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India is seeing transformation in the entertainment consumption patterns, says report

November 30, 2018
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According to report released by MICA Ahmedabad and Communication Crafts, India is seeing transformation in the entertainment consumption patterns. There has been a shift of users from scheduled viewing on television to an internet-based on-demand entertainment.

As per the report, India can become the second largest video viewing audience globally by 2020. Digital subscription in India increased from Rs 2.6 billion in 2016 to Rs 3.9 billion in 2017, observing a growth rate of 50 per cent. It is estimated to reach Rs 20.1 billion by 2020.

The report pointed out that the rapid growth of video consumption has created an opportunity for international studios and content owners to generate additional revenue.

The report further highlighted that Uttar Pradesh had the highest number of internet subscriber base with 19.46 million users in rural and 32.68 million in urban areas. Also, the total unique visitors across digital platforms were 273.3 million as of March 2018. The highest unique visitors were from the age group 15-24 years.

According to the report’s findings, India is a more engaged market compared to the rest of the world. More than 65 per cent of the viewers subscribe to channels, and 7 out of 10 viewers watch ads with the audio turned on. It also revealed that 60 per cent of the viewership is clocked by non metro cities.

Further, around 90 per cent of all video consumption happens in local languages. At present, 45 per cent of the users consume content in regional languages and this is expected to increase with the growth of internet users. To this end, global players like Netflix and Amazon have started investing in regions with low per capita income with curated local content.

As per the analysis produced by the report, the growth of over the top (OTT) platforms in India will be supplemented with low-cost smartphones, low rates of data plans, rising penetration and increased adoption and awareness in rural India. Smartphone penetration in India has increased from 13 per cent in 2015 to 38 per cent in 2018 and is expected to reach 58 per cent by 2020.


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