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Digital Marketing Options Proliferating

March 4th, 2011 · 4 Comments

Even as the Indian Internet advertising market touches Rs 1,000 crore (about 4% of the overall ad spend in India), the options for digital advertising are growing:

  • Internet search and banner ads: where Google is the market leader. Yahoo is a distant #2. With Facebook also growing, the result is that a significant component of the spend is sucked out of the Indian content ecosystem.
  • Mobile: with a diversity of options (sms, outbound voice, mobile Internet). With 3G, this spend will grow.
  • Social: Facebook and Twitter are leading the charge here in terms of usage, with Facebook 10X bigger than Twitter in India. Spends will increase not only on ads, but also on creating Fan pages and social media strategists.
  • Video: YouTube is growing fast in India, but ad spends are still small. With better broadband and 3G, video consumption will increase.
  • Email marketing: This is relatively new in the Indian context, but with companies now starting to build email databases, the options here too will grow.

So, even though the Internet search-display combo accounts for the bulk of the digital ad spend today, we will see new options coming into play in the coming year.

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4 responses so far ↓

  • 1 Wrenj // Mar 4, 2011 at 7:14 am

    Hopefully, the mobile space will experience market disruption. That will expand the scale of growth.

    Old issues you have mentioned come to mind especially revenue sharing.

    The telecom industry does not seem to desire the future that I would call “pipes, platforms and payments”, an effect of which will be a healthy MVAS ecosystem that could unleash a new wave of innovation and productivity.

    So far they seem to be content with just the pipes bit.

  • 2 Ron // Mar 4, 2011 at 12:26 pm

    The challenge and opportunity for services providers and businesses alike would be to find the most ideal combination of these to create the best marketing plan possible.

    A one size fits all strategy won’t work and will only become more complicated with the advent of more options.

    But like always choice brings opportunities and we should enjoy it.

  • 3 Chintan // Mar 6, 2011 at 6:01 pm

    I would be focused on watch mobile space.
    over 50 million mobile users in India and many will be upgrading to smartphone… it will be tool for content consumption.. infrastructure is there to reach these people / to buy their time.

  • 4 Chintan // Mar 6, 2011 at 6:06 pm

    correction: I meant over 500 million users :)

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