Global Animated Films Market Size, Share & Trends Analysis Report, Forecast Period, 2024-2031

The Animated Films Market is experiencing robust expansion, with market size projected to increase from (387.6 Billion) 2023 to (611.68 Billion) 2031, demonstrating a consistent year-over-year growth rate of 5.20%. Animated Films Market Size, Share, Competitive Landscape and Trend Analysis Report, by Types (OVA, Theater Version, Television Series, Web Series), by Applications (Adults, Family, Children, Education) , by Animation Technique (2D, Stop Motion, 3D, Claymation), by Distribution Channel (Home Entertainment, Cinemas, Online Streaming Platforms) And Regions (North America (United States, Canada, Mexico), South America (Brazil, Argentina, Chile, Rest of South America), Europe (Germany, France, Italy, United Kingdom, Benelux, Nordics, Rest of Europe), Asia Pacific (China, Japan, India, South Korea, Australia, Southeast Asia, Rest of Asia-Pacific), MEA (Middle East, Africa)) : Industry Forecast and Opportunity Analysis for 2023 - 2031

The animated film market has to do with the production and exploitation of movies that are built around animation techniques in order to realise characters and narratives. The movies appeal to an enormous spectrum of viewers, from kids to adults, and have become a substantial arm of the global entertainment industry. The market is driven, among other things, through advances in animation technology, increasing demand for family content, and the ever-increasing popularity of streaming services. Major film studios, independent animation studios, and streaming services are the major players in the market.

Animated Films Report Highlights

Report Metrics	Details
Forecast period	2019-2031
Base Year Of Estimation	2023
Growth Rate	CAGR of 5.20%
Forecast Value (2031)	USD 611.68 Billion
By Product Type	OVA, Theater Version, Television Series, Web Series
Key Market Players	Disney Illusion Softworks Illumination Entertainment VASOON Animation Shanghai Xuanting Entertainment Information Technology Co., Ltd Studio Ghibli LEONINE Holding GmbH DreamWorks Studios Toho Company, Limited Warner Bros. Entertainment
By Region	North America (United States, Canada, Mexico) South America (Brazil, Argentina, Chile, Rest of South America) Europe (Germany, France, Italy, United Kingdom, Benelux, Nordics, Rest of Europe) Asia Pacific (China, Japan, India, South Korea, Australia, Southeast Asia, Rest of Asia-Pacific) MEA (Middle East, Africa)

Animated Films Market Trends

A major trend is the emergence of international markets and collaborations in the field of animated film. Studios emanating from regions, particularly Japan and South Korea, are achieving prestige internationally, and anime and animated movies are transforming into worldwide trends. Moreover, there is a trend towards more representative storytelling and integration of a broad spectrum of cultural narratives that speak to the globally spread audience. The increasing popularity of environmentally responsible, educational, and socially responsible animated content also reflects a wider consumer demand for meaning-based entertainment, in turn influencing the future development of the market. As streaming companies such as Netflix, Disney+, and Amazon Prime devote vast sums to animated productions, there is a clear need for premium, self-authored animated movies suitable for most children and adults. This phenomenon is also influenced by the evolution of audiences for franchises and universes, e.g., animated series and films like "Frozen" or "Spider-Man" multiverse that enjoy a massive audience worldwide.

Animated Films Market Leading Players

The key players profiled in the report are Illumination Entertainment, LEONINE Holding GmbH, Shanghai Xuanting Entertainment Information Technology Co., Ltd, VASOON Animation, Toho Company, Limited, DreamWorks Studios, Studio Ghibli, Illusion Softworks, Disney, Warner Bros. Entertainment

Growth Accelerators

The market for animated films is largely determined by the growing market for entertainment aimed at families and the cross-generational appeal of animation. With the development of animation techniques, filmmakers are now able to create visually compelling and entertaining works of film that have a global appeal, creating a demand for both theatrical and digital streaming ventures. Furthermore, the proliferation of over-the-top (OTT) services such as Netflix, Disney+, and Amazon Prime has also dramatically increased the demand for animated content, because these services are committed to producing original animated movies and television series to address a spectrum of viewer interest. These advances not only decrease production costs but also expand the creative potential, enabling cinematographers to produce more animated and realistically believable animation. In addition, both the popularity of video games and virtual realities and the merchandise of animated films are increasing market reinforcement, in the possibility that the animated films are multi-platform generations of revenue generation, independent of box-office sales.

Animated Films Market Segmentation analysis

The Global Animated Films is segmented by Type, Application, and Region.
By Type, the market is divided into Distributed OVA, Theater Version, Television Series, Web Series . The Application segment categorizes the market based on its usage such as Adults, Family, Children, Education. Geographically, the market is assessed across key Regions like North America (United States, Canada, Mexico), South America (Brazil, Argentina, Chile, Rest of South America), Europe (Germany, France, Italy, United Kingdom, Benelux, Nordics, Rest of Europe), Asia Pacific (China, Japan, India, South Korea, Australia, Southeast Asia, Rest of Asia-Pacific), MEA (Middle East, Africa) and others, each presenting distinct growth opportunities and challenges influenced by the regions.

Competitive Landscape

The animated film market's competitive landscape is controlled by major international companies (Disney, Pixar, DreamWorks Animation, and Illumination Entertainment) who have gained this place via successful franchises and compelling storytelling. To produce high-quality content that is of interest to a wide range of people, from very young children to full-grown adults, these studios put money into the latest in CGI and motion capture techniques. Due to their deep brand penetration and their long experience in the field, they can manage a considerable piece of both the theatrical and the streaming pie. As the digital platforms Netflix, Amazon Prime Video, and others increase the amount of content they produce, they are now major competitors and are delivering original animated films to broad international audiences.

Challenges In Animated Films Market

The market for animated films is challenged by the high production costs and long development periods. High-quality animation requires a huge investment in skilled labour, technology, and resources. The process of developing an animated film, from concept to final product, can take years, making it a risky venture for studios, especially when competing against other forms of entertainment. The other major challenge is competition from emerging digital platforms and how consumer trends have shifted towards 'streaming services.'. The emergence of web-based brands such as Netflix, Disney+, and YouTube shifted the method of distribution of animated films to different shows and created challenges for the traditional movie theatres. This shift has influenced box office performance since most consumers now prefer watching movies at home or on demand. The worldwide nature of the market presents additional difficulties in tailoring the content to cater to international cultural audiences with extensive appeal, as varied tastes, censorship policies, and viewing habits exist in different regions.

Risks & Prospects in Animated Films Market

The market for animated films offers many opportunities for expansion and invention. As streaming services become more popular and there is a larger demand for content of high technical quality, with entertainment appeals, it is a natural setting for the industry. In addition, with developments in animation technology (e.g., virtual reality, artificial intelligence), new stories and immersive experiences are becoming available to attract a broader audience and extend the market base. In addition, the crossover audience of animated films in varied genres, from family films with adults up for difficult material, attracts a varied market. With the increasing popularity of animated films being further converted into games, merchandise, and theme park rides, there is a lot of room left for monetising themselves other than from theatre sales.

Key Target Audience

The primary consumer group for the animated film market is children, alongside families, who are the main consumers of animated works. Animation provides rich, compelling tales and characters that are attractive, even to the younger generation, and thus is a favoured medium for family entertainment. Studios and production houses are primarily making animated films aimed at this target population, with a wide target audience, by applying humour, fantasy, and educational content. Merchandising and cross-promotions with toys, video, and theme parks maximise reach to this segment. Along with children and families, the animated picture format is being attracted by an adult audience in particular with the increase of more adult, multifaceted, and thematic animated films that tackle actual topics and stories. This passage targets young adults, animation fans, and art lovers of the high-quality and innovative visual novel and animation forms. Streaming platforms have made a significant contribution to increasing the audience penetration, also delivering a wide repertoire of animated productions ranging from mainstream film productions aimed at specific markets and global audiences to indie production works.

Merger and acquisition

The animated film market has seen an increase in mergers and acquisitions activity, with reasons to justify acquisition as studios strive to gain and add more content. Highlights of significant transactions include Netflix's purchase of the Sydney, Australia-based studio Animal Logic in July 2022 (which followed the animal-animation acquisition of Scanline that same year in late 2021), representing its second large-scale purchase in animation. Further, preeminent professionals, such as Sony, have acquired important companies (e.g., Pixomondo) to expand their animation and visual effects (VFX) capabilities as there is high demand for high-quality animated productions. The animated film market landscape is also marked by ongoing consolidation of VFX and animation companies. As an example, Cinesite acquired its fourth business in 2022 alone, encompassing businesses in Asia and Canada, capitalising on competitive film production tax incentives in those markets. Notable deals" also include Picture Head's purchase of Ingenuity and Envy's purchase of Absolute VFX. This trend illustrates the use of M&A by major industry participants to provide relief from capacity bottlenecks, to gain access to rare talent, and to mark a new territory in the animation production landscape, driven by changing consumer demands.

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Analyst Comment

The animated film market has seen huge expansion in recent times, reasons being developments in animation technology, the emergence of streaming service providers, and an increasing demand for family entertainment. This has resulted in further investment in animation production with the result that there is a wide selection of animated films to satisfy a broad audience across different ages and tastes. The most important market participants are the large film production companies, independent animation studios, and the streaming services. There is continuous innovation in the market, with the introduction of previously unknown animation methods (e.g., 3D computer animation, motion capture) and the investigation of new narrative formats (e.g., animated series, short films).