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Advertising and Marketing Industry in India

February, 2013


Indian consumers are enjoying high attention and acknowledgment from domestic as well as international marketers as India's consumer markets are charting new heights in terms of growth and development.

In a bid to grab bigger market share and consumer base, Indian marketers are devising strategies to integrate their advertising & marketing campaigns across multiple channels. Organisations are readying themselves to adopt mobile marketing techniques in a big way, while they are investing heavily in social marketing. Industry research shows that Email marketing continues to be the leader in terms of lead generation and will see stronger investments in 2013.

Marketing Industry - Dynamics, India's leading email marketing company recently released its research report named 'Spark the Surge' according to which -

  • Social media would continue to be the most preferred marketing tool with 65 per cent of the Indian marketers willing to increase their investments in the channel (higher from 2012's 37 per cent)
  • Email marketing would be the second highest e-marketing investment channel for Indian marketers in 2013
  • About 75 per cent of the marketers believe that up-to 50 per cent of the e-mail marketing messages would be viewed on mobile phones in 2013
  • Integrated campaigns are expected to significantly increase conversion rates

Advertising Industry - Statistics

Advertisement expenditure (AdEx) in India marked a growth of 4 per cent in calendar year 2012, according to a recent report released by largest Indian media agency GroupM. GroupM expects that the AdEx will grow at 9 per cent in 2013.


TV as the medium saw a growth of 3.1 per cent over the year ago at Rs 14,461 crore (US$ 2.72 billion) as per the GroupM report. The report predicts that it is expected to grow at about 12 per cent in 2013.


As a medium, dailies witnessed 2.4 per cent growth over 2011 to Rs 13,622 crore (US$ 2.57 billion) while their growth is forecasted at 5 per cent for 2013.


Indian radio industry clocked revenue of Rs 1,530 crore (US$ 287.82 million) in 2012, growing at 5 per cent while it is anticipated to grow at 7 per cent in 2013.

Digital Media

Digital and cinema (as an advertisement medium) saw robust 28 per cent and 15 per cent growth respectively in 2012. In 2013, digital medium ad spend is expected to grow at 30 per cent while predictions for Cinema sector is 15 per cent.

Rural Marketing

Rural markets have emerged as an important growth engine in the Indian consumption story. With about 70 per cent of the Indian population residing in the hinterlands, rural markets seem to be a significant opportunity for business conglomerates. Recent data shows that consumption in rural areas has grown faster than that of urban areas while overall, rural consumption (in value terms) has grown 17.2 per cent per annum during the FY08-10 period.

Rural penetration of major durables has seen a significant up-surge. For instance, TV penetration has moved from around 31 per cent in 2007 to 39.8 per cent in 2010 while motorcycles/scooter penetration increased from 9.5 per cent to 13.9 per cent in the same period. Around 75 per cent of the sales in fast moving consumer goods (FMCG) and consumer durables sectors are accounted by Indian rural markets.