In India's crowded streaming landscape, Over-The-Top (OTT) platforms are increasingly recognizing that user attention is the new currency. As paid subscriber growth plateaus, deeper and higher-quality viewer engagement, measured by watch time and total minutes viewed, is becoming a core priority. These metrics, along with content completion rates and user interactions like likes, comments, and shares, are now key indicators of success.
With approximately 759 million active internet users in India, and predictions of further growth, the OTT market is booming. The Indian OTT video market is projected to reach $7 billion by 2027, fueled by affordable data, smartphones, and a diverse appetite for content. This has led to intense competition among numerous platforms, both global giants like Netflix, Amazon Prime Video, and Disney+ Hotstar, and local players such as JioCinema, ZEE5, and SonyLIV.
The "attention economy," where human attention is a scarce resource that companies compete to capture and retain, is particularly relevant in this context. OTT platforms are employing various strategies to maximize user engagement and time spent on their services.
One key approach is hyper-personalization, using data analytics and algorithms to analyze user viewing habits and provide tailored content recommendations. By understanding individual preferences, platforms can offer personalized suggestions, boosting engagement and keeping users invested in their content. Strategic use of email, in-app messaging, and push notifications also play a crucial role in reminding viewers of what they're missing and building anticipation for new releases.
Another significant trend is the focus on regional content. Over 60% of new subscribers in 2024 came from tier-2 and tier-3 cities, with a strong preference for local languages. Platforms are investing heavily in Tamil, Telugu, Malayalam, Bengali, and Marathi content, with some even creating dedicated sections for specific regional audiences. Regional OTT platforms like Hoichoi (Bengali) and Aha (Telugu/Tamil) have found success by creating hyperlocal, vernacular content that resonates with niche markets.
However, challenges remain. Piracy continues to be a threat, and regulatory pressures add complexity. Moreover, with so many platforms vying for attention, "subscription fatigue" is becoming a concern, making it difficult for platforms to achieve customer loyalty. Some platforms are addressing this by exploring hybrid monetization models, combining subscription video on demand (SVOD) with ad-supported video on demand (AVOD). Others are blocking password sharing and introducing cheaper, ad-supported plans to increase revenue per user.
Ultimately, the ability to capture and retain user attention will determine the winners in India's streaming wars. As competition intensifies, OTT platforms must continue to innovate with personalized experiences, compelling content, and effective engagement strategies to thrive in this dynamic market.
