Digital Media – The Road To Mainstream
Digital media engagement is rising as consumers due to greater variety and on-demand nature of online media
1. Digital media engagement is rising as consumers due to greater variety and on-demand nature of online media
The digital media segment has seen a ~25% increase in time spent online across various formats; with gaming and online video platforms noticing the largest increase. A larger variety of content with no set “on-air” timings are pushing more consumers online for their entertainment needs.
Time Spent on Digital Media, 2020 vs Now, SEA, in Hours
Reasons for using online media, % respondents , N=200
2. However, widespread adoption of Digital media and social commerce platforms has some challenges. High subscription fees, inconsistent video quality and high amount of ads plague the platforms
Despite the rapid growth in adoption, users still face challenges around pricing and consistency of video quality. Hence, digital media players need to look for solutions to improve content quality at a marginally higher price to drive further adoption.
Key challenges for using online media, % respondents , N=200
3. These platforms introducing e-commerce, NFTs and cryptocurrencies to increase their consumers touch points and use-cases
Digital media platforms are evolving towards expanding their offerings to go mainstream and gain a share of business in e-commerce, NFTs, and cryptocurrencies. The media platforms are well-positioned to cross-sell these new offerings to their large existing user base.
New offerings from digital media platforms
4. This space has been seeing sizeable capital raise and is attracting interest from other international players
There has been significant capital raise activity in this sector over the last year . In addition, some international players are planning to enter the Southeast Asia market as per media reports. These suggest that there remains ample room for growth and innovation in the core digital media platforms as well.
Funding Deals in the last few months (as per media reports)