Domestic short video platforms are rebounding after a post-pandemic slump, driven by innovative monetisation strategies and hyper-local content. Platforms like Moj, Josh, Chingari, and MX TakaTak, which emerged following TikTok’s 2020 ban, are showing signs of renewed growth.
According to a Redseer report, the sector has crossed $200 million in revenue, with significant headroom for expansion.
The platforms faced a slowdown as they struggled to scale advertising revenues and compete with global giants like YouTube Shorts and Instagram. However, analysts now see them differentiating themselves through targeted strategies that tap into Tier-3 and Tier-4 cities and the Indian diaspora.
“Platforms like Instagram and YouTube Shorts cater to urban, globalised audiences, leaving a sizable untapped market in smaller cities. Domestic platforms are also innovating with unique monetisation models,” said Anirudh A Damani, managing partner at Artha Venture Fund.
New revenue streams have been central to the revival. India-specific approaches like brand partnerships, gamified rewards, and e-commerce integration are reshaping the landscape. For instance, Chingari’s Gari Network uses cryptocurrency and social tokens to allow creators to earn directly, shifting away from ad-dependent models.
Roposo has integrated e-commerce into its content, enabling users to shop directly within the app. Josh, with over 180 million active users, has leveraged partnerships with smartphone brands and a focus on regional languages to strengthen its foothold.
Mohalla Tech’s Moj app recorded a 33% year-on-year revenue growth in FY23. Its revenue from operations increased to Rs 718 crore in FY24 from Rs 540 crore in FY23.
A key growth driver has been the focus on vernacular content and hyper-local engagement. More than 80% of Josh’s content, for example, is in regional languages, resonating with users in Tier-2 and Tier-3 markets. “These platforms meet the demand for culturally relevant and relatable content, which traditional platforms have struggled to address,” Damani added.
Allied Market Research projects the global short video market to grow from $1.6 billion in 2023 to $3.3 billion by 2032 at a CAGR of 8.1%.
Despite generating $90-100 million in advertising revenue in FY24, domestic short video platforms account for just 1-1.5% of India’s total digital ad spending. Virtual tipping and influencer marketing are emerging as lucrative alternatives. Redseer estimates the virtual tipping market alone could grow from $70-220 million today to $700-800 million by 2030.
Investments in AI-driven personalisation, data analytics, and predictive content creation have improved user engagement. Additionally, platforms are eyeing the global diaspora in regions like the Middle East, Southeast Asia, and North America to expand their user base.
“These platforms are not just evolving to meet the needs of creators and marketers but are also positioning themselves for sustainable, long-term growth,” said Mitesh Shah, co-founder of IPV and partner at Physis Capital.