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E&M CEOs optimistic about global economy: PwC study

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MUMBAI: Continuing its trend of surveying top CEOs across the globe, PricewaterhouseCoopers (PwC) surveyed 1344 business leaders across 68 countries out of which 72 were media and entertainment CEOs in 33 countries to find out what exactly is their business sentiment for the coming years. In depth interviews were conducted with Interpublic Group’s Michael Roth, II Sole 24 Ore SpA’s Donatella Treu and SKYCITY’s Nigel Morrison. Some of the salient points of the study on entertainment and media (E&M) CEOs are:

CEOs are confident of the company as well as global economy. 93 per cent (compared to 80 per cent in 2013) are somewhat or very confident in their company prospects for revenue growth in the next three years. They are also more optimistic about the global economy despite some concerns. 39 per cent of E&M CEOs believe that the global economy will improve in the next 12 months, compared to 20 per cent last year.

CEOs have to be hybrid- run today’s business and create tomorrow’s business.

Product and service innovation will provide the greatest opportunity for revenue growth and is likely to play a pivotal role in addressing their greatest concerns.  Over half of E&M CEOs surveyed (56 per cent) see product/service innovation as the main opportunity to grow their business in the next 12 months, more than any other industry surveyed

71 per cent of E&M CEOs are somewhat or extremely concerned about shifts in consumer spending and behaviours, more than any other industry surveyed (and compared to a global total response of 52 per cent)

65 per cent of E&M CEOs are somewhat or extremely concerned about the speed of technological change (compared to a total global response of 47 per cent)

26 per cent E&M CEOs, more than any other industry surveyed, are extremely concerned about new market entrants.

11 per cent of E&M CEOs believe that strategic alliances and joint ventures will be the main opportunity to grow their business in the next 12 months

94 per cent of E&M CEOs rank technological advances as one of the top three global trends that will have the most transformative effect on their businesses over the next five years. This is more than any other industry.

68 per cent of E&M CEOs rank demographic shifts as one of the top three global trends that will have the most transformative effect on their business over the next five years

43 per cent percent of CEOs believe that as a result of regulation they haven’t been able to innovate effectively

Pwc says in 2014 it forecasts that consumer spend on mobile Internet will overtake that from fixed broadband.

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