iWorld

Digital segment projected to reach Rs 386 billion by FY22: KPMG

It will also boost advertising growth.

https://www.indiantelevision.com/sites/default/files/styles/smartcrop_800x800/public/images/tv-images/2019/08/21/mobile-analytics.jpg?itok=QFnGPS6m

MUMBAI: The digital segment of the India media and entertainment industry is projected to reach Rs 386 billion by FY22 from Rs 173 billion in FY19. The burgeoning sector is set to overtake print media and be behind TV within the same period, according to India’s Digital Future, a report by KPMG. By FY24, the digital market will be half that of TV in the Indian economy.

Moreover, advertising growth will also be driven by the digital billion with close to 580 million OTT consumers by FY24. The report also added that with the proposed third party digital measurement systems coming into place in India over the next 12 months, the CPMs are also likely to see some growth from FY21 onwards, contributing to the overall growth of the segment. As per the report, video ads on OTT platforms are likely to constitute the bulk of the segment revenues.

On the other hand, the revenue from OTT digital video is expected to reach 129 billion by FY22. While Indian OTT market’s revenue will continue to be dominated by advertising, the direct subscriber base in India will rise to as much as 55-65 million by FY24, driven by the availability of high quality content curated for different audiences.

While the subscription revenues registered a nearly 3x increase in FY19, totalling Rs 12 billion, direct subscriptions contributed around 65-70 per cent and the rest were realisations from telco partnerships. Despite the growth of direct subscriptions, the revenue from telco partnerships is also expected to achieve robust growth, although slower as compared to direct subscriptions.

The digital consumers have also been divided into four categories. The digital sophisticates who consume global content and tent-pole, original Indian programming tailored for the urban audience, typically behind a paywall in English and Hindi. The second is digital enthusiasts who will watch mainly Indian narratives in Hindi and regional languages and some pockets of English. The third is digital mainstream who are looking for free content available online or bundled plans through telcos and other distribution platforms and the last is fringe users who will have sporadic digital access on account of either poor connectivity or irregular income.

On the course of digital segment evolution, technology and associated tools such as artificial intelligence will provide much needed direction around decisions relating to content creation, distribution and monetisation for digital businesses. It has also been pointed out that micro-segmentation of target markets in an increasingly upwardly mobile economy would be essential for effective monetisation.

Latest Reads

https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/02/26/hotstar.jpg?itok=-Ab0uMIv
Hotstar Specials launches 'Special Ops'

MUMBAI: Hotstar Specials, along with Friday Storytellers, is set to launch the biggest spy action thriller of 2020. This fast-paced 8-episode series is based on the role of Indian intelligence in a series of real terror attacks that India faced over the last 19 years. Starting with the 2001 attack...

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/02/26/disney.jpg?itok=oegNZIu2
Disney appoints Bob Chapek as its new CEO; Bob Iger steps down

MUMBAI: The Walt Disney Company's Board of Directors has appointed Bob Chapek as chief executive officer with immediate effective. Chapek most recently served as chairman of Disney Parks, Experiences and Products. Robert A. Iger assumes the role of executive chairman and will direct the Company’s...

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/02/25/ott.jpg?itok=1hN2EAir
Kantar's OTT audience measurement aims to be industry currency

Kantar, in association with VTION, has launched OTT Audience Measurement Insights for audio streaming platforms at a time when a unified third-party measurement is need of the hour. While the video measurement will come up in Q2, both the companies, on the back of the collaboration, aim to fill the...

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/02/24/kantar.jpg?itok=V4P317yj
Delhi, Mumbai largest markets for OTT audio streaming

MUMBAI: There is a strong interplay between radio and OTT audio streaming resulting in what can be called a “Battle for the Ear”, according a study.  The OTT Audience Measurement Insights – a first-of-its-kind, passive, continuous audience measurement service – has been launched by Kantar and VTION...

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/02/21/ALTBalaji_800.jpg?itok=BYrci03r
ALTBalaji management confident of breakeven by April-June 2020

MUMBAI: Ekta Kapoor’s over-the-top platform has managed to solve the OTT revenue question. The ALTBalaji management always spoke of profitability and breaking even rather than cash-burn and tons of investment and it seems that aspiration will soon be achieved.

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/02/20/hungama.jpg?itok=NEPB-TQm
Hungama Play expands distribution, announces partnership with Skyworth

MUMBAI: Hungama Play, a video on demand platform owned by Hungama Digital Media, announced an expansion of its distribution network by partnering with Skyworth, a Chinese consumer electronics brand. Hungama Play’s multi-lingual and multi-genre library comprising movies, TV shows, kids’ content,...

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/02/20/docubay.jpg?itok=oFDf8SR5
DocuBay acquires LGBTQ+ documentaries from OUTtv

MUMBAI: DocuBay, the membership video-on-demand streaming service by IN10 Media Network, has acquired LGBTQ+-focused documentary features from OUTtv, the world’s first and Canada’s only LGBTQ+ television network. The films cover a wide range of issues affecting the LGBT community across the globe...

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/02/19/zee5.jpg?itok=VNWqEk2N
ALTBalaji & ZEE5 announce second season of Code M

MUMBAI: ZEE5 India and ALTBalaji have announced the second season of Jennifer Winget and Tanuj Virwani-starrer Code M, and Riddhi Dogra and Monica Dogra-starrer new web series ‘A Married Woman’, based on Manju Kapur’s novel. These key announcements were made in the presence of actors including...

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/02/18/shab.jpg?itok=zd85kBdg
Shahabuddin Shaikh joins ALTBalaji as CTO

MUMBAI: ALTBalaji has appointed Shahabuddin Shaikh as the chief technology officer (CTO). In his new role, he will be responsible for designing a strong tech-driven ecosystem that seamlessly aligns with the brand’s tech vision and leading their overall technology transformation goals.  Shaikh will...

iWorld Over The Top Services

Sign up for our Newsletter

subscribe for latest stories

* indicates required