CTV advertising set to capture 8% of India’s digital AdEx: Deloitte-MPA report

Mumbai: Connected TV (CTV) advertising in India is witnessing robust growth and reshaping the contours of the digital media ecosystem, according to a new report by Deloitte India and the Motion Picture Association (MPA). 

Titled “Economic Impact of the Film, Television, and Online Curated Content (OCC) Industry in India, 2024,” the report places CTV at the centre of a rapidly evolving media economy driven by smart TV adoption, cheaper broadband, and rising demand for targeted advertising.

CTV, which enables advertisers to deliver campaigns on internet-connected televisions via streaming apps or devices, has seen its advertising market expand from Rs 450 crore in 2022 to Rs 1,500 crore in 2024. 

The reports said that this threefold increase highlights the platform’s growing appeal among brands aiming to reach digital-first and high-intent audiences through large-screen experiences. Advertisers are increasingly turning to CTV for its ability to combine the immersive environment of television with the precision of digital targeting.

The report noted that CTV ad spending currently accounts for 1.5% of India’s digital advertising market. This share is expected to rise sharply, reaching between 7% and 8% in the near term, backed by an estimated 40% annual growth rate.

Unlike linear television, CTV advertising uses granular data on viewers’ habits and demographics, enabling brands to deliver more relevant, personalised ads. 

Ad formats popular on CTV platforms include pause ads, dynamic billboards, pre-rolls, mid-rolls, and click-to-WhatsApp integrations, all designed to drive engagement and attribution. 

The report attributed rising advertiser confidence to the availability of metrics such as return on ad spend (RoAS) and campaign-level audience insights.

“Streaming platforms are actively designing ad solutions to suit the connected TV format, as bundled offerings and free-to-paid models expand their user bases. Platforms such as JioHotstar, Amazon Prime Video, and Netflix have also been instrumental in extending CTV’s reach, especially in metro and tier-1 markets where smart TV penetration is higher,” the report added.

CTV’s ascent is taking place within the larger resurgence of India’s film, television, and OCC industry, which reached Rs 1.1 lakh crore in FY2024, up 18% from FY2019. 

The industry is projected to grow at a compound annual growth rate (CAGR) of 6–7% over the next four years, touching Rs 1.47 lakh crore by FY2029. 

The total economic contribution, including direct, indirect, and induced effects, stood at Rs 5.14 lakh crore in FY2024 and supported over 26 lakh jobs.

In this ecosystem, CTV is playing a significant role in unlocking ad revenue and improving yield within OCC platforms. The report noted that, while linear TV continues to hold relevance, particularly in rural and FTA segments, CTV is emerging as a complementary growth engine that helps platforms cater to evolving viewing preferences without cannibalising traditional formats.

A high-growth scenario outlined in the report projects that, with improved intellectual property enforcement, lighter regulatory oversight, and better ease of doing business, the industry could grow at 9–10% CAGR to reach Rs 1.65 lakh crore in revenue and contribute nearly USD 100 billion to the economy by FY2029. 

Stakeholders have called for “light-touch” regulation for OTT and CTV platforms and stronger action against piracy, which accounted for losses of around Rs 22,000 crore in 2023.

The report also highlighted the value of content quality and experience in sustaining growth. Filmmakers and producers, including Swapna Dutt of Vyjayanthi Movies, have underlined the importance of high-production-value storytelling to cater to younger demographics such as Gen Z.

The Deloitte-MPA report concludes that CTV’s rise represents not just a new channel for advertising, but a structural shift in how India’s entertainment industry connects with its audiences, and how it monetises that attention.

Click here to download the Deloitte-MPA report.