The entertainment industry is a dynamic and varied sector that anyone interested in business needs to be familiar with. It includes different areas that are constantly evolving, growing, and finding new markets as the entertainment industry moves forward. Thanks to the free flow of information that technology enables, it’s now moving faster than ever! Let’s look at what this important and gigantic industry looks like today.
The Biggest Sectors Today
Despite economic challenges and uncertainties in many countries, the European entertainment industry is booming and expected to reach a revenue of US$355.53 billion in 2025, according to Statista. It’s made up of lots of different small sectors with, for the most part, largely overlapping demographics.
We’ll dive right into the biggest sectors of Entertainment in Europe.
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SubscribeAudiovisual – Television, film and VoD
This sector encompasses television, film, and video-on-demand, making it the biggest and most lucrative. Despite many predictions that the broadcasting industry would die, it still contributes to a significant amount of revenue, but now competing with online streaming services like Netflix and Hulu.
With a new generation growing up, VoD is expected to become more and more dominant. For instance, 61% of people aged 16 to 17 years old in Ireland say they could be perfectly happy without a TV.
Games and Gambling
Both gambling online and playing video games online are major sources of entertainment in Europe. The gaming market alone is expected to generate around US$57 billion in 2025. This is made possible thanks to the wide internet reach in Europe, as well as technological innovations like cloud gaming, and of course, mobile devices.
Online gambling is also very common among Europeans, with a recorded 30.2% of Norwegians regularly gambling online, placing the country at the top of the list worldwide. But people don’t just gamble for money, either. Lots of people entertain themselves with Sweep Slots, a form of social gambling where you play with virtual coins and can cash in prizes and gift cards.
The Music Industry
The music industry has been a major part of entertainment in Europe for a long time, but the digital music market is taking it to new heights. This market is expected to reach approximately US$10 billion in 2025, with on-demand streaming platforms like Spotify leading the way.
Old-school alternatives, like listening to the radio, are still around. Statistics show that 59% of people in Germany listened to the radio every day or almost every day in 2019 – a number that got higher, reaching around 74% in 2025.
Publishing – Books, Newspapers, and More
Publishing doesn’t dominate the market the way it used to, but it’s still one of the biggest sectors in the entertainment industry. Publishing doesn’t just mean books, but includes newspapers, magazines, and digital publications.
This sector appeals to a diverse group of people, although the main demographic is getting older. For instance, 67% of 50-64 year olds read books for entertainment in France. Of course, these numbers, along with the popularity of physical books and newspapers, vary by country.
What Makes an Industry Thrive in Europe?
It’s close to impossible to accurately predict what industries will thrive, but once we take a look at those that are already doing well, we can find common denominators and explanations for why they’ve done as well as they have.
One factor is technological innovation. For an industry to thrive, the right digital infrastructure needs to be in place first. Many of today’s entertainment sectors rely on users having a computer, TV, or at least a mobile phone, and access to high-speed internet. Without the infrastructure already in place, the growth of any new sector will be slow at best.
Another important factor is government support and policies. This is going to shape not just how a sector is introduced to the public, but also if it becomes a sustainable business.
Finally, the entertainment being introduced needs to be varied enough that it can suit a large population from different cultures and with different religions and norms. Europe is very diverse, and any form of entertainment that doesn’t consider that when entering the European market isn’t likely to get a real foothold.
High quality is another standard many Europeans uphold and expect from entertainment. The highest quality is sure to carve out a premium space in the European market.
What’s Next for Entertainment in Europe?
Rather than completely new sectors popping up, the evolution of entertainment leans more towards certain media or technologies. For example, Video on Demand is growing rapidly, taking a bigger and bigger market share. Important services within the niche include Netflix, Prime Video, and Disney+ – they account for over 85% of SVOD subscriptions on the European market.
Within gaming, technologies like VR and AR are likely to get bigger in the next few years. Cloud gaming is also an important innovation, helping even those with lower-end devices play games that would be impossible to run locally.
