India’s video market is expected to grow at a rate of 9.5% annually, reaching $18 billion by 2026 with the television and online platforms combined according to Media Partners Asia (MPA) estimates from its APOS India Summit on Tuesday
One major factor in this growth is streaming services that offer an easy way for users who don’t have time or money constraints like before but still want access to content that is available only through offline sources such as DVDs/Blu-rays, which many people were buying due to their affordability.
Netflix is using its strong slate to attract new users while continuing to battle piracy. ‘Netflix has been pushing content from all over the world,’ says Ashish Pherwani, director (Media & Entertainment Services) at advisory and analytics firm EY India.
Its aggressive push into local content is an attempt to reach 20 million subscribers in India — currently, it counts about 4 million — and stay ahead of the competition. For instance, its original Sacred Games trumps other shows based on sheer viewership numbers reached.
In the long term, video viewership will be driven by a rise in India’s middle-class population and an increase in smartphone penetration rate. India currently has around 300 million internet users, about 190 million of them being mobile internet subscribers.
There have been many successful online businesses that have shaped up over the past few years which can be used as a benchmark or example for future businesses in this field to come up with ideas, product offerings, and marketing plans.
Hotstar is a great model when it comes to this since they offer streaming services along with serving advertisements when using these streaming websites.
They also make sure they stay updated on new technologies such as smart TVs, which is evident from their recent up with LG Electronics India, which now offers the company an opportunity to reach out to new audiences.
A smart move by Hotstar, indeed!