Mumbai’s railway advertising boom: ₹219 crore earned in five years: EXCLUSIVE

Mumbai's lifeline, the railway route from Churchgate to Virar, offers significant advertising opportunities. According to a Right to Information (RTI) response, Western Railway has earned ₹219 crore from advertisements over the past five years. The Mumbai division of Western Railway hosts 127 hoardings, but challenges persist regarding alignment on multiple fronts.

The RTI data (a copy of which is with Storyboard18) reveals that advertising revenue for Western Railway surged from ₹11.47 crore in 2020-21 to ₹70.69 crore in 2023-24. As of January 2024-25, the revenue stands at ₹64.69 crore.

Churchgate is the costliest station for advertisers, with table space priced at ₹40,000 per day, while LCD/LED display ads at stations cost ₹14,655. Rates are significantly lower at stations beyond Nandurbar.

An industry source from the Out-of-Home (OOH) advertising sector commented, "Spending dipped after the Ghatkopar incident. In fact, metro station advertisements had a greater impact than those in local railways. We prioritize visibility, such as web releases or films, so costs will continue to rise."

Advertising Revenue from Railways Over the Last Five Years: (As per RTI response) 2020-21: ₹11.47 crore 2021-22: ₹16.32 crore 2022-23: ₹55.40 crore 2023-24: ₹70.69 crore 2024 (Till Jan 2025): ₹64.69 crore

Railway data highlights that Chhatrapati Shivaji Maharaj Terminus (CSMT) and Churchgate are the busiest suburban stations. In August, daily commuter footfall at CSMT and Churchgate reached 569,000 and 432,000, respectively. Other high-traffic stations include Thane, Kalyan, Panvel, Borivali, Virar, and Bhayander, each recording an average daily footfall of over 200,000.

Storyboard18 also spoke to local OOH agencies in Vasai, who expressed strong opposition to external regulatory interference. One agency representative stated, "We were never included in the regulatory process. Why should we allow an outside agency or federation into our domain? They will face unprecedented resistance."

Interestingly, both media agencies and OOH advertisers continue to secure prime advertising spaces, sometimes through legal means and sometimes by turning a blind eye to regulations.

Experts believe OOH advertising on railway networks will grow by 20 percent. With growth from local MSME sectors.

The significant increase from ₹11.47 crore in 2020-21 to ₹70.69 crore in 2023-24 underscores the growing interest in railway advertising, fueled by the ever-expanding commuter base. However, challenges persist. The lack of standardized regulations and the ongoing tussle between local agencies and regulatory bodies pose hurdles to streamlined advertising practices. Many agencies, particularly in areas like Vasai, strongly resist outside involvement, leading to a fragmented and often unregulated marketplace.