…t’s too early to say how willing they will be to pay for services they’ve yet to feel the need for. This is the India that Reliance Jio primarily targets. They don’t have reliable broadband connections and have much less discretionary income.
One India is young, urban and relatively better off. This India is similar to its corresponding demographic in the US. Its members drink the same $3 Starbucks coffee, watch the latest Game of Thrones episode as soon as it’s out, use a credit card, and carry the latest iPhone. This is the new and emerging India. This 18-to-35 demographic is relatively small, but its greater disposable income, eager adoption of Western brands, and rapid growth puts it on track to becoming the largest such group of its kind anywhere in the world by 2020.
…age revenue per user (ARPU) in the third quarter was $25.29 in the United States and $21.59 abroad. In India, where a movie can cost as little as 29 rupees (44 cents) and monthly subscriptions are as little as 200 rupees ($3), analysts expect ARPUs to be a fraction of what they are elsewhere. The World Bank put India’s per capita income at $1,581, and Indians are known to be price-sensitive.