Kenya’s internet advertising market to be among world’s fastest-growing - PwC report

The Africa Entertainment & Media Outlook 2026–2030 forecasts that Kenya’s internet advertising revenue will rise from US$313 million in 2025 to US$603 million in 2030, representing an annual compound growth rate of 14 per cent.

The report attributes the growth potential to expanding digital connectivity, increased online engagement and changing consumer behaviour, which are creating new opportunities for advertisers and media businesses.

Kenya’s projected growth rate is almost double the global internet advertising market forecast of 7.2 per cent over the same period, positioning the country as a major growth market for digital media.

Video internet advertising is expected to be a key driver, with revenue projected to grow at an annual rate of 18.2 per cent, supported by social media platforms and connected television.

The report says businesses will increasingly need to move beyond audience reach to focus on understanding consumer preferences, measuring advertising outcomes and linking media investments to commercial results.

“Kenya demonstrates the potential that emerges when strong connectivity, high digital engagement, and a mobile-first economy come together,” said Michael Mugasa, Entertainment and Media Partner at PwC Kenya.

“The next stage is about converting that participation into value. As digital advertising evolves, businesses that understand their audiences, use data responsibly, and demonstrate meaningful outcomes will be best placed to capture the opportunities ahead,” he added.

The report also projects sustained growth across Kenya’s wider entertainment and media industry, with total revenue forecast to reach US$6 billion by 2030, representing a compound annual growth rate of 5 per cent.

Streaming services are expected to contribute significantly to this expansion. Kenya’s over-the-top (OTT) video market, which covers internet-based streaming services, is projected to grow at an annual rate of 15.9 per cent through 2030, making it one of the world’s fastest-growing markets.

Nigeria leads the three African markets examined in OTT growth, with revenue forecast to increase at an annual rate of 20.4 per cent, while South Africa’s market is projected to grow by 7.6 per cent.

The report notes that traditional television continues to play a significant role in Kenya and Nigeria, even as streaming services expand, suggesting that digital platforms are complementing rather than immediately replacing conventional broadcasting.

Connectivity will remain central to the industry’s expansion. By 2030, 5G subscription penetration in Kenya is forecast to reach 51.6 per cent, compared with 86.8 per cent in South Africa and 35.3 per cent in Nigeria.

PwC says the quality, reliability and affordability of internet services will influence how quickly consumers adopt data-intensive services such as streaming, gaming and connected television.

Video gaming is another growth area, with Kenya’s gaming market forecast to expand at an annual rate of 5.8 per cent through 2030, outpacing the global growth projection of 3.6 per cent.

Artificial intelligence is also expected to create opportunities for African content creators and media companies by supporting translation, subtitling, localisation and personalised recommendations, helping local productions reach audiences across different languages and markets.

However, the report warns that the adoption of AI must be accompanied by safeguards around intellectual property rights, attribution, privacy, data governance, transparency and human oversight.

PwC’s Africa Entertainment & Media Outlook 2026–2030 examines the trends shaping the industry in Kenya, South Africa and Nigeria, including digital advertising, streaming, gaming, connectivity, live entertainment and artificial intelligence.

The report concludes that sustainable growth will depend on how effectively media companies combine technological innovation with creativity, cultural relevance and meaningful connections with audiences.