Media and entertainment industry outlook

Automakers, agriculture producers and consumer electronics manufacturers have dominated headlines in recent months as the global trade war intensifies. However, one industry that—until recently—has received less coverage is media and entertainment. While it may not feel the effects of the trade war directly, the industry may experience a downstream impact as consumers and businesses make critical spending decisions driven by ongoing economic uncertainty.

Traditionally, marketing (including advertising) is one of the first items an organization cuts in times of uncertainty. This is a big issue for media and entertainment businesses, many of which rely heavily on advertising revenue to keep operations going. Streaming channels are one example, as the majority have changed their business models to rely heavily on advertising and less on subscribers.

The box office, facing challenges like strikes and streaming shifts, shows resilience post-pandemic. Studios adapt, tech giants invest in theaters, prompting industry changes. 

The landscape is dynamic, reflecting the adaptability and transformation of the industry in response to evolving consumer preferences and global events.