Contribution of Consumer Durables to Indian Online Advertising

By | May 25, 2011

Different business organizations are involved in advertising through the Internet by display or text ads. Display ads include logos, images, text related images and so on. Whereas the text ads include only text like hyperlinks. Any of these ads, when clicked, takes you to the site of the advertiser. This is an easy way of promoting your services or products to a wide range of people located at any corner of the world. In India too, apart from other industries, businesses of consumer durables are also found to advertise through the Internet.

Different consumer durables like TV, mobile products, audio systems, refrigerators, air conditioners and many others are promoted in India through Internet. The Internet and Mobile Association of India (IAMAI) 2010 report on online advertising states that, out of total market size of the online text advertisements in 2010, consumer durables contributed 3% and it is estimated to contribute the same in 2011. The consumer durable sector spent Rs. 10 crores in 2010 on online text ads and is estimated to spend Rs. 15 crores on them in 2011.

In the year 2010, out of total online display market size, the sector contributed 8% and the contribution is estimated to be 9% in 2011. During the fiscal year (FY) 2008 and 2009, the consumer durables sector was found to spend Rs. 19 crores and Rs. 26 crores on online display ads respectively. However, there was a growth of online display ad spending (Rs. 34 crores) by the sector during the FY 2009. It is further estimated to increase its spending to Rs. 48 crores in 2011.

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