Advertising Spend in INDIA & Growth projections for 2025-2030. Should you invest in advertising sector in INDIA.

The Indian advertising industry is poised for robust growth over the next five years, driven by digital transformation, increased internet penetration, and a growing consumer base. Here are some key trends and developments in advertising in India for June 2025.We see major shift and investment in advertising services.

1. IPL 2025 Advertising Surge: The Indian Premier League (IPL) continues to dominate India’s advertising landscape. The TAM Sports – IPL 18 Advertising Report, covering the first 70 matches of IPL 2025, shows a 0.4% increase in ad volumes compared to the previous season. Advertiser participation grew by 27%, with over 105 advertisers and 190+ brands, reflecting heightened competition. Mouth fresheners emerged as the leading category, indicating evolving consumer interests in the food and beverage sector. IPL remains a critical platform for both national and regional audience targeting.
2. APAC Advertising Growth: According to MAGNA’s Global Ad Forecast (Summer Update), the Asia-Pacific (APAC) advertising market, including India, grew by 7.9% in 2024, reaching $288 billion. India, alongside China, Australia, Japan, and South Korea, drove this growth, accounting for 87% of the region’s ad revenues. While growth is expected to slow to 4.6% in 2025 due to geopolitical uncertainties and potential trade wars, India remains a key driver of global ad spend.

1. Rise of AI and Influencers in News Consumption: The 2025 Digital News Report by the Reuters Institute highlights how generative AI and influencers are reshaping news consumption in India. AI chatbots are used by nearly a fifth of Indian respondents weekly for news, with 44% expressing comfort with AI-driven news delivery. This trend is “supercharging” a fragmented media environment, with influencers and personality-led content gaining traction, particularly among Gen Z and Millennials. This shift is influencing advertising strategies toward more personalized, influencer-driven campaigns.
2. Tailored Media and Trust in Advertising: MARKETECH APAC’s “What’s NEXT in Marketing 2025” series notes a growing consumer preference for tailored media ecosystems that feel authentic and emotionally safe. In India, comedians like Varun Grover and Vir Das are drawing strong audiences with bold, authentic commentary, appealing to younger demographics. Brands are urged to move beyond traditional advertising, embracing long-form storytelling and personality-led insights to build trust, as 64% of APAC residents distrust traditional journalists, per the 2024 Edelman Trust Barometer.
3. Video Advertising Trends: June 2025 video advertising trends in India, as reported by Trend Hunter, emphasize emotionally resonant and experiential narratives. Brands are moving away from traditional formats to create highly personalized content, aligning with consumer demand for immersive storytelling. This trend is particularly relevant in India’s digital-heavy market, where video content consumption is soaring.

These trends indicate a dynamic advertising landscape in India, driven by digital innovation, cultural resonance, and major platforms like the IPL.

Projected Growth (2025–2030)

Compound Annual Growth Rate (CAGR): Estimates vary across sources, but the Indian advertising market is expected to grow at a CAGR ranging from 6.87% to 11.54% during 2025–2030:

• IMARC Group projects a CAGR of 9.37% from 2025 to 2033, with the market growing from INR 908.6 billion in 2024 to INR 2,118.8 billion by 2033.
• Expert Market Research forecasts a CAGR of 11.00%, with the market expanding from INR 916.32 billion in 2024 to INR 2,601.82 billion by 2034.
• SPER Market Research predicts a CAGR of 11.54%, with the market reaching USD 26.76 billion (approximately INR 2,230 billion at current exchange rates) by 2032.
• Dentsu’s Digital Advertising Report 2025 estimates a CAGR of 6.87%, with the market growing from INR 1,01,084 crore in 2024 to INR 1,15,460 crore by 2026, suggesting a conservative trajectory for the next few years.

Digital Advertising Growth: Digital media is the primary growth driver, with a projected CAGR of 19.9% through 2026, per Dentsu. By 2026, digital is expected to account for 61% of total ad spend (INR 69,856 crore). The digital advertising market alone is forecasted to grow at a CAGR of 10.66% from 2025 to 2033, reaching USD 20.77 billion (approximately INR 1,730 billion) by 2033

Market Value Projections

2024 Baseline: The Indian advertising market was valued at approximately INR 908.6 billion to INR 1,010.84 billion (USD 11–12 billion) in 2024, with digital advertising contributing INR 400–492.51 billion.

2025 Estimates: The market is projected to reach INR 1,100 billion (USD 13.2 billion) to INR 1,221.55 billion (USD 14.75 billion) by the end of 2025, driven by digital media’s 47–49% share.

2030 Projections:

• Based on a CAGR of 9.37%, the market could reach approximately INR 1,600–1,800 billion by 2030.
• With a higher CAGR of 11.00–11.54%, the market could hit INR 1,900–2,100 billion by 2030.
• Digital advertising is expected to dominate, potentially reaching INR 900–1,200 billion by 2030, fueled by social media, online video, and AI-driven personalization.

Key Growth Drivers

Digital Penetration: India is expected to have over 900 million internet users by 2025, with 1.1 billion smartphone users, enabling targeted digital campaigns.

E-commerce and FMCG: Sectors like e-commerce, FMCG, automotive, and telecom lead ad spends, with FMCG alone contributing 31–34% of total ad budgets.

AI and Personalization: AI-driven strategies, including programmatic advertising and influencer marketing, are reshaping ad efficiency. 65% of marketers in India use AI for personalized ads, per X posts.

Major Events: IPL, elections, and festive seasons (e.g., Diwali) boost ad spends, particularly in digital and TV.

Regional and Rural Markets: Increased disposable incomes and digital access in Tier-2/3 cities and rural areas are expanding the consumer base.

Challenges

• Data Privacy and Regulations: Concerns over data privacy and Google’s cookie-less future may moderate digital ad growth.
• Ad Blockers: Widespread use of ad blockers hinders reach, particularly in mobile and internet segments.
• Economic Uncertainties: Global geopolitical risks and inflation could impact ad budgets, though India’s domestic demand remains resilient.

Media Breakdown

• Digital Media: Expected to contribute 50–61% of ad spends by 2026, with social media (29%) and online video (28%) leading.
• Television: Holds 28–32% of ad spends but faces slower growth (8% annually).
• Print: Stable at 17–19%, with a 7% growth in 2024 due to election campaigns.
• Out-of-Home (OOH): Growing at a CAGR of 9.9%, driven by urban expansion.

Conclusion

The Indian advertising market is projected to grow at a CAGR of 6.87–11.54% over the next five years, reaching an estimated INR 1,600–2,100 billion (USD 19–25 billion) by 2030. Digital advertising will lead, potentially comprising over 60% of total spends, driven by AI, e-commerce, and increased internet access. While challenges like data privacy and ad blockers persist, India’s demographic dividend, economic growth, and digital revolution position it as one of the world’s fastest-growing ad markets.