Entertainment Goes Online: Video Over Internet To Be $5 Bn Market By 2023, Says BCG Report

The BCG report also noted that the OTT content market in India is at an inflection point

There are more than 30 OTT apps and the study shows over 80% of the people don’t use more than three apps

Also, rural India will play a big role in OTT consumption

As data becomes more affordable than ever, along with mobile phones, India is experiencing a transformation in how it watches videos and listens to music.

Documenting this change in a report entitled ‘Entertainment Goes Online’, the Boston Consulting Group (BCG) said that over the top (OTT)  content — video content delivered through the internet — is expected to reach a market size of $5 Bn (INR 35,730 Cr) by 2023.

The country’s shift from watching TV in a social, mostly familial, manner to highly personalised small screen consumption is being driven by access to affordable data, rural mobile phone penetration, rising affluence, and service adoption across demographic segments — including women and older generations, the report noted.

Currently, digital media accounts for about 16% of the media consumption in India. Relative to developed countries, the OTT content market in India is lagging. While there are various business models — subscription-based platforms (SVOD), advertising-based platforms (AVOD) and transaction-based platforms (TVOD) — the market is still at a nascent stage and holds a lot of promise, the report said.