My father, I and my nephew all watch videos. The difference lies in the medium of usage. My father uses mostly TV, I watch videos on TV and web whereas my nephew watches is mainly on web, tablet and mobile. I am sure this is true for most of the urban Indian, as video has seen an incredible growth not only in content but also in the medium.
Nielsen recently surveyed consumers across the globe to measure the difference in mediums used for watching videos. I thought the report is very useful especially because it can help companies in the video businesses plan better and reach a larger audience.
Here are few facts and my analysis from the Nielsen report
India is second (with China and Brazil) in terms of watching videos on television. It’s around 8% above the global consumption. I think that is probably because of low web and mobile-data penetrations in India. People still watch television for movies, trailers, music videos etc even though there is a large push by these companies to show their content online.
The biggest surprise is Germany which is 32% below average of the global population. Does that mean that the Germans watch majority of their movies and trailers over PC and/or mobiles? That’s really interesting.
Impact: Companies shouldn’t ignore the power of TV as it is an important platform for watching videos in Indian households. Also, the market of HD-TV in India is low but growing at a fast pace as it provides a better experience.
Think about this, 70% of online global consumers watched video over the Internet in March’10. That’s incredible and tells you the impact of YouTube and similar websites. Indian consumers stand 4th in the global rankings and exceed by 21% of the global population in online-video consumption. That’s no surprise as about 15.5 mil Indians visit Youtube every month. You might be thinking with such low internet and PC penetration how is that possible? Well maybe because India is 3rd in watching videos (over PC) at work!
Impact: Businesses have to react fast and make sure they are present over web. I would imagine a lot of regional flavor coming in videos as the consumption grows. The impact has already been felt with many movies being made exclusively for web and most of the major production houses showcasing their promos via YouTube. Sites like nautanki.tv are already developing innovative ideas in this medium.
India is 4th globally in watching videos over mobile. This includes mobile-TV as well. The penetration is highest among consumers in late 20s. Sounds awesome isn’t it? Well no, because mobile-video penetration is only 0.6% in India compared to 5.8% in China. The big surprise is Germany which is again at the bottom of the table. Do Germans not watch videos at all?
Impact: With the kind of reach mobile phones have in India the video consumption is bound to grow at a phenomenal growth rate. Think about the growing Smartphone usage and 3G services and it seems even more possible. I am pretty sure content companies are ready to exploit this medium in a big way.
New Screens (Tablets/3D-TV):
Get ready for the big surprise. 55% of Indians are more likely to own or have definite purchase intent of tablet to watch videos. India is 7th in 3D-TV purchase intentions. The intention can be attributed to growing population of youth in India. Tablets are another great way as I think they are easier to use than PC and can solve India’s technological illiteracy.
Impact: Businesses have to think about developing content for iPads and other tablets. I am sure $50-$100 tablets will proliferate in the market within next 5 years and that will translate to a larger demand for video content on these medium. These new screens would also be a medium for advertisement and richer content than currently we have on traditional mediums.
While the report gives a lot of other stats but I think you get the picture. What I would be interested in is how consumers would adopt a combination of these mediums. Like – “over the top” TV+PC+Internet.
But keeping in mind we generally lag any new technology adoption it would be interesting to see how video consumption over other mediums develop and how companies prepare for it.
Whether we will embrace the new mediums is still debatable. Thoughts?