Stiff competition in Kenya’s broadcasting industry affecting ad revenue, CAK study shows
The report also notes that the shift to digital broadcasting in 2015 has brought opportunities but also significant financial burdens for broadcasters
Kenya’s broadcasting market is crowded with numerous TV and radio stations, which makes it difficult for any single station to capture a large share of the audience, the industry regulator, Communications Authority of Kenya (CAK), says.
According to CAK, this intense competition affects advertising revenue, as advertisers have more options and can demand lower rates.
In its Audience Measurement and Industry Trends Report (October – December 2024), the CAK also notes that one of the challenges facing legacy broadcasters is that a growing number of Kenyans, especially younger audiences, are turning to digital platforms and social media for news, entertainment, and information. This reduces the audience base for traditional media, impacting their reach and advertising potential.
“The decline in consumption of traditional print media further compounds the problem, as TV and radio struggle to adapt to changing habits,” the study report adds.
Overall industry spending grew by 11 per cent last year. The industry’s total spending increased from Ksh 18 billion to Ksh 20 billion between Q1 2024/25 and Q2 2024/25.
“Specifically, TV has the greatest spending, with radio coming in second. Media have the highest spending
in TV while Financial Services on radio. Corporate & Multi-brand have the highest spending in print,” the report shows.
The report also notes that the shift to digital broadcasting in 2015 has brought opportunities but also significant financial burdens for broadcasters, especially smaller players that struggle with the cost of upgrading
equipment and maintaining quality broadcasts.
The study found out that advertisers focus their budgets on a few major broadcasters, leaving smaller stations with limited revenue. This uneven distribution makes it harder for smaller players to sustain operations.
On a positive note, the report says that the increasing internet penetration (especially through mobile devices) provides broadcasters with an opportunity to distribute content online. Livestreaming, on-demand services, and integration with social media can attract new audiences, especially younger demographics.
At the same time, with mobile phones becoming the primary device for internet access in Kenya, broadcasters can use
mobile-friendly formats such as apps, podcasts, and short-form videos to reach wider audiences.
“The diversity of Kenya’s population creates an opportunity for broadcasters to produce region-specific and vernacular content. Adapting content to specific regions or linguistic groups enhances audience loyalty and broadens reach in rural areas,” it adds.
