What’s driving Hotstar’s growth? Bharat, not India

By: |
Published: December 11, 2019 12:55:01 PM

A majority of total online consumption is headed by non-metros and smaller cities are leaving behind metro cities in terms of consumption.

OTT, Regional content, Hotstar, industry newsCheaper smartphone availability and data revolution brought by Mukesh Ambani’s Reliance Jio have driven the growth of content streaming platforms in the country.

One of India’s largest video streaming platforms Hotstar has been downloaded 400 million times and the chief propeller behind its success is Bharat and not tier 1 cities. “Until a few years ago, online entertainment was restricted to urban affluent. However, we now see newer horizons of customer reach, with non-metro towns driving online consumption,” Uday Shankar, President, The Walt Disney Company APAC Chairman, Star & Disney India, said in a statement on Tuesday. Further fuelling Hotstar’s growth is India unflinching love for regional languages, with Tamil, Telugu and Bengali grabbing the top spots, Hotstar said in its India Watch Report 2019

A majority of total online consumption is headed by non-metros and smaller cities are leaving behind metro cities in terms of consumption. “63% of the total online entertainment consumption came from non-metros. Lucknow, Pune and Patna surpassed Hyderabad, Bengaluru and Kolkata in video consumption,” Hotstar said. 

Cheaper smartphone availability and data revolution brought by Mukesh Ambani’s Reliance Jio have driven the growth of content streaming platforms in the country with Hotstar witnessing 200% increase in the number of times the application was installed this year as compared to 2018. Over 500 users installed the application per minute in 2019. 

The shift from big screens to small screens is also apparent. “With affordable smartphones and abundant access to data, the small screen is becoming the preferred medium of entertainment for new consumers,” Uday Shankar said.

Not just OTTs, e-commerce also rides high thanks to Bharat

During this year’s festive season sales, major e-commerce platforms reported a jump in sales from Bharat or rural and tier 2, tier 3 cities. Homegrown e-tailer Snapdeal said that nine out of ten buyers belong to Bharat and have driven sales for the platform. Other retailers also reported an increase in the number of shoppers from non-metro cities as compared to the last year.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Next Stories
1PhonePe get Rs 586 crore fresh capital from parent
2Maharashtra start-up helps women farmers prevent food wastage
3Paytm’s Vijay Shekhar Sharma resigns from Financial Services business; to be replaced by current VP