If done right: Can CTV’s inclusion in TV ratings change the game for advertising?

As the Ministry of Information & Broadcasting (MIB) has asked the Broadcast Audience Research Council (BARC) to include Connected TV viewership in its audience measurement system, industry stakeholders agree that the move could be transformative, but only if executed right.

They believe CTV inclusion will be valuable only if all OTT platforms opt in and data sharing is seamless, while BARC’s ability to integrate measurement at the hardware level will determine whether India finally gets the full picture of content consumption across devices.

CTV penetration in India is growing rapidly. According to the Dentsu e4m Advertising Report 2025, India’s CTV advertising market is projected to reach Rs 1,500 crore by 2025, growing at a CAGR of 45 percent between 2023 and 2025. It is projected to reach Rs 3500 crore by 2027.

This rapid growth is being driven by affordable smart TVs, improved internet connectivity, and a steadily expanding content library on streaming platforms. An EY report further estimates that CTV penetration will rise from 30 million households in 2024 to 76 million by 2030, underscoring the medium’s accelerating adoption and its growing significance in future media planning.

According to a recent report by Ormax, India’s OTT audience has reached 601 million, with 148 million active paid subscriptions and Connected TV user base has risen by 87% in a year to 129.2 million.

The biggest CTV players in India include YouTube, JioStar, Amazon Prime Video and Netflix.

As reported by e4m earlier, YouTube had a massive advertising and subscription revenue combined at over Rs 14,000 crore, accounting for around 37% of the total digital media revenue in FY24-25. Close on its heels was JioCinema (now JioHotstar), followed by Netflix and Amazon Prime Video.

In its Q1 2025 earnings (released April 25, 2025), Alphabet reported that YouTube advertising brought in $8.1 billion globally, a 13 percent year-on-year increase. That figure does not include subscription revenue (from YouTube Premium or YouTube Music), which adds another chunk on top.

The growth of digital means content consumption has led to a decline in pay TV homes in India – pay TV homes fell by 40 million from 151 million in 2018 to 111 million in 2024, according to an EY report released in June this year. The traditional linear TV broadcast ecosystem comprises cable TV, DTH, HITS and IPTV.

There are currently 912 private satellite TV channels permitted by the Ministry of I&B. The number of pay TV channels stands at 333. There are four DTH players and the subscribers stand at 56.07 million as of June 2025, down from over 62 million in June 2024.

Industry experts point out that while some degree of overlap between CTV and traditional TV is inevitable, the two currently function as complementary platforms rather than competing ones.

“I would say complementing. We need consumers to come and watch our communication wherever they are comfortable. If they are not comfortable with linear TV, and if they are going to be available on connected TV, then that's where I would like to be part of. And hence, from an advertiser perspective, I would look at it as complementary. If he's not available on linear, then he will be available on connected TV. It's my belief that the intersection between the two is very tiny and minimal. And hence, it is going to be incremental,” Riya Joseph, Head of Media, Britannia, said.

Surbhi Gupta, Head – Digital, Birla Opus Paints, noted that the two are different channels, and any cannibalization is not a major concern at the moment. “No, I think they are both different channels — a CTV channel and a regular TV channel. Our marketing teams are sitting and exploring and looking at where to buy, what to buy. They consider all these parameters. While some degree of cannibalization could occur, it is not something we really look at right now. Maybe down the line, if the reach across both channels becomes similar, then that is something we will consider,” she said.

Experts note that advertisers need to be where consumers are most comfortable, and if viewers shift from linear TV to CTV, it is largely incremental rather than cannibalizing.

For Atul Hegde, CEO and Director, YAAP, a digital agency, some budgets may shift between platforms, but cannibalization remains minimal. “It’s still very early. When digital first came in, the same question arose — would it eat into traditional media? Initially, yes, some budgets shift from one medium to another. But as the overall sector grows, both start to coexist. There will always be some overlap, but the cannibalization is minimal. In the long run, CTV will help the overall category grow,” he said.

According to Prabhvir Sahmey, a CTV expert, the two platforms are currently running in parallel. “As time passes, a channel will become an app or a part of another app. Today, CTV is yet to get to critical mass in terms of number of devices. The threshold for a market like India is 100 million to 200 million devices. Based on the last estimate, the number of CTV devices available with consumers is around 60 million to 70 million. However, as time passes and viewership shifts from broadcast set-top boxes to mostly app-based consumption, then that will be the new TV,” he said.

CTV is also emerging as a powerful channel for brand visibility. Sahmey pointed out that advertisers are already leveraging platforms like YouTube, JioHotstar, Z5, Amazon Prime, and SonyLiv to reach audiences with targeted campaigns. “As more ads start to show up on popular TV apps like YT, JioHotstar, Z5, Amazon Prime, SonyLiv, there will be more visibility for the brand. There are specific nuances on the scale of each of these apps — when and where these ads run as well as how they are priced. Secondly, on CTV, some platforms also offer to advertise on the home page of the TV or the app. They play out very differently,” he said.

Riya Joseph emphasized the incremental reach CTV offers. “All this while, we've been using connected TV, irrespective of the ratings that we've been getting. In fact, it has always been maybe a lot more intuitive. Then I also know which platform I need to go with, especially if I'm going to do a TV plus connected TV plan. So, that's incremental reach and all of that.”

Hegde said that CTV is a fantastic visibility channel and can deliver excellent results if used strategically. “We’ve seen auto and mobile brands leverage it effectively, especially during high-clutter seasons like festivals. For pure impact and visibility, it’s a powerful medium. If used strategically, it can deliver excellent results,” he said.

While the potential of CTV is clear, experts emphasize that implementation will determine success. Hardware-level integration, seamless data sharing, and collaboration with TV manufacturers and operating system providers are critical. Experts also highlight that clarity in measurement — specifying what is being measured and how outcomes are defined — is essential to avoid misinterpretation and conflicting claims. Only with robust, standardized, and transparent methodologies can CTV metrics strengthen the advertising ecosystem.

The MIB’s directive comes at a critical juncture. BARC, India’s sole TV audience measurement body covering over 600 channels, is up for registration renewal after its 10-year term expired in July 2025. The government’s insistence on including CTV underscores the need for modernization, amid criticism that BARC has failed to keep pace with evolving viewing patterns.

Beyond the lack of CTV measurement, BARC has not conducted its mandatory baseline survey for the past seven years, and long-delayed panel expansion plans have yet to materialize. Industry stakeholders, including the Indian Society of Advertisers, have been advocating for a cross-media measurement framework that integrates CTV, given that the ecosystem already reaches around 4 crore households.

As CTV adoption rises, industry stakeholders believe that integrating CTV viewership into BARC’s measurement system is both inevitable and necessary. When implemented correctly, it will offer a more complete picture of India’s viewing habits, complement traditional TV, enhance brand visibility, and ultimately strengthen the advertising ecosystem.