India’s ad market to reach ₹1371 billion in 2025, projected to grow 7.8% : Report

India’s advertising economy is expected to register robust growth in 2025, with total advertising expenditure (Adex) forecast to increase by 7.8% year-on-year to ₹1371 billion ($15.9 billion), according to MAGNA’s latest projections. This follows a 6.5% growth in 2024, driven by major cyclical events including the national elections and the T20 World Cup.

The country's macroeconomic outlook remains positive, with the International Monetary Fund projecting India’s GDP to grow at 6.2% in 2025 and 6.3% in 2026. India is also set to surpass Japan as the fourth largest global economy in 2025, and is expected to overtake Germany by 2028, becoming the third largest.

India's advertising market is increasingly shaped by digital acceleration. In 2024, digital media overtook traditional formats, accounting for 51% of total Adex. In 2025, digital advertising is projected to grow by 12% to ₹728 billion ($8.4 billion), while traditional media will see a more modest increase of 3.4%, reaching ₹643 billion ($7.5 billion).

Social media advertising continues its ascent and is poised to become the dominant format, with expectations of surpassing television within the next five years.

Media owner revenues are anticipated to rise across both linear and digital platforms, with the first half of 2025 projected to grow by 6%, followed by a 9% increase in the latter half. However, the report cautions that potential global trade headwinds may impact performance in H2, although domestic resilience may help offset external pressures.

Among media formats, digital pure-play platforms will drive much of the momentum, estimated to grow by 11.4% to ₹680 billion ($7.9 billion). Video remains the second largest format at ₹413 billion ($4.8 billion), with digital video expected to expand by 17%. However, overall video growth is projected at just 4%, dampened by the relatively slow growth of linear television (+2.5%).

Publishing is forecast to grow by 3.5% to ₹205 billion ($2.4 billion), with digital publishing outpacing print growth. Audio and experiential marketing formats—currently comprising 5% of total Adex—will see growth rates of 5.9% and 12.9%, respectively.

On the economic front, inflation is expected to ease from 4.7% in 2024 to 4.2% in 2025, prompting the central bank to roll back past monetary tightening. This is expected to further support domestic consumption and liquidity.

While internal growth drivers remain strong, sectors such as consumer packaged goods, automotive, textiles, electronics, and technology continue to face challenges from evolving global trade dynamics.

Looking ahead to 2026, the advertising market is expected to maintain a similar growth trajectory with a projected 7.7% rise.

Hema Malik, Chief Investment Officer, IPG Mediabrands India, said, "MAGNA predicts above average ad spend resilience in 2025 neutralizing the impact of ad spend on cyclical events in 2024 led by National Elections & T20 World Cup. In 2025 MAGNA expects dynamic ad spend in Finance, Media, Pharma, Technology, Gaming and Retail, while Automotive and Electronics might lag. The trio of Video, Social and Retail will once again lead the Adex growth. Live sports, which were the only Linear TV mainstays, have been upended with more people streaming sports content. Ad-supported streaming experience rapid growth in access, consumption, and advertising sales, as nearly all streaming TV platforms offer more affordable ad-supported plans. Long-form video is growing at a blistering pace of over +25% and is 6% of the total video forecast, estimated to gain double digit share in the next three years."