What Does the Future Hold for OTT Industry in India
Published: 2021-11-22 10:44:41

India has a population of around 1.34 billion people. With an average age of 29, the country has one of the [youngest populations in the world](https://indbiz.gov.in/one-of-the-youngest-populations-in-the-world-indias-most-valuable-asset/), with around 65 percent of the population being under the age of 35. With such a demographic, there is a great preoccupation and need for entertainment.

Due to the pandemic crisis, there is an unprecedented surge in the OTT Market around the world as movie halls take a back seat. OTT viewing in India is at an all-time high, as it is in the rest of the globe. According to the [latest OTT stats](https://selectra.in/blog/ott-streaming-statistics#growth-rates-of-ott-platforms-in-india), revenues from OTT platforms will reach around 46 billion Indian rupees by the fiscal year 2022. 

There’s no doubt that the COVID crisis expedited the process of OTT platforms building a name for themselves in the Indian market. In India, the OTT revolution has progressed from two OTT platform providers in 2012 to about 40 companies now. Just five years ago it was quite surprising for someone to have a Netflix or Amazon Video subscription. Now, it’s surprising that someone doesn’t! 

That being said, while the present is looking great for the OTT industry in India, the world is resetting itself, with cinema halls opening and people being able to leave their houses again. So, what does the future hold for the OTT industry in India? Will it continue to strive or will it start its decline? Let’s find out! 

##Rural India Is Bound To Take Center Stage 

With rising internet coverage in rural regions (estimated at 650 million by 2023), OTT firms are eager to offer localized content to appeal to rural audiences. Essentially, a lack of alternative entertainment choices has prompted viewers (mainly from Tier 2 and Tier 3 cities) who had not previously found OTT streaming to adapt to these platforms. While the majority of them are first-time users, platform owners are attempting to boost customer retention by putting in a diverse range of material to meet the rising content consumption appetites.

##OTT Platforms Make A Guest Appearance In India’s Telecom War

There is tough competition in the Indian Telecom industry with regards to the pricing and hence the main warzone revolves around the freebies. India is known to provide the cheapest rates in terms of mobile data at an average of Rs 6.7 per gigabyte (GB).  With the proliferation of smartphones and the availability of internet connectivity at a cheaper rate coupled with extended lockdowns and their repercussions, OTT seems to be the next normal in the world of entertainment. 

Telecom service providers try to maintain their positions by providing mind-blowing incentives and free subscriptions to various OTT platforms to win over subscribers in this content-hungry market. For example, top providers like Airtel & Reliance Jio offer free access to OTT platforms like [Disney+ Hotstar](https://selectra.in/ott/disney-plus-hotstar), [Netflix](https://selectra.in/ott/netflix-india), and [Amazon Prime Video](https://selectra.in/ott/amazon-prime-video). 

##The Fitness Industry of India Goes Online 

When the lockdown restrictions were tightly enforced, gyms in India were forced to shut. Aside from video conferencing apps and websites, fitness apps had a 104.53 percent increase in daily active users (DAUs), with engagement growing by 14.72 percent and time spent on the app increasing by 39.50 percent.

With the ability to extend their products into areas such as health and fitness, video streaming platforms have formed strategic agreements to meet rising demand and expanding audience segments. Disney+ Hotstar, for example, has teamed with Brilliant Wellness, a fitness, yoga, and nutrition content producer, to provide material chosen from its fitness experts, yoga, and spiritual gurus, as well as celebrity nutritionists, across 100 programs.

 Viacom18 Media Pvt Ltd's VOOT VoD platform has partnered with Cult, and ZEE5 has cooperated with Dabur Honey to develop a talk show – Dabur Honey Hello Fitness – as well as a variety of fitness programs in association with its live events vertical ZEE LIVE.

##Binge-Watching Sports Got A Whole Lot Better

Sports programming has always been the most important source of income for all Pay-TV providers. The interruption of sports programming caused by COVID-19 has resulted in severe revenue loss for operators and Pay-TV providers. Nonetheless, at a time when social distancing conventions have disturbed live sports, Star & Disney India in the guise of Disney+Hotstar VIP have brought enormous delight to this cricket-crazed country. 

Fanatics of the Indian Premier League may now join a virtual community where they can watch matches with their friends and other cricket fans in real-time, thanks to this initiative. They may also contribute photos and videos throughout this year's Dream11 Indian Premier League to make it even more engaging.

##The Way Forward Is Up & Up! 

By serving as a key source of entertainment, OTT platforms have helped people maintain their sanity during these trying times. Despite people stepping out of the house more often and being able to visit cinema halls, the OTT industry is showing and will show no signs of slowing down.

According to the [latest stats](https://selectra.in/blog/broadband-internet-statistics), ​​India is the second biggest online market in the world, ranking behind China. OTT platforms are making full use of this. Almost every streaming service under the sun offers free trials, and users are taking advantage of them. However, the true litmus test is client retention accomplished not just via excellent content but also through amazing technology. 

To deliver a unified experience for content consumption, OTT providers must use technology at all stages of the OTT subscriber's lifetime, beginning with content discovery. The use of AI and ML will assist to customise the search experience by understanding the customer's mindset and providing the relevant material at the right moment.