Indian shortform video apps are catching up to global players in key metrics like monthly active users, daily active users, and time spent per user. While Instagram Reels currently leads overall, Josh leads among Indian platforms. The content, technology, and user experience of major Indian apps are now close to global counterparts. Creators are increasingly using shortform platforms like TikTok and Indian apps due to higher engagement rates compared to other social media. This has created a $3.5 billion creator economy opportunity in India.

1. February 2023
Bangalore. Delhi. Mumbai. Dubai. Singapore. New York
Q3’22
© 2023 Redseer Strategy Consultants Confidential and Proprietary Information
Indian ShortForm
Apps – Catching up to
Global Players

2. Executive Summary
Executive Summary
Source(s): Redseer Analysis
© Redseer 02
India is one of the most linguistically & culturally diverse countries in the World, driving the
need for localized regional content
Indian SFV apps have carved out a niche serving the regional content needs of India. Indian app users are
more representative of the Indian Population as compared to global apps that are over-indexed on Metro &
Tier-1. Regional content is of key preference in Tier 2+ .
The Coming of Age
of Indian SFV Platforms
as challengers to Global
Apps
Indian SFV apps have seen constant growth in adoption and engagement, coming close to Global players
The content offering of Indian SFV players has also shown consistent improvement, coming close to
International counterparts, while content library (genres) of Indian apps are more in line with Indian needs
Instagram Reels leads overall amongst SFV apps, while Josh leads within the Indian SFV planforms
The technology of Indian SFV players has also come quite close to their global counterparts, with Josh
performing the best in most parameters among Indian SFV platforms
Creator Economy –
a $3.5 Bn Opportunity
waiting to be disrupted
Increasing consumption of UGC has empowered individual creators, who are now building their online identity.
SFV apps are the go-to platforms for creators as they enable higher engagement and discoverability
Brands have increased their focus on Influencer ads on account of their higher effectiveness
UGC platforms are developing Creator Marketplaces that can become a centralized network for creators to
connect to the brands, solving for inefficiency created by intermediary agencies
Monetization of
Indian SFVs – at an
Inflection point;
$8-12 Bn opportunity
~$3-6 Bn advertising opportunity to be unlocked driven by the improvements in Ad Offering & Video Commerce
Video Commerce is expected to be ~$8-11 Bn, with Shortform platforms expected to drive ~40% of the market
With the rise of creator economy, Virtual gifting is expected to reach ~$1.7 bn in 2025.
India Cultural
Landscape and Rise
of Shortform Video

3. Agenda
Agenda
Source(s): Redseer Analysis
© Redseer 03
Indian Cultural Landscape and Rise of Shortform Video
The coming of age of Indian SFV apps – challengers to global apps
Creator Economy – a $3.5 Bn Opportunity waiting to be disrupted
Monetisation of Indian SFVs – at an Inflection point

4. Linguistic Diversity
Descriptive
Source(s): Secondary Research, Redseer Analysis
Note(s): 1. Top 4 develop countries as per GDP and Top 6 emerging countries (defined by IMF) sorted by GDP have been considered
© Redseer 04
India is one of the most linguistically & culturally diverse countries
in the world
- Driving the need for localized regional content
India has 447 living languages and over 19500 dialects. Every 20 Kms, the language, dialect, and culture undergoes a complete change
India ranks the highest in terms of linguistic
fractionalization and has the second highest
number of living languages
0.0
0 100
UK
Japan
Germany
Brazil
Mexico
United States
Size of bubble is country’s population
Indonesia
Iran
Russia
200 300 400 500
Number of Living Languages
Linguistic
Fractionalization
600 700 800
0.1
0.2
0.3
0.4
0.5
0.6
0.7
0.8
0.9
1.0
China
India
North India
Lohri Teej
East India
Bihu Durga Puja
West India
Dandia Ganesh Chaturti
East India
Onam Pongal
Indian landscape Cultural Diversity

5. Metro + Tier 1 (N = 814) Tier 2+ (N = 286)
Tier-wise Split
In %
Consumer Habits/Preferences – Tier-wise Variations
Descriptive
Source(s): Consumer survey (N = 1100), Redseer Analysis
© Redseer 05
Indian SFV apps have carved out a niche serving the regional
content needs of India
Indian app users are representative of the
Indian Population as compared to global app users,
which are over indexed on metro & tier 1 cities
Indian landscape SFV Overview
While the regional languages find an audience across
India, it’s of key preference in tier 2+ cities
Indian
Population
Global
App Users
Indian
App Users
Preferred
Languages
for content
consumption
Hindi
English
Regional
58%
41%
37%
Hindi
English
Regional
50%
28%
40%
Video Content
Preference
Content Quality
Personalization
Influencer Quality
1.
2.
3.
Influencer Quality
Regional Content
Content Quality
1.
2.
3.
Metro
Tier 1
Tier 2
8%
10%
83%
38%
66%
21%
13%
31%
31%

6. Agenda
Agenda
Source(s): Redseer Analysis
© Redseer 06
Indian Cultural Landscape and Rise of Shortform Video
The coming of age of Indian SFV apps – challengers to global apps
Creator Economy – a $3.5 Bn Opportunity waiting to be disrupted
Monetisation of Indian SFVs – at an Inflection point

7. MAU¹ - India SFV
In Mn, Sept’21, Sept’22
DAU¹ – India SFV
In Mn, Sept’21, Sept’22
Time spent per DAU¹ – India SFV
In Mins, Sept’21, Sept’22
Source(s): Redseer IP, Redseer Analysis
Note(s): 1. This only includes India standalone apps accounting for overlap. IG Reels, FB Watch and YT Shorts are not considered
© Redseer 07
Indian SFV apps have seen constant growth in adoption
and engagement …
SFV Metrics User Engagement
Sept’21
261 Mn
275 Mn
Sept’22
+5%
Sept’21
98 Mn
107 Mn
Sept’22
+10%
Sept’21
32.9 Mins
Sept’22
+4%
31.5 Mins

8. MAU - Indian vs Global leading
SFV player
In Mn, Sept’22
DAU – Indian vs Global leading
SFV player
In Mn, Sept’22
Time spent per DAU – Indian vs
Global leading SFV player
In Mins, Sept’22
Source(s): Redseer IP, Redseer Analysis
© Redseer 08
…coming close to global players in terms of scale while having
similar engagement levels
SFV Metrics User Engagement
Leading
Indian Player
165 Mn
213 Mn
Leading
Global Player
Leading
Indian Player
Leading
Global Player
Leading
Indian Player
Leading
Global Player
85 Mn
107 Mn 26 Mins 26 Mins

9. Source(s): App Testing, RedSeer IP, Redseer Analysis
Note(s):
1. Inflammatory Content - % of content in the industry that is inflammatory (content that involves violence, nudity, racial discrimination, vulgar, etc.)
2. % of Copied Content - % of videos that are not created on the platform (copied from third party sources)
© Redseer 09
The content offering of Indian SFV players has also shown consistent
improvement, coming close to International counterparts
SFV Metrics Content Quality
Sept’21
1.9%
0.5%
Sept’22
Inflammatory Content¹ – India SFV
In %,N = 79200 videos Sept’21, Sept’22
-76%
Lower is better
Leading
Indian Player
0.00%
0.04%
Leading
Global Player
Inflammatory Content¹ – Indian vs Global leading SFV player
In%, N = 100,000 videos
Lower is better
Sept’21
3.3%
0.2%
Sept’22
%Copied Content² – India SFV
In %,N = 79200 videos Sept’21, Sept’22
-94%
Lower is better
Leading
Indian Player
1.2%
1.8%
Leading
Global Player
%Copied Content² – Indian vs Global leading SFV player
In%, N = 100,000 videos
Lower is better

10. Source(s): App Testing (N = 35000), Consumer Survey,(N=1100) RedSeer IP, Redseer Analysis
Note(s):: 1. Depth Analysis refers to the expanse of each genre preference in each platform. The more the depth the better. It is calculated by randomly scrolling through 35000 videos �equally distributed
across platforms and understanding how much of each genre type was visible in each platforms.
© Redseer 10
The content library for Indian SFVs are more in line with India’s
needs - with Indian apps having a lead on content depth in
3/5 top content genre
SFV Metrics Content Quality
Most preferred genres in SFVs
In %, N = 1100
Genre Depth¹ Analysis for most preferred genres
Descriptive
Music/Dance 51%
Comedy 49%
15% 20%
% share of category
25%
40%
Art/Creativity
39%
Dialogue/Acting
35%
Motivation
Rank 1 Rank 2 Rank 3 Indian SFVs Global SFVs
In terms of Depth, Indian SFVs outperform global SFVs in 3 out of 5 of the top content genre,
with significant difference in offerings around Music/Dance & Dialogue/Acting content

11. Source(s): App Testing(N = 200,000 videos), Consumer Survey(N = 1100), Redseer Analysis
Note(s):: 1.Cold Feed refers to original content between two devices, accounting for overlap of content, 2. Real time feed refers to original content displayed post refreshing the feed
© Redseer 11
The technology of Indian SFV players have also come quite close
to their global counterparts
SFV Metrics Technology and innovation
Real time feed - Indian vs Global leading SFV player
In %, Sept’22
Leading
Indian Player
Leading
Global Player
98.8% 98.8%
Cold feed – Indian vs Global leading SFV player
In %, Sept’22
Leading
Indian Player
Leading
Global Player
95.4%
97.3%
UI/UX – Indian vs Global leading SFV player
N = 1100, rating on a scale of 1 to 10
Leading
Indian Player
Leading
Global Player
7.9
8.0
Data/ battery consumption – Indian vs
Global leading SFV player
Indexed to the highest value = 1, Sept’22
Leading
Indian Player
Leading
Global Player
0.46 0.53
Lower is better

12. Source(s): Consumer Survey, RedSeer IP, Redseer Analysis
© Redseer 12
Both Indian & Global apps offer similar levels of satisfaction
to Users & Creators alike
SFV Metrics Satisfaction
65%
62%
70% 71%
Net Promoter Score - User
Q. On a scale of 1-10, how likely are you to
recommend this app to your friends/family?
Net Promoter Score - Creator
Q. On a scale of 1-10, how likely are you to
recommend this app to your friends/family?
29%
67%
70%
21%
-8%
-2%
Leading Indian
Player
N=303
Leading Global
Player
N=420
Leading Indian
Player
N=56
Leading Global
Player
N=98
User NPS Creator NPS
22%
74%
72%
26%
-4% -1%
Promoters Neutrals Detractors

13. Source(s): RedSeer benchmarks IP, App Testing, Redseer Analysis
© Redseer 13
While Instagram Reels leads at an overall level, Josh leads within
the India SFV platforms
SFV Metrics Satisfaction
Player Performance Comparison
Descriptive
Supply of Content
No of Posts created per day
Originality of Content
Breadth of Content
Content Compliance
Creator Experience Creator overall Satisfaction
Quality of Content
Content Creation
Personalization
Real Time Feed
Cold Feed
Content Relevance (by search)
Language Support+
Regional Content
User Experience
User Satisfaction
Content Quality
UI/UX
Content Consumption
Parameters Components Instagram Reels YouTube Shorts Josh Moj
No. of users generating content
Global Shortform Platforms Indian Shortform Platforms
Laggards Leaders

14. Agenda
Agenda
Source(s): Redseer Analysis
© Redseer 14
Indian Cultural Landscape and Rise of Shortform Video
The coming of age of Indian SFV apps – challengers to global apps
Creator Economy – a $3.5 Bn Opportunity waiting to be disrupted
Monetisation of Indian SFVs – at an Inflection point

15. User Generated Content Flywheel
Descriptive
Source(s): Redseer Research, Redseer Analysis
Note(s): 1. MAU of Sept’22 considered 2. MAU for Facebook considered as Social Media
© Redseer 15
Increasing consumption of UGC has empowered individual creators,
who are now building their online identity
Creator Economy Overview
Content Consumption
Platforms on rise:
UGC & PGC
User rising on content
platforms
User Generated Content
Rising exponentially
Creator flourishing via
user Generated content
User
Generated
Content
Flywheel
MAU as of Oct’22 (# in Mn)
OTT Social
Media
Shortform
330 364
275
UGC & PGC Platforms
Rising UGC Consumption
Rising PGC Consumption
Content Type
Blogs & Vlogs
Podcasts
Memes
Live streamers
Product Reviews
Artists

16. Follower Metrics
Descriptive
Source(s): Secondary Research, Redseer Analysis
Note(s): 1. Reach Rate refers to the total reach of a post divided by the number of followers a person has. Engagement rate is the avg likes/comments/shares per post� out of the total reach or unique views
© Redseer 16
Shortform video apps show higher user engagement and
discoverability – making them the go to platform for creators
Creator Economy Creator Metrics
Reach Rate¹/
Watch Rate (%)
16-17%
TikTok Indian SFVs Facebook Instagram
7%
2.5-6%
14-15%
5-6%
3-7%
8-9%
1-2%
0.5-2.5%
3-4%
1.5-2.5%
Engagement
Rate ²(%)
Average increase
in followers
(per month)
Pure Shortform Video Platforms Social Media Platforms
Follower
Metrics
Creator Factory
Social Media Platform (Facebook, Instagram etc) are witnessing an overall declining trend in reach rates in 2022
Shortform platforms (TikTok) on the other hand, are witnessing higher engagement and watch trends in 2022
Even within Instagram, Instagram Reels has a higher engagement rate of ~2% whereas Instagram has an engagement of <1%
13-14%

17. Creator Evolution
Descriptive
Source(s): Secondary Research, Redseer Analysis
© Redseer 17
The medium is now giving rise to the ‘new-age’ celebrities
Creator Economy Creator Metrics
Bhuvam Bam Shiv Thakre Shlagha Saligrama
Creators that started off their journey creating short form content…
… have transcended well beyond the medium to star in movies and tv shows

18. Influencer advertisement conversion
N = 1100
Product categories purchased after influencer advertisement
N = 1100
Q: What product categories have you purchased after
seeing influencer advertisement on SFVs?
Source: Consumer Survey (N = 1100), Redseer Analysis
© Redseer 18
Brand ads conversion via influencers is high, with most popular
categories being sold being Fashion and BPC
Creator Economy Influencer Marketing
67%
Fashion
BPC
F&B
Electronics
Fitness
Furniture
Gaming
42%
37%
35%
25%
21%
19%
Seen influencer
advertisement on SFVs
N=290
66%
42%
58%
34%
N=192
Purchased after
seeing the Ad
I purchased twice from the link provided by the influencers in
the video itself which makes it easier to purchase, sometimes
they also provide discounts and offers .
- 25 years, Male, Self-employed
Yes
No

19. Descriptive
Source(s): Secondary Research, Redseer Analysis
Note(s): - One Impression is influencers marketing platform with 400 brands and 700 million creators globally
© Redseer 19
Brands which traditionally created lengthy ads have now started
focusing increasingly on Influencers for their ad spends due to
the higher effectiveness
Creator Economy Brand Perception
Amazon India with 150+
influencers introduced live
streaming in September
before festive season
Myntra collaborated with
leading fashion and beauty
influencers to host 350 live
sessions
” Budgets dedicated by brands towards
influencer marketing used to be 10-15%
earlier. These have now increased to 25-30%
this year.”
Personal care companies have built
‘influencer – first’ marketing strategy
through active online communities
Akash Gupta
CEO and Co Founder
”Influencers have been a core asset to boat’s
journey . The brand currently works with
about 100 micro influencers on a regular
basis apart from celebrity endorsements.”
Aman Sadana
Marketing Manager
”We are working with 500 influencers; We saw
engagement with vernacular creators grow by
30% year on year and it has become a key part
of our influencer marketing approach.”
Dushyanth Jayanty
Vice President Marketing

20. Descriptive
Source(s): Secondary Research, Redseer Analysis
© Redseer 20
Sprite is an example of a highly successful brand campaign
run via influencers – proving the high effectiveness of
Influencer Marketing
Creator Economy Case Study
Sprite, popular soft drink
manufactured by
Coca-Cola launched
#ThandRakh influencer
campaign on social media
along with TVC
April 2022
Sprite picked 5 comic and
entertainment creators for
their tongue-in-cheek
humour
Influencer Identification
It turned out to be one of
the best micro- influencer
campaigns with record
breaking reach and
engagement
Result
Total Reach Total Engagement Cost per engagement
Key Milestones
2.5 Mn 3.5 Mn 0.68 INR
Instagram ads cost per
engagement is ~INR 25-60
which is ~50X expensive

21. Source(s): Secondary Research, Redseer Analysis
© Redseer 21
As brands increase influencer-led marketing, ecommerce platforms
leverage them in video commerce - we expect influencer marketing
to be $ 2.8- 3.5 Bn in 2028
Creator Economy China Influencer Marketing
Marketing spend on Influencers– China
CY16, CY20, In USD Bn
Marketing spend on Influencers– India
CY16, CY20, In USD Bn
2016 2020 2022
$ 0.35- 0.4 Bn
$ 2.8- 3.5 Bn
2028P
$8Bn
$43Bn
+50%
$ 2.8 Bn
$ 0.7 Bn
~45%
~40%
Base
Case
Aggressive
Case
China’s Influencer Spend grew at a CAGR of ~50% from CY 16 to CY 20 – similar trends are expected to play out in India

22. Source(s): Secondary Research, Redseer Analysis
© Redseer 22
Currently, brands and influencers mostly engage via intermediary
agencies – a model that is broken and lacks efficiency
Creator Economy Challenges with model
Influencer-Brand Engagement models
Descriptive
Agency
Offers Marketers end-to-end
influencer content solutions
Brands are aware regarding the
influencers & reach out directly
Brand Influencers
Currently the go to model in the Industry
Challenges in Discovery, Commission & Reporting
Limited discoverability and poor scalability
Direct
Need for a tech-enabled, transparent and scalable solution

23. Source(s): Secondary Research, Redseer Analysis
© Redseer 23
UGC platforms are developing Creator Marketplaces that can become
a centralized network for creators to connect to the brands
Creator Economy Creator Marketplace
Creator Marketplace: Value proposition, suitability of platform-ization and global learnings
Descriptive
With ~3.5 Mn creators on the platforms, UGC platforms are most suitable for tapping the marketplace opportunity in India
Influencer Marketplace can become single
point for brands discovering a creator and
engaging with them
Dashboard for diverse influencers base,
their content profile and engagements
Ability to shortlist creators based on
brand’s TG, campaign objective
Centralized and direct communication
with creators
Real-time insights into influencer
campaign
UGC content platforms are better
positioned for setting up Creator Market-
place
UGC platforms have large captive
content creators
Have true insight on creator metrics
Ability to track metrics for marketing
campaign
High Quality creator statistics
enabling data-driven decisions about
collaborations
Other players are also launching their
own platforms
While TikTok is the only UGC platform with
a global marketplace, other platforms are
catching on
8 Mn+ Creator Base
Available in US to
the brands on an
invite only basis
Available in India on
an invite-only basis

24. Source(s): Expert Interaction, Redseer Analysis
© Redseer 24
Indian platforms are also creating influencer marketplaces
comparable to their international peers
Creator Economy Creator Marketplace
Verse has created a holistic marketplace
including Creator’s Social media metrics
of Instagram & YT for better decision
making by brands
Case Study on India’s Creator Marketplace- VerSe
Descriptive
Creator Country
Audience country or region
Social Metrics
Average Views
Creator Content Category & Sub
Categories
1
2
3
4
5
1
2
3
4

25. Agenda
Agenda
Source(s): Redseer Analysis
© Redseer 25
Indian Cultural Landscape and Rise of Shortform Video
The coming of age of Indian SFV apps – challengers to global apps
Creator Economy – a $3.5 Bn Opportunity waiting to be disrupted
Monetisation of Indian SFVs – at an Inflection point

26. Source(s): Expert Interaction, Redseer Analysis
Note(s): Advertising revenue is pure revenue while Video Led Commerce & Gifting is GMV
© Redseer 26
Monetisation of Indian SFV apps are at a cusp of a breakout,
$~8-12 Bn market for the taking by 2030
Monetization Overview
India SFV TAM
CY30F, USD Bn
Total Opportunity
$ 8-12 Bn $ 3-6 Bn
$ 3-4 Bn
$ 1.7 Bn
Advertising Video Commerce Live Gifting

27. FY22
$ 50 Mn $ 80-90 Mn
$3-6 Bn
SFV ad spend as % of
total digital ad spend
FY23E FY30
Source(s): Expert Interaction, Redseer Analysis
ShortForm Video does not include IG Reels, FB Watch and YT Shorts
Content includes time spent on any form of online video, music, podcast or social media platform
© Redseer 27
Indian SFV apps are yet to realize their potential, though this is
changing rapidly…
Monetization Advertisements
Advertising Spent VS Time Spent - ShortForm Video Platforms
Descriptive
India - SFV Ads market
FY19 – 30 USD Mn
Currently, ShortForm Video
contributes “<1% of the
Digital Ad $”
ShortForm Video contributes
to “7-10% of overall time
spent on content”
Mismatch between Ad-Spend and Time spent
22%
70-85%
0.06% 0.08-0.1% 10-20%
..%
As of 2022, China at ~30%

28. Source(s): Brand Interactions, RedSeer Analysis
© Redseer 28
…driven by improved ad offerings by Indian SFV platforms and
changing brand perceptions
Monetization Advertisements
Evolution in Ad Offerings – Indian SFV Platforms
Descriptive
Brand profile
Icon
Social Interaction
Buttons
Brand profile
Follow Button
Offer Brand
Price Brand
CTA
”Our content has seen a steady growth in engagement on the
platform, with the new ad offerings we plan to get aggressive
in advertising on the platform and drive merch sales”
- Campaign Manager, IPL Cricket Team
”Previously we were a little skeptical of advertising on the
platform, however with the new options allows us to
experiment”
- Brand Manager, Traditional FMCG Company
Introduction of Dynamics Ads & Engagement Elements

29. Source(s): Secondary Research, Redseer Analysis
© Redseer 29
In China, video commerce is a highly matured industry contributing
~10% to e-commerce GMV, with the largest player having ~80% share
Monetization video commerce
China video commerce GMV
CY19 – CY22P, In USD Bn
Top categories in video commerce
In %, CY21
2019
$ 68
$ 175
$ 275
$ 385 100%
45%
2020 2021 2022P Apparel &
Fashion
Beauty Food Consumer
Electronics
Others
+78.2%
5% 12% 9% 17%
36%
8%
7%
5%
X%
% of E-commerce GMV

30. Source(s): Secondary Research, Redseer Analysis
© Redseer 30
In India – ShortForm & eCommerce platforms are betting big
on video commerce
Monetization video commerce
Video commerce business models
Descriptive
Amazon India launched its
video commerce feature with
150 creators in September
before festive season
Meesho debuted video
commerce feature during
festive sale, last week of
September
In October 2021, Flipkart partnered with homegrown short
video platform, Moj, to enable video and video commerce
experiences at scale.
Pure Play Video Commerce Platform
Social Media
Shortform Content Apps
E-commerce Marketplaces
Other Online marketplaces joining
the video commerce

31. Source(s): Consumer Survey, Secondary Research, Redseer IP, RedSeer Analysis
© Redseer 31
In India, video commerce has just started, SF platforms are expected
to hold ~40% of the $8-11 Bn pie - main categories being sold to be
Fashion and BPC
Monetization video commerce
Video commerce GMV and split by type
of platform
2030, In USD Bn
Video commerce Category Split - Current
N =1100, in %
Q: Which of the following categories would
you be okay purchasing via video commerce?
Others
Via Ecommerce
marketplaces
Via Shortform
Platform
5%
55%
40%
~$ 8-11 Bn
53%
Fashion
BPC
F&B
Electronics
Fitness
Furniture
Gaming
45%
35%
31%
21%
19%
19%
Influencers endorsing these
products, are believable and
viewed as a credible source of
information, when it comes to the
categories, they claim to be
experts in
Shopatainment is what really
makes live stream shopping
different by potentially
shortening customer decision
journeys from awareness to
purchase.

32. Source(s): Consumer Survey, Secondary Research, Redseer IP, RedSeer Analysis
© Redseer 32
Virtual gifting is a tool via which creators can engage audiences
Monetization Virtual Gifting
Livestreaming Popularity – Viewers Perspective
Descriptive
Livestreaming Popularity – Creator’s Perspective
Descriptive
Why People Enjoy watching live content
Celebrities become reachable
The content becomes less detached and
more personal
The ‘FOMO factor’
Similar to why live sports still drives TV
watching, live videos are live only once which
gives a ‘can’t miss’ or ‘anything can happen’ feel
Instant gratification and recognition
Live videos continue instant gratification via
instant likes, along with ‘virtual gifts’, and paying
to have a pinned comment/some sort of
spotlight
For creators, live streaming helps them gain much better engagement (people comment 10X
more than on regular videos), as well as monetization possibilities such as Virtual Gifting
Virtual gifts starting from INR
2 is available (in Indian SFVs)
A take rate of about ~50% is
taken by the platform, rest
goes to the creator

33. Source(s): Secondary Research, Redseer Analysis
© Redseer 33
In China, virtual gifting via shortform video platforms such as
Kuaishou, Douyin currently have a market size of ~5-6 USD Bn
expected to reach $7-8 Bn by 2025
Monetization Virtual Gifting
China Livestream Virtual Gifting Market – via SFV platforms
CY18 – CY22F, 25F, 30F, In USD Bn
Recent development in Virtual Gifting Landscape (China)
Biggest players in China
Biggest players in China
Minors were tipping
excessively out of
parents’ savings and
getting addicted to it
2018
3.2
5.4
5.8
5.3
6-6.5
7-8
2019 2020 2022F 2025F
2021
+7.5%
Revenue from Virtual Gifting
reduced in 2021 due to recent
regulatory changes in China
Revenue from Virtual Gifting
reduced in 2021 due to recent
regulatory changes in China
Average Revenue Per Paying User
in China is ~RMB 56, and expected
to grow at a CAGR of ~3%
A Ban on Tipping by Minors
Due to unhealthy
competition arising out
of Tip Rankings, people
irrationally spent money
Tip Rankings Outlawed
Kuaishou
Douyin
Momo Douyu YY
$8

34. Source(s): Consumer Survey, Secondary Research, Redseer Analysis
© Redseer 34
In India, virtual gifting via shortform video platforms is expected
to be a USD 1.7 Bn market
Monetization Virtual Gifting
Projected Spends
on Virtual Gifting
Decrease significantly
Slightly decrease
Slightly Increase
Increase significantly
Willingness to spend, Virtual Gifting
Sep’22, N=1100
India Livestream Virtual Gifting Market via SFV platforms
CY22E, 30F, In USD Bn
-9%
-14%
33%
9%
42% Users claim that their
spends on virtual gifting
would increase in the future
2022E
$ 0.1 Bn
$ 1.7 Bn
2030F
+55.4%

35. Report Authors
Report Authors
Anil Kumar
Founding Partner, Redseer
Anil Kumar is the Founder of Redseer Consulting. He has been part of engagements in Internet, Private Equity, Retail CPG and Healthcare among
others. He specializes in growth and investment strategies. Anil is a believer of the data-driven approach in solving business problems. His consulting
approach leverages Data IP, sector expertise and the client’s core hypothesis. He holds a B-tech from IIT Delhi. He can be reached at
anil@redseer.com
Mohit Rana
Partner, Redseer
Mohit is a Partner at Redseer Consulting and brings over 25 years of experience in consulting, financial services, start-ups, and technology. He is
passionate about Indian startups and has been instrumental in helping clients frame growth strategies, launch new businesses, and drive large
operational improvement programs. He holds a PGDM from IIMA and B.Tech from IIT Delhi. He can be reached at mohit.rana@redseer.com
Yash Rathi
Senior Consultant, Redseer
Yash Rathi is a Senior Consultant at Redseer. He has worked on engagements in eCommerce, FoodTech, Media and Education space. He brings
project experience in domains such as index creation, due diligence, long term strategy and benchmarking. He holds a B.Sc in Finance from NMIMS,
Mumbai. He can be reached at yashr@redseerconsulting.com
Khushi Poddar
Associate Consultant, Redseer
Khushi has worked on engagements in the advertising, digital media and entertainment, Edtech, and Insurtech spaces. She brings project experi-
ence in market research, due diligence and benchmarking. She holds an MBA degree from IIM Kozhikode & a B.A in Economics from Hansraj College,
Delhi University. She can be reached at khushi.p@redseerconsulting.com
Wasim Khan
Business Analyst, Redseer
Wasim has worked on consumer engagements and market reports in the digital media and entertainment, Edtech, and Insurtech spaces.He has
graduated from SRCC and holds B.COM (H). He can be reached at Wasim@redseerconsulting.com

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