Optimistic about CTV growth and digital advertising, particularly from SMEs: Kartik Sharma, OMG India CEO

In a year marked by national elections and technological transformation, India's advertising industry navigated shifting consumer behaviors and emerging digital trends, according to Kartik Sharma, CEO of Omnicom Media Group India. The agency itself posted strong performance, with revenues exceeding Rs 750-800 crores in 2024.

"It's been one of our best years," Sharma said in a recent interview with Storyboard18's editor Delshad Irani, attributing the success to the company's focus on product development and global platforms like Omni.

The advertising landscape in 2024 was significantly influenced by India's general and assembly elections, which drove substantial marketing activity. The industry saw approximately Rs 2,000 crores worth of account reviews, though some decisions are still pending. While festival season performance was somewhat muted, digital and e-commerce platforms showed robust growth.

Quick commerce emerged as a particularly dynamic sector. "We've just scratched the surface," Sharma noted, predicting eventual market consolidation as the industry matures.

The sports advertising segment is expanding beyond cricket, India's traditional advertising mainstay. "India is slowly and very strongly becoming a sporting nation and not just a single sport nation," Sharma observed, pointing to growing advertiser interest in badminton, tennis, and kabaddi. The recently announced Reliance-Disney deal could further diversify sports media investments.

Artificial Intelligence remained a focal point of industry discussion, particularly in creative applications. Omnicom has begun implementing AI agents for various tasks, seeing promising results in global experiments. "AI will do some of the problems which are not easily solvable by humans, but it's AI plus humans always in my way of thinking," Sharma explained.

Looking ahead to 2025, Sharma projects advertising growth of 9-10 percent, below India's historical 14-15 percent rates, citing slowing urban consumption in broad-based sectors. However, he remains optimistic about Connected TV (CTV) growth and digital advertising, particularly from small and medium enterprises.

Regional markets are expected to drive print media growth, while streaming platforms continue their upward trajectory beyond major metropolitan areas. The influence marketing sector is maturing, with brands seeking more third-party verification of metrics and implementing global best practices.

Despite challenges, India's projected GDP growth of 6.5-7 percent provides a strong foundation for the advertising industry's continued expansion. "Even if the estimates are down, no country in the world has this kind of growth," Sharma emphasized, highlighting India's unique position in the global market.

Watch out for the full interview on Media Dialogues With Storyboard18 on CNBC-TV18