Growth of Digital Marketing Expenditure and Online Consumer Engagement in India: Evidence from Industry Reports, 2010–2025

Authors

  • Rohit Sinha Assistant Professor, IIMT College of Management, Greater Noida.
  • Dr. Sonam Arora Assistant Professor, DAV Centenary College, Faridabad.
  • Mahak Singh Assistant Professor, St. Peters College, Faridabad

DOI:

https://doi.org/10.63960/sijmds-2025-2483

Keywords:

Digital Advertising, Consumer Engagement, India, Structural Breaks, Longitudinal Analysis, Video Completion, Click-Through Rate

Abstract

This paper explores the sociocultural history of the Indian digital advertising sector as well as the relationship between the continued digital spending and aggregate consumer engagement on the web between 2010 and 2025. The study incorporates digital spending, engagement metrics, and infrastructure indicators in an annual macro-panel based on a consolidated longitudinal dataset of multi-source industry evidence, consisting of GroupM, Dentsu, IAMAI-Kantar, CRISIL, Ipsos, Nielsen and statista, databases. Elasticity-based regression analysis and trend diagnostics demonstrate that there are three growth stages, including early diffusion (2010-2014), mobile-first acceleration (2015-2019), and post-pandemic maturity (2020-2025). Digital investments broadened almost forty-fold, and impressions increased in the same line and click-throughs decreased and video view rates increased, indicating that there is a difference in engagement trends across the different formats. The results of econometric estimates serve to substantiate an increase in impressions and video completion with a simultaneous rise in expenditure and user-base, and a negative elasticity of CTR in ecosystem saturation. Breaks in 2016 and 2020 are structural changes, which reflect big access and behavioural jolts that change the dynamics of engagement. The research provides one of the earliest, country-specific, longer-period studies of relationships of spending and engagement that shows that infrastructural changes and ecosystem-level inflexions drive digital advertising performance even more successfully than incremental spending. The implication is on market strategy, standardisation of measurements, and way of designing policies in maturing digital economies.

Downloads

Download data is not yet available.

References

Antczak, B. O. (2024). The influence of digital marketing and social media marketing on consumer buying behavior. Journal of Modern Science, 56(2), 310–335. https://doi.org/10.13166/jms/189429 DOI: https://doi.org/10.13166/jms/189429

Anton, L., & Siscan, Z. (2023). The contemporary trends in advertising services global market. Zenodo. https://doi.org/10.5281/zenodo.8132860

Bakshi, S., & Tandon, U. (2021). Understanding barriers of telemedicine adoption: A study in North India. Systems Research and Behavioral Science, 39(1), 128–142. https://doi.org/10.1002/sres.2774 DOI: https://doi.org/10.1002/sres.2774

Boerman, S. C., Kruikemeier, S., & Borgesius, F. J. Z. (2017). Online behavioral advertising: A literature review and research agenda. Journal of Advertising, 46(3), 363–376. https://doi.org/10.1080/00913367.2017.1339368 DOI: https://doi.org/10.1080/00913367.2017.1339368

Calder, B. J., Malthouse, E. C., & Schaedel, U. (2009). An experimental study of the relationship between online engagement and advertising effectiveness. Journal of Interactive Marketing, 23(4), 321–331. https://doi.org/10.1016/j.intmar.2009.07.002 DOI: https://doi.org/10.1016/j.intmar.2009.07.002

Dwivedi, Y. K., Ismagilova, E., Hughes, D. L., Carlson, J., Filieri, R., Jacobson, J., Jain, V., Karjaluoto, H., Kefi, H., Krishen, A. S., Kumar, V., Rahman, M. M., Raman, R., Rauschnabel, P. A., Rowley, J., Salo, J., Tran, G. A., & Wang, Y. (2020). Setting the future of digital and social media marketing research: Perspectives and research propositions. International Journal of Information Management, 59, Article 102168. https://doi.org/10.1016/j.ijinfomgt.2020.102168 DOI: https://doi.org/10.1016/j.ijinfomgt.2020.102168

Gulati, N. S. (2025). The influence of digital marketing on Indian businesses. Journal of Information Systems Engineering & Management, 10(36s), 522–529. https://doi.org/10.52783/jisem.v10i36s.6525 DOI: https://doi.org/10.52783/jisem.v10i36s.6525

Majeed, M., Chaudhary, A., & Chadha, R. (2024). Digital transformation in the customer experience. Apple Academic Press. https://doi.org/10.1201/9781003560449 DOI: https://doi.org/10.1201/9781003560449

Prasad, R., Sridhar, V., & Kedia, M. (2025). Functional separation and a restructured licensing framework for Indian telecommunications. Vikalpa: The Journal for Decision Makers, 50(4), 295–309. https://doi.org/10.1177/02560909251330750 DOI: https://doi.org/10.1177/02560909251330750

Qurtubi, N., Febrianti, N. M. A., Sugarindra, N. M., Hidayat, N. A., & Suyanto, N. M. (2022). The impact of digital marketing: A systematic literature review. International Journal of Interactive Mobile Technologies, 16(13), 15–29. https://doi.org/10.3991/ijim.v16i13.30609 DOI: https://doi.org/10.3991/ijim.v16i13.30609

Reiley, D. (2012). Does retail advertising work? Measuring the effects of advertising on sales via a controlled experiment on Yahoo! [Dataset]. PsycEXTRA. https://doi.org/10.1037/e629522012-022 DOI: https://doi.org/10.1037/e629522012-022

Singh, S., & Srivastava, R. (2018). Predicting the intention to use mobile banking in India. International Journal of Bank Marketing, 36(2), 357–378. https://doi.org/10.1108/IJBM-12-2016-0186 DOI: https://doi.org/10.1108/IJBM-12-2016-0186

Snyder, H., Witell, L., Gustafsson, A., Fombelle, P., & Kristensson, P. (2016). Identifying categories of service innovation: A review and synthesis of the literature. Journal of Business Research, 69(7), 2401–2408. https://doi.org/10.1016/j.jbusres.2016.01.009 DOI: https://doi.org/10.1016/j.jbusres.2016.01.009

Tiago, M. T. P. M. B., & Veríssimo, J. M. C. (2014). Digital marketing and social media: Why bother? Business Horizons, 57(6), 703–708. https://doi.org/10.1016/j.bushor.2014.07.002 DOI: https://doi.org/10.1016/j.bushor.2014.07.002

Voorveld, H. A. M. (2019). Brand communication in social media: A research agenda. Journal of Advertising, 48(1), 14–26. https://doi.org/10.1080/00913367.2019.1588808 DOI: https://doi.org/10.1080/00913367.2019.1588808

Downloads

Published

2025-12-02

How to Cite

Sinha, R., Arora, S., & Singh, M. (2025). Growth of Digital Marketing Expenditure and Online Consumer Engagement in India: Evidence from Industry Reports, 2010–2025. Synergy: International Journal of Multidisciplinary Studies, 2(4), 45–55. https://doi.org/10.63960/sijmds-2025-2483

Issue

Section

Articles

Categories