How big is the India CTV audience in Tier 2 and Tier 3 cities?
Tier 2 and Tier 3 India CTV is the fastest-growing segment of the market. Falling smart TV prices (32-inch TVs below ₹15,000 from brands like TCL, Xiaomi, and VU) combined with Jio’s affordable broadband and 4G penetration have extended connected TV ownership well beyond the top eight metros. FICCI–EY estimates suggest 40–50% of India’s new smart TV buyers are in cities outside the top eight metros, including Tier 2 cities like Surat, Jaipur, Lucknow, and Patna, and smaller Tier 3 towns. This audience is predominantly Hindi-language, more likely to be watching regional content and Bollywood films, and has lower disposable income than metro CTV audiences — relevant for FMCG, pharma, and education advertisers.
Which India CTV platforms have the strongest Tier 2 and Tier 3 reach?
JioHotstar has the broadest Tier 2/Tier 3 CTV reach, driven by its bundling with Jio SIM plans and the affordability of Jio’s data packages. Jio subscribers in non-metro areas who watch JioHotstar on a smart TV are the primary Tier 2/Tier 3 CTV audience. Zee5 and MX Player have strong non-metro audiences for Hindi, Bhojpuri, and regional language content. YouTube on TV (via Android TV or Chromecast) is significant — free content with no subscription required makes it the default for price-sensitive non-metro viewers. Amazon Prime Video is more metro-skewed due to its paid subscription requirement. For a Tier 2/Tier 3-focused CTV campaign: JioHotstar + Zee5 + YouTube on TV covers the bulk of the addressable audience.
What are the CPMs for Tier 2 and Tier 3 India CTV inventory?
Tier 2/Tier 3 India CTV inventory CPMs are typically 20–40% lower than metro equivalents for the same platform and content type, because advertiser demand for these audiences is lower and CTV-specific measurement infrastructure is thinner. Open programmatic CPMs for non-metro CTV inventory: ₹60–140 on major platforms; ₹30–70 on long-tail apps. Geographic targeting (state or district-level) is available on most platforms to isolate non-metro audiences. The main challenge: Tier 2/Tier 3 CTV viewers tend to watch more free ad-supported content (AVOD) and are more likely to see a higher ad load per viewing hour — leading to faster frequency saturation. Set frequency caps aggressively (2 per week maximum) for Tier 2/Tier 3 campaigns to avoid over-exposure.