Online Entertainment Market was valued at US$ 18.3 billion in 2021 and is expected to reach $ 65.2 billion, registering a CAGR of 22.4% from 2021 to 2026.
The increase in Internet penetration and the increase in the adoption of smart devices such as smartphones, smart TVs and laptops have increased the number of Internet users who have switched their preference for online entertainment.
Currently, online social media entertainment has grown in popularity as more and more people engage in video, music, and image production on various social media platforms such as Instagram, Facebook, Tumblr, Linked In, and WhatsApp. Therefore, an increase in the popularity of social media platforms is supposed to drive the growth of the online entertainment market during the forecast period.
One of the most transformative technology solutions of recent years, AI has been used in many ways to improve the customer experience and streamline business operations. This will continue into 2020, where media companies will continue to work alongside AIs to get personalized content recommendations and effective ads. Using artificial intelligence and data based on user behaviour patterns, media companies can customize which ads to show to capture user interests. While the scope of this has been for larger groups in the past, starting in 2021it will target more specific buyer personalities and ultimately target individuals.
The global online entertainment market is likely to undergo drastic changes during the outlook period due to changing consumer tastes and trends in the way they purchase and use the content. The change in consumer behaviour has allowed the entertainment industry to evolve at a rapid pace. The online entertainment market is expected to evolve dramatically with new innovations and ideas in response to a rapidly changing market. Mobile, home, filmed, in-flight and multimedia are some of the basic applications in this market. The growing consumer base and improvements in mobile technology are estimated to drive the mobile market. Cellular devices have become multimedia devices in the industry due to the increase in graphic content. The ability to watch TV shows, news and movies online has made the web domain a popular segment in the global marketplace. The increase in smartphone users and the increasing number of application downloads are expected to have a positive impact on the growth of the market. Technological advancements such as HD and 3D televisions, the presence of high-tech network infrastructure (4G / 5G mobile network), and the availability of wireless broadband technology are expected to be the main drivers of the global entertainment market. E-books have become increasingly common and make up a considerable part of today's book sales. Electronics, exhibitions, live media, media and music are the key elements of the entertainment market. Live includes concerts, circus, comedy shows, musical theatre performances, sporting events, and performing arts. Examples of musical comedy include performances by concert halls and orchestras, as well as musicians, vocal artists, and composers. The exhibition includes trade shows, trade shows and amusement parks. The media is made up of the Internet, film, and broadcasting. Electronics is mainly made up of video games.
Market Size Available
Based on product, Based on the revenue model, Based on device
Various Analyses Covered
Global, Regional & Country Level Analysis, Segment-Level Analysis, DROC, PESTLE Analysis, Porter’s Five Forces Analysis, Competitive Landscape, Analyst Overview on Investment Opportunities
North America, Europe, APAC, Latin America, Middle East & Africa
Market Leaders Profiled
Amazon Web Services
Tencent Holdings. Ltd.
King Digital Entertainment Ltd.
The online entertainment market is segmented according to product, revenue model and device.
The market is classified into video, audio, games, Internet radio and others. The video segment accounted for about a third of the online entertainment market share in 2021and is estimated to maintain its share during the forecast period. This is mainly attributed to the increase in the use of digital media for advertisements and promotions of products and services. Digital advertising has gained popularity among businesses due to the various associated benefits such as real-time traceability, instant gratification, targeted and segmented audience, and profitability. Thus, the increase in digital media advertising contributes greatly to the growth of the online entertainment market.
The market is divided into a subscription, advertising, sponsorship and others. Of these, the subscription segment was valued at $ 46.5 billion in 2021 and is likely to reach $ 226.1, increasing with a CAGR of 25.5%. The subscription income model is the method of making money or charging customers a recurring monthly or annual fee. Most of the popular online entertainment companies like Netflix and Spotify have built successful businesses by taking advantage of subscription growth potential. The subscription revenue model is expected to gain popularity with online businesses over the forecast period, due to associated benefits such as predictable revenue, higher return on customer acquisition costs, and a great opportunity for upselling and crusades.
Based on devices, the market is divided into smartphones, smart TVs, projectors and monitors, laptops, desktop computers and tablets and others. Smart TVs, projectors, and monitors are anticipated to grow with a CAGR of 22.3%. Advances in display technology and the growing capabilities of smart TVs are fuelling the demand for smart TVs, projectors and monitors, which in turn is driving the growth of the online entertainment market. Some of the advanced features of smart TVs are the fast user interface, video streaming services, universal search, and the app store. Smart TV's universal search function makes it easy to browse the Internet. Additionally, Miracast technology in smart TVs enables users to connect smartphones to smart TVs, which has gained immense popularity and is anticipated to increase the demand for online entertainment content.
The regional analysis for the global online entertainment market covers areas like
North America is the largest region in the world in terms of market share due to the high availability of advanced digital infrastructure with digital literacy, as well as the presence of a significant number of Internet service providers in the area.
The Asia-Pacific is expected to show the highest CAGR growth rate during the forecast period 2020-2025. Factors such as the increasing penetration of the internet and smartphones and the rapid growth of digitization in the media and entertainment industry would create lucrative growth prospects for the online entertainment market in the Asia-Pacific region.
Major players in the global online entertainment market are:
Despite an acceleration in cable cutting in 2021due to coronavirus, the rate of decline is likely to end over the forecast period. The COVID-19 pandemic has accelerated and amplified ongoing changes in consumer behaviour, driving digital disruption and forging turning points in the industry that would not have been reached for many years. As a result, the world of E&M in 2021has become more remote, more virtual, more broadcasted, more personal, and, for now at least, more home centric. The winners and losers will emerge based on your ability to leverage enabling technology to deliver truly distinctive content and experience options while overcoming regulatory and privacy hurdles.
1.1 Market Definition
1.2 Scope of the report
1.3 Study Assumptions
1.4 Base Currency, Base Year and Forecast Periods
2. Research Methodology
2.1 Analysis Design
2.2 Research Phases
2.2.1 Secondary Research
2.2.2 Primary Research
2.2.3 Data Modelling
2.2.4 Expert Validation
2.3 Study Timeline
3. Report Overview
3.1 Executive Summary
3.2 Key Inferencees
4. Market Dynamics
4.1 Impact Analysis
4.2 Regulatory Environment
4.3 Technology Timeline & Recent Trends
5. Competitor Benchmarking Analysis
5.1 Key Player Benchmarking
5.1.1 Market share analysis
5.1.3 Regional Presence
5.2 Mergers & Acquistion Landscape
5.3 Joint Ventures & Collaborations
6. Market Segmentation
6.1 Online Entertainment Market, By Product
6.1.4 Internet Radio
6.1.5 Market Size Estimations & Forecasts (2021-2026)
6.1.6 Y-o-Y Growth Rate Analysis
6.1.7 Market Attractiveness Index
6.2 Online Entertainment Market, By Device
6.2.1 Smart Phones
6.2.2 Smart TVs
6.2.3 Projectors and Monitors
6.2.5 Desktop Computers and Tablets
6.2.6 Market Size Estimations & Forecasts (2021-2026)
6.2.7 Y-o-Y Growth Rate Analysis
6.2.8 Market Attractiveness Index
6.3 Online Entertainment Market, By Revenue Model
6.3.4 Market Size Estimations & Forecasts (2021-2026)
6.3.5 Y-o-Y Growth Rate Analysis
6.3.6 Market Attractiveness Index
7. Geographical Landscape
7.1 Global Identity Governance and Administration Market, by Region
7.2 North America - Market Analysis (2021- 2026)
7.2.1 By Country
7.2.2 By Product
7.2.3 By Device
7.2.4 By Revenue Model
7.3.1 By Country
220.127.116.11 Rest of Europe
7.3.2 By Product
7.3.3 By Device
7.3.4 By Revenue Model
7.4 Asia Pacific
7.4.1 By Country
18.104.22.168 South Korea
22.214.171.124 South East Asia
126.96.36.199 Australia & NZ
188.8.131.52 Rest of Asia-Pacific
7.4.2 By Product
7.4.3 By Device
7.4.4 By Revenue Model
7.5 Latin America
7.5.1 By Country
184.108.40.206 Rest of Latin America
7.5.2 By Product
7.5.3 By Device
7.5.4 By Revenue Model
7.6 Middle East and Africa
7.6.1 By Country
220.127.116.11 Middle East
7.6.2 By Product
7.6.3 By Device
7.6.4 By Revenue Model
8. Key Player Analysis
8.1 Amazon Web Services
8.1.1 Business Description
8.1.4 SWOT Analysis
8.1.5 Recent Developments
8.1.6 Analyst Overview
8.2 Netflix, Inc.
8.3 Google LLC
8.5 Tencent Holdings. Ltd.
8.6 Sony Corp.
8.7 King Digital Entertainment Ltd.
8.8 Spotify Technology S.A.
8.9 Rakuten Inc.
8.10 CBS Corporation
9. Market Outlook & Investment Opportunities
List of Tables
List of Figures