Traditional TV & Home Video - Ethiopia

In Ethiopia, revenue in the Traditional TV & Home Video market market is projected to reach US$110.30m in 2024.
Revenue is expected to exhibit an annual growth rate (CAGR 2024-2029) of 2.06%, leading to a projected market volume of US$122.10m by 2029.
The average revenue per user (ARPU) in Ethiopia is anticipated to amount to US$1.64.
In a global context, the highest revenue will be generated the United States, which is expected to reach US$146.60bn in 2024.
The number of TV Viewers in Ethiopia is projected to reach 76.0m users by 2029.
User penetration in the Traditional TV & Home Video market market in Ethiopia is expected to be at 51.8% in 2024.
The average revenue per TV user (ARPU) in Ethiopia's Traditional TV & Home Video market market is projected to amount to US$1.64 in 2024.
In Ethiopia, the traditional TV and home video market is witnessing a gradual shift towards digital platforms, reflecting changing consumer preferences and increased internet accessibility.

Definition:

The Traditional TV and Home Video market involves the distribution and consumption of audiovisual content through conventional broadcast television channels and physical media formats like DVDs and Blu-ray discs. It encompasses the production, broadcasting, and viewing of television programs, movies, and other video content within households. Additionally, the market includes advertising placements within television programming and the collection of public TV Licence fees to support public service broadcasting networks, contributing to the diverse landscape of content delivery and revenue generation within the industry.

Structure:

The traditional TV and home video market comprises several key components, including pay TV services, physical home video sales, traditional TV advertising, and public TV Licence fees. Pay TV services involve subscription-based access to premium television channels and content, often delivered through cable, satellite, or internet-based platforms. Physical home video sales encompass the distribution of movies and TV shows on DVDs, Blu-ray discs, and other physical media formats for consumer purchase or rental. Traditional TV advertising involves the placement of commercials within broadcast television programs, generating revenue for broadcasters and advertisers alike. Public TV Licence fees refer to the mandatory charges imposed on households to fund public service broadcasting networks and channels. Together, these elements form the backbone of the traditional TV and home video market, catering to diverse viewer preferences and consumption habits.

Additional Information:

The market comprises revenues, ad spendings, viewers, average revenue per user, and penetration rates. Revenues are generated through purchases. Key players in the market are companies, such as NBCUniversal, CBS Corporation, and The Walt Disney Company.

Pay-TV subscriptions such as DirectTV, AT&T TV, and Sky
Physical home video such as DVD & Blu-ray sales
Traditional TV advertising such as commercial breaks
Public TV license fees such as BBC License in the UK and the Rundfunkbeitrag in Germany

OTT (Over-the-top content) services such as Netflix, Hulu, iTunes, and Pluto.tv
Public license fees collected in the form of a tax such as income tax in the Nordic countries
DVD & Blu-ray rental

The Traditional TV & Home Video market in Ethiopia has been experiencing significant growth in recent years, driven by changing customer preferences and local special circumstances.

Customer preferences: Ethiopian consumers have shown a strong preference for traditional TV and home video entertainment. This can be attributed to various factors such as cultural traditions, limited access to high-speed internet, and the popularity of local TV shows and movies. Despite the global trend of digital streaming services gaining popularity, traditional TV and home video formats continue to dominate the Ethiopian market.

Trends in the market: One of the key trends in the Traditional TV & Home Video market in Ethiopia is the increasing demand for local content. Ethiopian consumers have a strong affinity for their own culture and language, and they prefer to watch TV shows and movies that reflect their own experiences. This has led to a rise in the production and distribution of local content, both in terms of TV shows and movies. Additionally, there has been a growing interest in historical dramas and documentaries that showcase Ethiopia's rich cultural heritage. Another trend in the market is the growing availability of affordable home video options. As technology becomes more accessible and affordable, more households in Ethiopia are able to afford televisions and DVD players. This has led to an increase in the consumption of home video content, including movies, TV shows, and music videos.

Local special circumstances: Ethiopia has a unique media landscape, with a strong focus on traditional TV and home video. This can be attributed to several factors, including limited internet access in rural areas, low internet penetration rates, and the dominance of terrestrial TV networks. Additionally, the Ethiopian government has implemented policies that support the local media industry, including the promotion of local content and the regulation of foreign media imports.

Underlying macroeconomic factors: The growth of the Traditional TV & Home Video market in Ethiopia is also influenced by underlying macroeconomic factors. Ethiopia has been experiencing steady economic growth in recent years, which has led to an increase in disposable income and consumer spending. As a result, more households are able to afford TVs and home video equipment, driving the demand for traditional TV and home video content. In conclusion, the Traditional TV & Home Video market in Ethiopia is developing in response to customer preferences for local content, the availability of affordable home video options, local special circumstances such as limited internet access, and underlying macroeconomic factors such as economic growth. As these factors continue to shape the market, it is expected that the Traditional TV & Home Video market in Ethiopia will continue to thrive in the coming years.

Data coverage:

The data encompasses B2C enterprises. Figures are based on Traditional TV & Home Video and OTT (over-the-top) Services. All monetary figures refer to consumer spending on digital goods or subscriptions in the respective segment. This spending factors in discounts, margins, and taxes.

Modeling approach / Segment size:

The segment size is determined through a bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party studies and reports, survey results from our primary research (e.g., Consumer Insights), as well as performance factors (e.g., user penetration, price per product, usage) to analyze the markets. To estimate the segment size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP, number of internet users, and internet consumption.

Forecasts:

We apply a variety of forecasting techniques, depending on the behavior of the relevant segment. For instance, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level. The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development). Consumer Insights data is reweighted for representativeness.

This report presents a comprehensive analysis and additional information on the Advertising & Media market, in a PDF format.