Evolution of Online Entertainment

Introducing : Eros Now

Current State of Internet in India

India is the third biggest Internet market in terms of users 100mn overall 40mn from home (11mn broadband)

30mn from cyber café 40mn Mobile internet users (30 million app downloads in one week)

India has 39 million 3G subscriptions as of Q4 2011 with 4% penetration rate and 841% YoY growth

The amount of time that an average user in India spends online is now on par to TV viewing

time at 16 hours in a week.

Usage of Internet – Penetration (%)

Email

Online Shopping

Books

Social

Technology

Entertainment

travel

Finance

News & Info

0 20 40 60 80 100 120

India (2011)

Digital Entertainment - 5th most consumed category in India

How India Connects to Web ?

Mobile Internet in India

India has 39 million 3G subscriptions as of Q4 2011 with 4% penetration rate and 841% YoY growth

56% Smartphone Users Access Internet Multiple Times A Day 40% surf the Net at least once a day. Only 6% never use their phone for connecting to the Web (11% for

US).

Smart Phone Activity ( % )

Used an application

Browsed the Internet

Product search

Accessed a social network

Sent or read email

Watched videos on video sharing site

Read news or magazines

Looked up directions/used a map

Listened to music

Played games

0 10 20 30 40 50 60 70 80

India (2011)

Media Habits of the Consumer

Key activities of the Indian online users:

Leading Activities Networking and consumption of entertainment content

News, sports, Music and Games

3 hours - Average time an Indian net user spends on social media.

13million - Number of Indians registered on matrimonial or dating sites.

70% of Indian internet users watch online videos.

Impact of Digital Entertainment

Impact on TV:

1. Digital is enabling virtual audience participation

2. Mobile TV adoption is expected to grow

3. TV content portals

4. Wireless broadband is expected to drive the reach of digital TV

Impact on Print:

1. Internet portals and e-commerce dominate publishers digital revenue

2. Online News editions

3. Personalized News and opinions

Impact on Sports:1. Enhancing the sport through social media

2. Mobile apps and games

3. Mobile and Online live streaming

But….. Where is the highest Impact?

Impact on Radio & Music:

1. Radio Networks are using digital to extend the reach

2. Digital dominates Music industries revenue

3. Opportunities for direct to consumer mobile and online live video streaming

Impact on Films:

1. Digital Premiers with theatrical 3D innovations

2. Web-based Home Entertainment

3. Social Media to market movies

4. Licensing content for games and mobile apps.

FYE : For Your Entertainment

Whitehead defines entertainment as "what people do with their freedom" we can say that people are entertained when they are voluntarily undergoing an experience that interests them and gives them some amount of pleasure or release.

Entertainment activities :talking, gossiping; reading newspapers and books; listening to music and radio; watching movies and television; practicing sports; attending live performances of sports and arts; playing games; gambling; shopping, cooking, gardening, fishing, and other hobbies; eating, drinking, flirting, and smoking; tourist traveling, visiting museums, and going to amusement parks.

Talking and gossiping have become chat rooms, forum, discussions, social media (twitter, Facebook); reading news on the web is becoming increasingly popular with e-News editions, portals, niche news portals, columns; the previously solitary video-game experience has found new meaning in the networked game era; shopping has gigantic proportions on the web, with e-commerce and augmented by the thrills of on-line auction and web store experience.

Entertainment : : Video: : Youtube

“YouTube : The future of entertainment is on the Web”

In the next decade, 75 percent of all channels will be born on the Internet. -Robert Kyncl, Head of global partnerships for YouTube.

YouTube announced in December that it logged 1 trillion hits in 2011 and is anticipating an even bigger year ahead as more politicians and newsmakers turn to the site to distribute Web ads, speeches and weekly video casts.

All of the entertainment industry should be paying attention to Web video, predicting that soon 90 percent of Web traffic will be video.

Less clicking, more watching.

End of the day - Experience matters on the web

Remember this????

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Pyramid of Content (Indian Scenario)

Eros Now

Introducing now...

Eros International at a glance

Eros International is a world leader in theatrical production and distribution for South Asian content. It co-produces Indian film content and distributes it across theatres, home entertainment, television and new media worldwide.

A company with a 34 year history Strong Executive management Market Leader in theatrical space Largest Bollywood film library – digitized and ready Largest share of regional content, especially Tamil Films 5 out of the top 10 box office hits of 2010 were Eros movies Distribution formats – films dubbed or subtitled in 27 different

languages Distribution territories – Distribution to over 50 countries.

Eros Now: Entertainment at a click

“A Premium digital platform delivering the richest mix of Indian entertainment content largely focusing on Indian movies & music on the web, mobile and across all devices.”

Eros NowNavigate to

find your favorite

music you want and just plug-in your

headset!Provides a

fresh, uncluttered, premium, anytime, anywhere

experience!Gives you access to

over 2,000+ movies,

25,000 music videos, 100,000

music tracks and a host of

exclusive original content!

Eros Entertainment on YouTube

1 BILLION views annually & counting

22 MILLION Unique Visitors Per

Month

85 MILLION Monthly Views

9th Most Watched Channel Globally

in Entertainment Category

Eros Entertainment on Social Media

78,909

Followers

Fan following on individual

movie

Eros Now : Premium Subscription

Eros Now Premium Subscription Service:

• Enjoy unlimited movies from our 2,000+ catalogue

• Enjoy Eros Movies across devices

• Offline mode

All short form content available for free:• Music Videos• Audio Tracks• Movie related content

(behind the scenes)• Eros Original Programming

Eros Now: Competitors

Parameters

Premium environment a × a × a

Scalability a a a × aDeep interactivity a × a × ×On-demand access a a a a a“Cool” factor a × × × ×Discovery a × a × ×Original content a × × a ×Trusted editorial a × a × aMusic focused a × × × a

Eros Now is Unique by design, usability and depth of content!