Contemporary audiences select content that they desire to see. Today’s viewers, apparently, put convenience as a priority and only watch programs that they think is worth their time and attention.
In India, active users of digital videos are reported to be in the population of roughly 250 million every month.
As for the daily active users, an estimated 180 to 200 million digital video consumers have been recorded.
With this growing trend, spending by advertisers in India on digital video platforms has been reported to increase.
An approximately 50 percent surge is viewed this year and, over the next couple of years, this momentum is expected to carry on.
Although traditional TV may still have its share of 836 million people in the country who consume content using the equipment, it is seen to lose its share of advertisers at a rapid speed.
Analysts from Mumbai-headquartered Kotak Institutional Equities cited that the disparity in statistical figures showing users of digital videos and traditional TV will eventually decrease.
The Western style of cord-cutting may be far from view which can be explained by the Indian audiences from small towns and rural areas.
They still hold on to their traditional TV sets due to the relatively low levels of fixed-line broadband subscription and smart TV penetration in those regions.
Nevertheless, in terms of the reach and scale, experts have analyzed that digital video is not far behind in the top 10 urban areas, compared with one TV channel.
The over-the-top (OTT) market is expected to gain surging revenue levels of up to $3 billion in the next five years.
Experts revealed that this highly lucrative trend would further attract the advertisers. Furthermore, the digital video advertising sector is forecasted to balloon to $2.2 billion by 2023.
Regardless if the Indian consumers disdain to pay for a content subscription, which is more expensive than cable-TV packages, the OTT industry’s revenues are still anticipated to swell in billion-dollar levels.
Apparently, today’s advertisers are enticed by the multibillion-dollar gains that digital videos can help them rake in.
Hence, they are moving away from traditional TV as the medium to broadcast their advertisements and to communicate with the equipment’s dwindling, digitally savvy audiences.