India is among the top 12 markets in terms of ad spends and is predicted to stay ahead of the United States and Brazil in terms of growth, as per Dentsu International’s report on Global Ad Spend Forecasts.
As per the report, the Indian advertising market is forecasted to grow by 16.0% in 2022 to reach $ 11.1 billion, while the United States and Brazil are projected to grow at 12.8% and 9.0% respectively.
The Indian advertising market is expected to grow by 15.2% in 2023 and 15.7% in 2024, as per the report.
The media price inflation in terms of India currently stands at 11.9% for TV Linear (Broadcast and Pay), 7.8% for Broadcast Video on Demand, 10.0% for Digital Video, 6.5% for OOH, 4.1% for Radio, 8.3% for Display and 6.1% for Print.
As the pandemic-hit advertising industry recovers from the economic uncertainties, the report says that the major spaces to look forward to in the latter half of 2022 are sustainability imperative, gaming advertising, retail media wave, branded entertainment opportunities, privacy-first media addressable media possibilities and the revolution of attention metrics in media planning.
However, the 2022 FIFA World Cup will be of great importance as it is the first time that the tournament will take place in November and December. Thereby, the tournament will present a new media spend angle to sporting events as it will compete with other festive advertising as well, it says.
According to the report, the global advertising spend is projected to grow from $679.4 billion in 2021 to $738.5 billion this year.
In the Indian scenario, television advertising is forecasted to grow by 14.5% along with a projected 31.6% growth in digital ads, the report highlighted. However, the major categories that have witnessed significant growth in terms of ads on OTT platforms are ed-tech, fin-tech, gaming and crypto.
The report also forecasted significant growth for new and emerging avenues of the modern world, including Connected TVs, online gaming and e-commerce
Predicting trends which will set the tone for the latter half of 2022, digital and television as of now have a 33.4% and 41.8% ad-spends share, respectively, and will be the decisive mediums for advertising carried out by both consumer tech companies and digital-first brands.
The report also highlighted that TV has already recovered from the pandemic effect on its ad spending and that the airing of new content and sports events like the Indian Premier League have boosted it further.