This time last year, the Pitch Madison Advertising Report (PMAR) had pinned its hopes on a 12.2% AdEx growth in 2024. This year, the results are finally out, and it does not live up to the expectations. According to PMAR 2025, AdEx in 2024 grew by only 9%. The overall AdEx growth rate in 2024 is the weakest since 2017 (barring COVID years), when it expanded by just 7%.
Traditional advertising (Traditional AdEx) has been particularly impacted, growing by only 6% in 2024—down from 7% in 2023 and 14% in 2022. Digital advertising (Digital AdEx) has also slowed, declining from 35% growth in 2022 to 15% in 2023 and further to 14% in 2024. This underperformed against projections of 9% for Traditional AdEx and 17% for Digital AdEx.
Despite this slowdown, the Indian advertising market crossed the significant milestone of INR 1 lakh crore and is now valued at INR 1,08,000 crore in 2024, adding INR 8,942 crore in new revenue.
Several key factors have contributed to this subdued growth. Geopolitical tensions, including the ongoing Russia-Ukraine conflict and the emerging crisis between Israel and Hamas, have created uncertainty. Additionally, a sharp decline in venture capital funding has forced startups to prioritise profitability over expansion, limiting their marketing budgets. Persistent food inflation has impacted all sectors, particularly FMCG, leading to cautious spending. Many companies, especially startups and SMEs, have faced tighter cash flows, resulting in significant cuts to advertising and marketing expenditures. Furthermore, advertisers remained wary ahead of Diwali, anticipating weaker festive demand and choosing to scale back on increased spending during the festive season. These challenges collectively created one of the slowest growth periods for the Indian advertising industry in recent years.
Indian AdEx continues to surprise us: Sam Balsara
Sam Balsara, Chairman Madison World, at the launch of PMAR 2025 reveals the key findings from the report, also shares his advice to marketers
At the unveiling of the Pitch Madison Advertising Report 2025, Sam Balsara, Chairman of Madison World, spoke about the market dynamics, consumer behaviours and economic factors that have led to the tepid growth of AdEx in India.
“Indian AdEx continues to surprise us. It has grown just by 9% at the total AdEx level, but if you take traditional AdEx alone, the growth has been even more dismal at 6%. Traditional AdEx’s growth has slowed from 14% in 2022 to 7% in 2023 and 6% in 2024. Digital AdEx has slowed down from 35% in 2022 to 15% in 2023 and 14% in 2024,” he said.
Further, he listed the key factors that have contributed to the subdued growth of AdEx. He said, “Food inflation continued to play spoil sport for all sectors, but perhaps more for FMCG. Many companies, especially startups and SMEs, faced tighter cash flows, leading to a cut in marketing and advertising spends. Anticipation of weak festival demand during Diwali, made advertisers go slow on increased spending during the festival.”
Global advertising spend should now cross the $1-trillion mark. WARC estimates the spend to be 1,077 billion dollars. For the first time in quite a few years, Indian AdEx has grown lower than the global average.
“It is significant to note that the US, despite its humungous size (market share of 31.2%) grew at a growth rate of 11% in 2024. China on the other hand slowed down, registering a growth of just 3%, but in terms of market share comes at a distant second at 16.8%,” he added.
Balsara concluded his remarks with advice for marketers. He said, “Don’t lose focus on branding as you increasingly pay attention to performance to push sales because branding gives you lasting value. Urban growth is expected to bounce back. There is a huge consumption opportunity that can be tapped into with targeted marketing plans. Growth in the rural economy is here to stay. Prioritise markets at district levels and target the prosperous districts to take advantage of them.”
Targeting is probably the most powerful way AI is going to change the way we market: Vikram Sakhuja
Vikram Sakhuja, Group CEO of Madison Media and OOH, at the PMAR launch highlights how AI is transforming marketing by shifting the focus from target groups to outcome-based strategies.
Vikram Sakhuja, Group CEO of Madison Media and OOH, said that the core principles of marketing will remain unchanged but the methods will evolve while talking about how AI will transform marketing methods. He was speaking at Pitch Madison Advertising Report (PMAR) launch event in Mumbai.
Addressing how marketing methods will change due to AI, Vikram stated, “You will not start with TG markets; you will start with outcomes. “Targeting is probably the most powerful way AI is going to change the way we market.”
He explained that marketers today have the option to target multiple TGs or not use traditional TGs at all. “From one TG, we now have many cohorts, or we can opt for broad targeting—send a message out there, get the signal, feed it into AI, and let the engine take care of itself. Both these options are available, and that’s a huge shift from what we used to do earlier.”
Speaking about changing marketing methods, he pointed out that creative development is where AI is significantly reducing human control. “The one thing that will not change is the creative insight and the creative idea. But after that—whether it’s making the commercial, the language, the visualisation, the copy—production costs will crash. This will be partly offset by the increased number of creative units, but this is one big disruption that is coming.”
He also noted that AI is enabling content creators with more freedom. Additionally, AI influencers and Agentic Marketing are becoming integral parts of creative development.
In conclusion, Vikram emphasised that unlocking AI’s full potential depends on using the right prompts. “If you can identify the one signal that could unlock value and link it to the right outcome—iterating and refining to get results—that is where you’ll find the pot of gold at the end.”
INDIA’S ADEX GROWTH IN 2024 – A DETAILED STUDY
Although India’s advertising growth rate of 9% may seem modest, it remains one of the highest globally. India recorded the second-fastest growth, surpassing France at 8% and the UK at 7%, while Japan experienced a decline of 6%.
DIGITAL - Digital advertising growth in India has slowed from over 30% annually (barring the COVID year) to 14-15% in the last two years, reaching INR 45,292 crore in 2024. Despite this moderation, digital remains the top advertising medium for the third consecutive year. The shift reflects a maturing market where brands prioritise strategic investments over broad experimentation, and startup ad spends have stabilised.
Newer brands are integrating brand-building with revenue goals, leveraging influencers over traditional celebrity endorsements. However, Digital still accounts for only 42% of India’s AdEx, compared to 75% globally. Connected TV (CTV) is emerging as a key channel, with a 35% rise in ad spend, reaching nearly
INR 1,500 crore in 2024. As TV viewership shifts to on-demand platforms, CTV is becoming an essential medium for advertisers targeting premium audiences.
TELEVISION - The year 2024 was tough for TV broadcasters, with TV AdEx growing just 5% (vs. an 8% forecast) to INR 34,453 crore, marking its slowest growth in seven years (excluding 2020). TV’s share in total AdEx declined by 1% to 32%. Quarterly growth fell from 6% in Q1 to -8% in Q4, resulting in an overall -1% volume decline.
FMCG remained the top category, followed by real estate and auto, which was driven by new launches and EV focus.
TV ad volume fell 1% to 2,134 million seconds. Hindi GECs and Sports contributed 50% of TV AdEx but just 8% of total ad volume. Regional channels grew 9-12%, now they are 30% of TV AdEx. Reality shows boosted GEC revenues, while Music & Kids genres remained stable at INR 1,000 crore. English niche channels nearly vanished.
Print - The Print sector showed resilience in 2024 despite ongoing challenges from digital media growth. Print AdEx reached INR 20,272 crore, surpassing pre-COVID levels after five years, with a 5% annual growth. Print maintained a 19% share in overall AdEx, far above the global average of 3%, matching only Germany.
While ad volume remained flat, revenue growth was driven by premium pricing, particularly in English and Marathi publications.
Hindi and English dailies accounted for 64% of total print volume. English publications grew by 4%, benefiting from higher ad rates, while Marathi saw 5% growth. In contrast, Telugu (-10%) and Malayalam (-8%) declined.
Key growth drivers were Auto, FMCG, and Real Estate, with Telecom surging by due to 5G expansion. Print’s revenue resilience highlights advertisers’ continued trust in the medium, especially for localised and high-trust campaigns.
OOH ADEX - In 2024, India’s OOH advertising industry saw the highest growth among traditional media, with revenue rising 12% to INR 4,650 crore from
INR 4,140 crore in 2023. Growth was driven by three key areas: Digital OOH in metros, expanding airport media, and rapid OOH adoption in smaller towns.
The Parliamentary Elections significantly boosted OOH spending. Real Estate was the top contributor. Other key sectors included Organised Retail, Consumer Services, FMCG, and BFSI. Political advertising soared 86% to INR 205 crore, up from INR 110 crore in 2023, making elections a major growth driver.
RADIO ADEX - Over the past five years, the radio industry has maintained a steady 2% share, despite a sharp decline from INR 2,260 crore to INR 1,270 crore during COVID. Since then, it has gradually rebounded, reaching INR 2,462 crore in 2024, following a steady climb through INR 1,733 crore in 2021, INR 2,032 crore in 2022, and INR 2,272 crore in 2023.
In terms of ad volume, 2024 saw a modest 4% growth compared to 2023, marking a slowdown after the strong 18% surge between 2022 and 2023. Real Estate & Home Improvement remained the top revenue contributors, holding a 15% share of total ad spend.
CINEMA ADEX - In 2024, India’s cinema industry continued its gradual recovery, having previously risen from INR 465 crore in 2015 to INR 1,045 crore in 2019 before plummeting to just INR 136 crore during the second year of COVID. However, the year fell short of expectations, with most films underperforming at the box office. The exception was ‘Pushpa 2: The Rule,’ which emerged as a massive success, generating nearly INR 100 crore in cinema advertising.
A few more blockbuster hits could have pushed Cinema AdEx past the INR 1,000 crore mark. One clear trend is the dominance of South Indian films, signalling a shift in the industry where Hindi cinema is struggling to maintain its influence. To stay relevant, Bollywood must reinvent itself and explore new ways to draw audiences back to theatres.
Forecast for 2025
The Indian advertising industry is poised for a potential rebound in 2025, driven by positive consumer sentiment and incentives outlined in the Union Budget. With an additional INR 1 lakh crore in disposable income among middle-class consumers, brands are expected to increase their marketing and advertising investments.
Forecasts for 2025 remain optimistic, with an anticipated 11% growth over 2024. If projections hold, total ad expenditure in India could reach
INR 1.2 lakh crore, adding INR 12,000 crore in revenue. On a global scale, advertising is also expected to see steady expansion, with WARC predicting an 8% increase compared to 2024.
Digital – While Digital will remain the primary driver of Adex, with its share increasing from 42% to 44%, its growth in 2025 is expected to be a moderate 17%. India’s digital advertising landscape is rapidly evolving, driven by increasing internet penetration and mobile usage. In 2025, the expanding digital ecosystem will bring both opportunities and challenges, pushing continuous innovation in the industry.
Connected TV (CTV) emerged as a major disruptor in 2024 and is set to maintain its strong growth. With CTV adoption on the rise, India is projected to have 50-60 million CTV households by the end of 2025, with ad revenues expected to reach INR 2,300-2,500 crore.
Factors that will aid the Digital growth:
• Audiences are shifting from traditional TV, opening new ad opportunities.
• INR 20,000 crore allocated for digital R&D and AI in Budget 2025.
• AI will enhance data analytics and programmatic ads.
• Influencer marketing will grow further.
• Online shopping will drive more e-commerce ads.
Television - In 2025, TV ad revenue is expected to grow by approximately INR 2,000 crore (6%), reaching INR 36,520 crore. However, its share in total ad spend will likely decline to 30%, making it the second-largest medium after Digital.
Factors that will aid Television growth:
• Key sporting events like IPL, Champions Trophy, and Asia Cup will support TV advertising.
• Consumer sentiment boost from the budget could drive higher TV AdEx.
• Brands returning to TV for high-impact shows and FMCG-driven organic growth.
Factors that will hurt Television growth:
• No major elections in 2025 means lower political ad spending.
• TV under pressure as Digital continues to grow in market share.
• Jio-Star merger impact: With a strong portfolio and key cricket rights, it will influence pricing, especially in regional markets like the South.
Print - Print AdEx is expected to grow by 7% in 2025, reaching nearly INR 22,000 crore. This growth is notable despite the absence of major events like the 2024 General Elections, which had boosted ad spending.
Factors that will aid Print growth:
• Print AdEx growth will be driven by Auto, FMCG, Education, and Real Estate sectors.
• India’s Print AdEx share is six times higher than the global average.
• English and Hindi publications contribute 70% of total print ad volume.
• India remains the world’s largest print advertising market, underscoring its relevance.
OOH - The Out-of-Home (OOH) media industry is expanding rapidly, driven by technological advancements, improved infrastructure, and increased investments. A key trend has been the rise of Digital Out-of-Home (DOOH), which saw a 12-15% growth in 2024, particularly in major cities. In 2025, OOH is set for further expansion, with digital innovations, infrastructure development, and greater consumer mobility creating new branding opportunities across key locations.
Given these factors, the OOH industry is projected to grow by 12% in 2025, similar to 2024, bringing its total value to around INR 5,200 crore—an increase of INR 550 crore from the previous year.
Radio - Radio is expected to grow by 9% in 2025, bringing total Radio AdEx close to INR 2,700 crore. However, despite this growth, its overall market share will remain steady at 2%.
Factors that will drive Radio growth:
• Key sectors like Auto, FMCG, Retail, and Government (during assembly elections) will drive Radio ad spend.
• Radio’s hyperlocal influence makes it a preferred choice for targeted advertising.
• Integration of digital innovation with traditional reach is expanding engagement opportunities.
• Data-driven and interactive formats are enhancing advertiser-audience connections.
Cinema - In 2025, Cinema AdEx is expected to reach around INR 930 crore, still below the pre-COVID peak of INR 1,050 crore. This highlights the ongoing struggle to fully recover from the pandemic, with a slower-than-expected return to previous revenue levels.
The South Indian film industry has been a key driver of cinema advertising revenue, consistently producing blockbuster hits. This trend is expected to continue in 2025, reinforcing its dominance in shaping cinema ad revenues.
