India's advertising market to grow at 9.4% CAGR, reaching Rs 1.58 lakh crore by 2028

New Delhi: With growing consumption and gross domestic product (GDP) growth in India, the advertising market is projected to grow at a 9.4% CAGR from Rs 1,01,000 crore in 2023 to Rs 1,58,000 crore in 2028, which is 1.4x the global average. 

The findings are from PwC India’s latest report, “Global Entertainment & Media Outlook 2024–28: India Perspective.

India’s advertising revenues, boasting the second-highest CAGR, are set to outpace those of Australia, South Korea, Indonesia and Brazil by 2028, stated PwC. 

The report highlights that most of this growth will come from the digital front (internet advertising), which is expected to grow at a 15.6% CAGR, rising from Rs 41,000 crore in 2023 to Rs 85,000 crore in 2028. 

Internet advertising’s year-on-year growth, which was 26.0% in 2023, will remain in double digits throughout the forecast period (2024–28) and is expected to be 12.2% in 2028, mentioned the report.

PwC further emphasised that the shift towards cord-cutting is expected to accelerate. 

Having said that, traditional TV advertising will grow at a 4.2% CAGR between 2023 to 2028, while global revenues are set to drop by -1.6%. 

“India is poised to become the fourth-largest TV advertising market by 2026,” wrote PwC. 

Over-the-top (OTT) will be the third-fastest-growing segment with a CAGR of 14.9%, putting the country in the lead by 2028.

As per the report, infrastructure enhancements have supported massive growth in India’s out-of-home (OOH) advertising market, which grew by 12.9% in 2023. It is expected to continue to grow at a 7.6% CAGR.

When it comes to print advertising revenues, PwC shared that despite a global decline at a CAGR of -2.6%, India’s market is expected to grow at a rate of 3%, making it the 3rd largest Print market in the world by 2028