Digital growth forecast: 17% surge expected in 2024

In a momentous unveiling event in Mumbai, the much-anticipated Pitch Madison Advertising Report 2024 took center stage, graced by dignitaries from the media world. According to the insightful predictions, India's AdEx is poised to witness a robust growth of 12.2% in 2024, with digital serving as the primary catalyst, expected to surge by 17%.

Highlighting the digital landscape's ascendancy, the report emphasized that digital would maintain its pivotal role, elevating its share from 40% to 42%. Projections indicate a 17% growth for digital in 2024, with the Digital AdEx forecasted to culminate at Rs 46,565 crore, witnessing a significant addition of around Rs 7,000 crore during the year.

The driving forces behind Digital AdEx encompass Video, Social, Display, E-commerce, and Search. While Digital Video remains a dominant force, contributing significantly to Digital AdEx, its growth rate has moderated from 40% in the previous year to 26% in 2023. Despite this deceleration, it still claims the largest share, increasing from 30% to 33%. The report also underscored that, with a 40% share, Digital in India trails behind the Global AdEx, where its share stands at an impressive 73%.

Addressing the evolving business landscape, the PMAR report acknowledged a shifting focus towards short-term results. Marketers, recognizing the power of brand building, are under board pressure to deliver immediate outcomes, favoring the digital medium.

Factors contributing to the growth of Digital AdEx include an emphasis on short-term results, a surge in CTV and OTT penetration, and the inclusion of IPL on digital platforms at a consistent cost per 10-second basis.

The report anticipated a divergence in growth between H1 and H2, with heightened optimism post-elections and the likely return of the Modi government with an increased majority. Foreseeing a positive trajectory, India Inc. could witness a surge in government measures and reforms aimed at stimulating the economy.