India Digital Ad Spend Business and Investment Opportunities Databook – 50+ KPIs on Digital Ad Spend Market Size, Channel, Market Share, Type of Segment, Format, Platform, Pricing Model, Marketing Objective, Industry - Q1 2023 Update

India Digital Ad Spend Business and Investment Opportunities Databook – 50+ KPIs on Digital Ad Spend Market Size, Channel, Market Share, Type of Segment, Format, Platform, Pricing Model, Marketing Objective, Industry - Q1 2023 Update

According to TechInsight360, Digital Advertising Spend in the country are expected to grow by 8.0% on an annual basis to reach US$11,986.6 million in 2023.

Medium to long term growth story of Digital Advertising Spend in India remains strong. Digital Advertising Spend adoption is expected to grow steadily over the forecast period, recording a CAGR of 7.7% during 2023-2027. The Digital Advertising Spend Value in the country will increase from US$11,101.5 million in 2022 to reach US$16,107.0 million by 2027.

Online ad spending is expected to grow at an accelerated pace over the next five years. Driven by the massive surge in smartphone and internet users across India, brands and retailers are seeking to boost their exposure among consumers through online channels. This is projected to drive massive spending in online advertisements from the medium to long-term perspective.

In 2023, though, macroeconomic factors including rising inflation might impact online ad spending in India. New-age businesses such as quick commerce are more focused on profitability rather than exposure and growth. This will lead to subdued online ad spending by such players over the next few quarters. The industry is, therefore, expected to experience muted growth in fiscal 2023. However, from the medium to long-term perspective, TechInsight360 maintains a robust growth outlook for the sector in India.

Growing consumption of digital content in Tier II and III cities will aid online ad spending industry growth

In terms of internet users and daily consumption of content through smartphones, India has been recording strong growth over the last few years. The trend is projected to further continue over the next five years, as disposable income grows among consumers in Tier II and III cities of India. This will further boost the smartphone and internet penetration rate across the country, driving digital content consumption at an accelerated pace. This, in turn, will also aid the growth of online ad spending in India.

The emergence of the online gaming sector and influencer marketing will also keep adding online ad spending by brands and businesses, as they seek to reach consumers in Tier II and III cities of India, going forward. Spending by small and medium-sized enterprises is also projected to grow significantly over the next five years, thereby supporting the growth of the online ad spending industry in India. Overall, Tier II and III cities are expected to be the next growth driver for the online ad industry from the short to medium-term perspective.

Google and Facebook enjoy a duopoly in the fast-growing online advertising market in India

The global pandemic outbreak meant that both Google and Facebook were in an advantageous position to tap into the growing amount of time spent by people online. The increase in digital engagement also meant that advertisers and agencies increased their digital marketing focus. This resulted in higher ad sales for Google and Facebook in India in 2021 – 2022.
• The two tech giants, in 2021 – 22, garnered ad sales of INR 41,115 crore between themselves. This indicates that the firms are enjoying a duopoly in the fast-growing online advertising market in India. While Google and Facebook are expected to continue to dominate the online ad spending market in India in 2023, the emergence of other players could mean some market share loss over the next few quarters.

Amazon, JioCinema, and Flipkart are attracting a large chunk of the Indian population on their digital platforms and marketers are taking note of it. With JioCinema being the digital host of the Indian Premier League, the on-demand sports streaming platform is expected to generate significant revenue in the digital advertisement in 2023. JioCinema is also streaming the biggest sporting league in India for free to its viewers. This means that the reach will be wider, and therefore, the platform is expected to be a lucrative bet for digital advertisers.

Funding winter to impact to online ad spending market in India at least in the short-term perspective

The last 12 months have been a difficult period for the fast-growing Indian fintech and quick commerce industry. The macroeconomic factors have also meant that venture capital and private equity funding have been hard to come by, and this is also evident in the significant drop in valuation for new-age startups in India.

With startups short on funding and seeking to extend their runway, most new-age firms are expected to cut back or maintain their online ad spending within the fiscal 2022 range. Furthermore, the growing losses recorded by new-age businesses are also expected to take their toll on online ad spend in India. Consequently, TechInsight360 expects the ongoing funding winter to have a short-term growth impact on the online ad spend industry in India.

This report provides a detailed data-centric analysis of the Digital Ad Spend industry, covering market opportunities and risks across a range of industry categories. With over 50 KPIs at the country level, this report provides a comprehensive understanding of Digital Ad Spend market dynamics, market size and forecast, and market share statistics.

It breaks down market opportunity by type of pricing model, platform (mobile and desktop/ laptop), and channels. In addition, it provides a snapshot of marketing objective and industry spend dynamics in India. KPIs in both value and share term help in getting in-depth understanding of end market dynamics.

TechInsight360’s research methodology is based on industry best practices. Its unbiased analysis leverages a proprietary analytics platform to offer a detailed view on emerging business and investment market opportunities.

Scope

This report provides in-depth data-centric analysis of Digital Ad Spend industry in India through 57 tables and 67 charts. Below is a summary of key market segments:

India Digital Ad Spend Market Size and Forecast

India Digital Ad Spend Market Size by Advertising Channel
• Television Advertising
• Print Advertising
• Radio Advertising
• Outdoor Advertising
• Online Advertising
• Direct Mail Advertising
• Event Sponsorship
• Others

India Digital Ad Spend Market Size by Online Ad Spend Market
• Search Engine Sites
• Ecommerce Sites
• News & Media Sites
• Social Media
• Gaming Platforms
• Forums & Classifieds
• Others

India Digital Ad Spend Market Size by Social Media Platform
• Line
• Facebook
• Instagram
• Twitter
• Tik Tok
• LinkedIn
• Others

India Digital Ad Spend Market Size by Gaming Platforms
• Digital Ad Spend Market Size Around Games Environment Ad Spend
• In Game Environment Ad Spend
• In Game Immersive Ad Spend
• Exclusive Advertising Games Spend

India Digital Ad Spend Market Size by Format & Media
• Video
• Display
• Email
• Influencer Marketing
• Blogging and Podcasting

India Digital Ad Spend Market Size by Platform
• Mobile
• Desktop and Laptop

India Digital Ad Spend Market Size by Pricing Model
• Cost Per Mile (CPM)
• Cost Per Click (CPC)
• Performance-Based Advertising
• Others

India Digital Ad Spend Market Size by Marketing Objective
• Branding
• Increase Traffic
• Direct Online Sales
• Lead Generation
• Product Launch

India Digital Ad Spend Market Size by Industry
• Technology
• Increase Travel & Hospitality
• FMCG
• Automotive
• Media & Entertainment
• Telecommunications
• Retail & Consumer Goods
• Business and Financial Services
• Pharmaceutical and Healthcare
• Public Sector
• Construction and Real Estate
• Education
• Home Appliances and Furniture
• Other Industries

Reasons to buy

• Gain a thorough understanding of the Digital Ad Spend market dynamics: Market opportunities, significant trends, and forecasting (2018–2028) are listed. To stay ahead of the curve, comprehend market trends using important KPIs like Value and Share.

• Insights by Industry: Evaluate new opportunities across multiple industries, and obtain market dynamics by industry in order to swiftly catch up with the latest and upcoming developments in Digital Ad Spend markets.

• Market-specific strategies: With our unique blend of quantitative forecasting and cutting-edge insights, we can identify growth sectors that are focused on particular opportunities and analyse market-specific risks as well as significant trends in the Digital Ad Spend industry.

• Through industry intelligence, forward-looking research of Digital Ad Spend market spend, and key opportunities in India, develop proactive and profitable company plans.