The evolution of the media industry and what 2022 holds for SA

Limits which once separated the fryouThe entertainment, media, technology and telecommunications sectors have collapsed, merging them into one world through rapid digitization.

In 2022, the media industry will continue its post-pandemic bull run, leading to greater convergence between industry sectors and possibly even some media casualties along the way. We will see more streaming and fewer cable networks, more digital advertising and fewer traditional channels.

Overall, we can expect new waves of innovation and experimentation in e-commerce as brands. Consumer relationships will be built by creating unique experiences, targeting methods and a smoother journey from product discovery to purchase.

Five Key Things All Marketers Should Pay Attention To

To succeed, marketers will need to be as nimble as consumers. The pandemic has accelerated omnichannel adoption and created hybrid behaviors beyond our product and service purchases. The way we work, play and live is fluid, and consumers expect brands to keep up with the rapid pace of change. The 15th edition Fjord Trends Report from Accenture provides practical advice for marketers who want to deliver value and relevance to their consumers:

1. Come as you are. Pandemic-related restrictions have pushed people to seek greater freedom and expression in all aspects of life. They begin to focus on what is important to them due to increased awareness and openness to new ways of working and living. In designing brand experiences that work for African consumers, brands must ensure they strike a balance between amplifying collective mindsets and personal growth.
2. The end of the thought of abundance? Many have experienced empty shelves, rising energy bills and shortages in daily services. While supply chain shortages may be a temporary challenge, the impact will linger and lead to a shift in “abundance thinking” – based on availability, convenience and speed – towards greater environmental awareness. As we adapt to this new economic reality, it is essential to understand that “less” does not mean “loss” and to look to indigenous methods of innovation.
3. The next frontier. Africa is home to a young population with an appetite for new technologies and innovation. The metaverse will be a new frontier of the internet, combining all existing layers of information, interfaces and spaces with which people interact. It provides a new place to make money, creates new kinds of jobs, and offers endless branding opportunities that people will expect companies to help build and navigate. In Africa, immense opportunities exist for the many young start-ups, entrepreneurs and visionaries.
4. It’s true. People now expect to ask questions and get answers at the touch of a button or through a brief exchange with a voice assistant. The fact that it’s so easy and immediate means people ask more questions. With increased internet access, Africans are turning to the web to seek answers, but recent events have fueled misinformation. It is more important than ever for organizations to focus on credibility to mitigate risk.
5. Handle with Care. Care has become more important over the past year in all its forms: personal care; the respect of others; healthcare service; and the channels to deliver care, both digital and physical. This creates opportunities and challenges for employers and brands, regardless of their health or medical credentials. Africa is socially oriented and its communities care about it as a collective. We encourage companies to do the same.

South African Media Predictions for 2022

Research shows that South Africans have high expectations, with consumers pushing for ethics and innovation. With screen time at an all-time high, we all need to adapt to keep up with changing media consumption and ensure that we provide South Africans with the content they want to see in a format that matches the better in the context of 2022. As the current models dictate, it is quite reasonable to assume that in 2022 and 2023 there will be more South African-focused content on our screens.

At the box office, a recovery in attendance and rising ticket prices, along with improved deals, will result in modest growth at a CAGR of 3.5% through 2022. South African audiences are ready to pay more to watch big budget movies with surround sound, flashy seats, temperature variations, strobe lights, etc. On top of that, consumer revenues in South Africa are expected to grow at a robust CAGR of 7.6% through 2022, reaching R135.7 billion in 2022, and digital revenues alone will add around 41 .3 billion rand.

With South Africa now on the world map, the entertainment industry can capitalize on its presence, the best examples of which are live music concerts and the upcoming sports year, which offers vast growth opportunities for media brands. Music festivals and events that did not exist many years ago take place every year, providing brands with a significant opportunity to expand their audience. The fashion industry is also growing, leading to more shows and related entertainment. Improved connectivity and economic growth could also lead to more people traveling outside of South Africa or within the country.

While online advertising will overtake traditional models by 2022, the South African TV landscape will still have a strong conventional orientation. However, since South African markets tend to follow global patterns, online advertising will far outpace TV advertising in terms of growth.

Fans will go where the content is, so media owners need to invest to ensure their platforms are as engaging as possible and offer a variety of strong content.

Accenture Interactive’s Media Movements

At Accenture Interactive, we’re constantly finding new ways to engage with our clients and help our clients create compelling and transformative experiences. The digital commerce market in South Africa is growing at an unprecedented rate, and Accenture Interactive sees a need to capitalize on this appetite by expanding our capabilities and ability to meet demand.

Accenture Interactive has increased its digital footprint across the globe with a mixed strategy of acquisitions and organic growth. Its current investments are part of the company’s broader expansion plan in the African market.

Accenture Interactive recently made its first acquisition in Southeast Asia, Entropia, to help clients with customer experience, design and creative communications. It also added Openmind, an Italian business consultancy, to its fold.

Locally, Accenture has acquired the King James Group, a highly-awarded creative agency and our first planned acquisition in South Africa and Africa. The move will reinforce Accenture Interactive’s focus on putting creativity at the center of experience-driven transformation to drive relevance and growth for its clients. King James Group brings an impressive list of clients, critical assets, people and skills to enhance Accenture Interactive’s capabilities to meet and exceed our clients’ accelerating demand for differentiated and innovative experiences.

King James Group adds additional depth in branding, creativity and digital marketing services to Accenture Interactive. We want to build capacity in South Africa to support our vision to transform and reinvent all of our clients’ businesses through the lens of experience.

Haydn Townsend is Managing Director at Accenture Interactive. His goal is to combine the power of Accenture’s business consulting, creative, digital and technology capabilities to help organizations rewire their businesses. Haydn is a cross-functional marketing and advertising professional with over 25 years of experience across marketing management, sales, advertising, activations, sponsorship and digital marketing.