India’s new-age millennial population, upwardly-mobile urban class and Generation Z audiences are spoilt for choice. With high bandwidth internet, low mobile data tariffs and access to the best smartphones and upcoming technologies, and the urge to consume content on-the-go has opened up an ever-rising opportunity for over-the-top (OTT) video streaming players in India.
The Indian consumer had his first experience with subscription-based video streaming when DTH player Tata Sky first launched its Showcase service in India in 2006. A user can rent a movie for the entire day and payment is deducted from the Tata Sky subscription plan. The entry of brands like EROS Now, Spuul, BigFlix (Reliance Entertainment) in 2012 and SonyLiv in 2013 played a crucial role in keeping the growing digital user base hooked to the screens.
There are currently 35+ video OTT players in India, catering to a subscriber-based userbase of 53.1 Mn (as of November 2019). In 2019 only, 11+ local and international players have marked their entry in this space. This clearly indicates towards an untapped opportunity in the Indian online video content sector.
Since then, this number has only risen further. The overall OTT market in India is expected to grow at 21.8% CAGR from INR 4,464 Cr in 2018 to INR 11,976 Cr in 2023, according to PwC’s Global Entertainment & Media Outlook 2019–2023. A September 2019 report by KPMG predicts that India will have more than 500 Mn online video subscribers by FY2023. This would make it the second-largest market after China.