This episode brings together three industry leaders who share their journeys and data-driven insights into the content industry.
They explore the market’s breadth, strategies, and upcoming trends, offering a comprehensive understanding of the dynamic world of entertainment.
Significance of Sponsorship
Having a sponsor or people who believe in you is vital in the content industry.
The encouragement and belief from others can significantly motivate individuals to take on new challenges and succeed, as exemplified by the experience of being asked to build Google Pay in India despite having no background in banking.
When you go to the cinema, your face lights up, but when you go to the trucking company, the entire world weight is on your shoulders. So just forget about this and plunge straight away into the cinema business. – Ajay Bijli
Investment Opportunities in the Content Industry
There are significant opportunities for both public and private investment in the content industry in India.
The exponential scale of the Indian consumption market presents a unique opportunity for investors looking to capitalize on the growth of the content industry.
Maintaining Objectivity in Decision Making
Maintaining objectivity in the content industry is crucial.
It’s easy to get swept up in the industry’s glamour and make misguided decisions.
Focusing on the script and the creative aspect of content creation can lead to more objective and successful decisions.
Size of the Indian Content Market
The Indian content market, encompassing the streaming, multiplex, and talent industries, is substantial.
The streaming subscription business in India is about $2 billion, with the biggest players being Hotstar, Netflix, Amazon Prime, and Sony Live.
There are about 48 to 50 streaming players in India, indicating a highly competitive market.
Rising Popularity of Short-Form Content
Short-form content is increasingly capturing audience attention due to its quick, accessible nature.
It provides a platform where creativity and commerce can coexist effectively, making it a significant trend in the content industry.
Creators as Both Product and Distribution
A shift is occurring in the content industry where creators are becoming both the product and the distribution.
Digital platforms enable creators to reach their audience directly, bypassing traditional distribution channels, and this is reshaping the industry’s dynamics.
Adaptability as a Key Success Factor
Adaptability is a crucial trait for success in the content industry.
The industry’s constant evolution, with new platforms and formats emerging, necessitates this skill.
The transition from managing a band to becoming a drummer due to unforeseen circumstances exemplifies this.
Untapped Potential of the Content Market
While the size of the OTT business is small in absolute terms, there is a significant opportunity for growth if the creator and platform game becomes synergistic.
There are about 80 to 90 million people who have paid for a subscription at least once, compared to 800 million people who watch TV, indicating a vast untapped market.
Role of Vernacular and Regional Content
Vernacular and regional content play a crucial role in expanding the content market in India.
A significant portion of the content being consumed is in vernacular languages.
Short-form content, consumed predominantly by males under 25 years old from tier two cities, also holds potential for market expansion.
Future of Content and Investment Opportunities
The content industry’s future is constantly evolving, with new platforms and formats emerging.
The Indian market size, the future of content, and potential investment opportunities provide a reference point for entrepreneurs looking to build a business in the content industry.
Staying adaptable and innovative is key to succeeding in this dynamic industry.
Impact of Smartphone Accessibility
Smartphones play a significant role in content consumption in India.
However, access to smartphones is not fully democratized, with two out of three smartphones being set up by the male in the house.
Making access to smartphones more democratized could help to expand the content market.
Creativity and commerce is something that should happen hand in hand. I think short form gives you a higher likelihood of success. – Unattributed
Transformation of the Cinema Industry
The cinema industry in India has undergone a significant transformation from single-screen cinemas to multiplexes, largely influenced by private equity due to the business’s capital-intensive nature.
The COVID-19 pandemic has further emphasized the need for adaptability and resilience in the industry.
