Future of Video Content in india is huge
India is a huge market for video Streaming content because of its Huge Population count. There are many players in the market who are into this business.
There are about 40 providers of (OTT) over–the–top media services/providers in India, which distribute streaming media content over the Internet.
In the fiscal year 2018, the OTT market in India was worth ₹2,150 crore (₹21.5 billion, US$303 million as of 2018), and its value grew to ₹35 billion in 2019.
The very first dependent Indian OTT platform/player was BIGFlix, which was launched by Reliance Entertainment in 2008. But OTT gained momentum in India when tow big playyer DittoTV (Zee) and Sony Liv were launched in the Indian market in 2013. DittoTV was an aggregator platform containing shows and content across all channels including Star, Sony, Viacom, Zee, etc.
It is estimated that India’s online video market including(OTT) will touch about $4 billion by 2025, and subscription services could contribute more than $1.5 billion while advertising can contribute to $2.5 billion.
Disney+ Hotstar (earlier Hotstar) which is the most popular OTT platform owned by Disney India, will acquire a potential 25% of the total online video revenue pie by 2025, second by Google’s YouTube
If we talk about the year 2020 the current COVID situation, People are spending more time online and OTT (Over The Top) platforms have almost doubled their viewership because of the current COVID Situation. This trend is likely to continue at least for a few years. Hence, advertising on the services is likely to increase in the coming years as they increasingly become the choice for content consumption, but we can also say that Revenues will contract in 2020 because of the impact of COVID-19 on the advertising market.
According to the Ficci-EY media and entertainment industry report 2020, television advertising in India is estimated to reach ₹388 billion ($5.1 billion) by 2022.
According to KPMG Media and Entertainment Report 2018. by the end of fiscal 2023, the Indian OTT market is expected to grow 45 % to reach ₹138 billion.
Rise of OTT in India
Rise of Hotstar
Hotstar, (now Disney+ Hotstar), which is the most popular OTT Platform as well as the most subscribed–to OTT platform in India, owned by Star India. As of July 2020, Hotstar has around 300 million active users and over 350 million downloads in India.
According to Hotstar’s India Watch Report 2018, 96% of watch time has longer than 20 minutes on Hotstar. Further, MPA says Disney+Hotstar could reach 93 million paying subscribers by 2025 at monthly(average revenue per user) under $1. Which equals to $587 Million in subscription Bases revenue by 2025 while advertising sales could reach somewhere around $314 million.
Disney has three offerings in mArket – Disney+ Hotstar VIP, Disney+ Hotstar Premium, and an ad-supported basic tier.
- The VIP plan is available for ₹399 a year
- Premium subscription comes for ₹1,499.
Netflix in India
Netflix an American streaming service entered India in January 2016. In April 2017, It earned a net profit of ₹2020,000 for the fiscal year 2017.
In the fiscal year 2018, Revenues earned by Netflix was ₹580 million.
Netflix had watch time of more than 120 minutes but viewer counts were around 20 million in July 2018 According to Morgan Stanley Research.
As of 2018, Netflix has 6 million subscribers, of which 5–6% are paid, subscribers.
When Netflix see the opportunity to grow in the Indian market and they invested ₹600 Crore in the production of Indian original programming
Other OTT providers are also doing good and they hold a very good position in the Indian Market are:-
Even Asia Richest man also put his step in this Market after acquiring a 25% stake in ALTBalaji, which is one of the biggest players in the OTT market. ALTBalaji in partnership with ZEE5 aim to spend about 2.5 billion rupees over the next two years. Unlike Netflix, ALTBalaji service is focused mainly on Hindi-language shows