To attract users in India through a strong pipeline of local content, US-based video streaming giant Netflix has announced nine more India-based original productions of content as a part of its overall Asia growth plan.
The OTT platform plans to leverage India’s 450 million internet users and tap into 100 million subscribers from the country alone in the coming years.
“Half of India’s internet users are watching video on Youtube and many similar platforms. This is what makes India very interesting addressable market,” said Ted Sarandos, Netflix’s chief content officer to CNBC.
Netflix sees India as the next huge market. A few months ago, the firm launched its local production Sacred Games and Ghoul. Third original series, Selection Day, will be released next month. According to the company originals series such as Stranger Things, Love Per Square Foot, The Crown and Narcos have helped them gain more subscribers.
In October, Netflix had reported a profit of Rs 20.2 lakhs, as per registered financials record. Its profit for the seven month period stood at Rs 58 crore. Globally, the company had clocked a revenue of $11.7 billion in FY17, and boasted of 130 million users across 190 countries.
In India, its user base hovers around 5-6 lakh. Entrackr queries to Netflix in this regard are still awaited.
Last month, the company’s chief product officer said that the firm will experiment with other pricing models and see how that does in terms of being able to accelerate our growth and get more access. At present, Netflix monthly subscription plans start at Rs 500, which more than double of what its competitors like Amazon and Hotstar offer.
Amazon and Hotstar have 13 million and 5 million users respectively on their platforms and are betting big on regional contents.
In the last couple of years, India’s streaming market has witnessed phenomenal growth, especially after Reliance Jio launch.
India’s video streaming market is growing at a compound annual growth rate (CAGR) of 22.6 per cent and is expected to move into top ten video streaming markets by 2022 with revenues of Rs 5,595 crore, according to audit and consultancy firm PwC India.