In the past four years, the battleground for video streaming services has slowly been shifting from the United States to India, as the country’s OTT market, according to a report by Boston Consulting Group, is the fourth largest in the world and is expected to be a USD 5 billion business by 2023. The video streaming industry is further poised for aggressive growth prospects with access to better networks, digital connectivity and the explosive use of smartphones. Streaming platforms in India have been increasingly attracting subscribers in droves. In addition to the global giants such as Disney+Hotstar, Netflix and Amazon Prime Video, this space is also seeing a plethora of local and regional OTT players.
Over the next five years, MPA forecasts India’s compound annual growth in video to average out at 9%. That includes Pay-TV below trend at 6%, AVOD growing at 16% and SVOD at 19%. Despite this growth, video streaming platforms are far from making profits and are strapped with high content costs, low ARPUs, an overcrowded market with many consumer options, including the availability of free ad-based platforms, and the perennial challenge of piracy.
How does one make sense of the video streaming market in India today? Where are the revenues despite its large base of viewers and what will drive the next wave of growth for the streaming landscape? The Future of Video India aims to address some of these key questions and look at how business models are changing and adapting in the coming year.