Traditional TV & Home Video - MENA

In MENA, revenue in the Traditional TV & Home Video market market is projected to reach US$8.08bn in 2024.
Revenue is expected to exhibit an annual growth rate (CAGR 2024-2029) of 1.91%, leading to a projected market volume of US$8.88bn by 2029.
The average revenue per user (ARPU) in this region is anticipated to amount to US$21.12.
In global comparison, the highest revenue will be generated the United States, with US$146.60bn expected in 2024.
The number of TV viewers in MENA is expected to reach 408.0m users by 2029.
User penetration in the Traditional TV & Home Video market market within MENA is forecasted to be at 67.1% in 2024.
Furthermore, the average revenue per TV user (ARPU) in the Traditional TV & Home Video market market is projected to amount to US$21.12 in 2024.
In the MENA region, traditional TV and home video consumption is increasingly challenged by the rise of streaming platforms, significantly altering viewer habits.

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 MENA is experiencing significant growth and development, driven by changing customer preferences, emerging trends, and local special circumstances. Customer preferences in the Traditional TV & Home Video market in MENA are evolving, with a shift towards on-demand and streaming services. Consumers are increasingly seeking convenience and flexibility, opting for platforms that allow them to watch their favorite shows and movies at their own convenience. This shift in preferences is driven by the availability of high-speed internet and the proliferation of smartphones and smart TVs in the region. In addition to changing customer preferences, several trends are shaping the Traditional TV & Home Video market in MENA. One major trend is the rise of local content production and consumption. MENA countries are investing heavily in producing original content that resonates with the local audience, leading to a surge in demand for homegrown TV shows and movies. This trend is fueled by the desire to showcase local culture, language, and traditions, as well as to cater to the specific tastes and preferences of the MENA audience. Another trend in the market is the increasing popularity of video streaming platforms. Over-the-top (OTT) services such as Netflix, Amazon Prime Video, and local platforms like Shahid and OSN Play are gaining traction among consumers in MENA. These platforms offer a wide range of content, including international shows and movies, as well as local productions, providing viewers with a diverse selection to choose from. The convenience of streaming services, combined with the ability to access content on multiple devices, has contributed to their growing popularity in the region. Local special circumstances also play a role in the development of the Traditional TV & Home Video market in MENA. One such circumstance is the high youth population in the region. The younger generation, which is tech-savvy and digitally connected, is driving the demand for online video content. They are more likely to opt for streaming services over traditional TV, as they value the flexibility and personalized experience that these platforms offer. Underlying macroeconomic factors also contribute to the growth of the Traditional TV & Home Video market in MENA. Economic stability and increasing disposable incomes in the region have led to a rise in consumer spending on entertainment and leisure activities. As a result, more households are investing in high-quality home theater systems and subscribing to streaming services, driving the growth of the market. In conclusion, the Traditional TV & Home Video market in MENA is experiencing growth and development due to changing customer preferences, emerging trends, local special circumstances, and underlying macroeconomic factors. The shift towards on-demand and streaming services, the rise of local content production, the popularity of video streaming platforms, the high youth population, and economic stability are all contributing to the expansion of the market in the region.

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.