Wal-Mart’s Flipkart unit starts a free video streaming service to pull new users from smaller towns and cities in India. Flipkart is the next 200 million consumers coming online. The company believes that most consumers are introduced to the Internet through online video. The video content is focused on three primary aspects: it’s free, curated and personalized.
Considering the number of customers paying partial or fully paid for a subscription for Netflix, Amazon Prime and Hotstar, the content market is still evolving. Price is too high for a customer base that is accustomed to free or cheap content. Amazon India debuted its Prime Video service in December 2016 and has developed a strong fan base with hit shows such as Made in Heaven and Mirzapur. The main objective is to ensure that the consumer is connected to Flipkart.
It may be less expensive or more profitable to serve existing customers by expanding the wallet’s share to acquire new customers. India’s video streaming industry is set to grow at an annual average pace of 21.8% to reach ₹ 11,977 crores by 2023. Demand platforms are projected to grow at an average annual rate of 23.3% to reach ₹ 10,712 crores between 2018 and 2023. The 34 companies in the cluttered market include US platforms such as Netflix and Amazon Prime Video, as well as Indian services. As ZEE5, Voot, Eros Now and ALTBalaji.