The Economics of JioTV
Demand, Pricing, and Regulation
Member
Renu
Rishabh K Sharma
Ekta Chandrakar
Jitin Rawat
Ritunjay Pandey
Hemant Garg
Roll No.
EMBAA23038
EMBAA23040
EMBAA23069
EMBAA23071
EMBAA23076
EMBAA23079
Contents
• Introduction To company
• The Theory of Individual Behaviour - Market, Total Users and Consumer Profile
• The Nature of Industry - Porter’s Framework
• Quantitative Demand Analysis - Overall Share in the Indian Market and Potential Market. Role of
Analytics in Forecasting Demand
• Pricing Power in the Market Segment.
• The Economics of Information - Awareness in the Market and Advertising Strategy
•
Government in the Marketplace - Government’s (MIB) role in the Market
• Conclusion
Introduction to Company
Jio provides live TV streaming service, which was introduced in 2016 as a subsidiary
company of Reliance. Jio TV provides consumers access to foreign and Indian
broadcasters' live TV channels.
Key features of Jio TV:
• Live TV
•On-demand content
•Catch-up TV
•For Jio subscribers, Jio TV is a complimentary service.
Jio TV: Live, On-Demand, Complimentary Service.
Individual Behaviour - Market, Total Users and Consumer Profile
18 to 24
14%
Consumer Profile: Age, Gender and Geography
25 to 34
35%
35 to 44
25%
45+
26%
The Nature of Industry - Porter’s Framework
To better understand Jio TV's place in the market and its challenges, Porter's Five Forces will be applied to the
JioTV platform.
• Bargaining Power of Customers
• Bargaining Power of Suppliers
• Threat of Substitutes
• Risk of New Entrants
• Competitive Rivalry
• Complementary Products
Five Forces of Porter’s Framework
Quantitative Demand Analysis
1%
•JioTV is the most popular OTT platform in India, with a
App Active Users
1% 1%
1% 1% 0%
market share of 39%.
3%
•Amazon Prime Video is the second most popular OTT
Hotstar
JioTV
3%
Amazon Prime Video
4%
platform, with a market share of 26%.
Netflix
26%
JioCinema
7%
ZEE5
•Netflix is the third most popular OTT platform, with a
Sony LIV
Voot
8%
market share of 13%.
Tata Sky Mobile
Airtel TV
•Hotstar, Zee5, and Sony LIV are the other major OTT
13%
11%
Vodafone Play
platforms in India, each with a market share of around 8%.
•The popularity of OTT platforms is growing rapidly in
MX Player
Sun NXT
Tata Sky Binge
11%
India, with the market expected to reach 1.5 billion
subscribers by 2025.
JioTV leads with 39% market share; Amazon follows at
11%
Discovery Plus
ALTBalaji
Pricing Power in the Market Segment
• Differentiation
• Monopoly
• Oligopoly
• Economics of Sale
• Price discrimination
 First Degree
Second Degree
Third Degree
Differentiation BTW JioTv vs AirtelTV
1600
1400
1200
1000
800
600
400
200
0
JioTV
No. of Channel
Jio TV's Market Position, Economics, and Price Strategies
AirtelTV
HD Content
Features
Price
Verdict
The Economics of Information
Device Rankings 2022
No.1
*Split is w.r.t Watch Time
14%
86%
Smartphone
99%
Android
1%
iOS
JioPhone
No.2
No.3
No.4
No.5
Dynamic Live TV Market: Intense competition amid digital
Internet users in India
Geography-wise user share
Age-wise user share
800
700
700
640
26%
42%
560
600
14%
21%
500
460
500
420
400
35%
37%
25%
350
300
Tier 1
200
Tier 2
Tier 3
18 - 24
25 - 34
100
100
50
5
0
2000
2005
2010
2015
2016
2017
2018
2019
2020
2021
Users (in Mn)
Device-type cost user share
2,3%
0,50%
0,20%
9%
39%
23%
26%
Internet penetration of various user
<5K
5K - 10K
10K - 15K
20K - 30K
30K - 50K
50K>
15K - 20K
35 - 44
45+
Advertising Strategy to tackle Information Asymmetry

Personalization and Targeting

Exclusive Content

Influencer Marketing

Educational Content

High-Quality Visuals and Audio

Experiential Advertising

Testimonials and Reviews

Collaborate with Premium Brands
Holistic Advertising Approach: Bridging gaps with tailored
Ministry of Information and Broadcasting (MIB)
• Jio TV must obtain a license from the MIB to operate as a broadcasting service.
• The MIB can regulate the content that is broadcast on Jio TV, including banning offensive, vulgar,
or defamatory material.
• The MIB can set technical requirements for Jio TV, such as the quality of the audio and video
transmission.
• The MIB has a system for handling customer complaints about Jio TV.
Regulatory Collaboration: MIB's oversight ensures compliant and quality Jio TV
operations
Conclusion
• Jio TV can use the Porter Five Forces Framework to analyze the competitive dynamics of the
digital streaming industry.
• Must prioritize expanding its selection of content to remain competitive.
• Must enhance the user experience to remain competitive.
• Must develop trusting relationships with content producers to remain competitive.
• Can use other Jio ecosystem products and services to build a stronger and more devoted customer
base.
• long-term success will depend on its ability to continually innovate and adjust to the rapidly
changing digital streaming industry.
Strategic Adaptation: Jio TV's success hinges on innovation and adaptation in the evolving streaming landscape
Thank you