Video content will account for over half of all mobile data consumption in India in the next two to three years, as per the latest report by consultancy Deloitte on India’s technology, media and telecommunication sector. The number of smartphone users in urban India will cross 104 million in 2014 compared with 51 million users in 2013, and these users are expected to drive the highest video consumption on mobile.
“In 2014, mobile video is likely to be the preferred service over other mobile value added services. We anticipate 50-60 per cent of all the mobile data consumption in India to be driven by video over next two-three years. With improved networks and connectivity, users will increasingly consume higher resolution video. While pre-downloaded and side-loaded form of video will continue to be a major part of the overall video consumption on mobile, Deloitte envisages emergence of innovative business models in mobile video streaming/time-restricted download space in 2014,” says PN Sudarshan, Senior Director, Deloitte India.
Time to ‘watch out’ for video marketing
Globally speaking, video ad budgets are fast-growing, as advertisers realise that the younger target group, especially the millennials, are moving away from television. A 39 per cent increase in advertiser spend on digital video in 2014 is predicted, compared to a mere 3.3 per cent increase in traditional TV spending. “As a media planning agency, we are seeing more brands embrace the video channel for marketing. Traditional brands that concentrated more on TV, are now gradually making the shift. We have been advising our clients to consider pulling out 10 per cent of their advertising budgets on niche TV channels and re-organise them into video platforms; even though that affects GRPs, it is a move worth considering. Our data analytics from our homegrown technology TARDIS, helps gauge the RoI from such planning strategies,” says Sushant Mishra, Vice President & Business Head – North, Starcom MediaVest Group, India.
Studies have shown that emotional and humorous video content is most likely to help brands cut through the clutter and help viewers recall their message. This form of storytelling gels well with consumer demands and unlike television, marketers are able to work on targeted reach, said Saurabh Parmar, CEO & Founder, Brandlogist, a digital media agency in India.
Mobile marketing to witness greater push
With mobile emerging as a more engaging platform for videos, marketers need to customise their technology to target such mobile consumers. “Keeping the timing of release of content, target audience and communication in mind, marketers need to develop a strategic way of disseminating video content online, as well as on mobile. It has to be more than simply uploading TVCs, and more interactive,” adds Mr Mishra. The full potential of this medium still stands to be reached.
With more smartphone penetration, mobile marketing is developing as a big strategy for marketers. Mr Mishra cites that now brands are spending close to 15-20 per cent of their digital ad spends into mobile, which has seen close to 5 times of an increase in 3 years. “Electronics, travel and BFSI sectors are investing the most in this medium,” adds Mr Mishra.
The medium is highly fluid, which gives a broader scope for creative & highly interactive marketing strategies. Most of top notch brands are already running successful brand management campaigns over mobile. “Mobile offers quick call to action and the responses can be collected round the clock. India’s rural markets presents opportunities that companies seeking to become high-performance businesses cannot afford to ignore. Marketers have a fruitful opportunity of delivering high value proposition through innovative use of cross platform that includes Voice call, Missed Call, Mobile application & SMS based services,” says Vikram Raichura – Managing Director, VivaConnect, a mobile marketing company in India.