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News updated at 2:49 AM IST

Online ad market likely to touch Rs 2,938 cr mark by Mar 2014

New Delhi, Apr 4, 2013 (PTI) 21:27 IST
The online advertising market is expected to reach Rs 2,938 crore by March 2014 in the country, a report said today.

The online advertising market, comprising search, display, mobile, social media, email and video advertising, has grown by 29 per cent year-on-year to Rs 2,260 crore by March, 2013, the report jointly published by the Internet and Mobile Association of India and IMRB International said.

"The online advertising market in India is projected to reach Rs 2,938 crore by March 2014," the report said.

It was valued at Rs 1,750 crore in March, 2012, it added.

The report said the online advertising market on an average expected to grow by 40 per cent annually in four years to 2013-2014.

"Search and display advertising continue to form a large portion of the overall pie in 2011-2012. Their percentage share has, however, declined somewhat in 2012-2013, owing to the rise in the mobile, social media and video advertising," the report said.

Spends on mobile advertising have doubled from Rs 115 crore in 2011-12 to Rs 230 crore in 2012-13, primary reasons being the proliferation of mobile phones in India, enhanced mobile Internet connectivity and increased need for customer engagement, it said.

"Advertisements on mobile phones and tablets grew from a 7 per cent share in FY 2011-2012 to 10 per cent of the Indian online ad market in FY 2012-2013, totalling to spends of around Rs 230 crore," it said.

Social media, email and video advertising constitute 13 per cent (Rs 300 crore), 3 per cent (Rs 68 crore) and 7 per cent (Rs 150 crore) of the online advertising market, respectively.

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