According to dentsu’s digial report 2024, the Indian advertising industry grew 8.6% over 2022 and presently holds a market size of Rs 93,166 crore. By the end of 2025, it is expected to further grow at a compounded rate of 9.86% to reach Rs 1,12,453 crore. While the digital advertising industry witnessed an impressive growth of 36.6% over 2022 with a market size of Rs 40,685 crore and is estimated to reach Rs 62,045 crore, growing at a
compounded rate of 23.49% by 2025.
The report further revealed that digital media has surpassed television, securing the largest advertising spends share of 44%, followed by television (32%) and print media (20%). Additionally, digital media is anticipated to contribute half of the total advertising spends by the end of 2024.
Furthermore, the telecom sector allocates 64% of its media budgets on digital, followed by e-commerce and pharmaceuticals categories. Meanwhile, FMCG segment divides 94% of its media budgets equally between digital and television.
Social Media dominates digital media spends, contributing with a 30% share (Rs 11,962 crore), followed by online video with 29% and paid search with 23%. The telecom sector allocates the highest proportion of its media budget towards digital (64%). Within digital media, telecom evenly distributes around 80% of their digital budget across online video, social media and paid search. While e-commerce segment dedicates 61% of the overall media budget to digital media with 52% of that allocated to paid search.
Talking about the report, Harsha Razdan, CEO South Asia, dentsu, said, “India’s digital revolution is more than a surge of numbers; it’s a wave of change that is sweeping across our lives, our industries and our society. Artificial intelligence is the driving force behind this change, enabling our e-commerce market to reach $200 billion by 2026. But as we embrace this AI-powered era, we must also redefine our vision of success. It’s not enough to aim for financial growth; we must also strive for social good. We must be human in the face of technology—empathetic, creative and courageous—shaping the future of Indian advertising with transparency, accountability and ethics.”
Moreover, a significant focus of the report centers on the ascent of digital advertising as the primary catalyst for industry evolution. It unveils that social media, online video and paid search are at the forefront of digital media spending. E-retail platform advertising also commands a substantial share of the digital media market. The report sheds light on the industry’s adoption of programmatic buying for digital media, leveraging advanced technologies for a more efficient and effective media procurement process.
The report envisions a new era of media innovation, where the convergence of technology and human creativity yields immersive and impactful experiences. It explores emerging trends in artificial intelligence (AI), extended reality (XR) and sustainability, showcasing how they will reshape the industry and open new avenues for advertisers and consumers alike.
“We believe that digital media is not just a medium, but a mindset that drives innovation and creativity across all platforms and formats. The report showcases how digital media has become the dominant force in the industry, surpassing television and influencing other media as well. It also reveals the potential of emerging sectors, trends and technologies that will shape the future of advertising and consumer engagement. We are confident that this report will serve as a valuable resource for advertisers, media owners and industry stakeholders, as well as inspire them to embrace the opportunities and challenges that lie ahead,” Narayan Devanathan, group chief strategic advisor, dentsu India, added.