Vertical OTTs become new Ad frontier as brands seek curated, safe spaces

A November 2024 report from Redseer Consulting indicates that India’s short-form video platforms generated approximately $95–100 million (₹790–830 crore) in ad revenue in FY24.

By  Imran FazalJun 6, 2025 8:21 AM
Vertical OTTs become new Ad frontier as brands seek curated, safe spaces
This rise is driven by content that is designed to be emotionally resonant, hook viewers quickly, and keep them coming back—ideally creating fertile ground for brand storytelling.

In a strategic move to capture the attention of mobile-first Gen Z and millennial audiences, over-the-top (OTT) platforms are embracing the vertical short video format—once the hallmark of social media apps like Instagram Reels and YouTube Shorts. What was once considered supplementary content is now evolving into a core part of content and monetization strategies for major and emerging streaming platforms.

Netflix, the global streaming behemoth, has begun testing a vertical video feed within its mobile app in the United States. The feature presents users with scrollable clips curated from its extensive catalogue of original content, enabling a more interactive and personalized viewing experience.

Ajay Mehta, Head – Content & Creative Services, WPP Media India stressed that the challenge lies not in access to audiences but how effectively brands can adapt to these impactful windows of engagement, "The emergence of multiple digital platforms has triggered a massive explosion in content formats, leading to increasingly shorter attention spans. With an overwhelming volume of content available across platforms, marketers have little choice but to rely on short-form content to capture attention and drive engagement."

Mehta said, "At WPP Media, we believe that today’s youth consume approximately 50 to 60 feet of content simply by swiping up—making vertical, short-form content extremely critical for brands to leverage. The real challenge, however, lies in how brands can quickly adapt to these formats and weave their brand stories in a way that builds strong memory structures, helping them stand out amid the clutter."

The intent is clear: adapt to how users consume content on their smartphones. Rather than expect viewers to rotate their screens or commit to long-form content from the outset, these short clips serve as an on-ramp to full episodes, while also keeping Netflix top-of-mind during fleeting moments of user downtime.

The trend is swiftly catching on in India, where local players are innovating to align with mobile consumption behaviors. MX Player, owned by Amazon, has introduced MX Fatafat, which offers mini web series with episodes lasting just two minutes. Meanwhile, Balaji Telefilms’ new vertical platform Kutingg features short-format originals spanning romance, slice-of-life, and thriller genres.

Platforms such as ReelShort, FlickReels, and DramaBox have taken it a step further. They offer vertically filmed micro-dramas—typically under a minute—that when strung together form serialized, movie-length narratives. This approach not only caters to modern attention spans but also capitalizes on the convenience of one-handed phone usage without screen rotation.

A November 2024 report from Redseer Consulting indicates that India’s short-form video platforms generated approximately $95–100 million (₹790–830 crore) in ad revenue in FY24. While that accounts for only 1–1.5% of India’s total digital ad spend, it represents a growing piece of the pie in a high-growth segment.

This rise is driven by content that is designed to be emotionally resonant, hook viewers quickly, and keep them coming back—ideally creating fertile ground for brand storytelling. Comedy sketches, fast-paced thrillers, and localised dramas dominate this format, catering especially to younger and regional audiences.

One of the biggest advantages vertical OTT platforms offer advertisers is a brand-safe, curated environment—free from the unpredictability and content risks of user-generated platforms. Ratnakar Bharti, Vice President, Mudramax said, "Advertisers from categories like mobiles, FMCG, D2C etc. are already placing their bets on short-form video advertising. The appeal is clear: these platforms offer a brand-safe, curated environment, free from the unpredictability of user-generated content. Repeat campaigns from top brands are a testament to the effectiveness and ROI of this format."

Bharti further said, "Take for instance, Drama Box, with its focus on emotionally resonant and niche content. It has cultivated a loyal and growing user base. For advertisers, this translates to campaigns that can generate views, often at a lower cost per impression than traditional video formats."

Advertisers can leverage by either Creating 'Native' Ads that blend seamlessly with the short-form and engaging content style of the platform such as mini-story ads or quick product demonstrations.

Despite its promise, vertical video on OTT platforms still has a long journey to mainstream adoption. Established giants like YouTube Shorts and Instagram Reels continue to dominate in terms of user base and ad spend. However, marketers are beginning to see emerging vertical OTT apps as fertile ground for more targeted and region-specific engagement.

Rajni Daswani, Chief Growth Officer - People & Business, SoCheers said, "We are seeing clients increasingly leaning and considering it in their media mix. But we also have to note that global giants like YouTube Shorts and Instagram Reels still dominate by taking the bigger piece of the pie, these newer OTT players have just begun to carve out their niche, which is a long journey in itself."

Daswani said, "As more users flock to these platforms, particularly from Tier 2+ cities where engagement is high, brands are slowly recognising the opportunity to reach specific, engaged audiences. It's shifting drastically from being just an experimental 'add-on' to a more integrated part of the strategy, especially for brands focusing on brand building and reaching audiences through highly localised and relatable content."

As streaming platforms blur the lines between entertainment and social media, vertical short-form content is no longer a fringe format—it’s quickly becoming a core part of the content and advertising ecosystem. With mobile consumption on the rise, and user attention spans shrinking, the vertical video revolution appears to be just getting started. For OTT platforms and advertisers alike, the future is vertical—and it fits neatly in the palm of your hand.

First Published on Jun 6, 2025 8:21 AM

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