Indian online ad market to grow by 30 percent in FY15 from Rs 2,750 crore in March 2014.
Estimating a 30 percent rise, the Indian online ad market will touch Rs 3,575 crore by March 2015 from Rs 2,750 in March 2014. As per a joint study done by the Internet and Mobile Association of India (IAMAI) and IMRB International, ‘Digital Advertising in India’, social media comprise 13 percent of digital advertising spends in the country.
The report cites search and display advertisements as the biggest contributors to the market, with the latter clocking 29 percent of overall spends and the former constituting 38 percent.
According to current trends, the proportions of ad spends are going to gradually shift from search to other platforms such as e-mail, video and mobile.
Video advertisements spends are expected to grow 56 per cent annually and contribute 12 per cent to the overall market share of digital advertisements. Search ad spends fell 30 per cent of the overall digital ad spends, contributing Rs 825 crore to the digital ad market.
While ad spends on mobile devices grow at 43 per cent per annum (Rs 385 crore) and social media at 41 per cent (Rs 440 crore) during 2014, video ad spends grew at 51 per cent to reach Rs 303 crore and e-mail grew at 16 per cent to touch Rs 88 crore.
The report stated that e-commerce, telecom and FMCG and consumer durables are the top three verticals that have so far driven digital ad spends in India. With the rapid penetration of the internet across urban and rural regions in India, more and more marketers/advertisers are detouring their media budgets from conventional platforms (print, TV and radio) towards different digital avenues.
Photo Credits: AFAQs