wordpress blog stats
Connect with us

Hi, what are you looking for?

Saregama’s YouTube streams more than doubled in 2017–18

Music label, film company — and now hardware seller — Saregama is transitioning out of its reliance on the mobile VAS business and is monetizing its music more on streaming services and YouTube. “This year apart from being the big growth driver that came in, has also been a year we have taken a very conscious call to get out of some businesses,” said Vikram Mehra, managing director at Saregama. “WAP business is one of them. This is a feature that we used to support on feature phones across this telecom operator, it used to be a large topline business, but we realize, it is a dying business and secondly, it is a non-IP business. We were playing a role of an aggregator and that is not what is a core of Saregama.”

ReadSaregama exceeds expectations, sells 389,000 units of Carvaan

The numbers

Saregama’s B2B business, which is essentially its licensing of music to streaming services, is paying off more due to rapidly declining data costs. “Data cost, which was some 250 bucks when I joined this company has fallen down below 5 bucks per GB,” Mehra said.

In the last one year, OTT streams, which is essentially playbacks on apps like Saavn, Gaana, and Wynk Music, have grown by 44%, to 724 million in Q4-2018 alone. It’s important to note that music labels get paid by streaming services on a per-play basis, regardless of whether the listeners are paying subscribers or not. “3.1 billion times a Saregama music IP was consumed by someone in some part of the world in 28 days,” Saregama said. “And we know which song got played for each of these 3.1 billion instances.”

Meanwhile, YouTube grew by 111% over the last year, getting 186 million views a month. That’s 558 million views a quarter. YouTube alone gets a lot of views compared to the total of Saregama’s music across multiple streaming providers. “OTT & YouTube will continue double-digit growth while Telecom will continue to decline,” Saregama said in its investor presentation. “Consolidation may happen across OTT buyers, but the total streams will continue growing,” Saregama said, in an apparent reference to JioMusic and Saavn’s merger.

Music financials

While Saregama’s movie effort, Yoodlee, is much more long-term and is currently losing money, the music business is booming. From FY 2016–17 to 2018–18, annual music revenue grew by 107% — from ₹1.412 billion to ₹2.927 billion. Profit after tax for the entire company grew 205% in the same period, from ₹1 billion to ₹3.05 billion.

Of course, music revenue also includes (and is helped by) Carvaan, Saregama’s breakout retro music player that comes with old songs pre-loaded, aimed at older audiences.

Earnings Call Transcript | Earnings Presentation

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



By Rahul Rai and Shruti Aji Murali A little less than a year since their release, the Consumer Protection (E-commerce) Rules, 2020 is being amended....


By Anand Venkatanarayanan                         There has been enough commentary about the Indian IT...


By Rahul Rai and Shruti Aji Murali The Indian antitrust regulator, the Competition Commission of India (CCI) has a little more than a decade...


By Stella Joseph, Prakhil Mishra, and Surabhi Prabhudesai The recent difference of opinions between the Government and Twitter brings to fore the increasing scrutiny...


This article is being posted here courtesy of The Wire, where it was originally published on June 17.  By Saksham Singh The St Petersburg paradox,...

You May Also Like


Under the new rules proposed by the government, marketplace e-commerce entities cannot sell goods on their platform, flash sales are banned, and foreign products...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Your email address:*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ