment and growth potential which PwC’s report reveals as attractive to investors and media companies seeking to tap into digital transformation, social media, targeted advertising, and mobile-based entertainment among others. As the market continues to evolve, those companies that embrace AI and digital platforms, and shift to meet shifting consumer behaviour, will be the ones that are best placed to lead in Kenya’s growing entertainment and media industry.
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