The rise of subscription economy in India: From OTT to Coffee!
- ByPrachi Sharma
- 19 Sep, 2025
- 0 Comments
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India’s subscription economy is experiencing rapid growth, moving well beyond streaming platforms to cover essentials, experiences, and ownership-free services. As of 2024, its value was estimated at around $10.34 billion, and projections suggest it could soar much higher in the coming years.
One of the main drivers is convenience - things like daily milk or groceries, medicines, and even beauty/grooming services delivered via subscription models (Supr Daily, bbdaily, etc.). Innovations in digital payment infrastructure - especially recurring payment options like UPI AutoPay - have made regular billing easier and more trusted. UPI AutoPay transactions jumped from 58 million in January 2024 to 175 million in January 2025.
On the entertainment front, India now has 148 million paid OTT subscriptions out of 601 million users according to the latest Ormax report. OTT bundling by telecom and ISP providers is helping push subscription numbers still higher.
But growth comes with challenges: subscription fatigue, price sensitivity, and handling churn are real issues. As more brands - from cars to fresh produce - offer subscriptions, the model must ensure clear value, flexible plans, and transparent billing to sustain momentum.
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