Just my two cents
  1. The internet speeds suck
  2. Most Indians won't pay for things they can download for "free". I said most, not all.
  3. The TV channels here are showing most of shows in HD at a lower price point than Netflix.
  4. Indian kids can't Netflix and Chill. It's like TV, man. It's cheap and horrible and most people live with their folks.
  5. Censorship. Indian censor board is going to stick its leg in Netflix sooner or later and it's not going to be pretty.
  6. Smart TVs don't have very high penetration in India. Neither do streaming dongles. And who wants to pay to watch shit on their laptop screens.
  7. Credit/debit card usage is still low in India. So unless Netflix starts some kind of offline coupon/gift card payment system, it won't gain traction. Example: Google play gift cards.
  8. Indian mentality is more of hoarding the shows to watch offline and as far as I know you've to be online to watch Netflix. Correct me if I'm wrong.
  9. Just some reasons.