Once a babysitter’s best friend, the kids’ entertainment industry is now leveling up—blurring age boundaries, riding the anime wave, and cashing in on character-driven merchandising. Sony YAY! is at the forefront of this shift, evolving from a children’s entertainment channel into a full-fledged animation brand that appeals to both kids and anime-loving adults. In a conversation with BrandWagon Online, Ambesh Tiwari, business head, Sony Kids and Animation, discusses the brand’s expansion into anime, its growing merchandising and licensing business, and how it is adapting to shifting content consumption patterns.

The rise of anime and broadening the audience

Sony YAY! has identified a crucial market opportunity—animation for all. Traditionally, animation in India has been targeted at children, but with a generation that has grown up on cartoons, the definition of animation consumption has changed. Recognizing this, Sony YAY! has embraced anime, a category that has seen a massive surge in viewership over the last four years.

“Over the last four years, there has been a massive expansion in anime consumption. Not a lot of people know that classics like The Jungle Book, which aired on Doordarshan, were actually anime. We observed this trend and decided to double down on it,” Tiwari says.

Sony YAY! has acquired popular anime properties, including Naruto, Naruto Shippuden, and Black Clover. More acquisitions are in the pipeline, with the goal of bringing five to six of the top ten most popular anime series to the platform.

“We are positioning ourselves as a home for anime lovers. Our animation offerings are already available on Sony LIV, and we are also syndicating content across multiple platforms like Netflix and Crunchyroll to reach a wider audience.”

Merchandising and licensing: A growing revenue stream

Apart from content, Sony YAY! is tapping into licensing and merchandising (L&M) as a major revenue source. The brand has partnered with key players across industries, from Reliance and Tata Group to emerging brands like Mocobara.

“Clients today are not just looking for ad slots; they want a holistic brand association. We’ve seen significant demand for character-based merchandising. Naruto led the way, and now Shin Chan is also seeing strong traction,” Tiwari explained.

The L&M business is seeing 100-120% year-on-year growth and is contributing a double-digit share to the company’s bottom line.

Content everywhere: TV, OTT, YouTube, and beyond

Sony YAY! follows a platform-agnostic approach, ensuring its content reaches audiences wherever they are. While television remains its primary revenue driver, the channel also has a strong presence on Sony LIV, YouTube, Netflix, and Crunchyroll.

“We don’t emphasize one medium over the other; we focus on being where our consumers are. Some of our most popular IPs are available across platforms. We’ve even launched exclusive digital-first content, like the animated version of Taarak Mehta Ka Ooltah Chashmah on YouTube,” he says.

Sony YAY! has also ventured into value-added services with DTH players, partnering with Tata Play and Airtel to launch anime-focused offerings like Anime Local and Anime Booth.

Marketing and brand engagement

Sony YAY! is leveraging multiple marketing strategies to build its brand presence. Character-driven word-of-mouth plays a crucial role, given the strong fan following of shows like Oggy and the Cockroaches, Shin Chan, and Naruto.

Beyond digital marketing, the brand is investing in experiential marketing. “Live events and experiences are a growing trend, and we have created the Giant Reel Festival, which we plan to scale this year. We are also looking at launching India’s first-ever anime festival,” Tiwari reveals.

The competitive landscape and future plans

With increasing competition from OTT platforms, YouTube, and international players like Netflix and Disney+, Sony YAY! is strategically segmenting its content offerings.

“Our core audience remains children and teens, but we are expanding our TG to include anime-loving adults. Around 60% of our anime viewers are adults,” he shares.

While Sony YAY! currently offers content in Hindi, Marathi, Bengali, and South Indian languages, there is potential to expand into English.

“As we see the market evolve, we will explore content in English and other languages,” Tiwari adds.

Looking ahead

Sony YAY! is in the midst of an aggressive expansion phase, focusing on content acquisition, merchandising, live experiences, and multi-platform distribution. With anime as a key pillar and licensing becoming a robust revenue driver, the brand is poised to strengthen its presence in India’s growing animation ecosystem.

“Animation is no longer just for kids. We are creating an inclusive space where everyone—whether a five-year-old or a 35-year-old—can find something to enjoy,” Tiwari concludes.