It is an understatement to say that this period of covid-19 infection has hit the entertainment industry very hard. Now, a new report estimates that live music earnings growth will hit what it was in the pre-pandemic through 2025.
The PWC’S “Global Entertainment & Media Outlook 2021-2025” makes a prediction on the recovery of earnings in the live music industry. This will be achieved in 2025, with an annual estimate of 17% growth for a period of 4 years. It is believed that by that date, total earnings will be 1.46 trillion pounds a year, thus recovering from the severe blow caused by the pandemic. In 2020 it only reported 240 million pounds. This industry has 1.58 billion of live music pre-pandemic earnings.
About the findings, Mark Maitland, PwC’s UK head of Entertainment and Media, said:
“UK consumers’ rapid migration to digital behaviors in the pandemic has now become embedded in their day-to-day lives, helping to sustain overall growth across Entertainment and Media for the coming five years. As companies race to meet consumers’ evolving needs with new products, services, and experiences, the E&M industry will become more pervasive, more immersive, and more diverse“
Virtual Events And Live Music Earnings Recovery To pre-pandemic period
He also stressed the increasing value that virtual experiences are having in the world. Despite the fact that many countries have started to have events, augmented reality and others seem to be the live economy of tomorrow. This is because, despite the reopening of entertainment in several countries, it will operate with many restrictions.
“Some sectors have found interesting ways to navigate the effects of the pandemic – notable examples include B2B events moving to online/virtual and now increasingly hybrid formats. However, sectors such as live music have struggled to go virtual, as it’s so difficult to replicate the in-person experience online. So there’s pent-up demand in those sectors ready to release as lockdown ends.”
Many of the venues will also face expenses that can lead to bankruptcy. One in eight clubs in London has disappeared, and this trend will grow as the months go by. This report considered all these factors and added more to determine that in four years, the live music industry will recover from the pandemic.