When it comes to adoption of mobile video, India is racing ahead of the rest of the world. According to a recent Cisco-VNI estimate, video constituted 36% of all mobile data traffic in India in 2014. It is estimated that video traffic on mobile in India will increase 24-fold by 2019 taking a 66% share of the total mobile data traffic. In comparison, share of video traffic on mobile globally is projected to increase only 13-fold by 2019.
Mobile video traffic in India will grow from 31.5 petabytes per month in 2014 to 749.9 petabytes per month in 2019, a CAGR of 88%. Powering this surge in video traffic on mobile is the increasing preference among connected consumers to watch videos on smartphones. Today's connected consumer turns to his smartphone to watch videos because over the years, these devices have seen bigger and better displays making video viewing an engaging experience.
However, what is truly driving the growth in video content access on smartphones is the improving mobile Internet connectivity in India. The country is seeing rapid adoption of 3G & 4G services and it is estimated that adoption of 3G & 4G services will grow at a CAGR rate of 27% between 2014 and 2019. Faster connectivity has resulted in a seamless, lag-free, and highly enriching video experience on smartphones. This coupled with the on-the-go access to video content is making mobile the first choice for watching videos.
Recognizing this trend, traditional video content providers are today offering mobile apps that provide consumers free access to a variety of video content on smartphones. Mobile apps such as Hot Star from Star India (a 21st Century Fox-owned broadcaster), Box TV by Times Internet and Hungama Videos by Hungama.com, today enjoy immense popularity among consumers and are seeing strong levels of adoption.
With the growing demand for video on mobile, these content providers are increasingly looking at monetizing their apps. This in turn presents the perfect opportunity for marketers to engage the connected consumer on mobile. Not only do these apps provide them the reach but also a highly effective way of engaging the consumer. These consumers love watching videos on mobile and are highly receptive even to video ads. For marketers looking to reach the connected consumer in India, now is the time to bet their money on mobile video.