PwC: Romania, third fastest growing entertainment and media market in CEE, but still smallest in the region

Romania’s entertainment and media market will register the third highest growth rate in the Central and Eastern Europe between 2013 and 2017, according to the PwC Entertainment and Media Outlook report. The average compound annual growth rate for the entertainment and media market in Romania will be of 7.7 percent until 2017. The country however remains the smallest entertainment and media market in the region in terms of overall volume, with an estimated value of USD 2.44 billion in 2012 and forecasted to reach USD 3.53 billion by 2017. The fastest growing markets in the region remain Turkey (11.4 percent CAGR) and Russia (10.1 percent), while Hungary (5.5 percent), the Czech Republic (5.1 percent) and Poland (3.2 percent) will all register lower growth rates than Romania. “Romania remains a dynamic entertainment and media market in the region. Yet, much of the growth will come from the Internet access segment, while advertising revenues and consumer spending will grow at a much slower pace. In the same time, some market segments, such as music sales, newspaper sales and radio advertising and licensing fees will decrease by 2017. This is in line with global trends where digital spending is growing much faster than traditional media products”, said Florin Deaconescu, Partner, Assurance Services, responsible for the Telecom, Entertainment and Media industry, PwC Romania. Worldwide, while spending on non-digital media will continue to dominate throughout the coming five years, the growth is coming from spending related to media delivered digitally. China, Brazil, India, Russia, the Middle East and North Africa, Mexico, Indonesia, and Argentina—will see the most growth, nearly doubling their share of total entertainment and media revenues during the Outlook forecast period (2013-2017), and with compound annual growth rate more than double that of the E&M industry as a whole. editor@romania-insider.com