PwC: dark future for cinemas | Financial

PwC is pessimistic about the future of cinemas and expects movie houses to return to pre-crisis levels in 2024. By then, streaming services revenue is estimated to be $ 86.6 billion, twice the revenue of movie theaters.

The researchers have never seen such a sharp decline in the entertainment industry in the more than twenty years they have been following it. “For 2020 we expect a decrease of 5.6 percent, about $ 120 billion, compared to a record year of 2019,” said Casper Scheffer, entertainment and media expert at PwC. “Even during the banking and credit crisis, the contraction was less sharp at 3 percent.” PwC expects the industry to recover and grow by more than 6 percent by 2021. This is mainly driven by developments such as virtual reality, esports and streaming.

The corona crisis is also causing a drop in advertising revenue. For this year, PwC expects a decrease of 13.4 percent, about 86.5 billion dollars. The market will probably not return to pre-crisis levels until 2022.

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