The PwC’s Entertainment and Media (E&M) report has declared Nigeria the top leader in Africa with a remarkable 11.2 per cent growth rate in 2024.
The report released on Thursday and titled “Africa’s E&M Shift: Fast, Focused and Future-Ready (Perspective from the Africa Entertainment and Media Outlook 2025-2029)” also said that Nigeria is followed by Kenya and South Africa at 7.1 per cent and 6.2 per cent growth rate respectively.
It said: “In 2024, Nigeria led the region with a remarkable 11.2 per cent growth rate, followed by Kenya at 7.1 per cent and South Africa at 6.2 per cent.
“Looking ahead, the compound annual growth rate (CAGR) through 2029 is projected to be 7.2 per cent for Nigeria; 5.2 per cent for Kenya and 3.5 per cent for South Africa, indicating sustained momentum across all the three markets.”
The report also stated that “Nigeria remains the fastest growing E&M market in Africa. This growth is fueled by rapid expansion in internet advertising, video games and esports, OTT streaming and audio content such as music, radio and podcast. Mobile internet and video streaming are expected to lead growth, fueled by cheaper data plans and smartphone penetration.
“Gaming and social media advertising are also gaining traction, especially among gen z and millennial audiences. While infrastructure remains a challenge, the pace of digital innovation is outpacing the obstacles.
“This rapid expansion is underpinned by the country’s population size, the largest in Africa, an exceptionally young median age that fuels
demand for digital content across all sectors.”
The PwC’s report also stated that “infrastructure challenges remain, particularly in rural areas, but ongoing investment in fibre rollout and 5G deployment is expected to improve connectivity and unlock new digital experiences.”
It added that “the key to unlocking Nigeria’s E&M potential lies in scalable digital infrastructure, regulatory clarity and inclusive access, especially for underserved communities.”
The report stated that streaming platforms are expanding across all three African markets.
According to the report, South Africa is projected to add 1.4 million new over-the-top (OTT) subscribers by 2029 while Kenya and Nigeria are seeing strong growth.
It also said that Ad-supported models are helping platforms reach broader audiences, especially in price-sensitive segments.
According to the report, connectivity remained the critical driver as “Nigeria now has 107 million internet users and Kenya’s mobile connections already exceeded its population per SIM, including IoT devices.
“In South Africa, video accounts for 76 per cent of total data usage, with platforms like TikTok and Instagram leading consumption.”
The PwC also noted in the report that Africa E&M is evolving fast.
It said: “What we are seeing now is redefinition of how media is produced, consumed and monitised.
“The African E&M sectors in South Africa, Nigeria and Kenya have continued to outperform global benchmarks, displaying resilience in the face of ongoing macroeconomic challenges.
The report said that a key driver of this growth is the rapid expansion of internet advertising, particularly in Nigeria and Kenya where mobile-first internet usage is accelerating.
“Kenya stands out globally with its internet advertising market projected to grow at a CAGR of 16 per cent, which is the fastest globally.
“OTT services are growing at a CAGR OF 6.7 PER CENT in South Africa; 8.0 per cent in Nigeria and 11.2 per cent in Kenya, reflecting strong consumer demand for digital content,” it said.
The report also stated that GenAI is emerging as a transformative force in E&M industry, enhancing content creation, recommendation engines and customer engagement.
It said that: “Nigeria with its youthful and tech-savvy population is positioned to harness GenAI’s potentials.
“Live entertainment is also rebounding with live music revenues surpassing pre-pandemic levels and esports gaining momentum across the region.”
The report however noted that global economy is undergoing significant transformation and unlocking great value across all industries.
“The E&M sector remains a key player in the shift, positioned at the intersection of technological convergence and evolving consumer behavior. This year’s analysis highlights several critical themes shaping the future of the industry,” it said.
The report, however, noted that regulatory changes and tariffs are emerging as major obstacles to growth and creating substantial headwinds for expansion.
“At the same time, it remains a fundamental challenge to persuade consumers to allocate a large portion of their discretionary income to E&M offerings, especially in an environment marked by economic uncertainty and inflationary pressures,” the report said.
It also said that advertising has already become the dominant source of direct revenue in the E&M sector and is now the primary driver of global growth.
‘The gap is expected to widen further with global advertising growing at a CAGR of 6.1 per cent compared to 2.0 per cent for consumer spending.
“By 2029, global advertising revenue is projected to exceed consumer spending by more than $300 billion,” it said.
The report further disclosed that South Africa is the most established market in Africa, with projected growth at a 3.5 per cent CAGR while Nigeria remained the fastest-growing E&M market in Africa, with projected growth at a 7.2 per cent CAGR through 2029, adding that Kenya is home to the fastest-growing internet advertising market in the world, with a projected CAGR of 16 per cent.
Dike Onwuamaeze
