BENEFITS OF MOVIE RELEASES ON OTT PLATFORMS

Over-The-Top Platform:
An Over-The-Top or OTT platform means a platform where movies and television content can be streamed online through an internet connection. In other words, OTT platform is a place where a user can watch tv series and watch movies online through an internet connection on Smart Phones, Tablets, Smart TV’s, Laptop, VR Headset and any other streaming devices. These OTT platforms have shaken the entertainment industry and received so much adoption due to
Growth in Smartphone market.
Cheaper Internet services.
Increase in number of internet users.
Feasibility to watch anywhere.
Standard of Living.
Demand in original and true content.
Because these OTT platforms provide flexibility and more personalised experience, viewers are preferring to watch movies online on such platforms.
As per a study, the value of the OTT platform industry was Rs. 21.5 Billion in 2018 and now it is valued at approximately Rs. 35 Billion in 2020, which is approximately 63% growth in two years and is expected to grow to Rs. 215 Billion in 2023, which is ten times of what it has been in 2018. As per the same study, global OTT platform market was valued at $ 104 Billion in 2019 and in 2020 it is valued at approximately $ 161 Billion. This growth is mainly because of the pandemic situation in the world, which has increased the subscriptions of OTT platforms dramatically and is expected to grow at rate of 14% every year between the year 2021 and 2023.
Impact of Covid-19 for streaming movies online on OTT platforms:
Because of the pandemic situation, many are trying to avoid outdoor activities when compared to pre Covid-19 situation. Because of this, the demand for the OTT platforms have increased exponentially. Viewers also started to prefer true and original content, which is available on the OTT platforms now has also helped the producers of quality content, as it given a boost for Video on Demand (VOD).
Movie theatres are facing a crunch situation because of Covid-19 era. Because of which many production companies are also facing crisis because of cancelled shooting, rising costs and cost of expensive sets lying idle, but if they release these movies on OTT platforms, they provide them a chance to expand their sales financially and also geographically. Along with that, it also gives them a benefit of bargaining power with the conventional distribution network.
Not only the producers, the economic slowdown has also affected the earnings advertisers, as they rely on the Movie Theatres to play their ads and vice versa. Even the government policies might help the Movie Theatre owners to run their operations, but it might impact on their revenues for a shorter period of time as we cannot expect huge crowds for at least sometime.
However, the movie producers will benefit from the OTT platforms as they release movies on these platforms. Subscription based OTT platforms will be benefitted from these and also ad-based OTT platforms.
Benefits of streaming movies on OTT platforms:
Because the Movie Theatres are shut now, many previously planned movie releases have been delayed and many producers are feeling that streaming movies on OTT platforms will be viable option. Most of the movie makers have also acknowledged that the viewers preferences have changed a lot in recent times and they are preferring for quality content. Because of ott streaming platform , movie industry and the producers has realised streaming movies on the OTT platforms will be an integral part even after the crisis. The industry might have taken many years to realise the benefits of the OTT platforms if not for this pandemic situation.
Movie makers have expressed their views saying that they are ready to explore and experiment by streaming movies on OTT platforms. It is known that movie theatres will be opened for at least few months now as the number of Covid-19 cases still increasing in the country. So, movie makers are thinking that rather than making losses by releasing movies, at least they can partner with OTT platforms for streaming movies to reduce their losses.
In the end, it is the OTT platforms who are benefitting and emerged as the winners as they have seen exponential growth and also it has allowed many OTT platforms to access more content.
Conclusion:
We can conclude by saying that streaming movies on OTT platforms is going to stay forever. Yes, we can expect massive footfall when the Movie Theatres open, but movie releases on OTT platforms is not going to stop after that as it allows producers to standout from others as it will allow them to release unique content on OTT platforms. Both OTT platforms and movie theatres will have their own merits and they both are expected to create opportunities for content creators and film makers to stay in the competition and stand out from the crowd with their own uniqueness.