Market Research Report : Online advertising in India 2012
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From being a small scale industry, advertising is India has evolved into a significant domain both in terns of revenue generated as well as number of people employed. Today, marketing has graduated into a quintessential aspect in a product’s success, be it a good or a service. Starting from brand image to that of brand identity, everything gets fostered through one’s advertising efforts for any particular product. Keeping this aspect in mind, one needs to keep in mind that over the period of years, online medium has developed as a prospective means of communication. Advertising industry has caught on the proposition well and diverted some of their scheme of activities towards online medium. Online advertising in India is riding on the back of enhanced Internet penetration and with active users heading northward, the sector is only poised to grow even further.
The report begins with an introduction section which throws some light on the concept of advertising, types of advertising as well as a brief differentiation of online and offline advertising. It is followed by an overview which speaks of both the Indian advertising industry and the online advertising industry. The Indian advertising industry is described with its market size and growth as well as a snapshot detailing the trend of advertising revenues and segment-wise growth rates. The online advertising industry is detailed with its market size and growth along with a break-up of the advertising industry and a segment-wise growth rates. This leads to a mentioning of the key segments of display advertisements and text advertisements. In case of online advertising sector, BFSI and travel constitute the primary verticals that source for the revenues garnered, inclusive of both display and text advertisements. The report then goes into listing the technological advancements in the sector. This section gets concluded with a Porter’s Five Forces analysis for the sector.
The report then narrows down to illustrate the business model prevalent in the sector which is followed by majority of the players. It gives a brief take on the nature of the medium aided with the metric systems available in the sector.
A brief description of the drivers that help the sector to prosper include large domestic base, positive consumer behaviour and patterns towards online media, growing proliferation of internet on mobile and large expatriate population. Online advertising derives its sustenance from internet base and with domestic internet consumer base increasing; the sector is slated for growth. Domestic consumer base is accounted as it forms the chief customer segment vis-à-vis online shopping or even online ticket booking. In the lines of growth of internet base, frequency of net usage is another aspect that gets factored. Recent data state that internet usage in India has registered a sha
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