The face of OTT is changing faster than we imagined. The year 2018 marked a robust growth in quality content production driven by increase in investments and the segment’s ability to offer personalized entertainment to the consumers at their convenience. Now as almost all players, from the global giants to the small players are working on long-form content, we can foresee early signs of power and the scale at which OTT platforms will increase, it will be able to cater to an audience of 355 million by 2020, as confirmed by Deloitte. While 2018 saw the large-format content coming out at the scale of global standards and India’s OTT take-up is poised to make the country the second largest video-viewing audience globally by 2020, it is indicating how big this market is going to be in 2019 and beyond.
The rise of niche and regional OTT apps
As the digital era progresses at a symmetrical rate, there is a proliferation of a number of OTT players; both domestic and international, and niche genres of content are creating a space in the industry. Viewers too are keen toward categorizing each platform with the types of personalities represented through the content. At present, the market is brimming with an estimated of 40 OTT players and each one of them is moving toward creating a separate identity.
Aggregation model by DTH and cable operators
This is yet another phenomenal development that will become mainstream in the coming years as cable and DTH operators have begun moderating their offerings and distribution strategies. They are replacing their dry boxes with hybrid boxes to offer OTT services that are a fair amalgamation of the content of TV channels and along with original content. This will also urge broadcasters to shift to IP workflows once distributors at the grass root level become strong. From live broadcast to post-production, IP-based networks will de-clutter the broadcast control rooms and end-user environments, while enabling seamless content control from a single workstation.
A leading choice for brands for ads
Digital video advertising is gradually taking over a greater share of advertising revenues from traditional TV broadcasters through its ability to offer advanced marketing capabilities. With these and other promising developments in the realm of brand communications, it is no surprise that advertising spends on OTT video channels are expected to rise to USD 40 billion by 2020, a substantial growth from 2015’s USD 10 billion.
VR to be impactful in delivering innovative content
As far as the interactive delivery of video content is concerned, VR will be the next chapter in the success story of OTT. According to experts, VR and AR together will generate USD 150 billion in revenue by 2020, allowing OTT platforms to capitalize on their widespread availability and optimize their content for the medium. Extended reality content that entertains and adds value will become more commonplace as technology continues to evolve. With creative and interactive graphics, videos, and apps, brands can not only ensure a successful content marketing strategy but also lay the groundwork for future experiments in VR.
OTT will go beyond entertainment
It is no secret that OTT is the future of television and possibly the M&E industry as a whole. It is going beyond to impact other industries as well. For instance, technology is taking learning out of the classrooms and making it accessible to every individual in the country. The combination of internet and smartphones has contributed significantly to this shift, as massive open online courses (MOOCs) offer flexible learning opportunities to individuals, through OTT technologies and platforms. Digital learning platforms, offering personalized and customized integrated learning solutions, are enabling learners to take up multiple online courses to enhance their skills and explore newer career paths, or to acquire additional knowledge or expertise that helps them in their current job roles.