Entertainment Sector

The entertainment sector in Saudi Arabia is experiencing unprecedented growth, generating revenues exceeding $1 billion and attracting over 75 million visitors! 

The entertainment sector is one of the main pillars for the state and its citizens, as it enhances the quality of life in the Kingdom, which is a key focus of Vision 2030. It is expected that the entertainment sector will contribute 4.2% to the GDP by 2030.

One of the key indicators reflecting the significant growth of the sector is the increasing participation of individuals aged 15 and above. According to the General Authority for Statistics, 80% of this age group in the Kingdom's population has attended a cultural event or activity, highlighting the interest and engagement in the sector.

The General Entertainment Authority (GEA) is an integral part of the entertainment sector. Here, we present key statistics achieved by the GEA over the past five years, which highlight the rapid growth of the sector.

All of these statistics and positive indicators related to the entertainment sector clearly confirm that there is a large segment of the Saudi population, including residents, who have a strong passion for entertainment. This is especially significant given that entertainment has great benefits, as it helps break the routine of daily life and brings happiness and joy to people.

We also know that some of the key contributors to the rise of the Saudi entertainment sector are Riyadh Season, the cinema industry, and the digital entertainment sector. All of these have witnessed remarkable growth in recent years, leading to the success of the Saudi entertainment sector.

There is no doubt that Riyadh Season, with its diverse events since its launch four years ago, has played an important and vital role in achieving these numbers. This is especially evident when considering the large numbers of visitors recorded each year. For example, the number of visitors to entertainment events and activities last year exceeded 20 million, including about two million international tourists in just five months.

Riyadh Season will return this year for its fifth edition in 2024, starting on October 12, as recently announced by the General Authority for Entertainment (GEA). The season will feature 14 entertainment zones covering more than 7.2 million square meters, with 4,200 contracts signed with 2,100 companies, 95% of which are local. Additionally, the season will host 11 international championships and 10 diverse exhibitions and festivals.

In addition, an area will be created next to "Boulevard City" covering 140,000 square meters, dedicated to three large Boeing 777 aircraft that have been converted into retail stores and restaurants. The area will also include 13 interactive experiences aimed at both adults and children.

As for the cinema sector, it has experienced significant growth in the first half of this year. The Saudi Film Commission reported that the Saudi box office generated 421.8 million SAR from the sale of 8.5 million tickets, continuing to maintain its position as the top-grossing box office in the Middle East since 2020, with the highest annual revenue

It was also noted that the revenues of the second quarter doubled compared to the first quarter of this year. However, in the third quarter, revenues saw a decline of 19.5% compared to the second quarter, due to the lack of standout films that attracted Saudi youth in comparison to the second quarter

Undoubtedly, one of the most important entertainment sectors is the digital entertainment sector. It is one of the fastest-growing sectors, encompassing electronic games, live streaming, and digital content. It provides interactive experiences for users across multiple platforms, enhancing social interaction and becoming an essential part of daily life.

The digital entertainment sector in the Kingdom has witnessed significant development thanks to the introduction of advanced technologies such as fifth-generation communications. This has contributed to enhancing growth rates and increasing investments in this field.

The Kingdom ranks first in the digital entertainment sector in the Gulf region, with data showing that it accounted for over 58% of the total revenues of the digital media sector in the Gulf countries in 2022, amounting to approximately $2.17 billion out of a total revenue of $3.72 billion.

The Kingdom stands out remarkably in the video game sector, with revenues from its gaming market exceeding double those of the rest of the Gulf countries in the same year, recording $1.75 billion compared to $635.9 million for other Gulf nations.

Mobile games lead in profitability within the video game category, generating approximately $1.7 billion in 2022, which accounts for about 80% of the total revenues in the sector.

In conclusion, the entertainment sector represents a vital part of culture and society, and its successes reflect innovation and the ability to adapt to changes in audience preferences. We thank God for the guidance of our leaders, as, thanks to Him and their efforts, we have achieved one success after another in the entertainment sector, and we are grateful.

sources:

•  www.gea.gov.sa
•  www.alriyadh.com 
• www.sabq.org
•  www.argaam.com 
• film.moc.gov.sa
• asharq.com