India ranks third globally in video market, recent report reveals
In 2023, advertising formed 51% of online video revenues per Media Partners Asia, projected to increase to 54% by 2028, as per their report
Sumit Rawat
In the most recent report unveiled by Media Partners Asia (MPA), India emerges as the world's third-largest video market, generating an impressive $13 billion in revenue.
The Asia Pacific Video & Broadband 2024 Report delineates the leading video markets worldwide, highlighting China at $64 billion and Japan at $32 billion, positioning India in third place, trailed closely by Korea ($12 billion), Australia ($9.5 billion), Taiwan, and Indonesia (each $3 billion).
MPA's release outlines the substantial growth of the APAC video industry, experiencing a 5.5% surge in 2023, achieving a total revenue milestone of $145 billion. This surge comprises a remarkable 13% uptick in online video sector sales, albeit partially offset by a marginal less than 1% increase in TV revenue.
The comprehensive report, encompassing users, subscribers, consumer, and advertising expenditure across various video platforms in 14 markets, forecasts a Compound Annual Growth Rate (CAGR) of 2.6% between 2023 and 2028, propelling total APAC video industry revenues to reach $165 billion.
Specifically focusing on the online video sector, projections indicate a 6.7% CAGR to hit $78.5 billion by 2028 or a staggering 9.2% CAGR to reach $46 billion in APAC, excluding China.
MPA forecasts the primary revenue-generating markets by 2028 to be China, Japan, India, Korea, Australia, and Indonesia, collectively contributing over 90% to the Asia Pacific total.
The report highlights the anticipated growth rates over 2023-2028, pinpointing Indonesia (7.3%), Philippines (6.2%), India (5.6%), Vietnam (4.6%), and Thailand (4.2%) as the fastest-growing markets in terms of CAGR.
Vivek Couto, Managing & Executive Director of MPA, underlines the ongoing shift from traditional TV to online platforms, emphasizing improved connectivity, rising Connected TV (CTV) adoption, and the surge of local content creators as driving forces. He emphasizes the role of companies investing in consumer-centric products and content as key players in this digital evolution.
MPA reports that in 2023, eight major companies, including Amazon Prime Video, ByteDance (including TikTok), Disney, Google's YouTube, iQIYI, Meta (video), Netflix, and Tencent, collectively held a dominating 65% share in APAC's online video revenue. Couto adds that beyond China, local players like Jio Cinema and Zee-Sony in India are successfully competing and have significant growth potential.
