Indian Microdrama Startups Face Rising Costs Amid Big OTT Competition

21 Aug 2026, 8:00 am · 22d ago · 1 min read · Inc42

India’s microdrama market is witnessing intense competition as short vertical video formats gain traction across tier-II and smaller cities. While producing a series remains relatively inexpensive at around ₹10 Lakh to ₹15 Lakh, platforms face steep customer acquisition costs and distribution hurdles. Specialist startups such as Kuku TV and Story TV are navigating monetisation challenges while competing against major streaming players, including JioHotstar, Zee Entertainment, Tata Play, and Amazon MX Player. Although advertising is emerging as an alternative revenue channel, major brands continue to view microdrama platforms primarily as an experimental marketing format.