A recent article in the Brazilian newspaper Valor Econômico - the country’s leading business daily -, as of June 14, highlighted a study by PwC that points Brazil among the highest-growth markets in the entertainment and media sectors worldwide in the next five years:
"Brazil, China to Drive Global Media Growth
By Gustavo Brigatto - São Paulo
Brazil and China will lead all markets in growth in the entertainment and media sectors in the next five years, according to a PwC study. During that period, Brazil’s compounded annual growth rate (CAGR) is expected to be 11.4%, with Chinese CAGR slightly higher at 11.6%.
By comparison, the growth rate in the U.S.—the world’s largest entertainment and media market, with US$ 443 billion in revenues in 2010—is expected to be 4.6%. PwC estimates that revenues for the global market will increase from US$ 1.5 trillion in 2011 to US$ 1.9 trillion in 2015.
According to Estela Maris Vieira, lead partner of the Entertainment and Media division at PwC Brasil, three factors are driving the growth trend here: the country’s hosting of the World Cup and Olympic Games, consumers’ rising purchasing power and the expansion of broadband internet access.
In 2010, Brazil increased its spending on advertising, entertainment and media by 15.3% for a total of US$ 33.1 billion. Subscriptions for fixed-line and wireless internet plans, pay television packages and spending on advertising were the biggest contributors to the trend, up 20% each. PwC estimates that in 2011 total revenues for the sector will increase to US$ 37.4 billion. That would put Brazil ahead of South Korea and into the ninth spot in the global ranking. Brazil could move up another two positions by 2015 to occupy the seventh spot with US$ 56 billion in revenues."
Valor Econômico - 06/14/2011