Amongst Indonesian consumers, premium OTT is viewed as having the highest quality content. According to AVIA’s latest study, 75% of users of premium OTT services (such as Netflix, Vidio, Viu and WeTV) said they offer the best quality content, higher than users of any other category of video. Of all 24 video platforms studied, five of the top seven services ranked as offering the highest quality content were premium OTT.
Furthermore, the report revealed that the usage of premium OTT is also associated with the most positive emotions. When asked about feelings after watching an hour of different types of content, television series and movies significantly outscored user-generate content (UGC) and social media in eliciting happiness and amusement.
While premium OTT is still at an earlier stage of development in Indonesia than free user-generated content and social media services like YouTube and TikTok, it is clear that those who use premium OTT value it more, according to AVIA. When asked what video services they would first be prepared to forego, only one in the top ten services was premium OTT, and the top 4 were all social media or UGC services.
“We believe the power and opportunity of premium OTT is hugely significant and offers a real and relatively untapped opportunity for advertisers in Indonesia. The proven quality of the environment, the stickiness of the content and the positive emotions created by it are critical for advertisers, and this study clearly demonstrates that. Given the dominance and high penetration of UGC and social media video services in Indonesia, the fact that this smaller but growing category of premium OTT performed so well in these categories is quite remarkable. We believe advertisers need to sit up and take note,” said Louis Boswell, CEO of AVIA.
AVIA’s “Premium OTT: Building its Rightful Place in the Digital Market (Indonesia)” study aims to understand the usage of different video services in Indonesia and consumer attitudes towards them. The study looked at video across social media, user-generated content (UGC), linear TV, messaging services and premium OTT.