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Paying OTT subs to reach 30-35 mn by 2021, only 2x growth in ad revenue

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MUMBAI: Digital media is set to overtake filmed entertainment in India this year in terms of revenue. While TV will retain its pole position as the largest segment, digital will also overtake print by 2021 to reach $5.1 billion, according to a report from FICCI and EY report on ‘How a billion screens can turn India into a media and entertainment powerhouse’.

In this overwhelming growth of digital media, telecom operators will be the future MSOs. As per the report, while 60 per cent of total consumption today is through telco bundles, it is estimated to grow to over 75 per cent by 2021 and cater to over 375 million subscribers. Smartphone penetration is just 36 per cent in 2018, leaving massive room for growth. 30 per cent of phone time is dedicated to entertainment.

“While watch time could grow 3 to 3.5x over the next five years, resulting in a massive inventory growth, advertising revenues will grow only around 2x. CPMs will correspondingly fall during the period for non-premium inventory,” the report added.

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Along with growth in advertising revenues, subscription revenue is also projected to grow. The report predicts 30-35 million paying OTT video subscribers and 6-7 million paying audio subscribers by 2021.

“Digital segment will benefit from the growing popularity of e-sports, AR/VR technologies, online gaming and fantasy sports, all of which are “Generation Z” products,” it added. “With its massive base of internet users, India’s digital media market is attractive to global streaming platforms looking to capitalise on the country’s fast-growing digital consumption. This is especially true as competitively priced 4G services become more widely available.”

The report went on to mention that despite the growth in digital media consumption, piracy threat is
“likely to restrict full monetisation of content as well as large-scale acceptance of SVoD in India”. It mentioned, “Indian market is highly price-sensitive and is driven majorly by advertising revenues. Several sectors such as print, digital, television and radio derive major share of their revenues from advertising.”

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The report highlighted that consolidation will be needed for platform profitability as contest costs will remain high as each platform produces or acquires content to meet its needs. It also added that post the new tariff order regime, OTT platforms are sure to benefit due to increased parity between television and OTT content choice and costs.

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iWorld

JioHotstar enters micro-drama space with 100 shows under Tadka banner

Short-form push targets 300M users as content meets commerce in new format

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MUMBAI: JioStar has made a bold play in India’s fast-growing micro-drama space, rolling out over 100 short-form shows under its new Tadka banner on JioHotstar, timed with the massive viewership surge of the Indian Premier League 2026.

The scale of the launch signals clear intent. Rather than testing the waters, the company has dived in headfirst, releasing a wide slate of content on day one. Each show is designed for quick consumption, with episodes running 60 to 90 seconds in a vertical format tailored for mobile-first audiences.

The move comes as India’s micro-drama market, currently valued at around $300 million, is projected to grow tenfold to over $3 billion by 2030. Globally, the format has already proven its mettle, with China’s micro-drama sector recording explosive growth in recent years.

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What sets this rollout apart is its built-in monetisation strategy. The shows are free to watch and ad-supported, with brand integrations woven directly into storylines from the outset. It reflects a broader shift where content and commerce are increasingly intertwined, rather than operating in silos.

The timing is equally strategic. With more than 300 million users already tuning in for IPL action, JioHotstar is effectively turning cricket’s biggest stage into a discovery engine for its new format.

The company is not entering an empty arena. Early movers like Kuku TV, MX Player and platforms backed by Zee Entertainment Enterprises have already laid the groundwork, building audiences and validating demand for snackable storytelling.

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Now, with scale, distribution and advertiser interest aligning, the big players are stepping in. For JioStar, Tadka may well serve as a proving ground for the next evolution of digital entertainment, where every minute counts and every second sells.

If the bet pays off, India’s next big content wave might just arrive in under 90 seconds.

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