Small towns drive India’s connected TV growth

Mumbai: The growth of connected TV (CTV) in India is being driven primarily by small towns and rural markets, according to a report from WPP Media, The Trade Desk, and Ormax Media. India currently has an estimated 62-65 million CTV households and 207 million viewers. CTV viewership has tripled since 2022, with users spending an average of 2.9 hours per day on the platform.

Notably, 67% of CTV viewers are either new to the medium or watching more frequently than they were a year ago. While metro areas experienced a 21% growth in CTV audiences, rural regions saw a massive 110% increase. Bihar, Jharkhand, Rajasthan, Kerala, and parts of the Northeast reported higher-than-average growth rates. Despite this rapid expansion, CTV penetration in urban markets remains relatively low at around 47%.

Rajiv Rajagopal, senior vice-president of advanced TV at WPP Media India, attributes this growth to smaller markets' lower initial base but significant upward trajectory. Urban markets still offer room for growth with CTV penetration at 47%. Rajagopal also noted that about 68% of CTV viewers still consume traditional linear TV, while 54% of CTV households are either cord-cutters or light users of linear TV.

The medium is becoming a complementary experience to linear TV, with prime time usage on both platforms rising. Between 8 pm and 10 pm on weekdays, 78% of CTV viewers are active on the big screen compared to 63% for linear TV. On weekends, the figures are 73% and 61%. Measurement remains a challenge due to CTV's shared household nature, with more than 80% of viewers watching with family or friends.

An average CTV household consists of 3.3 people, and one impression reaches approximately 2.5 members of the household. Advertisers now require cross-screen frequency management and unified measurement to effectively target audiences.