JioCinema announces new ad-free premium plan for ₹29 a month

JioCinema Premium will include ad-free content across languages, including original series, movies, children’s shows and TV entertainment on any device, including connected TV sets, for ₹29 a month. The company will also offer a family plan for ₹89 a month that will allow users to stream content on up to four devices simultaneously. 

Streaming platforms have been deploying hybrid models (driven by both advertising and subscriptions) of late to shore up revenues. Last year JioCinema had rolled out a ₹999 annual plan for ad-free Hollywood content and ad-supported local-language programming and sports.  

Also Read: Netflix to shift focus from viewer count to engagement metrics

While sports content, including the ongoing Indian Premier League (IPL), and some entertainment programming will remain available for free as part of its ad-supported offering, the new ad-free plans will cover original series and movies such as Ranneeti: Balakot & Beyond, and Murder In Mahim, among others. 

Kids’ and family entertainment including titles such as Motu Patlu, Shiva and Rudra, and content from local-language TV channels owned by Viacom18, such as Colors and Nickelodeon, will also become ad-free, and serials will be available to JioCinema members before their are aired on TV. More than 20 TV channels from the Viacom18 Network will be available for streaming, the company said.

International content through partnerships with Peacock, HBO, Paramount and Warner Bros Discovery, including titles such as Game Of Thrones, House Of The Dragon, Oppenheimer and Barbie will also be available in Hindi, Tamil, Telugu, Bengali and Marathi without ads, the company said.

Undercutting rivals

The JioCinema Premium plan vastly undercuts offerings from Netflix, Disney+Hotstar and Amazon Prime Video. Netflix’s premium plan, which allows users to stream 4K content on up to four devices at a time, cost ₹649 a month, while Disney+Hotstar’s premium plan costs ₹1,499 a year or ₹299 a month. Amazon Prime Video comes bundled with Amazon Prime, which also costs ₹1,499 a year or ₹299 a month. Amazon also offers Prime Lite, which includes free shipping and access to Prime Video content with ads for ₹799 a year.

Also Read: Mint Explainer | All you need to know about the $8.5-bn Disney-Reliance merger

Kiran Mani, CEO, Viacom18 Digital said, “Building an entertainment ecosystem with a product that is made for every Indian household is not just a business strategy but a vision to empower our country and users with an unmatched entertainment experience. JioCinema Premium aims to redefine the narrative of premium entertainment for every Indian while building a daily viewing habit.”

He added that the introduction of JioCinema Premium breaks cost and quality barriers in accessing premium entertainment by offering 4K streaming, high-quality audio, offline viewing and no device restrictions.

Ad-supported plans mushroom

Video streaming platforms are increasingly ad-supported plans, having realised that the hybrid model works best for price-sensitive Indian consumer. Revenue from ad-free subscription plans in India is expected to grow at a compound annual growth rate (CAGR) of 19% from $1.2 billion in 2022 to $2.9 billion in 2027, while revenue from ad-supported plans could increase from $1.15 billion to $2.42 billion over the same period at a CAGR of 16%, a Deloitte report said.

Jehil Thakkar, partner and media and entertainment sector leader at Deloitte India said in a recent interview, “The developed world is following in our footsteps on pairing of portfolios . OTT platforms are going back to the drawing board and revisiting the breadth of content and budgets.” 

In February, Reliance Industries and The Walt Disney Co joined forces to create a media behemoth by combining the businesses of Reliance’s Viacom18 Media Pvt Ltd and Disney’s Star India. RIL will also invest  ₹11,500 crore in the joint venture, valuing the combined entity at  ₹70,352 crore post-money, excluding synergies.

Also Read: Media empire takes shape, with Reliance-Disney at the helm

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Published: 25 Apr 2024, 09:00 AM IST