Ad spends in India to grow by 22% in 2022: GroupM TYNY Report

The latest GroupM TYNY report unveils some of the top trends and key takeaways from the AdEx forecasts that would shape the A & M industry in 2022.

GroupM India has announced the AdEx forecasts for 2022. As per the report ‘This Year, Next Year’ (TYNY) 2022, the ad spends are estimated to reach INR 107,987 Crs. in 2022. This represents the estimated growth of 22% for the calendar year 2022. India to be the fastest-growing market among the top 10 global markets and retains its 9th rank in 2022.

The report added that digital will overtake television to become the largest medium in 2022 in India, with the former estimated to reach a 45% share of ad spends, this year.

Some of the top trends and key highlights in the GroupM TYNY report include:

The Key Trends:

• Shifts in organization structure and work cultures to open up new opportunities
• Consumer sensitivity and sustainability to impact brand marketing
• The next generation of digital experience will be driven by decentralization
• Privacy-first leveraging of data to build stronger consumer connections
• Commerce becomes all-pervasive, powered by persuasion
• Transformation of the creator ecosystem
• Boom-time for sports business in India
• Advanced Intelligence to counter digital fragmentation
• Performance orientation powers the full funnel of marketing
• Addressable TV becomes mainstream
• Evolution of offline media organizations with fluid content, formats and new business models

Also read: Data: A look at Bharat Consumers – All you need to know about the Neo-Indian Consumer

Commenting on the TYNY 2022 report, Prasanth Kumar, CEO, GroupM South Asia, said, “The pandemic has pushed the envelope towards digital and has hence topped the pie, with advertisers keen to explore more of it. E-commerce and Telco will drive the economy, we also expect FMCG and auto to slowly catch up and contribute towards this growth.”

Tushar Vyas, President – Growth, and Transformation, GroupM South Asia, added, “With the pivot to digital by consumers and companies alike, digital emerges as the largest medium in 2022 with an estimated share of 45%.  Digital is estimated to grow by 33% in 2022. As digital capabilities enhance and connectivity becomes omnipresent, technology will further poise and change almost every sector of India’s economy.”

Parthasarathy Mandayam, Chief Strategy Officer, GroupM South Asia, said, “With consumers gravitating towards themes like sustainability and sensitivity, brands are adapting rapidly, and media has the power to lead this change. Flexible, specialist and distributed teams are the order of the day and this trend will be further enhanced with the arrival of 5G. The emphasis on performance marketing has further accelerated and is at the very core of marketing. Intelligent and responsible leverage of first-party data will be critical for brands and marketers in driving this.”

Atique Kazi, President – Data, Performance and Digital Products, GroupM India, added, “Marketers will have to bring together innovation, intelligence, and integration in their strategy to win on Digital. In 2022; we will also see addressable TV coming to India in some scalable form and connected tv surge with smart TV sales and new fiber/broadband connections will be on the rise. Focusing on E-commerce, performance marketing, outcome-based media, and addressable data is winning formula in 2022.”

Sidharth Parashar, President – Investments and Pricing, GroupM India, said, “While digital is set to take the larger pie, we are expecting a noteworthy revival for OOH and cinema too after a tough period. Advertising on e-commerce, the rise of influencers and short format videos along with OTT has witnessed growth in 2021, which would continue in 2022.”

Ashwin Padmanabhan, President – Partnerships and Trading, GroupM India, added, “The rapid digital transformation of companies, brands and the way they connect with consumers is reflected in the global advertising spends as well as the way even traditional media is expanding with their digital extensions. India in 2022 will see a rapid manifestation of these Global trends and thus fundamentally altering the media industry.”

You can read the complete report here:

GroupM TYNY 2022 from Social Samosa