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Are OTT players finding a sweet spot for pricing?

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KOLKATA: A recent report from Kantar spoke about the massive surge in SVoD growth in urban India. Hence, it is clear that Indians have started loosening the purse strings for premium online content. As there is no single right pricing for a diverse audience, OTT players are adopting innovative pricing strategies. Experimentation in subscription packages seems to be the latest trend among both international and homegrown streaming services. However, they might have found a sweet spot below Rs 500 to woo the users, at least for now.

Streaming giant Netflix has become more aggressive about international markets since its growth in the home market started saturating. Realising the nature of the local market, it ignited the experimentation with pricing last year while announcing the Rs 199 per month mobile-only package. The platform recently started testing a low-cost HD plan at Rs 349 per month which allows accessing the service on a mobile, tablet, laptop and desktop but not on TV. If Netflix rolls out the subscription plan, the platform will have plans ranging from Rs 199 to Rs 799. Nevertheless, it remains most expensive among all players. 

On the other hand, ZEE5 has also taken a creative stance to lure in and hold on to subscribers. It has launched ZEE5 Club at Rs 365/year. It offers exclusive access to most popular shows before telecast on TV, ZEE5 originals apart from select ZEE5 and ALTBalaji shows, blockbuster movies, ZEE Zindagi shows and several live TV channels. Significantly, it comes at almost one-third price of its premium pack.

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“This is a fabulous time for consumer acquisition both from getting people on OTT platforms as well as to convert from free to subscription. Typically, water is being tested around different pricing. If you ask Hollywood or western content, you are being priced at a certain level. The OTT platforms are offering premium Indian content at Rs 300-400 range. Most players are staying in that range because that range seems suitable for acquisition,” Deloitte India media and entertainment partner and leader Jehil Thakkar said. He also added that it creates a psychological barrier beyond Rs 500 while below the range of Rs 300-400 it would be possibly considered too low.

The leader in the pack had slightly altered its pricing during the rebranding of the service. While Disney+ started its journey in India, it also launched Disney+ Hotstar VIP plan at Rs 399 per month which does not give the user access to the platform’s entire library but to movies like The Lion King, Frozen II, Aladdin, Toy Story 4, and several others along with Bollywood movies and Indian content. Initially, Hotstar VIP was priced at Rs 365 annually.

However, SonyLIV has significantly increased its pricing. The platform which refined its service recently with a new logo and premium originals took up its monthly plan to Rs 299 from Rs 99. It also increased the value of its other packs. 

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PwC India Entertainment partner media and sports advisory leader Raman Kalra says that some OTT players had packages below the bracket of Rs 300-400 and some with a much higher package, but now the middle range is becoming the sweet spot. He also mentions that it is the beginning of a series of price experimentation. Thakkar also says that as the major players are now in customer acquisition spree, competitive pricing will continue.

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iWorld

JioHotstar to launch micro dramas during IPL

Streaming giant plans free, ad-supported bite-sized stories during IPL to engage mobile-first audiences

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JioHotstar is gearing up to launch a wave of micro dramas, eyeing India’s fast-growing appetite for bite-sized storytelling and new revenue opportunities. According to sources close to the matter, the streaming platform is expected to go live with the content during the Indian Premier League, which runs from 28 March to 31 May.

The move comes as the micro-drama market in India surges, with Redseer Strategy Consultants projecting the overall interactive media segment could reach $3.1–3.4 billion by FY2030, with micro dramas leading the growth. The format has already proven commercially viable abroad — China’s micro-drama sector generated $360 million in 2023, up 267 per cent year-on-year.

Micro dramas are designed for rapid consumption on mobile devices. Episodes typically run 60–90 seconds, shot in vertical 9:16 format, and rely on fast-paced plots and cliffhangers to keep viewers glued. Stories tend to revolve around high-stakes drama, from romance and revenge to corporate intrigue, blending social-media immediacy with professional production values.

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Sources said the IPL provides the perfect launchpad, with millions tuning in to the platform for live cricket, creating a ready audience for short-form narrative experiments. The content will initially be free and accessible to all.

JioHotstar, which already boasts over 300 million subscribers, plans to roll out more than 100 micro dramas across multiple genres and languages, including Hindi and South Indian languages. The move is expected to strengthen its regional content strategy and appeal to mobile-first viewers, particularly in metro and Tier-1 cities where the format is currently most popular.

“The timing is perfect,” said a source close to the project, requesting anonymity. “With micro dramas on the rise, this is a chance for JioHotstar to experiment with new formats and engage audiences in a way traditional series cannot.”

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The platform is not the first in India to test the format. ALTBalaji, StoryTV and Zee Bullet have all dabbled in short episodic storytelling. But JioHotstar’s scale — and its ability to pair content with one of the country’s biggest sporting events — could make it a defining moment for micro dramas in India.

With mobile consumption and vernacular content on the rise, the gamble seems clear: capture attention fast, keep it longer, and turn bite-sized narratives into a robust revenue engine.

Note: The cover image used is AI-generated.

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