Brands may push festival ad spends by up to 20%, but with an eye on RoI

Festival advertising spends are expected to grow by 8 to 20 per cent year-on-year, fuelled by digital momentum, improving consumer sentiment, and a packed calendar of cricket tournaments.

- ROSHNI SHEKHAR

Yet media space buyers are tempering expectations, as brands are expected to scrutinise returns more closely this year, with a shorter festival window prompting a more cautious approach.

Overall festival advertising expenditure (AdEx) could reach between 48,000 crore and 51,000 crore in 2025, according to Havas Media India, a media solutions company.

That's a projected rise of 16 to 20 per cent, much ahead of the average annual AdEx growth of 9 to 11 per cent, and consistent with the earlier growth forecast of 15 per cent or more.

"It's a challenging time for the industry as personalisation is driving growth," Ramsai Panchapakesan, president, investments and partnerships at Havas Media India told Business Standard. "That said, the expected growth for the festival season in 2025 is comparable to, or slightly stronger than, 2023 -- and broadly in line with 2022 levels in terms of percentage growth." He noted that, after a subdued first half of 2025, marked by geopolitical tensions and unusually wet summer, consumer brands are looking to ramp up their festival ad spends by 15-20 per cent.