Analysis of

Customer
Preference
Towards OTT
Platforms
Domain:
Marketing
Research
1
XIMB
 INTRODUCTION
 A culture which is becoming vastly popular among the latest
generation is Binge watching and it has a serious impact on the
behavior and psychology of people
 With the presence of multiple Over the Top (OTT) platforms at their
perusal, people have the luxury to watch any content they wish at
their convenience
 They are highly customizable, and with the advent of technology,
they can be streamed from multiple devices like smartphones,
laptops, Televisions, etc
 The lockdown across the country aided the OTT market as
production houses and media firms shifted their focus towards the
online market and preferred the OTT platforms as a medium for
their launches including movies
 The access to International Works and chances to Indian Directors
to produce world class pieces of work has catapulted the
entertainment industry to a new level with new and bold content
on OTT Platforms
 This shift has led to new watching habits of the consumers and
expanded the user base
  Selection of the research objective: During our research
RESEARCH METHODOLOGY process, we went through numerous papers about the effect of
the pandemic on people's lifestyles and how binge-watching
habits have become altered. It helped us frame the basis of our
variables

 Preparation of questionnaire: To be distributed around various

cities to different people to inquire about their interests, a
questionnaire relevant to the study goal at hand was
formulated. We had a sample set of 93

 Conducting the survey: The questionnaire in form of a survey

was floated across the country via social media and email and
the data was recorded

 Analysis of the collected data: Using various univariate

methods, bivariate cross tables, multivariate methods such as
Factor analysis and cluster analysis, Discriminant Analysis the
data obtained by the survey approach was analyzed

 Results – The results were tabulated based on the outcomes

and inference was drawn
 Overall, we saw that we have an equal
split in male and female respondents.
 Our Region split was also balanced,
and we divided the people into two age
groups to ensure proper analysis.
 Income was also an important indicator
for spending power
 BIVARIATE ANALYSIS

WATCH TIME : UNDER 25 WATCH TIME : 25 and Above

5% 7%
17% Less than 1 hour 20%
Less than 1 hour
1-3 hours
22% 1-3 hours
3-6 hours
Watch time preferences: 6-8 hours
27% 3-6 hours
6-8 hours
Greater than 8
Age wise 22% hours Greater than 8 hours
22%

34%
24%

Less than 15 Lakhs 15 Lakhs and above

Income level and 0 0
6%4% 1 1
Number of OTT 10%
2
18% 23%
2
26%
Platforms purchased 3 3
More than 3 20% More than 3

54% 40%
 FACTOR ANALYSIS

The KMO Score is above 0.783 which

signifies that the data is appropriate
The Bartlett’s Test Score is also significant

Factors Observed from Attributes

1.Value for Money
• Content Variety
• Price
• Multi Device Compatibility
• Customer Service
2.Customer Experience
• Video and Audio Playback Quality
• Easy Payment Gateway
• Experience
3.Value additions
• Regional Shows
• Additional Bundling
• Recording and Playback Reason for 3 factors • Options used The Eigen Values are stable till 3
• Eigen value greater than 1 Varimax after which there is a sharp decline
CONCLUSION : • % of variance explained= 62.9% • No cross indicating that there are 3
We can conclude that we can reduce the • Scree plot after 3rd variable curve loading significant groups
attributes through a group of predominantly stabilises Observed
3 factors which will help us analyze the
clusters ahead
 HIERARCHIAL CLUSTER ANALYSIS

AGGLOMERATION SCHEDULE CLUSTER TRENDS CLUSTER PLOT

• Analysis has 92 stages because the sample consists of 93 • Cluster 1 – High emphasis on value • Analysis consists of 93 values associated with each factor
responses. for money, customer experience • The cluster plot is presented on a 3-Dimensional plot
• cases 66,89 and cases 43,86 are combined at the first stage with low emphasis on value • Identifying cluster properties from visual interpretation of plot is
because the squared Euclidean distance between them is the addition difficult
smallest out of all the pairs. • Cluster 2- These customers are
• The coefficients are very small (approximately .000) for the first influenced by the value for money
several stages and slowly increase as the schedule progresses. and value additions
• Cluster 3-Associate with value
additions and customer experience
more than value for money

Clusters Value for Consumer Value

money Experience additions

1 1.62179 0.46219 -0.5141

DENDROGRAM

The Dendrogram depicts

the
gradual clustering of OTT 2 3.75318 -7.35031 3.2204
watching behaviour
parameters. The
distance between the
merged clusters are
3 -1.47068 0.3539 0.23768
gradually increasing with
the level of merger
 K-MEANS CLUSTER ANALYSIS

INPUT PARAMETERS ANALYSIS METRICS CLUSTER VARIABLES ANALYSIS

• K –means clustering Value for money • The clusters are sufficiently spaced and have low
• Proximity matrix
no of clusters =3
• Agglomeration Schedule influence on one another
(Based on agglomerate • Cluster 1- customers spend considerable amount of
• Dendrograms Customer Experience
coefficients)
• Vertical Icicle Chart time on the OTT platforms , they are influenced by
• Wards Linkage
• Cluster chart recommendations and give importance to value for
• Squared Euclidian Distance Value Additions
• Scree plot money
• Cluster membership-none • Cluster 2- Customers of this category tend to watch
• The three variables are the factor alone and are not much influenced by the factors
loading outputs considered for the analysis
• PCA conducted in factor analysis • Cluster 3- customers are easily impressed by the value
300.000 Scree plot
shows enough variance in the addition added boosting their consumer experience.
population These are lone watchers who are generally neutral or
250.000
interested in a particular genre
200.000
VERTICAL ICICLE
150.000
Cluster population
100.000 • In the 1st quarter of the plot, the
section between two dark bars is
50.000 shaded immediately, suggesting
1 2 3
that those two cases were
0.000 clustered together 37%
1 5 9 13 17 21 25 29 33 37 41 45 49 53 57 61 65 69 73 77 81 85 89 43%
• Inspecting the plot closely, we
discover that those two cases
correspond to case 86 and case
The scree plot shows a large increase in the coefficients 89, which were combined at the
after stage 86. Hence, we can stop with the clustering first stage of the agglomeration
after this stage schedule. 20%
NOTE : DISCRIMINANT ANALYSIS

We identified a group of 11 Predictor

variables, but as per our statistical CRITERION VARIABLE PREDICTOR VARIABLE IDENTIFYING THE FIT OF MODEL
analysis we found only four to be
significant. The same can be justified GENRE
Divided the respondents
as below : in two groups depending
upon their watching PREFERENCE
behavior. The two groups
formed were : DISCRIMINANT EQUATION
MODE OF WATCHING
 Alone Y(Alone/>1) = 0.942 + 0.015*Genre + 0.199*Preference
 Family/Friends TIME OF WATCHING -3.724*Mode of watching-0.142 * Time of watching

GENRE PREFERENCE MODE OF WATCHING TIME OF WATCHING

Group1 Group1 Group1 Group1

Comedy,D
rama,Adv
CONCLUSION : enture

Rest
So any of the future customer Multiple season series Laptop/PC Smartphone Morning/Afternoon
can be classified on basis of our Rest TV Rest
above findings and target them Group2 Group2
according to the show type, the Group2
type of series they watch, when
they watch or which device do
the use for watching.

Laptop/PC Smartphone
Movies Rest TV Evening/Late night Rest
XIMB 13