When creativity must be monetized before lunch and approved by finance before tea.
Welcome to 2025. If you’re a marketer in India, you’ve likely just finished your 17th deck of the week, nodded gravely through a “budget alignment” call, and still don’t know if your next campaign will see the light of day—or just the inside of another Google Drive folder.
The truth is: budgets are frozen, expectations are not, and creativity is now measured in cost-per-clicks. Let’s unpack what’s happening beneath the grim headlines and jargon-filled webinars.
Where the money actually goes: A visual breakdown of how marketing teams are allocating budgets and embracing AI in 2025.
I. India’s Marketing Budget: Flatlining with Style
Globally, marketing budgets sit at 7.7% of total company revenue, unchanged from 20241. Indian brands, especially in sectors like BFSI, retail, and D2C, echo the same pattern—more ambition, same old allocation.
Despite this stagnation, 59% of CMOs say they don’t have the budget to meet their goals1. That’s still an improvement over 2024. But in India, a bit of budget constraint is tradition. We’ve just started calling it “resourceful.”
Paid media continues to take the lion’s share, with CTV, influencer marketing, and mobile video seeing disproportionate love. Martech, agency retainers, and team upskilling? Let’s just say they’re on an involuntary sabbatical.
II. India’s Split-Screen Spending Habits
Premium brands (luxury, fintech, tech unicorns) have increased spending by 10–15%, chasing high-intent audiences across CTV, OTT, and retail media2. If you’re watching Shark Tank on your smart TV, chances are your ad rupee is hard at work.
Meanwhile, India’s mid-market retailers and FMCG brands are negotiating 8–12% discounts in CPMs across mobile and display3. Their media plans resemble a thali—something for every platform, but portioned carefully and priced to the last paisa.
To put numbers on it:
- Mobile video CPMs in India hover between ₹180–₹450
- Connected TV (CTV) costs ₹400–₹800 per mille3
- Retail media is catching fire, with players like Blinkit, Zepto, and Flipkart now offering ad space on everything from app banners to delivery boxes
III. How Indian Marketers Are Responding
Let’s just say “doing more with less” now has an Indian patent pending.
Generative AI and Internal Automation
- 49% of CMOs globally use GenAI to save time, while 40% cite cost reduction4.
- In India, that translates to WhatsApping ChatGPT prompts at 11 PM to generate campaign copies, social calendars, and press notes.
AI is also eating into agency work. 39% of marketers say they’re reducing agency dependency4. That explains why your old copywriter buddy is now freelancing in Bali and responding to messages with “Namaste, I’m on deep focus mode.”
Retail Media = ROI Darling
Retail media now takes up 22.4% of global digital ad spend, and in India, it’s becoming the go-to option for D2C brands5. Why? Because retail media offers what CFOs love most: a straight line between rupees spent and goods sold.
Platforms like Amazon Ads and Flipkart Ads see monthly spends ranging from ₹4–15 lakhs, especially in electronics, grooming, and wellness categories5. It’s measurable. It’s local. It works.
Brandformance is the New Brahmastra
With customer acquisition costs (CAC) rising across Google and Meta, brands are now blending performance metrics with brand storytelling—a cocktail we now call “brandformance.”
Yes, your Instagram reel now needs to have a call-to-action, emotional resonance, and SEO keywords. Good luck, intern.
IV. A Note on Talent, Turnover, and Teams
Agencies are being downsized. Internal teams are being overworked. And burnout is the office chai.
Indian startups and unicorns are seeing a surge in full-time roles (77.9%) over contractors, partly due to control over GenAI workflows6. With burnout rates hitting 70–75% in digital roles7, even LinkedIn influencers are starting to post about boundaries.
V. So What’s the Marketing Map Forward?
We get it. You’re juggling shrinking budgets, AI expectations, and yet another hashtag campaign. Here’s what might actually help:
Prioritize high-ROI channels:
- Retail Media: Blinkit, Flipkart, Amazon—they give you attribution and delivery.
- Connected TV: It’s not just premium—it’s pause-worthy.
- AI-powered SEO: With 97% of marketers investing in AI-search optimization8, this is your long-term play. Start now.
Adopt agile planning:
- Reforecast quarterly. Assume budget cuts mid-year.
- Plan for tariff or import-linked disruptions (especially for electronics, pharma, and logistics firms).
- Create scenario plans. Yes, even the “client ghosted after approval” one.
VI. Final Thoughts: Spend Like You Mean It
2025 is not the year to be flamboyant. It’s the year to be smart, frugal, and performance-obsessed—but without killing the soul of your brand.
India’s marketers have always done well with less. Jugaad isn’t just a philosophy—it’s a muscle we’ve been training since Orkut.
So go ahead: cut the fluff, sharpen the message, automate the grunt work, and keep the humanity in the mix. The purse strings may be tightening, but your strategy doesn’t have to shrink with it.