INDIAN ADVERTISING

INDUSTRY
Tussling in the
global market
 INTRODUCTION
• The Indian advertising industry is
talking business today having
emerged as one of the major
industries and tertiary sectors.
• Indian advertising industry today
has an estimated value of 13, 200-
crore with some astonishing pieces
of work and creative minds.
• Advertising agencies in the country
too have taken a leap from being
small and medium sized industries to
well known brands in the business.
• Indian economy is on a boom and
the market is on a continuous trail
of expansion.
• The Indian advertising today
handles both national and
international projects, functions
including client servicing, media
planning, media buying, etc.
• The industry is expected to witness
a major boom in the times ahead.
INDIAN ADVERTISING
INDUSTRY: The Trend
The key factors that have contributed to the growth
of the Indian advertising industry include:
Segmentation of advertising spends

Media Spends as % of Total Ad Spend

Year Print TV Radio Cinema Outdoor Internet

2000 49.0% 39.3% 2.5% 0.5% 8.4% 0.3%

2001 48.4% 40.6% 2.7% 0.4% 7.5% 0.4%

2002 47.2% 41.9% 2.9% 0.7% 7.0% 0.4%

2003 46.6% 43.0% 2.9% 0.7% 6.5% 0.4%

2004 46.3% 43.7% 2.9% 0.6% 6.0% 0.3%

• The Indian television
industry has grown rapidly,
especially since 1991
• Growth of the satellite
television audience
• The television broadcasting
business, now has over 300
channels covering the Indian
footprint, key reasons being
proliferation of private
players and reforms
Analyzing the global
advertising industry
• Definite signs of a recovery, after
one of the worst-ever slumps in
advertising.
• Print advertising looks more promising
and several US magazines saw ad
pages increase quite dramatically.
• Firms are looking toward technology
as the point of departure for huge
returns.
 Indian ad industry attracting
overseas attention
• The Indian advertising
industry is increasingly
attracting the attention of
many American companies and
communication agencies
• Worldwide Partners Inc. tied
up with Indian Pressman
Advertising & Marketing Ltd
following repeated enquiries
about India.
• Most of the enquiries were in the
nature of harnessing online solutions
like logo designs, computer science
graphics.
• Before Pressman came on board as a
full partner in December 2007,
Worldwide partnered Image Ads for
some years, thus now having 2
partners in India.
• Worldwide is focusing on
strengthening its position in India
and Korea specifically and Asia
Pacific largely.
• Good opportunity for pressman to
connect with agencies from across
the world in Worldwide’s network.
 Type Private
Founded 2004
Headquarters Mumbai, Maharashtra,
India
Key people Mahesh Murthy, Founder &
CEO
Ansoo Gupta, Global Head,
Business

Industry Advertising
Services Internet Marketing, Search
Engine Optimization, Search
Engine Marketing

Employees 130
Website www.pinstorm.com
• Pinstorm is a pay-for-performance
digital marketing firm. Pinstorm is
based out of offices in Bombay, along
with offices in Singapore, Malaysia,
Europe and the United States.
• Pinstorm has been selected by Red
Herring (magazine) to their list of
Asia’s 100 hottest companies for 2008
 LINTAS AND PINSTORM TIE-UP
• Linta's Media Group is among the largest
media agencies in India, managing a spend
of over Rs1,300 crores on broadcast, print,
outdoor and other media for clients like
Idea, Bajaj Auto, Maruti Suzuki, ITC, etc.  
• Pinstorm and Linta’s Media Group have
announced a significant non-equity
partnership, designed to push clients to
performance-driven media choices
• The tie-up was resulted from Pinstorm’s
pure adherence to pay-for-performance
which was expected to go a long way in
bringing accountability and transparency to
investments in advertising.
• The pay-for-performance model was pioneered by
Google and Yahoo, and has been pushed further by
Pinstorm.

• The alliance of Pinstorm with Linta's comes from their

goal to bring pay-for-performance advertising into the
mainstream of advertiser choices by working together.

• The alliance estimates that they will be able to drive an

incremental Rs100 crores of advertising to move over
from traditional models to a performance-driven model
in the next 12 months.
FACTS AND FIGURES
 CONCLUSION
Indian advertising Industry set to rise -
no signs of vertical ad networks:
• The Indian advertising industry is expected
to grow 61% by 2010 (with advertising
spend climbing to Rs. 36,731 crores)
• advertising expenditure in India to increase
from 0.50% of the gross domestic product
(GDP) to 0.53% over the next three years.
• For every hundred rupees spent by
advertisers, Rs 91 is spent on television and
the print media while the outdoor media
accounts for Rs 5. The rest is divided
between cinema, radio and the Internet.