New Delhi, August 4
India's advertising market logged a compound annual growth rate of 6-7 per cent over the past five fiscals and crossed the Rs 1 lakh crore mark last fiscal - 2024-25, according to Crisil Ratings.
According to the Crisil report, digital advertising emerged as the fastest-growing segment, accounting for 45-46 per cent of the total ad spend, up from 24 per cent in fiscal 2020.
In the current fiscal, the gap between traditional and digital media is expected to widen, with the latter likely to grow 9-11 per cent, while traditional media flatlines.
"This signals an ongoing transformation in how India has been consuming content," Crisil said.
In fiscal 2020, traditional media, such as television (TV) and print, held nearly 65 per cent market share, which dropped to 46-47 per cent last fiscal.
The TV industry is under attack from two flanks -- broadcasters are losing ad revenue as viewers shift to over-the-top (OTT) platforms and distribution networks are losing subscribers to optic fibre-based services.
The direct-to-home industry alone lost over 10 million subscribers between December 2020 and 2024, the Crisil report noted.
The print media is grappling with stagnant circulation, rising preference for digital news applications and a clear shift of advertisers towards digital platforms. Overall readership fell 500 basis points between fiscals 2020 and 2025.
Pushan Sharma, Director, Crisil Intelligence, "The shift is evident in the ad spend patterns of major consumer-facing sectors such as fast-moving consumer goods (FMCG), automobiles and e-commerce. FMCG companies now allocate 55-60 per cent of their ad budgets to digital, up from 30 per cent in fiscal 2020."
Looking ahead, the trend in ad spend appears irreversible as traditional players are also stepping up on digitalisation. Digital platforms offer sharper targeting, a micro-market approach and better cost efficiency. Creator-led content also brings higher engagement and relatability, making digital outreach more effective and measurable. As a result, brands are steadily moving towards digital-first strategies, marking a shift in India's advertising landscape.
— ANI
Reader Comments
As a digital marketer, I can confirm this shift. The ROI on digital ads is just unbeatable - you can track every rupee spent. Though sometimes I miss the creativity of old print ads. Those Amul hoardings were iconic!
Good analysis but the report misses regional language digital growth. In tier 2-3 cities, vernacular content is exploding. My small business in Jaipur gets 80% customers from Instagram/FB ads in Hindi. Digital India is truly here!
While digital growth is impressive, we must think about digital divide. Many rural areas still rely on newspapers and TV. Hope the government ensures equal access to internet infrastructure across all states.
The DTH subscriber loss is shocking! Jio Fiber and Airtel Xstream are eating their lunch. But honestly, who wants to pay ₹300/month for 100 channels when you can get curated content on OTT for same price? Evolution is inevitable.
Working in Indian media for 10 years, this transition has been painful but necessary. Our news channel had to lay off 30% staff last year. The silver lining? Digital teams are hiring like crazy. Upskilling is key to survive this shift.
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