TV advertising is set to grow in the next five years, and India expects to be the third largest market by 2024, as per ‘The Changing Landscape of Indian Television’, a report released by Finecast and Kantar. According to the company, the report showcased TV viewing trends and insights about how Indian consumers are engaging and consuming TV content. The report observed that the probability of ads being watched is higher on connected TV (CTV) than on linear TV.
The evolution of over-the-top (OTT) and CTV viewership has enabled more ways for brands and advertisers to engage at the right time with the right target audience, Atique Kazi, president – data, performance and digital products, GroupM India, said. “The report will help marketers as well as advertisers to explore multiple ways to reach out to their audiences,” he added.
In the next five years, CTV advertising is set to grow rapidly in India with a compound average growth rate (CAGR) of 47% and its growth will contribute to the overall TV landscape including linear, the report added. And at the moment, there are around 20-22 million addressable TV homes in India, the report found. For the report, connected TV is the preferred connection at 65%, comprising of Smart TVs, devices such as Firestick, and Internet-enabled set-top boxes, compared to the 35% linear (cable + DTH).
The evolution of the TV landscape has been accelerated by technological changes in the distribution space, availability of high-speed internet, and last but not the least, the growth potential of Indian audiences to advertisers, Prasanth Kumar, CEO, GroupM (South Asia), stated. ” The future of TV in terms of advertising looks bright as the emergence of new technologies like CTV creates even more room for customisations,” he highlighted.
According to the report, CTV adoption has been rapidly evolving in the last two years and more linear TV users planning to adopt CTV in the next year. Additionally, it added that within the NCCS A&B respondents, the report established that viewers are cord switchers with multiple connections. However, two in three households prefer connected TV as the primary mode to access it. Among respondents, people who prefer CTV appear to have higher household incomes and premium lifestyle indicators such as ownership of smart devices and memberships, the report observed.