- Information
- AI Chat
Customer preference towards OTT Platform during a pandemic
MBA (1011)
Jain University
Preview text
“ An Consumer preference towards OTT PLATFORM
during a pandemic ”
Research Project report submitted to Jain (Deemed-to-be University) in partial fulfillment of the requirements for the award of
Master of Business Administration
####### Submitted by
####### Kamle Uday kumar
####### Register No.:
####### 19MBAJ
####### under the guidance of
####### Prof. L. Surendra
####### Professor
####### Jain (Deemed-to-be University), Bangalore
2020
“ An Consumer preference towards OTT PLATFORM
during a pandemic ”
Research Project report submitted to Jain (Deemed-to-be University) in partial fulfillment of the requirements for the award of
Master of Business Administration
####### Submitted by
####### Kamle Uday kumar
####### Register No.:
####### 19MBAJ
####### under the guidance of
####### Prof. L. Surendra
####### Professor
####### Jain (Deemed-to-be University), Bangalore
2020
DECLARATION
I hereby declare that the Research Project report undertaken by me under the
guidance of Prof. L. Surendra Jain (Deemed-to-be University), Bangalore is an
independent work.
The report is towards the partial fulfillment of the Master of Business Administration
course of Jain (Deemed-to-be University), Bangalore for the batch of 2019-21.
Bangalore Kamle Uday kumar
Date:
Acknowledgement
I am sincerely thankful to Jain deemed to be university, Bangalore for
providing me with the opportunity to write a research project report in the
form of dissertation on the topic “ An consumer preference towards OTT
PLATFORM during a pandemic”.
I am also thankful to prof. L. Surendra for guiding me in every stage of the
research project report. Without his support it would have been very
difficult for me to prepare the report so meaningful and interesting.
I am also thankful to the E – library which the university provided was
helpful to me during the course of this research report in different ways.
Through this research report I have learnt a lot about the customer
preference and the considerations kept in mid while at the present scenario.
It has helped me to analysis how the OTT platforms are going change now
a days.
Table of contents:
Page No.
Abstract ¡ List of tables ¡¡ List of figures ¡¡¡ Chapter 1 Introduction and review of literature 10 – 20
1 rational for the study and motivation 1 statement of the research problem
1 review of literature 1 identification of research gaps Chapter 2 Research methodology 21- 2 scope pf the study 2 Research objective 2 farming of research hypotheses 2 research design 2 methods for data collection & variables of the study Chapter 3 Data analysis and interpretation 26- 3 techniques for data analysis 3 hypotheses testing and methods 3 data interpretation Chapter 4 Findings and recommendations 42- 4 research outcome and findings 4 recommendations 4 limitation of the study 4 conclusion 4 scope for future research References Appendices
List of figures:
SI NO: FIGURE NO TITTLE OF FIGURE PG
1 Fig. 1 Introduction of OTT platform 10
2 Fig. 3 Occupation 33
3 Fig. 3 OTT platform preference 34
4 Fig. 3 Consumer spending time to watch OTT video content daily
34
5 Fig. 3 OTT channels subscribed 35
6 Fig. 3 Customer convenient of OTT platform or traditional medium
36
7 Fig. 3 Preference to watch movies in cinema hall 37
8 Fig. 3 Habit of consumer watching OTT platform increased during lock-down
38
9 Fig. 3 Consumer perception on OTT platform watching habit
38
10 Fig. 3 Consumer preference on watching movies in cinema hall
39
11 Fig. 3 Consumer perception on cinema hall footfall
40
Introduction:
Fig:1 introduction of OTT platform
The current Covid-19 pandemic and the across the nation lockdown has not only slowed down the growth of the enterprises and financial outcome, yet has additionally prompted change in the behavioural pattern of the individuals towards consumption of products and services, including that of digital based consumption. The transition is the consumer behavioural patterns brought about by the lockdown implemented by the Government of India and hypothesized that a significant number of these social changes are not transient in nature; they are probably going to remain long haul. One of the most affected domains today is media and diversion (M&E), which is intensely dependent on the promotions and onground activities and events. Notwithstanding the new OTT stages, the business would have been cleared out at this point. According to the examination directed by KPMG, there has been a recognizable increment in media utilization during the most recent couple of weeks, despite the fact that money is a greatest challenge. the service providers dealing with OTT platform is responsible for the delivery of contents comprising of audio, video, and other media over the web and sidestepping the customary network administered by the operators. Since the OTT players don't require any business or tech based requisites from the networkoperators for offering such types of service, they are regularly known by the term "Over-theTop" (OTT). These lean and deft OTT players, empowered by innovation advances, for example, smart phones, super-quick IP systems, new out of the box technologies, and transition in buyer inclinations towards these free platforms are seeing an ever- expanding appropriation rate. The revenues from membership in OTT and Digital media have taken a hike, as homebound customers search for quality based content. The greatest benefit accrued from the OTT platform by the consumers are the diversity observed by the consumers in the content which ranges from the Oscar based Korean
movies to the desi ones, providing a vast plethora of content made for audiences belonging to different genres.
There has been an exponential growth in Video-on-demand platform in India. Hotstar, Netflix and Amazon Prime have become big names in the business and likewise we have new participants, for example, MX player and Sony Liv. With the assistance of enormous information, stages are contriving methods of customizing their client experience. Developments, for example, voice labels, expanded and computer generated reality, 360 degree review and square chain innovation are additionally getting strongly investigated. The pace, at which the business is changing, makes it essential for the platforms to develop ceaselessly. Uninterrupted 4G connectivity along with the emergence of Reliance JIO has made data cost affordable and easily accessible which has played a vital role it the growth of Over-the-top media services.
There's no re-thinking in the way that the OTT business will be the substance of Media and Entertainment Industry in the coming years. As indicated by an exploration by Allied Market Research on OTT Service Market, the worldwide OTT showcase shows a promising development potential, with a CAGR of 16% (2018-2015). When contrasted with the worldwide market, Indian OTT industry is still at a beginning stage of development. In any case, the high development in Indian crowd leaning toward the online media entryways makes the subcontinent an OTT showcase with incredible potential. As anticipated by PricewaterhouseCoopers (PwC) in its report named "Worldwide Entertainment and Media Outlook 2019-2023 (Outlook)", India's OTT industry is anticipated to an incentive at Rs 11,977 cr by 2023.
The report covers reviews of Netflix and Hotstar the two significant giants in OTT platform in the Indian M&E industry. This quick development has given a brilliant opportunity to content makers/proprietors, yet additionally publicists and brands by giving them greater perceivability in the computerized customers' excursion. This thusly is helping the stages increase extensive incomes and limit their misfortunes. In this journey of accomplishing benefit, it gets cardinal to comprehend the business' players and the crowd they are serving to.
Today, as fast as technology is changing, the faster we are also changing our habits. Talking about television, there would have been a television in the entire locality and everyone used to sit and watch it at the same time, whereas today it is the age of OTT where every person has a smart phone in which he can watch any kind of content anytime.
Amidst all this, the dominance of watching movies in the cinema hall has always remained. But now this domination is suspected. Most big-ticket movies in the USA have been pushed to later this year, some even to next year. Similarly, in India, the theatrical release of all major films has been indefinitely postponed. But OTT platforms are buzzing with activity. Especially after the lockdown in India, with the OTT channel
years, watching cable television required a television set. But Today due to the advancement in technology and internet-based delivery system, people can easily access to OTT platforms and content from a broad range of devices. Any account holder can enjoy the same OTT experience from a gaming console, Smartphone, tablet, or smart TV.
OTT stands for “over-the-top” and refers to the productized practice of streaming content to customers directly over the web. It represents the future of entertainment — one that is already unfolding. It, is also commonly applied to video-on-demand platforms, but also refers to audio streaming, messaging services, or internet-based voice calling solutions. OTT services are typically monetized via paid subscriptions, but there are exceptions. For example, some OTT platforms might offer in-app purchases or advertising.
OTT clearly represents the future of media. Representing the best way of entertainment in the present scenario and people getting access to OTT apps not only through subscriptions but also through freemium facilities and the jio effect on the streaming culture. People also prefer watching regional shows but when it comes to teenagers, they prefer foreign shows more compared to the regional shows.
Motivation:
A dynamic consumer behaviour requires dynamic media buying
The Over-The-Top media services (OTT) market in India is predicted to grow at 21% CAGR from Rs 4,464 crore in 2018 to Rs. 11,976 crore in 2023, according to PwC’s Global Entertainment and Media Outlook 2019–2023. There’s been a lot of buzz about the potential winners and losers of the streaming wars, with home-grown players like Hotstar, Voot, SonyLiv, Zee5, MxPlayer and AltBalaji giving Netflix and Amazon prime a run for their money. As the rising impact of COVID-19 continues to overturn everyday life, consumption of video streaming platforms continues to spike, as per Nielsen smartphone panel report for week 4 spike in Metros is around 19% vs Non- Metro 23%, averaging almost 4hrs/per week VOD consumption.
The outbreak is also driving increased content consumption across devices. And we will witness a big shift of consumers using Amazon Firestick and Google Chromecast or switching to the new age smart TVs for OTT consumption specially in India during this outbreak. The category is at a tipping point, as most OTT platforms in the last few years have really made great strides in terms of integrating new-age ad tech, integrating Data Management Platforms (DMP), and finding ways and means to enrich the data by partnering with 3rd party deterministic data providers, creating new ad format. Thus, OTT platforms’ understanding of consumers today is almost similar to YouTube or Facebook. What’s also interesting is that OTT players are bringing a combination of the
upper funnel of marketing where reach, frequency, awareness and all kinds of brand metrics become important and with the bottom-funnel is becoming more focused about engagements.
However, these traditional media-driven marketing approaches and allocating media dollars according to channel (TV, Digital, Print, OOH, etc.) has to evolve. Media buying is increasingly moving towards buying individuals and the characteristics and behaviours that make them the target audience for a brand’s product or service. Similar ways Digital Video media buying is becoming quite dynamic in order to follow consumers across streaming services and other platforms, but also have to be relevant at each step of the way. The new age media buying is all about personalization and how brands needs to communicate with consumers across different OTT platforms basis the type of content they are watching, time of the day, type of device they are using to stream content and similarly many more proxies which are currently available for a planner at the planning stage. The need of the hour is to have a unified frequency setup across OTTs to avoid impression wastage and help brands reach audience with right number of ad exposures across OTT platforms.
1 Statement of the research problem:
Earlier stages of internet services, networks used to be built around service applications, like voice, internet or Pay TV. Voice, message or video content. But now a day these internet services have been reduced to provided mainly by the independent service providers. Among them Google, Yahoo, YouTube, Facebook, Wikipedia etc., are the major players in this OTT industry. Because they are not owned by Telcos, they have no significant control over the contents supplied through their networks. They are only responsible for the data usage by the OTT. Telcos have no control over the OTTs services, have no share in the revenues, has little recognition for their traditional inter services and telephony services; so there are some arguments that They should play their role as "network pipeline" instead of remaining integrated companies that facilitate services and infrastructure. Due to the drastical Internet growth, networks providers will have to be concerned about frequently built and upgrade the network, the cost of which will have to be borne exclusively by telecom operators. But are there enough incentives for this incremental invest in network? Telcos, certainly do not feel that way. As we have already mentioned earlier, they have generated cash flow through the provision of internet services, as the contents and carriage went together. But now they are earning revenues only from wholesale data usage. Even though volume of data usage has increased significantly in past couple of years, the Telcos experienced a very little growth rate their data revenue. But question is how long they are going to bleed and continue to operate like this situation. In August 5, 2015, there was a seminar by TRAI, where the attendees have discussed this issues from both players’ perspective, Telcos and Internet service providers. First we will have a look from Telcos point of view. No specific geographical boundaries make the internet service providers free from any kind
providers of traditional services, no such protections exist in over the top services, but the damage is more severe as users unknowingly route their communications via over the top services, and, as such, are not making informed decisions about risk. As Neil Brown (2013) has said that this damage is not only related to the issues of privacy. For example, it is a general scenario in the Traditional services that the users are enable to terminate calls on other providers’ networks (liberalisation), where new entrants would not have the same capabilities as incumbent providers, but also to avoid a user being tied to a particular provider. But while interconnection obligations apply to traditional services, over the top service providers do not share such obligation to each other, a Skype user cannot terminate a call with a FaceTime user. So regulators can put OTTs under more general competition law, operate as discrete services. Since OTT services are gradually becoming feasible substitutes for traditional ones, the authority is regulated this latter class of services will result in an unfair playing field. unless the difference between them makes the regulatory burden equivalent; where services are substitutable, it is doubtful that there is an enough difference. In practice, the providers of traditional services are facing a higher regulatory burden, and at a greater cost; due to the regulatory limitations, they are more limited in their innovative activities. The revenues generated only from data carriage is unlikely to enable traditional providers to withstand the revenues of previous years — with the value of services moving up into the OTT application stage, so the facilitating original network connectivity become too much highly-regulated commodity, bringing in much reduced revenue compared to that of the OTT. Even though Regulations should be introduced in this sector to ensure a justified competition, there are some arguments about the way OTT should be regulated. The degree of regulation should be limited to the extent where it does more good to the market and the society. First of all, there is no exact definition of OTT services, it includes software as well as other services which are within a closed platform environment like Facebook chat. They really cannot be defined as an equivalent substitute of traditional services. Then regulation is a costly process, so it would be wise to regulate any sector if and only if it can produce better outcome. It should not restrict the innovation opportunities and revenue growth of potential OTT sector. Due the confusion about the geographical location of the OTT service providers, there is a big question about the potential absence of jurisdiction, only the consumption
of the services within the country is a valid enough reason to impose regulatory action on the service. Even if a country finds it justifiable to regulate this sector, it will be a very little help for the market. For example, if EU wants to put more regulation on OTT sectors, it might be possible that the providers will migrate to less restricted overseas country, as a result EU will lose the tax revenue from this potential sector, where the consumption will be still going on at the same rate, which is apparently a counterproductive outcome. There are some other arguments regarding this specific market regulation. Allowing telecom operators to charge fees from content producers
can result in such a chaotic situation where certain content would only be available on certain telecom operators. And there is also a big question about the right and freedom of expression. Where the core idea is to ensure all the internet resources are easily accessible to the consumers. But eventually regulation will hamper the accessibility. Many of the OTT service providers are small and start up business venture, who will face a lot of difficulties to ensure reasonable network access if Telcos have exclusive arrangements with the help of regulation. On the other hand, some of the OTT services are really need to be patronised. Like health related applications or some social awareness applications. According to Robert and Ravi (2015) Traffic Management would not be allowed under Net Neutrality. There is a fine line between correctly applying traffic management to ensure a high quality of service and wrongly interfering with internet traffic to limit applications that threaten the telecom operators own lines of business. They have seen a warning sign at the end of the road to regulation where the internet access will become costlier. Due to rise in data traffic, Telcos will be forced to increase the cost of access for consumers and consumers would be worse off. Instead, Apps that earn by advertising and other business models should be charged by the Telecom Operators. They have seen some opportunities where regulation might allow the Telcos to discriminate. There are lots of ways they can do that like blocking certain apps or services, so that they can maximize their profit form their own services, or they can slow the internet or asking for more payment for fast lane access. However, Robert and Ravi (2015) has depicted some arguments in favour of the Telcos. Attributable to the increasing demand of the users of Data- intensive applications Telcos are always under pressure to invest in network infrastructure in regular basis. So to some extent it is justifiable if the Telcos can generate some extra revenue by charging contents, which they can utilize to bear the expenditure to upgrade the network. Even though there is a possibility of violation of net neutrality but there should be some level, after what Telcos can charge additional fee from a OTT service Providers. The pricing structure before that level should be viewed as a means of subsidizing and promoting innovation. Actually Net Neutrality cannot be either strictly followed or totally ignored. So the regulators should find a solution in between where there will be a somewhat balanced level of control over the OTTs. But it is really agonising to admit that no national regulation will be enough to put any significant impact on the international dynamics of the internet service industry. The emergence of Internet Protocol based telecommunication networks has enabled the decoupling of application and network layers and which subsequently enables OTTs to distribute their services and applications directly to the consumers. In line with the ideas some researchers claim that OTTs might exploit Free riding opportunities, even though Telcos are receiving for the
facilitation of network at a flat rate. But the problems derive primarily from the inequality of treatment of the regulatory authority towards the related parties. Unparalleled regulatory obligation and gradual decline in revenue level due to potential
Even though the studies focused on retail stores to examine the customer loyalty are limited in number, a very less researchers made an attempt to study the customer loyalty in chain of retail store assuming the responses may be biased (Niren et al., 1998). Studies across different chain of retailers are scare in literature.
Major studies have focused on area of evolution of retailing, retail formats and the industry growth of retailing in India and US. There is a dearth of studies that specially designed by keeping an eye on changing consumer behaviour and gender related issues or demographic variables (Radhika Visvas, 2003).
The studies reviewed in literature survey revealed the major limitations of using limited sample size, and framing single retail store in collecting responses on drivers of retail store loyalty (Ramaseshan, 2009).
Chapter 2
Research methodology:
2: Scope of the study:
The scope of the study is to highlight the scope of OTT platforms and the extent of their consumption amongst the people. These study will help us in understanding how OTT
Customer preference towards OTT Platform during a pandemic
Course: MBA (1011)
University: Jain University
- Discover more from:
