MUMBAI: Like many others before him, Shrenik Gandhi, co-founder & CEO of White Rivers Media (WRM), has predicted a significant uptick in advertising expenditure across consumption-driven sectors following the latest Union Budget announcement. With the government providing income tax relief up to Rs 12 lakh, Gandhi anticipates a ripple effect benefiting both brands and advertisers.
He remarked, “With more disposable income in the hands of consumers, ad spends are expected to see a positive uptick, particularly in consumption-driven sectors from the salaried class.”
Sectoral Impact on Ad Spends
The overall advertising market is projected to witness a 10 per cent growth, driven by increased discretionary spending. Gandhi highlighted key sectors likely to ramp up marketing investments:
* Retail & E-commerce: Boosted by increased purchasing power, aggressive online and offline campaigns are anticipated.
* Automobiles: Higher disposable incomes often translate into greater car and two-wheeler sales, prompting auto brands to invest more in promotions.
* Real Estate: With improved affordability, developers are expected to push marketing efforts for mid-income housing projects.
* Consumer Electronics & Smartphones: This segment is poised for heightened promotional activity.
* Travel & Hospitality: Financial ease could drive a surge in both domestic and international travel advertisements.
* Fintech & BFSI: Additional savings may lead to increased interest in investments and insurance products, encouraging BFSI companies to up their advertising budgets.
Digital advertising, already experiencing robust growth, is expected to accelerate further as brands seek to capture positive consumer sentiment. Gandhi concluded that the budget’s impact on the advertising landscape signals a promising year ahead for the industry.
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