Ad spends in India will increase by 15.5 per cent in 2023 to reach ₹1.46 lakh crore, according to media investing company GroupM. It also predicts that there will be ₹20,000 crore incremental ad spends in 2023, compared to 2022.
“India moves up to the 8th position globally in ad spends and continues to be the fastest-growing market in the top 10 markets worldwide,” as per the report.
Prasanth Kumar, South Asia CEO, GroupM, said, “As technology redefines interactions between consumers, brands, and businesses, the ad industry must navigate through this changing environment. The past three years have been marked by macroeconomic volatility and global events that have impacted advertisers’ businesses and ad spending. The Indian economy, though, is expected to weather these challenges and is poised to grow in the coming years.”
Ashwin Padmanabhan, President-Investments, Trading, and Partnerships, GroupM–India, said, “Indian adex will be the fastest growing globally at 15.5 per cent, supported by robust macroeconomic conditions. Digital at 56 per cent of all advertising spends and growing at 20 per cent over last year is driving the growth of adex. India stands out globally with all mediums expected to grow, with TV, print and radio growing at high single digits! We see 2023 panning out stronger as we move into the second half of the year and are confident of the Indian adex staying on course to grow as projected.”
Parveen Sheik, Head of Business Intelligence, GroupM India, said, “The growth of SMEs in the adex has been a feature for the past few years; this year too we see the same trend. We also anticipate the revival of the rural economy as well as improved funding for the start-up ecosystem. Additionally, telecom, BFSI, retail, fintech, gaming as well as travel and tourism are expected to drive ad spending.”
The launch and expansion of 5G services beyond top metros, combined with affordable smartphones, is also expected to drive ad spend growth.