India To Have More Internet Users Than Combined Population Of G7 Countries By 2020, Says BCG Study
‘Entertainment Goes Online’, which is a study conducted by the Boston Consultancy Group (BCG) says that the Indian over the top (OTT) market has the potential to touch $ 5 Billion in revenue by 2023, reports TelevisionPost.
The major player related yo OTT need to ensure the availability of differentiated content which is relevant while developing regional markets among many others to realise their potential.
The study noted that both the consumer pay model and the ad-supported model would continue to co-exist. The paying OTT subscriber base is expected to touch 40-50 million by 2023. In addition to that, the advertising video on demand (AVOD) services is expected to reach 600 million users by 2023.
The consumer pay model can take many different routes or shapes ranging from pure OTT SVOD to telco drive aggregator model as well as TVOD particularly in categories such as sports and films. SVOD is expected to become a sizable part of the market which is driven by the ability to pay and strong content development.
OTT in India has several factors driving its growth like the improving connectivity and fall of data prices, favourable demographics, increased smartphone penetration and increasing the supply of content.
The study estimates that India will have more internet users than the combined population of the G7 countries by 2020 while also stating that 16% of media consumption is already happening on digital media in India. The number is increased to 25% in the case of Indian youth.
The study also stated that the digital consumption in India had not deterred traditional media consumption but rather, has added to it.