Leveraging this trend, Netflix made its much awaited grand entry in India. While the youth couldn’t get enough of ‘Netflix and Chill’ on social media – the bubble busted slowly, revealing the Netflix’s debated future in India.
Free content phenomenon in India
In the last few years, Indian consumers are seen enjoying a wider selection of great free content, with the flexibility to watch whenever and wherever they want. Free content from players such as Hotstar, SonyLiv, and a number of YouTube content creators such as TVF Play, Culture Machine’s Blush, and All India Bakchod (AIB) has changed the way Indians viewers consume content.
The privilege of free content leaves the newly launched Netflix with several major challenges. With consumer preferences of opting for content during the course of travel and with facilities like YouTube offline which allows consumers to view free downloaded content without internet connection, a paid subscription from Netflix would not be a preferred choice for many.
However, Netflix has a different story to say. Netflix official spokesperson informed IndianMediaBook, “We find people are willing to pay a fair price for great content, delivered without hassle whenever they want it as opposed to resorting to illegal methods. Our push to secure global rights and release all originals simultaneously to our global members will help address piracy by those who simply want access to the latest movies and TV shows.”
Additionally, consuming content while commuting requires a strong internet connection – which is still a major issue in India, leaving Netflix in a major fix. Not to mention the great Indian evil of piracy. Indian consumers tend to download all content through torrents – leaving very less opportunity for paid content.
The launch of YouTube Red – a paid content service by YouTube too failed to excite Indian consumers. Could this be the fate of Netflix too?
The subscription and content game
Netflix will be available in three subscription packages—- Rs 500, Rs 650 and Rs 800, with a free subscription for the first month. However, the charges for multi-screen viewing privilege will be separate.
In India Netflix will showcase its original TV series such as Marvel’s Daredevil, Marco Polo and Narcos, as well as Netflix original movies, documentaries, stand-up comedies and kids TV shows in addition to a broad variety of licensed programming.
Lack of Hindi and vernacular content proves to be yet another drawback for our new entrant. While Netflix might pick up with the high end English content market – penetrating the regional market (which forms a huge chunk) will be a task.
Presently, Netflix is the world¹s leading Internet television network with over 70 million members in over 190 countries enjoying more than 125 million hours of TV shows and movies per day, including original series, documentaries and feature films.
In 2016, the company plans to release 31 new and returning original series, two dozen original feature films and documentaries, a wide range of stand-up comedy specials and 30 original kids’ series – available at the same time to members everywhere.
The question here is – where does India fit in these plans?
Looking into the crystal ball
Looking at raking a profit in the very first year – shouldn’t be something that Netflix counts on. Rather the content provider could rely on the popular managerial theory of surviving in upcoming markets basis the profit created in the established ones.
Had Netflix entered two year ago – it would hold chance to a golden opportunity with no competition from platforms such as HotStar and SonyLiv. Now however, the content giant will have to plan with precision to crack the code.
