India’s digital ad market to grow 15% annually; how AI and other factors are driving it

India’s digital advertising market is projected to be one of the fastest-growing globally, with an estimated annual growth rate of 15% through 2029. According to a new report from Bain & Company, the country’s ad market, currently valued at $16–$18 billion, is expected to reach $17–$19 billion by 2029. The growth is being driven by factors like rising private consumption, high digital consumption, and the rapid adoption of over-the-top (OTT) platforms. Mobile devices are a key driver, accounting for nearly 70% of total digital ad spend, and this is even higher in India. Small and medium enterprises (SMEs) and direct-to-consumer (D2C) brands are also contributing to this growth, with their share of digital ad spending projected to reach up to 42% by 2029.