E-retail platforms command 23% of digital adex to Rs 9,149 crore in 2023: dentsu

Growing at a CAGR of 24.86%, e-retail platform advertising commanded 22.49% of the overall digital media spends, amounting to Rs 9,149 crores in 2023, according to dentsu’s latest Indian Adex report.

Dentsu’s digital advertising report stated that in 2023, digital media surpassed the dominance of television media spends, securing the largest share of 44% (Rs 40,685 crore).

According to GroupM’s TYNY report, within digital,  retail media will drive growth at a CAGR of 41% in 2019-24F.

Other insights from dentsu’s Indian adex report

With the visible and widespread growth of the Direct-to-Consumer (D2C) strategy, brands are increasingly adopting this approach to establish robust connections with consumers.

This trend is evident across all segments, with the personal care, beauty, and wellness categories experiencing significant gains from the D2C model.

Recognising the need to be digital-first for growth opportunities, brands are leveraging tailored pricing, local language content, and social commerce within the D2C framework to better cater to customer needs and drive market penetration.

Simultaneously, the payment landscape in India is undergoing a transformative shift towards mobile commerce as the primary method for online shopping. Historically dominated by cash transactions in e-commerce, the rise of smartphones has led to a surge in card and digital wallet usage. E-wallets and UPI have streamlined online transactions, with UPI emerging as the fastest and easiest method for making contactless payments.

The increasing popularity of digital wallets is expected to pave the way for conversational commerce, fostering micro-transactions between brands and consumers in the Indian market.

Info@BestMediaInfo.com