Growth Product Management Specialisation: Industry project

Growth Product Management Specialisation Industry Project

Aakansha Arora

About the Project

OBJECTIVE

You should be able to devise strategies to drive the growth of an existing product or service by leveraging insights from user data and also by applying your own knowledge.

KEY REQUIREMENTS

You will require a thorough understanding of all the topics covered in the base program and the first five modules of the specialisation track to perform the tasks in this project.

DESCRIPTION

Disney+ Hotstar is India’s leading online content streaming platform offering content ranging from sports, movies, news to TV shows. It has a user base of more than 300 million. Hotstar is the only online streaming platform in India to effectively bring sports content along with exclusive content from Disney. Hotstar is accessible across multiple devices, TV, mobile, Chromecast and other formats. Initially, Hotstar’s strategy was very different from those of Netflix and Amazon Prime Video. Hotstar first started as a free content platform with ads as a monetisation lever. It eventually decided to take up a model similar to those of Netflix and Amazon Prime and launched its subscription offering with a free tier that is ad-supported and the VIP and Premium subscription plans.

About the Project

KEY ELEMENTS TO CONSIDER

Riding high on the live streaming of the Indian Premier League, Hotstar expanded its base to more than 100 million monthly active users. The company built technology for live streaming of cricket matches and built products like ‘Watch N Play’ to engage the users. While cricket has been one area of strength for Hotstar, the platform also brought exclusive content from Indian content creators as well as from outside India, which is another reason for the rapid growth in the number of its active users. While Hotstar has a huge monthly active user base, a large portion (more than 70%) of users do not purchase any subscription plan and instead use the free tier of Disney+ Hotstar. Now, based on your understanding of the case, answer the questions in the document given below.

Note:

● The entire project is divided into five different parts and you have to perform seven tasks in order to complete this project.

● Kindly adhere to the submission guidelines to avoid any loss of marks.

● You have to add this presentation and the Word document in a ZIP folder and upload it in the submission section on the platform.

Submission Guidelines

Task Submission Guidelines

Market Sizing

Competitor Analysis

● Perform the market sizing, and add the calculations and all your analysis in this document.

● Perform the competitive analysis based on the parameters mentioned in the problem statement, and add your response to this document.

User Research

● Submit the hypotheses, questionnaire and your insights from the user interviews in this document.

● Add the Google drive link for the interview video snippet in this document. You can conduct the interview over any video conferencing app and share the screen recording for the same.

(Note: Kindly make sure you change the edit access of the video file to ‘Anyone on the Internet’ before you share the link. If you do not provide access to the file, you will not be awarded any marks for it)

● Add the data gathered during interviews to the word document provided on the platform.

Submission Guidelines

Task Submission Guidelines

Building Product Artefacts

● Add the responses for user segmentation and user beliefs directly in this document.

● Create user personas using UXPressia, then export the images of user personas in the PNG format and them to the Word document provided on the platform.

Product/Market

Expansion Using Ansoff Matrix

● Build the growth strategies for all the four quadrants of the Ansoff Matrix, and add all your analysis in this document.

Building Growth Strategies

● Analyse the data set provided on the platform, and add responses to all the questions in this document.

Building Product Roadmap

● Perform the entire analysis, and add your response to this document.

Industry Project Part 1

Task

Market Sizing

SAM

56M

Total Available Market (TAM)

Total Available Market (TAM)

Total population: 1.6Bil

Internet Penetration: 47%

Total population: 1.6Bil Internet Penetration: 47%

TAM = total pop. – High speed internet = 752 Mil

TAM = total pop. – High speed internet = 752 Mil

-

TM - 9.62

Serviceable Available market (SAM)

Serviceable Available market (SAM)

Tier 1 Cities: Delhi, Chennai, Bangalore, Mumbai Delhi – 32 Mil – 74% = 23 Mil Chennai – 8 Mil – 65% = 5 Mil Bangalore – 13 Mil – 74% = 9 Mil Mumbai – 27 Mil – 70% = 19 Mil

Tier 1 Cities: Delhi, Chennai, Bangalore, Mumbai Delhi – 32 Mil – 74% = 23 Mil Chennai – 8 Mil – 65% = 5 Mil Bangalore – 13 Mil – 74% = 9 Mil Mumbai – 27 Mil – 70% = 19 Mil

Tier 1 SAM = 56 Mil

Tier 1 SAM = 56 Mil

Target Market

Target Market

Taking 1 tier city to launch our product and start operations to understand the outcome and product reach Bangalore: 13 Mil Internet penetration in Bangalore: 74%

Taking 1 tier city to launch our product and start operations to understand the outcome and product reach Bangalore: 13 Mil Internet penetration in Bangalore: 74%

TM = 13Mil X 74% = 9.62 Mil

TM = 13Mil X 74% = 9.62 Mil

Task 2: Competitor Analysis

Strength

between

Language at the time of

that

who

Weaknesses

No

content under

Hotstar must have a affordable monthly plan as it currently has plans for Premium at Rs. 299/- per month, Super at Rs. 899/- per year and Premium is at Rs. 1499/- a year

Hard to differentiate between subscriber only content and open for all content.

better as

Threats

High competition among OTT platforms

and Prime videos are at par with

Hotstar

must

international content like Netflix

Per monthly subscriptions Hotstar currently charges the most at 299/- for full access whereas Netflix is now at 199/- for all devices and Prime is at 179/- a month.

Task

Analysis

Comparison of UI/UX

Hotstar Prime Netflix

1. No Trailer auto play on home page

No Trailer auto play on home page

There is Trailer auto play on home page

2. Star network TV channels available under menu. No TV networks are available No TV networks are available

3. Live Sports Content available for several categories Live/Past No Sports content Live/Past No Sports Content Live/Past

4. The Top 10 Lists like India’s Top Ten for movies or shows is unavailable

The Top 10 Lists like India’s Top Ten for movies or shows is available

The Top 10 Lists like India’s Top Ten for movies or shows is available

5. No Profiles for more than 1 user Has Profiles for more than 1 user Has Profiles for more than 1 user

6. There is content for people who have not subscribed already Subscription required to access content Subscription required to access content

Task

Competitor Analysis

Why some users choose other products over Disney+ Hotstar

• The Top 10 Lists like India’s Top Ten for movies or shows is available on Amazon Prime and Netflix but not available on Disney+ Hotstar

• Netflix and Amazon Prime provide Profiles for more than 1 user so the recommendations and algorithms are specified to each profile this feature is not available on Disney+ Hotstar

Which areas does Disney+ Hotstar have a competitive advantage

The main reasons why people want to come to Disney+ Hotstar are

• Star network TV channels available under menu.

• Live Sports Content available for several categories Live/Past.

• There is content for people who have not subscribed to view.

Task 2: Competitor Analysis

Competitive Plans

Task 3: User Research

Hypothesis

People who are sports enthusiasts and love to watch live sports would subscribe

People who would want to subscribe to Mobile only plans if given at affordable price

People who watch many movies and series at affordable prices

People looking for a platform easy to use for kids at affordable subscription

Interview Video

Task 4: Building Product Artefacts User Segmentation

1. 10-20 Age group (Demography)

Behavioural: As Disney+ Hotstar has immense Disney exclusive content and also is associated to Marvel Pixar, Star Wars and National Geographic it is a great source of healthy and age appropriate content for teenagers.

Psychography: Teenagers consume a lot of digital content, which Disney provides best.

2. 21-40 Age group (Demography)

Behavioural: As Disney+ Hotstar has exclusive Sports content and also has alot of new series and movies, it is a great source of content for this age group.

Psychography: This age group needs a stress buster for them to feel relaxed and Disney + Hotstar provides a great variety of content.

3. 41+ Age group (Demography)

Behavioural: As Disney+ Hotstar provides a wide range of star channels providing daily soap content and reality tv shows, sports and movies.

Psychography: This age group would prefer to watch daily soaps, sports or movies to be occupied.

Task 4: Building Product Artefacts

User Persona 1

Task

Building Product Artefacts

Persona 2

Task 4: Building Product Artefacts

Anti Persona

Task 4: Building Product Artefacts

ACBs and DCBs

Accepted Consumer Beliefs (ACBs)

• All in One Family Platform: Disney+ Hotstar caters to the needs of everyone in the family they have content for a 5 yr old and also for a 65 yr old which makes it one stop OTT platform

Desired Consumer Beliefs (DCBs)

• Reasonable pricing: Disney+ Hotstar currently has a monthly plan of 299/- Per month on comparison its a lot more than the other OTT platforms, customers would prefer to have a Lower monthly pack to help on their Pockets

• Live Sports: Disney+ Hotstar having the Star sports Network has the complete OTT right to air many Live sports events from across the globe. It caters to the needs of the sports fans especially during the Cricket Seasons.

• Users can view the show prior to release on TV: As Disney+ Hotstar is channeled by Star TV network they can have releases of new episodes a 2 days prior to the TV telecast to enhance viewership on OTT.

• Regional Platform: Disney+ Hotstar cater to the needs of people who are looking to view content from their region in the regional language. The have many regional channels and a wide range of regional movies to cater this requirement.

• Kids Zone: Disney+ Hotstar does cater to the kids needs but having a kids only zone with parental control would enhance the experience for many parents

Task 5:

Expansion Using Ansoff Matrix

Market Penetration Product Development

Lower subscription plans such as Pay Rs149/- for 3 months subscription

News channels must also be introduced to OTT platform

To release show episodes prior to release on TV to attract TV Users to move to OTT

Live TV viewing for users to move from TV to OTT

Market Development Diversification

Gaming Live stream channel such as YouTube would attract youth and can develop new content

Expanding business portfolio to APAC

User developed content like that on you tube this will help attract more talent to hotstar

View with friends options which would let users view a show or movie with a group of friends

Industry Project Part 2

Task 6: Building Activation and Retention Strategies

Bounce Rate and Time Spent

Bounce Rate: No. of people who bounced in last 7 days/ total no of visitors

No. of visits in first 7 days as 1 without any purchase its considered as bounced, the customer has clicked the link but has done no action.

Total No. of unique visitors is 1000 347/1000 X 100 =34.7%

Hence the bounce rate is 34.7%

Relationship between time spent on the Disney+Hotstar app per visit and the users purchasing a subscription plan

Time Spent: No of time spent by subscriber/ total no of purchases 195/60 = 3.25 hrs

It takes approximately 3.25 hrs for a user to spend time on the app before opting to subscribe to a plan

Task 6: Building Activation and Retention Strategies

Activation Threshold

Activation Threshold

• NO Profile

Hotstar doesn’t give us options for personalized profiles which makes it difficult to get the right kind of suggestions for viewers

• Less free content

The Freebie platform has very less and outdated content which is a turn down as users will not like the free content and would prefer to bounce

• Too high subscription cost for monthly

The subscription cost for Monthlies is currently at 299/- per month which when compared to other platforms is too high for someone looking to enroll only for a month this also may enhance bounce rate

• One episode free

The Freebie of having 1 episode of a series free wouldn’t interest a person to subscribe they would prefer to ask a person who has a subscription to view the entire series rather than onboarding to a subscription

Task 6: Building

Activation Metrics

Activation Metrics

and Retention Strategies

•

Activation to conversion %

Activation is when a customer has registered with the application and conversion will be when that user is purchasing a subscription on the platform. A active user may not be a subscriber and we require a rate of conversion to understand the pace of such conversions.

The current activation is at 1000 but only 60 of those have purchased a subscription in the first 7 days

Conversion rate – 60/1000 X100 =

focus must be to bring more and more users to reach their Aha moment in the first 7 days to subscribe

must also understand the user by asking their interests at the time of activation.

Genre, Sports, Language, series or movies, etc.

must introduce profiles to understand the user data and send better suggestions to each profile a per their interests.

releases of some shows for subscribed users

Task 6: Building Activation and Retention Strategies

Activation Metrics

Activation Metrics

Average time to Conversion

Average time to Conversion signifies the average time a user would need to spend on the free app to want to convert to a paid user.

No of time spent by subscriber/ total no of purchases

195/60 = 3.25hrs

The current time to conversion is 3.25hrs which means that a paid customer would spent a minimum of 3.25hrs a week before moving to become a paid user.

Our focus must be to provide good recommended content for user to subscribe within the 3-4hrs of viewership.

By providing user the content of their interests at the time of activation. Eg Genre, Sports, Language, series or movies, etc.

Explaining tutorial UX/UI for the new customers

By not providing advertisement for the first 3.5 hrs for the user since we have noticed it takes approximately 3.25hrs for a customer to become a paid user.

Task 6: Building Activation and Retention Strategies

Engaging First Time User

Engaging First Time User

We can use a tutorial to explain the UX/UI for the new customers

We must find out user by asking their interests at the time of activation. Eg Genre, Sports, Language, series or movies, etc.

We can ask the users to share bank details for validations after 1hr of advertisement free content for additional 2.5 hrs of advertisement free content. This will help the customer at the time of subscription.

Once the user completes 3.5hrs of Advertisement free viewing the ads will begin for the freemium user

Task 6: Building Activation and Retention Strategies

Renewal rate of the subscription plans

Overall renewal rate

As per the data set 3 we have a 1000 users only 428 of them have chosen to renew their subscription

Renewal Rate: 428/1000 X100 = 42.8%

Renewal rate based on the duration of the subscription plan

As per data set 3 we have 428 users having total viewership hours of 35566

So the renewal rate based on duration is 35566/428 = 83hrs

This provides that an average of 83hrs of viewership has moved the users to renew their subscription

Renewal rate based on the type of subscription plan

As per data set 3 we have total of 1000 users out of which 428 are subscribers, 92 have subscribed to the Premium type of subscription and 336 have subscribed to the VIP subscription plan.

Renewal Rate for Premium Plan Subscription is: 92/1000 X100 = 9.2%

Renewal Rate for VIP Plan Subscription is: 336/1000 X100 = 33.6%

Identify which cohorts of users are not resubscribing

Task

Strategies to improve the resubscription rate

Strategies

between

Task 6: Building Activation and Retention Strategies

Strategy to address Low resubscription rate

Re-Subscription Strategies

Time spent by customer in viewing content on Hotstar plays a very important role for having them ReSubscribe as per data set 3 the Re-subscribers have an average viewership of 3.5 times higher than that of the Non Re-Subscribers

Users are not re-subscribing to Premium plans as the cost of monthly premium is high. We can introduce a Quarterly plan to attract more users.

User profile must be introduced as there are more chances for people to renew if they have profiles and share the same Hotstar as the cost is then divided by 2 or 3 users.

Industry Project Part 3

Task 7: Building Acquisiton and Monetisation Strategies

As per data set 1 the In App (Organic) is performing the best as a acquisition channel

1. The average Traffic on subscription page on In App (Organic) is 1919232 which is the highest when compares to other platforms Facebook Ads, Google Ads and Push Notifications.

2. The average conversion rate for In App (Organic) is 5.59 which is also the highest when compares to other platforms Facebook Ads, Google Ads and Push Notifications.

3. The people are moving on to subscribe once they are getting a hands-on experience on the app which indicates good UI/UX.

4. This also means that the people who are organically subscribing are actually liking the available content and are feeling the Ahah moment to go ahead and subscribe

5. This can also reflect that many people are encouraged to move to the app via word of mouth and are wanting to subscribe to view content they have been suggested.

Task

Building Acquisition and Monetisation Strategies

Traffic conversion variation Month on Month

Task 7: Building Acquisition and Monetisation Strategies

Traffic conversion variation Month – Month - Explanation

• In app (Organic) – The conversion rate for In App (Organic) varies between 5 – 6 Conversion rate which appears to the best of all Acquisition metrics. There is a huge decline in June 2020. we see they have has a high rate of conversion and are maintaining the same even the decline during June doesn't hamper their position of maintaining the hugest rate of conversion

• Push Notification – Here were see the conversion rate between 3 – 4. There are 4 spikes April 2019, December 2019, August 2020 and March 2021. Also there is spark decline in June 2020

• Google/Facebook ads - We see random spikes in the Google and Facebook ads, however the conversion range stays between 1 – 2

Task 7: Building Acquisition and Monetisation Strategies

Which paid acquisition channel is the most favorable?

Facebook ads Google ads

Avg Rate of Conversion 1.58

Avg Monthly Ads Spent 2441574.103 1060733.931

Comparing the Facebook ads and Google ads, we can see that the conversion rate for facebook ads is 1.58 and Conversion rate for google ads in 1,47.

Average Monthly spends for Facebook is 2441574 and that of google is 1060733. We can see that Google ads is almost 2.3 times lesser than Facebook ads with almost similar conversion rate

Hence it can concluded that Google ads outperforms Facebook ads

Task 7: Building Acquisition and Monetisation Strategies

Suggest an effective strategy to improve the traffic on the subscription page on a month-on-month basis?

Increasing the ads spent in Google ads : Since we see a pattern that google ads has outperformed Facebook ads, we can increase the ads spent in google ads.

Improve Push Notification to resurrect dormant users with creative in-app notification.

Have Collaboration with Strategic partners with Google Pay(Scratch Card), Paytm reward points and with financial institution (Credit/Debit Cards)

Use Social Media Influencers to promote the movie or series

Task 7: Building Acquisition and Monetisation Strategies

Identify at least two core acquisition metrics that you should monitor throughout the acquisition campaigns

1. Cost per mil (CPM) – Cost per million clicks need to be calculated in ads spent

2. Cost per click (CPC) – How much (Rs) spent on per click needs to be calculated

3. Click-through rate (CTR) CTR is the number of clicks that your ad receives divided by the number of times your ad is shown

4. Cost per action (CPA) –Here action will be downloading hot star application needs to be monitored

Task 7: Building Acquisition and Monetisation Strategies

Many people opt for monthly subscription mainly for 2 reasons

1. To check if they like the content

2. If they only want to use the app sporadically

Strategy 1

For those who buy monthly and are renewing it each month having a great margin between the per month X12 will actually excite them towards a yearly plan which might look very affordable.

Current monthly premium plan is 299/- per month which X 12 = 3,588

Whereas the yearly plan is for 1499/- only as compared to a monthly plan renewed for a year.

This strategy gets new people attracted to the yearly plans if they are interested in Disney + Hotstar.

Strategy 2

The second strategy would be to give a renewal discount to people renewing to their yearly plan with Disney + hotstar.

We will sned out a pus notification for renewing customers with a discount code, this code/push notification should go only 7-10 days prior to the renewal date as a reminder as well as to excite the customer of the discount being offered right before their renewal date.

Task 7: Building Acquisition and Monetisation Strategies

Monetisation plans for Disney+ Hotstar

1. Subscription plans only for Sports or Kids.

We can initiate subscription plans for specific needs such as sports or Kids only. These plans can be for a lesser monthly/yearly plan for the specified needs of the customer, as they may only want to use Disney+hotstar for their kids or viewing sports content only. This will also attract many new customers as the cost of these can be put lower than the cost of the Umbrella subscription i.e. the premium subscription currently available.

2. Adding ads for Super Subscription.

We can add ads to Super subscription content like for top 10 Movies or top 10 shows as their will be higher viewership to the Top rated movies and shows. This will also help reduce the price of Super subscription.

3. Mobile only Subscription plan.

We can start a monthly mobile only subscription plan which can offer

1 screen,

720P content,

Ads free movies and shows (except sports),

All content (Hindi/dubbed to regional only)

Task 7: Building Acquisition and Monetisation Strategies

Subscription plans only for Sports or Kids

Pros cons

1. Targeting Sports enthusiasts and parents who are looking for Disney exclusive kids content.

2. Price point- we would roll out the subscription for Kids only/Sports only at 199/- per month which is half the cost of premium monthly subscription to attract new customers. This will be ad free viewership and will be in full HD available across TV or Laptop.

1. By giving only sports or kids content consumers will not have access to other Disney+ hotstar content

2. Price point- people would prefer to opt for Yearly premium to save their cost and get access to the complete content available on Disney+ hotstar

3. Kids subscription – Parent will not be able to view any shows/movies of their interest

3. Kids subscription – Parent will not have to keep an eye or parental control for the content as it will be a completely Kids focused giving them the security of kids watch list.

4. Sports subscription –These customers will not be able to view any shows/movies of their interest

4. Sports subscription – The sports enthusiasts will not get distracted during a match to think about moving to a show or other content, we will provide push notification for upcoming matches to keep the sports enthusiasts updated on their favorite spots

Task 7: Building Acquisition and Monetisation Strategies

Adding ads for Super Subscription

Pros cons

1. Generate more revenue through ads

2. Price point- the price will be reduced to a yearly of 499/- as we will be generating revenue through ads. This would attract many users.

3. Many consumers who are not willing to spend a higher yearly plan such as premium can opt for this affordable plan.

4. This plan will preferably only have ads on Highly rated content such as the top 10 movies and Shows as they will offer higher viewership.

1. Consumers may get annoyed watching ads on a subscription

2. Price point- No monthly plans available as an option for Super Subscription.

3. Consumers wanting to use more than 1 screens will not want to avail Super Subscription

Task 7: Building Acquisition and Monetisation Strategies

Mobile only Subscription plan

Pros cons

1. Wide viewership as many people would opt for an affordable monthly plan who use Mobile only for OTT content.

1. Can be used only for Mobile viewing no laptop or TV viewing

2. Price point- we would roll out the mobile only subscription plan at 149/- a month. This will be a monthly plan only subscription.

3. This mobile only subscription plan can offer

1 screen, • 720P content,

Ads free movies and shows (except sports),

All content (Hindi/dubbed to Regional only)

2. Price point – the price of 149/- is monthly and doesn’t have a yearly plan. This monthly subscription equals 1,788/- which is higher than the premium subscription available.

3. Consumers who like English content will not want to opt for this plan as there is no English but dubbed contented available only.

Task 7: Building Acquisition and Monetisation Strategies

Monetisation Metrics We Would Monitor

1. Total Number of Monthly Active Users = Newly Acquired Users + Retained Users + Reactivated Users.

2. Active days per user per month

3. The average revenue per user per day = Daily time spent per user on the platform in minutes x Average revenue earned per minute

4. The average revenue per minute = Number of ads shown to the user per minute x Percentage of Ads clicked x Average revenue per ads clicked

Task 7: Building Acquisition and Monetisation Strategies

Monetisation Strategy

Monetisation Strategy chosen: Subscription plans only for Sports or Kids

This is the monetization strategy we would opt for as this targets Sports enthusiasts and parents who are looking for Disney exclusive kids content. Currently there is not such OTT platform providing such exclusive content for these Cohorts.

We would prefer to roll out the subscription for Kids only/Sports only content at 199/- per month which will half the cost of premium monthly subscription to attract new customers. This will be ad free viewership and will be in full HD available across TV or Laptop for all Sports and Kids only content.

The Kids Only Plan is important as Parent currently have to keep an eye or parental control for the content as it is not completely Kids focused this plan will give them the security of kids watch list.

This plan will excite the sports enthusiasts as they will not get distracted during a match to think about moving to a show or other content.

We will use push notification for upcoming matches to keep the sports enthusiasts updated on their favorite sports.

Industry Project Part 4

for

RICE Framework

Reach, Impact, Confidence and Effort

The RICE framework is a project prioritization method used for quantifying the potential value of features, project ideas, and initiatives. It's a great tool for facilitating Agile teamwork.

RICE Framework For Feature Priority List

Feature Reach Impact Confidence Effort RICE SCORE Priority

with friends

Task

Roadmap

Wireframe – Top Feature

Our top Feature as per RICE Score is Adding Profiles for personalized experience, this is a Wireframe example of how our top feature would looking like.

On the screen after Login the viewers can add segregated profiles for upto 4 people.

This page will have a section to manage the profiles also. The viewer can click on his/her name to get a personalised experienced based on their choices of content.

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