In the global OTT market, the sudden rise of the COVID 19 pandemic was the harbinger of unprecedented prosperity. The OTT market had risen by 15 percent in 2019 before the lockdown began. People are reluctant to venture out with the pandemic on an upswing and lockdowns being prolonged. For a large part of this year, most of the cinema halls, malls, adventure parks have been shuttered, and customers are left with very little entertainment options. In the secure confines of their houses, they inevitably tend to find ways to amuse themselves. And this is where networks from OTT have come to the rescue.
The number of viewers in the entertainment industry has risen by 30 percent in the first half of 2020 compared to 2019, according to Brightcove’s Q2 2020 Global Video Index. A study from Research & Markets notes that by 2025, Western Europe is projected to have 197 million SVOD subscriptions, doubling from 88 million at the end of 2019.
Spurred by COVID-19, in 2020 alone, around 45 million subscribers will be added. In India, OTT usage has skyrocketed as foreign brands such as Amazon Prime and Netflix have recorded a 67% and 65% rise in subscriptions, respectively. Indigenous players such as Zee5 and AltBalaji of Zee Network reported an 80 and 60 percent increase in subscriptions & user base, respectively.
Current projections suggest that the average time spent on OTT Video-on-Demand subscription content in the US alone has increased by 23% compared to last year and is projected to reach 62 minutes per day in 2020. Compared to 2019, when it grew by 15 percent y-o – y, this is quite an accelerated growth.
The global over-the-top ( OTT) industry, which accounted for $110.1 billion in 2018, is projected to garner $438.5 billion by 2026, rising at a healthy growth rate of 19.1 percent, according to a Research Dive study. In the current situation, the OTT sector has already earned USD 155.6 Bn.
At a time when development has stopped and no new fresh content is being produced, the growing success and demand for OTT is a ray of hope. Streaming through the OTT channels hasn’t stopped and subscribers are hungry for more content. Although linear TV viewership has increased by approximately 6-7 percent, during the COVID crisis, OTT VOD viewership increased by 38 percent. Production houses are now plunging into the digital space in order to monetize their current content. The fact that they have a strong grasp on customer tastes and extensive manufacturing expertise will help them tailor their goods to the market accordingly.
OTT viewership has skyrocketed, with millions of people under lockdown orders because of the pandemic. While the pandemic has provided opportunities for super-service customers, on the one hand, it has also created new problems for all businesses in space on the other.
Intuitive video management platform Imagen research reveals that while most individuals subscribe to some or other OTT platforms, there is still a secluded set of 30 percent of consumers who do not have access to any of the common streaming platforms. For those aged over 55, the figure rises to 51 percent.