India's Digital Advertising Revolution: Insights from dentsu-e4m Report 2024

The dentsu-e4m Digital Advertising Report 2024, unveiled in Mumbai by industry leaders, forecasts a remarkable surge in the digital advertising industry. According to the report, the industry is poised to grow at a staggering Compound Annual Growth Rate (CAGR) of 23.49% by 2025, reaching an estimated Rs 62,045 crore.

Unveiling the Future: Key Findings

The eighth edition of the report, themed 'A Small Step for Humanity, a Giant Leap for Marketing,' delves into the evolving trends and media spends in the Indian advertising industry. Key insights include:

• The Indian advertising industry is expected to grow at a CAGR of 9.86%, reaching Rs 1,12,453 crore by the end of 2025.

• Digital advertising witnessed an impressive growth of 36.6% over 2022, with a market size of Rs 40,685 crore.

• In 2023, FMCG led the market with a 34% share (Rs 31,428 crore), followed by e-commerce (14%), consumer durables (6%), and automotive sectors (6%).

2024 Projections: Shaping the Advertising Landscape

The Indian advertising sector's growth, fueled by digital infrastructure advancements, is expected to continue in 2024. Predictions include:

• Ad spends likely to grow in categories such as automotives, FMCG, government, social organizations, travel, and tourism.

• Digital media projected to contribute 50% to total advertising spends, reaching Rs 50,857 crore by the end of 2024.

• Television ad spends to decrease from 32% to 28% by the end of 2024, with a negative CAGR of 2.05% by 2025.

The Reign of Digital Media

Digital media emerges as the dominant force, concluding 2023 with a market size of Rs 40,685 crore. It is projected to reach Rs 62,045 crore by 2025, growing at a CAGR of 23.49%. Notable observations include:

• Spends on digital media surpassing television, comprising 44% of all advertising spends.

• Social media leading digital media spends at 30%, followed by online video (29%) and paid search (23%).

• Programmatic buying contributing 42% (Rs 17,088 crore) to the digital media industry by the end of 2023.

The Human Touch in the Digital Age

Harsha Razdan, CEO South Asia, dentsu, emphasizes the need for a human touch in the face of technological growth. The report not only captures a snapshot of the industry but serves as a call to action to shape a future marked by transparency, accountability, and ethics in Indian advertising.

Explore the complete dentsu-e4m Digital Advertising Report 2024 for detailed insights.

Join the conversation on the future of Indian advertising with the industry leaders.