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Rural internet users, local content to drive growth in user base: IAMAI

internet

A report released by the Internet and Mobile Association of India (IAMAI) on the internet in local language claims that rural India will drive 75% growth in adding to the internet user base, while urban India will contribute by 16%. The current internet user base will grow by 39% by December 2015, and will primarily be due to content in local language.

According the report, which surveyed over 65,000 individuals (including developers and publishers) across 35 cities, India has 353 million internet users as of June 2015. Of this, 269 million access the internet at least once a month. A Mint report states that this report has information combined from ‘various data sources’ in 2012, 2013 and 2014.

At 57% penetration, there are 188 million urban internet users, out of which 81 million are local language users, which makes up 43% penetration. In rural India, there are 81 million internet users, out of which 46 million users use the internet in local languages, forming 57% penetration.

Communication and entertainment form top uses for urban and rural users

The report states that the Indian local language user base is growing at 47% year on year and has reached 127 million users in June 2015. Primary reasons to access the internet are communication, social networking and entertainment, although the IAMAI does not specify what comes under these specifically. Urban users will use the internet most for communication, whereas rural users will access the net for entertainment.

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$560.56 million digital ads spend in India by December 2015

According to the report, digital advertising spend in India will be Rs 3,575 crore ($560.56 million) by December 2015, of which 5% (Rs 179 crore/ $28.07 million) will be because of local language digital ad spends. The local language digital ad spends will reach nearly 30% of the overall digital ad spends in the next 5 years.

78% Indian users prefer video content in local languages: Vuclip

In June, mobile VOD company Vuclip’s survey on global video insights across 8,500 users in emerging markets of India, the Middle East, South East Asia and Africa found that 78% of its users prefer watching content in their native languages in India. Hindi videos account for over 40% of viewership traffic in India, followed by Tamil at 8%, Telugu at 6%, Bengali and Marathi at 4% each. On the Vuclip platform, movies and TV shows accounted for 80% of the international content consumed.

Indic CTR value higher than English

We’d reported last year from the #NAMAIndic conference that challenges in case of monetization include those with getting specific creatives for Indic languages. “An English creative gets 0.1% to 0.15%. A language creative can get 0.4-0.5% CTR.” Our Indic language coverage here.

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Image Credit: Flickr user Julian Burgess

Corrigendum: A previous version of this article carried an incorrect digital ad spends number, it has been corrected. Our apologies for the error.

Written By

I'm a MediaNama alumna from 2015-16 (remember TinyOwl?) now back to cover e-services like food and grocery delivery, app based transport and policies, platforms and media in India.

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

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