Companies

‘Indian advertising market to cross $10 billion mark in 2019’

Our Bureau Mumbai | Updated on January 17, 2019 Published on January 17, 2019

Representative image   -  Getty Images/iStockphoto

Digital ads to soar past $2 billion, says report

Amazon's Alexa did the honours last evening spelling out key highlights of the third edition of Dentsu Aegis' DAN digital report, almost as a harbinger of the digital leap that has come to be a mainstay of most advertising agencies, and showcasing the fact that digital technologies are a major driver of business strategy.

Digital advertising is set to grow at 31.96 per cent CAGR, with the market set to expand to Rs 24,920 crore ($3.52 billion), according to the Dentsu Aegis Network Digital Report 2019. As of 2018, the size of the digital advertising market was around ₹10,819 crore ($1.3 billion).

Pegged at ₹61,878 crore ($8.76 billion) in 2018, the Indian advertising market is estimated to grow with a CAGR of 10.62 per cent till 2021, to reach a market size of ₹85,250 crore ($12.06 billion).

Television and print media would continue to corner the largest share of media spends at 70 per cent aggregated followed by digital media at 17 per cent. Digital will contribute 29 per cent of the ad market size by 2021.

Detailing certain aspects of the report, Ashish Bhasin, Chairman & Chief Executive Officer, South Asia, Dentsu Aegis Network said, "There are two things that are going to happen in advertising this year in India. This is the first year when Indian advertising will reach the $10 billion mark, which now makes us a major advertising market, growing at roughly 11 per cent."

The shift of ad spending from traditional to digital media is happening at a rapid pace. While digital media currently contributes 17 per cent to total ad spends, it is expected to zoom to 21 per cent by the next year and 29 per cent by 2021.

"What has also become evident," he continued, "is digital is set to grow at 32 per cent, almost three times the rate of other media, galloping ahead compared to the rest of the advertising market."

The CEO added, "Tomorrow has already arrived. This year, digital advertising will cross the $2 billion mark in India, in actual money spent by clients."

Advertising and technological advancements have resulted in the crafting of better personalised experiences, it was pointed out, enabling clutter-cutting ads with hyper-personalised messages that resonate with the target customer.

Published on January 17, 2019

A letter from the Editor


Dear Readers,

The coronavirus crisis has changed the world completely in the last few months. All of us have been locked into our homes, economic activity has come to a near standstill. Everyone has been impacted.

Including your favourite business and financial newspaper. Our printing and distribution chains have been severely disrupted across the country, leaving readers without access to newspapers. Newspaper delivery agents have also been unable to service their customers because of multiple restrictions.

In these difficult times, we, at BusinessLine have been working continuously every day so that you are informed about all the developments – whether on the pandemic, on policy responses, or the impact on the world of business and finance. Our team has been working round the clock to keep track of developments so that you – the reader – gets accurate information and actionable insights so that you can protect your jobs, businesses, finances and investments.

We are trying our best to ensure the newspaper reaches your hands every day. We have also ensured that even if your paper is not delivered, you can access BusinessLine in the e-paper format – just as it appears in print. Our website and apps too, are updated every minute, so that you can access the information you want anywhere, anytime.

But all this comes at a heavy cost. As you are aware, the lockdowns have wiped out almost all our entire revenue stream. Sustaining our quality journalism has become extremely challenging. That we have managed so far is thanks to your support. I thank all our subscribers – print and digital – for your support.

I appeal to all or readers to help us navigate these challenging times and help sustain one of the truly independent and credible voices in the world of Indian journalism. Doing so is easy. You can help us enormously simply by subscribing to our digital or e-paper editions. We offer several affordable subscription plans for our website, which includes Portfolio, our investment advisory section that offers rich investment advice from our highly qualified, in-house Research Bureau, the only such team in the Indian newspaper industry.

A little help from you can make a huge difference to the cause of quality journalism!

Support Quality Journalism
This article is closed for comments.
Please Email the Editor
You have read 1 out of 3 free articles for this week. For full access, please subscribe and get unlimited access to all sections.