Advertising spend to grow at 12.1% in 2018: report

Advertising expenditure in India will grow 12.1% to touch ₹68,334 crore in 2018, IPG Mediabrands-owned media agency Magna said in an advertising forecast report released on Monday (December 11).

The forecast for 2018 is higher than the 11.5% forecast for 2017 that the agency put out in June, which has now been revised to 11.1% due to the prolonged effect of demonetisation and the temporary disruption caused by the goods and services tax (GST). Ad spending this year is expected to reach ₹60,972 crore by December-end, Magna said.

In contrast with Magna’s optimistic prediction, Publicis Groupe-owned media agency Zenith India said in it’s Advertising Forecast report last week that advertising in 2018 will grow at 8.4% to reach ₹58,422 crore.

The growth in ad spends is being aided by an upswing in the economy after bold structural reforms like demonetisation and GST introduced in July, the IPG Media report stated. The upcoming assembly polls next year along with increased spending by sectors like automobile, fast moving consumer goods (FMCG) and e-commerce are bound to further assist growth in advertising spends.

Unlike global markets like the US and China, India will witness growth in all the traditional media platforms, the report added.

NEW DELHI: