India will come to dominate CTV markets globally, sooner than one might think, says Rajiv Rajagopal, National Head, Client Development, Finecast India,
“Smart TVs is a very important segment to look at because the data as on 2022 is that India has almost 90% penetration of smart television. That means 90% of the TV units sold in India have the capacity to be used as smart televisions, and I'm sure by the end of this year, that number would come very close to 100%,” he says.
Indeed, if one looks at the CTV growth trend in households, there were 10-12 million CTVs in Jan 2022, which went up 23-25 million in Jan 2023, and crossed 35 million as of June 2023. “Earlier we were looking to reach a 40 million base by 2025, but seeing the current rate of growth, this can cross a 60 million base by 2025. We are seeing accelerated growth on CTV base since the last three months outside of IPL as well,” notes Rajagopal, adding that earlier everyone had earmarked 40 million as the inflection point, a number coming all the nearer by the day.
While the twin drivers of cheap, but good, data and devices have contributed hugely to digital adoption across India, from metropolitans to burgeoning regional hubs to the sleepiest township, Rajagopal says other factors are playing an increasing role as well.
“Another aspect of what we've seen is also the kind of growth we're seeing in the OTT viewership, which has grown at a CAGR of almost 15% from 2021 to 2025. That's huge compared to the base of OTT viewers, and that 15% is actually going to grow the base to a very large extent. These are all touch points for a consumer to kind of scout for content on CTV,” says Rajagopal, adding that the proliferation of content has opened up many avenues for consumers to view CTV on multiple touchpoints from OTT to smart TVs.
Noting that he’s extremely bullish about the Indian market, Rajagopal points out the recent launch of Geo Granularity, a hyperlocal and granular targeting technology developed by Finecast. The new technology has been enhanced from broader pin code level targeting to granular 1000-meter geo-targeting, allowing advertisers to zero in on more defined audiences for their campaigns.
“That's a big leap which we have taken in India and that is the first time in India. Globally, no other market of Finecast has launched it so that itself proves that okay, we are all looking forward to investing now so that things are ready by the next few months,” says Rajagopal.
“The thing is that we're seeing the pace of adoption of CTV in India and the future of these TV consumers is a hybrid model. We see consumers traversing from broadcast to SVOD (Subscription Video on Demand) to BVOD (Broadcaster Video on Demand) to AVOD (Advertiser Video on Demand). And I'm sure the advertising industry also must ensure that it operates accordingly because that's how the consumers are moving. Finecast is the addressable TV solution of GroupM Nexus and we are a pioneer in this space. So we are very committed to give our clients and brands the best solution in this very changing and evolving TV landscape,” concludes Rajagopal.
