The company launched the mobile-only plan last year with telecom service provider Airtel<\/a> and is now expanding the service to all users. Customers can subscribe to the service through the Android app or on the Prime Video website.
The mobile-only version will be a no-frills video service with no additional benefits like free and fast shipping on Amazon’s marketplace, streaming on other devices such as smart TVs<\/a>, high-definition (HD) and ultra-HD content, ad-free Prime Music, and Prime Reading, all of which come with the Rs 1,499 annual plan. Mobile-only users will have the option to upgrade to the 1,499 plan.
Netflix also launched a mobile-only plan for its India users in 2019. It came with limitations such as single-use access and no high-definition content. These companies have been plagued by password-sharing, especially among users in India, which eats into their revenues.
“With viewers from 99% of the country’s pin codes, [Prime Video] has become the preferred destination for premium content,” said Gaurav Gandhi, vice president, Prime Video India. “Guided by our mission of making high quality entertainment even more accessible across the country, we are excited to launch Prime Video Mobile Edition’s annual plan.”
The development comes at a time when over-the-top (OTT) content platforms are set to dethrone multiplexes as India’s go-to entertainment option, according to a report by SBI<\/a> Research. OTT players will soon do to multiplexes what multiplexes did to VCR and VCD players during the early 2000s, according to SBI Research's assessment.
It forecasts that OTT will be a Rs 12,000-crore market by 2023 – growing at a compound annual growth (CAGR) of 36% from Rs 2,590 crore in 2018 – on the back of the pandemic and a shift in consumer behaviour.
According to a report by Bernstein published in September, there are around five million Prime subscribers in India.
Prime users are among Amazon’s most active customers, and its video service is considered a significant part of its business flywheel. Amazon founder Jeff Bezos famously said, “When we win<\/a> a Golden Globe, it helps us sell more shoes.”
“India is turning into an innovation hub for Prime Video,” said Kelly Day, vice president, international, Prime Video.
“An initiative like Prime Video Mobile Edition, that had its genesis in India, is now being rolled out across multiple countries in Latin America and South East Asia. We are confident that the new Prime Video Mobile Edition annual plan will further help accelerate the growth of our India business and give an even larger customer base access to the high-quality content on the service.”
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