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India’s festive season is fast emerging as a testbed for brands experimenting with new campaign formats, platforms, and consumer behaviours that will shape advertising strategies in the year ahead.
According to global advertising firm VDO.AI’s Festive Marketing Playbook 2025, 81% of consumers say short video ads capture their attention most effectively, underscoring the rising significance of Connected TV (CTV) and Online Video (OLV). The report suggests that premium audiences are increasingly engaging with interactive and shoppable ad formats that blend entertainment with commerce.
The survey, conducted across more than 1,400 Indian shoppers, highlights strong consumer sentiment ahead of the festive season. About 41% of respondents plan to spend more than last year. Premiumisation trends are particularly visible in metros, where 70% of shoppers are open to high-value purchases. Notably, 28% of Tier-1 consumers plan to spend above Rs 30,000, while 13% expect to cross Rs 50,000.
By contrast, spending patterns in Tier-2 and Tier-3 markets reflect value-conscious behaviour. Nearly two-thirds of shoppers in these regions plan to spend Rs 15,000 or less, underscoring the need for brands to adopt data-driven segmentation and value-led messaging to appeal to this segment.
The report also reveals that festive campaigns can drive long-term consumer loyalty, with over 60% of shoppers indicating they would make repeat purchases within six months if their festive experience is positive.
“Festive marketing today is no longer about uniform, mass campaigns. What we are witnessing is a marketplace split between aspiration and thrift—metros leading premiumisation, while smaller towns focus on value,” said Amitt Sharma, Co-founder and CEO of VDO.AI. “For brands, this festive season represents more than a sales uplift; it is a defining opportunity to reimagine consumer engagement and set the tone for long-term growth.”
Big-ticket buying decisions now demand more than just logic and product specs – they require trust, emotional connection, and brand stories that resonate.
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