India seen among fastest- growing ad markets in 2026 at Rs 2 lakh cr, despite global jitters

advertising

Global headwinds may be slowing markets elsewhere, but India’s ad industry is powering ahead, and is expected to cross Rs 2 lakh crore in 2026 and rank among the world’s fastest-growing advertising markets, according to an analysis by ad company WPP Media.

India's advertising market demonstrates resilience amid global economic uncertainty, as per a recent report titled, This Year Next Year---2025 Global End of Year Forecast.

According to projected growth estimates for 2026, India is second to Brazil which is expected to see a 14.4 percent grow in its ad market, followed by India and Mexico.

Total advertising revenue is estimated to reach Rs 1.8 lakh crore ($20.7 billion) in 2025, representing a 9.2 percent growth over 2024, followed by a 9.7 percent growth in 2026, to reach Rs 2 lakh crore.

"This growth trajectory reflects a cautious but optimistic outlook."

According to the report, the Indian consumer landscape presents a mixed picture. "Household savings declined between 2020 and 2024, with household bank deposit share falling from 43 percent to 35 percent over the nine years preceding FY22-23," according to the Ministry of Statistics and Programme Implementation National Accounts Statistics.

Despite these headwinds, consumer spending remains robust in certain segments, the report added.

"The 2025 festive season (September-October) proved exceptionally strong, with total retail sales crossing Rs 6 lakh crore ($67 billion),  aided by substantial discounts from both online and offline retailers,"according to the Confederation of All India Traders.

WPP Media noted that television faces continued structural challenges, with total TV ad revenue projected to decline 1.5 percent in 2025 to Rs 47,740 crore ($5.4 billion), before returning to growth in 2026. Linear TV viewership is expected to continue declining at a mid-single digit pace as viewers spend more time online.

Streaming TV represents a bright spot, projected to grow substantially from a smaller base, as per the report. "The landscape was reshaped by the Reliance Jio-DisneyStar merger completed in November 2024, creating a dominant entity with ambitious growth plans. Amazon Prime Video's ad platform launch in 2025 adds competitive intensity to the streaming space."

The media house said that the 2027 Indian Premier League (IPL) rights auction for the 2028 cycle will be pivotal. "The BCCI (Board of Control for Cricket in India) is likely to increase bid prices steeply, making it a key battle between legacy TV broadcasters and digital platforms, potentially further accelerating the linear-to-digital shift."

Other digital platforms, primarily social media, represent the largest growth driver in absolute terms, projected to reach Rs 17,090 crore in 2026, up 11.1 percent over 2025. Short-form video content, particularly micro-dramas, are gaining popularity, though audience numbers remain modest. In 2026, other digital revenue will represent 35.5 percent of total ad revenue in India.

Connected TV (CTV) is expected to grow in double digits as advertisers follow audiences to streaming platforms. By 2030, India's advertising market is projected to reach Rs 280 crore ($31.8 billion), with content driven advertising commanding 60.7 percent of total revenue, down from 71.6 percent in 2025 with commerce as the largest share gainer.

"Traditional formats will continue to cede consumption and ad revenue to digital formats, underscoring the fundamental transformation of India's advertising ecosystem," the ad firm said.

Audio advertising will increase modestly, gaining 1.5 percent in 2026 to Rs 2,900 crore ($326.8 million). Digital audio formats, including podcasts, are driving growth, with terrestrial radio set to decline 1-2 percent each year between 2025 and 2030.

On the other hand, print presents a paradox, the report noted. Newspaper advertising is forecast to grow 3.5 percent in 2025 and a further 4.5 percent in 2026 to Rs 17,090 crore ($1.9 billion), driven primarily by government, political, and retail-led advertising outside major agency groups.

Retail media stands as India's fastest-growing advertising channel, forecast to increase 26.4 percent in 2025 to Rs 24,280 crore and 25 percent in 2026 to Rs 30,360 crore. "This growth trajectory positions retail media to represent 15 percent of total advertising revenue by 2026," the report noted.

The competitive landscape features Amazon and Walmart-owned Flipkart as the two largest retail advertising entities, it added. "Emerging quick commerce players, including Blinkit, Zepto and Instamart, are growing advertising revenue rapidly at 100 percent rates, albeit from small bases, as they compete aggressively for market share."

Cinema advertising is recovering gradually, with an 8 percent growth projected in 2025 to Rs 930 crore.

However, box-office collections remain challenged as streaming TV platforms increasingly attract producers seeking guaranteed minimum returns,eating into theatrical revenues. "Cinema is on pace to surpass pre-pandemic levels of advertising in 2026," the report said.