• Saturday, March 02, 2024
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Nigerian entertainment industry estimated to generate $14.82b by 2025 – Report

The Nigerian entertainment industry and ‘its turn’ under President Tinubu

A recently released report by the Nigerian Entertainment Conference (NECLive) has stated that the Nigerian entertainment industry was projected to reach an estimated $14.82 billion revenue growth in 2025, up from $4 billion revenue recorded in 2013.

Projections indicate an impressive 16.5 percent Compound Annual Growth Rate (CAGR) in revenue over the next five years.

This growth is attributed to various factors, including the rising internet accessibility among mobile users, with an expected increase from 54 million to 78 million subscribers within this timeframe.

Read also: LCCI president urges entertainment industry stakeholders to project sector’s future

Additionally, the surge in streaming platforms and the integration of innovative technology like Generative AI are poised to drive a double-digit revenue growth.

The report provided an in-depth analysis of the financial performance across various industry sectors over the past decade, spanning from the music industry to film, fashion, and comedy.

The report delves into the growth, trends, and opportunities in the Nigerian creative and entertainment industry over the last decade and outlines its future expansion plans. For comprehensive insights into the industry’s trajectory and progression, the NECLive report is available at nec.ng.

Adekunle Ayeni, founder, NECLive, stated that the industry has undergone a remarkable shift from struggling to sell music tapes and gain airplay on radio stations to a phase where artists, managers, producers, directors, and labels are thriving on established structures, leading to increased international recognition and acceptance.

According to him, this paradigm shift highlights that music is not merely an art form but a substantial source of revenue. He stated further that the film and comedy sectors have become intricately linked, transitioning to online platforms to adapt to modern technologies, fostering sectoral growth.

Accordingly, the film sector’s evolution from producing and distributing 1,800 films worth $5.1 billion in 2013 to 2,500 films valued at $6.4 billion currently has positioned Nigeria as the world’s second-largest film producer.

“In 2012, the industry encountered formidable challenges, causing frustration and disillusionment. However, that very frustration became the catalyst for a transformative spark, giving birth to the visionary concept of NECLive.

“This audacious initiative aimed to unite the nation’s finest creative and industry minds, facilitating dynamic brainstorming sessions, fostering invaluable networking opportunities, and showcasing exceptional talent. In 2013, the realization of this dream became a remarkable reality,” Ayeni stated.

Read also: The Nigerian entertainment industry and ‘its turn’ under President Tinubu

He stated further that for the many aspiring actors and actresses who have come into Nollywood and made it big, the growing numbers in revenue stands as a testament to the sweat and work put in place within the last ten years and beyond.

“Amidst progress, it’s essential to acknowledge the challenges that once plagued the entertainment industry, such as high cases of piracy which crippled profitability, and limited funding that hampered creativity as well as lack of international exposure”.

However, today’s landscape, shaped by the internet, streaming platforms like IrokoTV, Billboard, Netflix, and social media giants like Instagram, Twitter, TikTok, Youtube, Facebook, and Snapchat, along with forums like the NECLive, which has for the past decade served as gathering for the industry giants, facilitated dialogues, provided solutions, and steered transformative changes within the industry.