Consumption of OTT video has increased rapidly over the last year: KPMG Report

According to the new report by KPMG, digital ad spends will grow at 30.8 percent CAGR between 2016 and 2021.

KPMG in India, has launched a new report, 'The Digital First Journey' which explains how on-demand content has reached a tipping point with consumption shifting to the mobile screen and going mass, particularly on the back of a successful 4G roll out.

The report gives an insight into the key themes of the Indian OTT market, key pillars of success for an OTT platform and a roadmap to a digital transformation journey that has been divided into four significant phases; digital vision and strategy, customer proposition, business design, and execution planning. The report also delves into operationalisation of the actual pivot of a traditional technology organisation into a digital avatar, highlighting two nodal frameworks for digital enablement, strategy and architecture realisation. The last section highlights the critical considerations for implementation of digital initiatives.

According to the report, growing internet penetration and data consumption are likely to help increase digital advertisement spends in India at 30.8 percent CAGR between 2016 and 2021. Mobile advertisement spends and social media aided digital video advertisement spends are expected to grow at 50.9 percent and 40 percent CAGR between 2016 and 2021 respectively.

Girish MenonCommenting on the OTT evolution in India and the road ahead for digital and digitising businesses in India, Girish Menon, co-head, media and entertainment at KPMG in India, says in a press release, "OTT consumption in India has reached a tipping point with the rollout of 4G and related data wars which have resulted in a dramatic and rapid growth in internet penetration and video consumption. This has also fundamentally altered the consumption demographics and patterns, with OTT viewership becoming more mass. Organisations can no longer afford to take baby steps and will need to wholeheartedly commit to build out their digital businesses. However, pivoting to a digital business requires a change in organisational DNA and a 'digital first' mindset. Building a digital business is an evolving process and organisations would need to adopt a systematic approach, balancing scalability and flexibility with speed to market and customer centricity."

See the full report below.