When it comes to using over-the-top (OTT) entertainment platforms on smartphones, a study has found that four out of five Indian users have at least one such app in addition to consuming casual entertainment over YouTube and other User Generated Content platforms such as TikTok.
Released earlier this week, the TechARC-Unomer study found that at least 79 per cent of male smartphone users have an OTT entertainment app compared to 74 per cent of females. However, platforms like Amazon Prime Video and Netflix, which have a mix of global as well as local content, is more popular among women.
Interestingly, Netflix’s penetration among women is 9 per cent compared to 8 per cent among male users, while for Amazon Prime Video, this figure stands at 15 per cent among women and 13 per cent for men. According to the study, OTT apps have become the most widely used category among smartphone users in India, after social networking, chatting and e-commerce apps.
Among the major players, Amazon Prime Video has slightly better penetration than Netflix. This is due to Amazon’s close relationship with some smartphone makers, who sell devices pre-loaded with Amazon apps. Amazon Prime has a penetration of 15 per cent against Netflix’s 13 per cent. “Over the past 3 years, we have seen a lot of enablement both from the smartphone OEMs (original equipment manufacturers) and operators’ sides. This has facilitated the growth of OTT entertainment services and the consumption,” said Faisal Kawoosa, founder and chief analyst, techARC.
“While 4G has created this category, it has been adequately complemented by the smartphone industry by innovating to save every micron on the screen for better and full-screen viewing backed by a powerful battery and stereophonic sound,” he added.
Highlighting OTT app trends in the recent past, Vinay Bapna, CEO and co-founder, Unomer noted that video has emerged as a category where “a large number of players can co-exist and each player can create a market for itself, unlike other sectors like e-commerce and social media, where there is dominance of 1-2 players.”
Meanwhile, Hotstar has the highest penetration among OTT players in India at 49 per cent, driven by the lucrative rights it holds in the sports segment, including that for the IPL or the Cricket World Cup.
Multiple apps in play
74 per cent of app users have more than one OTT app installed on their smartphones. This is a major challenge for the OTT industry as the low number of unique users lowers ad revenue potential