Bengaluru:
Indian short-form video (SFV) platform has crossed the $200 million revenue mark. According to information given in a report on Wednesday, the SFV platform was helped to grow with monetization, influencer marketing, video commerce and virtual tipping. According to the report of RedSeer Strategy Consultants, India’s SFV market has crossed 250 million monthly users. Has been added.
3.6 times increase in daily active users of SFV platforms
At the same time, since the ban on Chinese TikTok in mid-2020, SFV platforms have increased daily active users by 3.6 times. With this growth, SFV platforms have also made their place as a mainstream entertainment medium. According to the report, more than 63 percent of SFV engagement comes from Tier 2 and beyond cities. These platforms have now become an important part of India’s digital landscape.
Ad revenue, expected to hit $95-100 million in FY2024, currently accounts for 1-2 percent of India’s digital ad spend. As platforms are moving towards performance marketing, advertising is expected to expand with it.
Influencer marketing will reach $3-4 billion by fiscal year 2029
The report says that due to the popularity of micro and macro influencers, influencer marketing will reach 3-4 billion dollars by the financial year 2029. The trend of tipping has also increased. At present it is estimated to reach $700-800 million by the financial year 2029 with 80-100 million dollars. The practice of tipping has increased among viewers watching live streaming in the last 12 months.
Video commerce expected to reach $5 billion by fiscal year 2029
Indian users spend around Rs 100 monthly on TIPS, an avenue that provides support for creators and influencers. The report notes that India’s SFV platforms are seeing a surge in video commerce with growing maturity between users and user-influencer connections. It is expected to reach $5 billion by fiscal year 2029.
Users spend 30 minutes per day on the SFV platform
On average, users now spend 30 minutes per day on SFV platforms in India, reflecting a shift towards user-friendly interfaces, personalized and high-quality content. “More than 50 per cent of SFV users spend are monetizable, and their spend often goes toward e-commerce, OTT, in-app purchases, and paid gaming services.”
The report said that with around 30 per cent of monthly revenue earmarked for spending, SFV users are well-positioned to support these monetization models. With over 99 per cent original content, Indian SFV platforms offer a variety of Offering styles that cater to the preferences of different users.
