The evolving OTT landscape in APAC

In APAC, there has never been access to so much engaging and varied content—from global blockbusters and hyperlocal dramas to breakout hits that find a universal audience. Consumers are constantly looking to be entertained, and they are consuming more content than ever before.

Insider Intelligence has projected that across APAC, there will be a total increase in time spent watching TV and video content of up to 15% from 2023 to 2025. Since 2020, the growth of over-the-top (OTT) accelerated to extreme heights, and OTT platforms are now a standard supplier of APAC consumers’ media diet. In fact, the region is leading the world in growth, as reflected in a study by Conviva that reported that streaming viewing time for APAC in Q2 2022 grew 90% over the year before, surpassing all other regions.

Average time spent per day with total TV and digital video, eMarketer May 2023

Across APAC, a preference for Asian content has been on the rise. According to a Trade Desk report, Korean content, for instance, rose 21% in popularity across all Southeast Asia markets, and is ranked number one in preference in Indonesia and the Philippines.

Chinese and Thai content also show strong promise, with Thai drama series and movies starting to break through in key markets outside of Thailand. Fueling this demand is the myriad regional and local OTT players that are starting to scale across the region and in global markets. Platforms like WeTV and VIU are not only producing and distributing more pan-Asian content, but they are also pricing their subscriptions at 30% to 50% less than that of international platforms like Netflix. This hyper-localisation and globalisation dichotomy will likely continue to play out in APAC and shape digital content behaviours and adoption here.

The rise and rise of Asian content due to preference, access and affordability

Tech advancements, increased competition, and economies of scale have led to greater affordability of technology. Factoring in the rising affluence of the middle class in the APAC region, it is no wonder that multi-device ownership has increased significantly. Currently, more than 53% of internet users own three or more devices, with the smartphone, desktop or laptop, and smart TV the most popular devices owned by consumers in the region.

In Australia and New Zealand, smart TVs and connected TV devices already account for 59% of total streaming time, according to the aforementioned Conviva report. Even in the rest of APAC, where streaming behaviours on mobile are high—42% of total streaming time—smart TVs and connected TV devices account for even more time (43%). Moreover, connected TV viewing is set to grow in SEA: A study by The Trade Desk found that 46% of OTT viewers in the region are somewhat or very likely to purchase a smart TV in the next 18 months.

Global, regional, and local OTT players are in an intense battle to be the content provider of choice for APAC consumers, and that means that platforms are continuously looking for new opportunities to grab viewers. Interactive content, for instance, has become increasingly popular—a great example being Netflix’s Man vs Wild, a reality-TV adventure series in which viewers make key decisions to help the show’s protagonist, Bear Grylls, navigate harsh environments to survive and complete missions. In 2022, the streaming giant created Ranveer vs Wild with Bear Grylls, which features the Indian superstar Ranveer Singh and was India’s first-ever interactive reality TV show.

Ranveer vs Wild with Bear Grylls by Netflix

Platforms like the Chinese OTT player Iqiyi have also been leveraging technology to create more interactive user features and more immersive viewing experiences. For the second season of its original variety show Youth With You, it introduced a multi-perspective mode that allowed users to simultaneously watch the performance of the talent show’s trainees from a view of the whole stage and a separate view focusing on their favourite trainee.

The highly popular programme also utilised the platform’s AI Radar Qiguan function, which featured an interactive ‘Who is He/She?’ button, allowing users to identify contestants with a single click. Qiguan also allowed users to get quick access to a contestant’s biography and previous works by connecting with Iqiyi Encyclopaedia as well as express their support for their favourite contestants in Iqiyi Paopao, the platform’s entertainment community for fans.

Another innovative feature that the platform has since launched is Watch Party. By synchronising video playback among groups, it allows you to consume the same content with friends without having to be in the same room with them. Up to ten users can join a session and stream the same content, as well as send each other voice messages in the chatroom to share their reactions and thoughts in real time. The popularity and success of Watch Party emphasise consumers’ desire for social interaction, even while consuming content.

The amalgamation of tech and creativity also gives rise to more unique and customised opportunities for brands to integrate with streaming content. The local Chinese milk brand Mengniu was involved in the Youth With You competition itself, through an engaging campaign that lets viewers vote for their favourite contestant. In effect, participants played a role in deciding contestants’ rankings, while allowing the brand to act as an ambassador for contestants and show producers. When the eleventh season of the Indian Premier League (IPL) aired on the Hotstar platform, it debuted a new feature: Watch’NPlay. A blend of quiz and prediction, it enabled live viewers to participate and interact with the game, answering game-related questions to earn tangible rewards from brands like Paytm and PhonePe (both payment companies) and Cadbury.