JioCinema has revealed its new pricing, which may not come as a surprise to many. As a late entrant in the OTT space, it is competing against established players in terms of content and subscriber base, reminiscent of Reliance’s approach in the telecommunications sector in 2016.
The new pricing includes a premium subscription of Rs 29 per month for a single device and Rs 89 per month for a family plan that covers four devices. This marks a significant decrease from the original prices of Rs 59 and Rs 149, respectively. Both plans offer ad-free streaming in up to 4k resolution and feature content from HBO, Paramount+, and Peacock.
Uday Sodhi, former head of SonyLIV and Founding Partner of Kurate Digital Consulting, believes that many people already subscribe to multiple OTT platforms, making it challenging to convince them to add another one. By lowering the entry-level price to Rs 29 per month, JioCinema aims to expand its market reach with a minimal financial commitment from subscribers. Currently, the OTT subscriber base in India is around 120 million, with 50-60 million being paid subscribers across various platforms.
With a focus on affordability and accessibility, JioCinema targets the segment of users who access content on a single device, which accounts for a significant portion of the OTT market. Leveraging its existing user base from Jio telecom services, JioCinema’s aggressive pricing strategy aligns with its position as a latecomer in the OTT landscape.
Looking ahead, JioCinema aims to increase its subscriber base through diverse language content and enhanced user experience. The key challenge lies in consistently delivering engaging content to retain users and drive growth in the competitive OTT market.