JioCinema, the streaming platform owned by Indian billionaire Mukesh Ambani, has recently made a significant announcement regarding its pricing strategy.
In a move to compete with global streaming giants like Netflix and Disney, JioCinema is shifting away from its previous free content model and introducing a premium pricing plan. The annual subscription for this premium offering is set at 999 Indian rupees ($12).
JioCinema Announces New Pricing Strategy
This strategic decision comes shortly after Reliance’s Viacom18 entered into a content deal with Warner Bros, granting JioCinema access to popular HBO and Warner titles. One of the highly anticipated shows that will be available on the platform is “Succession,” which has generated significant buzz among viewers.
Until March 31, several of HBO’s top-rated shows, including “Succession,” were being aired on the Disney Hotstar platform under a deal between the two companies. However, that agreement has now expired.
JioCinema has gained considerable popularity by offering free streaming of the ongoing IPL cricket tournament. It is worth noting that the new premium pricing is applicable only to premium content, while the IPL matches will continue to be available for free.
Mukesh Ambani is renowned for his disruptive strategies in India’s price-sensitive market, often providing consumers with affordable offers.
Karan Taurani, a Senior Vice President at India’s Elara Capital specializing in the media and entertainment sectors, acknowledges that JioCinema’s pricing is on the lower end compared to its rivals. However, Taurani suggests that a wider variety of content will be essential for JioCinema’s long-term success. He highlights that many other platforms fall within the range of 1,000 to 2,000 rupees.
JioCinema in Talks With Production Studios
To strengthen its content library and attract a larger customer base, JioCinema is currently in talks with various production studios. The platform has ambitious plans to introduce a multitude of TV shows and movies in Hindi and other languages in the coming months. This strategic move aims to cater to the diverse preferences of Indian viewers and enhance the platform’s appeal.
JioCinema’s shift to a premium pricing model reflects the evolving landscape of the streaming industry in India. As competition intensifies, platforms are striving to differentiate themselves and capture the attention of viewers. By diversifying its content library and offering a competitive pricing structure, JioCinema aims to position itself as a formidable player in the Indian market.