According to Technavio’s latest report www.technavio.com, the global digital magazine publishing market is expected to increase to over USD $35 billion by 2020, growing at a compound annual rate of over 20% during the forecast period.
This substantial growth is expected due to the increased penetration of the Internet and extensive use of mobile devices such as smartphones and tablets. The big appeal of digital magazines is that they provide consumers with the convenience of accessing content on multiple devices from anywhere and at any time.
Digital magazines are expected to increase from 14% of the total global magazine publishing market to 35% by 2020, with the Americas leading the way in regional adoption, followed by Europe, the Middle East and Africa, and Asia.
North and South America have the largest market share at this time because this area has always been an early adopter of new technologies, including tablets and smartphones. The popularity of digital publication has increased exponentially due to the compatibility between handheld technology and digital print media.
Technavio also predicts that adoption of digital magazines will continue to increase rapidly in Asia, due to rising disposable incomes in countries like China and India. Internet use and the availability of mobile devices is becoming more and more widespread. Developed countries like Japan and South Korea already have great mobile penetration and high rates of media consumption.
In addition, a report by PricewaterhouseCoopers http://www.pwc.com/gx/en/industries/entertainment-media/outlook/segment-insights/consumer-magazine-publishing.html presents some other interesting trends, including:
- Total magazine revenue will remain on an upward curve to 2019, and total global magazine revenue will reach US$97.42bn in 2019, up from US$95.33bn in 2014.
- Consumer magazine revenue will return to growth in 2016 after a number of years of decline. Global total consumer magazine revenue will see a 0.2% increase in 2016 driven by strong digital performances. Print circulation and advertising revenue will continuing to decline.
- A growing middle classes will drive consumer magazine revenue. Countries such as India and Mexico are seeing growth in their middle classes, spurring a growth in total consumer magazine revenue. In addition, these countries are still seeing growth in print as the emerging consumer classes buy lifestyle magazines and those focused on luxury goods.
- Consumer magazine advertising will continue its transition from print to digital. Increasing almost 20% from 2014 to 2019, global digital consumer magazine advertising revenue will account for 37.0% of global total consumer magazine advertising revenue in 2019. Tablet use will drive digital magazines adoption and continue to make magazine websites more attractive.
- Print consumer magazine circulation will remain dominant. Although global print consumer magazine circulation revenue will fall, it will still account for 85.2% of global total consumer magazine circulation revenue in 2019.
- Trade magazine revenue will benefit from growing economies. Countries such as Peru and China will see the fastest growth in total trade magazine revenue, because their fast-growing economies are seeing rapid rises in companies looking to increase their knowledge of competitors and developments in their fields.