Global consumer spending on media content and technology is expected to grow 6% to $1.842 trillion this year, boosted by the Winter Olympics and World Cup, according to PQ Media.
While there is increased demand for digital video, audio, news and games, PQ Media says the growth rate is slower than last year’s 6.3% and is forecast to continue to slow through 2022, when it will hit $2.172 billion
Worldwide spending on digital and traditional content, access and technology by consumers will average $325.25 this year, up 5.1% from last year. The growth is coming from streaming services such as Netflix and Spotify.
The U.S. remains the world largest market for media content, access and technology, valued at $442.7 billion in 2018. But on a per-capita basis, Japan has become the top market, with Japanese consumer spending an average of $1,360.11 in 2018, compared to a $1,344.55 average in the U.S. Russia was the fastest-growing market at 11.2% on a per capita basis.
“With an increased concentration on subscription services, single-unit purchases that drove consumer spending on media content and technology for decades are becoming less relevant, which has had a negative impact on overall growth,” said PQ Media president Patrick Quinn
“In 2018, most single-unit categories recorded either slowing or declining growth due to consumers switching to subscription-based services, which is masking the number of blockbuster hits in media platforms that have long depended on them, like film, music, video and video games. Combined with slower growth in spending on digital media devices and access, the result is consumer media spending growth trailing that of aggregate global GDP in 2020,” Quinn said.