The advertising market in India is expected to reach ₹72,169 crore next year with an expected 15% growth rate. Cricket World Cup, Indian Premier League and the general elections in the country will be the key drivers for the market, state Zenith Global Advertising Expenditure Forecasts.
Even as the fall in the rupee value and oil price surge in the global market have rendered an impacted disposable incomes, the consumer confidence continues to remain relatively high. The trend enable the Indian advertising expenditure expectedly close at ₹62,699 crore for the current fiscal.
“The 2019 is the year of the Indian general elections. These and the assembly elections in some States will boost marketing spends. Additionally, the ICC Cricket World Cup and the Indian Premier League will drive growth (next year),” says Tanmay Mohanty, Chief Executive, Zenith Global.
The report further observes that since a major part of the Indian population is below 30 years of age, the will continued to be driven by consumption with less reliance on export momentum. The factor should boost businesses across the board, ad investments and government initiatives.
According to the Zenith Global Advertising Expenditure Forecasts, the advertising spends of the country is expected rise 15% to Rs 72,169 crore in 2019. The growth drivers as expected would be cricket world cup, Indian Premier League and the general elections according to the report.
Mohanty added that many parts of the country are experiencing digital transformation, led by mobile, which will accelerate categories such as banking, financial services, healthcare, entertainment and sports, travel and lifestyle.
India is expected to become the eighth largest advertising market in 2021, it said.
It noted that the Indian advertising market is expected to grow at 13.5% a year from USD 9.7 billion in 2018 to USD 14.2 billion in 2021, entering the top ten for the first time.
Zenith that is owned by French advertising group Publicis said that India is the stand-out growth market and has huge potential for further growth, with advertising taking up just 0.3 per cent of GDP, less than half the Asia Pacific average of 0.7 per cent.