Kenya’s internet advertising market fastest-growing globally: PwC

Kenya’s entertainment and media (E&M) industry is set for strong growth over the next five years, with the country’s internet advertising market projected to be the fastest-growing in the world, a new PwC report shows.

The British accounting firm’s 2025-2029 Africa Entertainment & Media Outlook shows Kenya’s E&M sector expanded by 7.1% in 2024.

The country’s total E&M revenue in 2024 was just over $4.0 billion (Ksh.515.96 billion), up from $3.7 billion (Ksh.477.26 billion) in 2023.

This was second only to Nigeria’s 11.2% growth, outpacing South Africa’s 6.2%.

It is projected to hit $4.26 billion this year and grow at a compound annual growth rate (CAGR) of 5.2% to $5.15 billion by 2029, driven primarily by digital transformation, mobile penetration, and youthful consumer demand.

PwC projects Kenya’s internet advertising segment will expand at a CAGR of 16%, the fastest rate globally, as mobile-first internet use accelerates.

While traditional TV currently leads with $293 million in revenue as of 2024, the Big Four accounting firm projects internet advertising will generate $470 million in revenue by 2029.

The rise of social media marketing, e-commerce, and influencer-led campaigns continues to draw advertising spend from traditional media toward digital platforms, the report says.

Kenya’s over-the-top (OTT) streaming services are also booming, projected to grow at 11.2%, supported by widespread smartphone use, improving 4G and fibre connectivity, and affordable data packages.

The country’s gaming sector is another bright spot, with social and casual gaming forecast to grow at 10.1%, while traditional gaming will expand at 5.1%.

“Kenya's proven integration of mobile money services, such as M-Pesa, with entertainment platforms creates a fertile environment for monetising mobile gaming and digital content in innovative ways,” PwC says.

But the report cautions that infrastructural gaps, including unstable internet connectivity and inconsistent electricity supply, continue to limit growth potential in parts of the country.

Regionally, Nigeria, Kenya, and South Africa remain Africa’s leading E&M markets.

And while South Africa’s ecosystem is the most formalised and mature, with stable pay television and hybrid traditional-digital media consumption, “Kenya and Nigeria are emblematic of the continent's high-growth, mobile-centric future,” says the report.