Previously, GroupM had projected that the CTV ad spend would be $395 million by 2027. However, Dabhade believes ad spending will shift significantly towards CTV once it reaches the 200-million viewer threshold.
According to market estimates, CTV households in India stand between 25 million and 35 million, translating to 80-110 million viewers. By 2027, it is expected to double to 60-70 million households with 200-250 million viewers. “The affordability of internet-enabled TVs and broadband will drive growth in the CTV universe,” he said, adding the top six metros account for a sizable portion of the CTV base, with the base expanding rapidly in tier-1 and -2 cities.
Dabhade added the rapid increase in rural affordability and infrastructure development will determine CTV’s future growth. “The demand for streaming content on TV is increasing even as content consumption on mobile devices is growing,” he noted.
Meanwhile, a survey by MiQ revealed that 56% of Indian consumers use a second screen while streaming videos or TV content, and 72% prioritise pricing over content. The survey was conducted among 1,200 consumers and brand marketers in India, said Dabhade.The study shows 37% of Indian consumers would consider cheaper ad-supported streaming services and 82% of viewers engage with ads during TV programming, making India one of the highest globally.Furthermore, 59% of the Indian businesses anticipate an increase in CTV marketing spending within the next 12-24 months, with 74% of advertisers evaluating campaign success based on reach/frequency.MiQ has access to data on over 765 billion impressions/commercials annually and over 140,000 TV viewership signals per household, resulting in 6.4 trillion TV content consumption signals.
Dabhade noted that CTV combines the engagement of traditional TV with the targeting capabilities of digital. “CTV is a new platform, so many advertisers are still learning how to use it effectively,” Dabhade said.
