Over many years, the entertainment industry has changed and adapted to emerging trends and feeding into what audiences want. While taking certain risks in this industry is essential to keep the entertainment fresh and captivating, some risks are putting it in danger.
In today’s day and age, everything is on the internet. The entertainment industry adapted to emerging tech trends by creating streaming services such as Hulu, Pandora, Spotify, Netflix, HBO Max, and more. However, there are major cyber threats to entertainment such as music, TV shows, movies, and more being available through streaming platforms. Not only could a cyberattack leave platforms inaccessible and displease advertisers who want a certain amount of visibility, but viewers will also be angered when they cannot access the membership they are paying for.
What’s more, intellectual properties being leaked or stolen is another major threat. When a platform is hacked and a full feature film that had yet to be released is stolen, private emails of executives are revealed, or financial data is stolen, a company’s reputation could be tarnished and revenue could be severely interrupted.
Relying on Entertainers
Entertainment companies rely a lot on their entertainers––how could they not? The audience will pay a great deal of money to see their favorite actor, band, or singer. By relying on a celebrity so much, it can easily throw a wrench into the company when they are unable to deliver. If an entertainer falls ill, gets hurt, or anything that prevents them from being able to perform, a company must quickly scramble to find a Plan B.
While most entertainment companies will have insurance in place for Plan B, it’s still a major issue. When plans are changed, it can easily cause or elevate many risks. For example, suppose an actress falls pregnant while filming a movie, especially an action movie. In that case, there are many health and safety concerns that the original production did not account for. Putting too much reliance on an entertainer can put an entire project at risk.
Reputation is Everything
Entertainers carry a lot of weight in the entertainment industry. Although a lot is going on in the background, it’s the actors, artists, and athletes painting the image for specific productions and projects. That being said, the reputation of these entertainers are crucial. One wrong move by them and an entire franchise could be at risk. When an entertainer does something to upset audiences, it can result in negative press, merchandise boycotts, and a major revenue loss.