India’s ADtech market closes 2025 near Rs 2 lakh crore

India’s adtech industry concluded 2025 with a valuation close to ?2 lakh crore, reflecting robust expansion driven by digital transformation, rising advertising spends and broader adoption of programmatic, data and automation platforms. As the market matures, stakeholders are now preparing for the next phase of growth that prioritises efficiency, accountability and audience privacy.

The surge in adtech value over the past year was propelled by ongoing shifts in media consumption, with brands allocating more budget to digital channels such as video, mobile and retail media. Enhanced demand for targeted, data-informed advertising empowered agencies and technologists to innovate faster, helping marketers reach relevant audiences more effectively.

Looking ahead to 2026, the industry is expected to move past rapid expansion toward refined investment strategies. Advertisers are placing greater emphasis on metrics that reflect true business outcomes like customer retention, sales lift and lifetime value rather than traditional performance indicators such as clicks or reach alone. This shift is encouraging more holistic measurement frameworks that align campaign performance with long-term brand and revenue goals.

Another key area of focus is privacy and consent management. With regulatory changes and platform policy shifts tightening data access, adtech companies are investing in privacy-first architectures and first-party data strategies. This evolution ensures compliance while enabling deeper insights into consumer behaviour without over-reliance on third-party identifiers.

Adtech players are also expected to double down on automation and AI, improving decision-making, creative optimisation and media allocation. Though artificial intelligence will continue to play a central role, industry leaders emphasise that human oversight remains critical for aligning technology with brand values and strategic intent.

Furthermore, cross-channel integration is gaining traction, with advertisers seeking seamless coordination across search, social, retail media, connected TV and programmatic platforms. This integrated approach helps brands achieve better synergy across touchpoints and more consistent audience experiences.

As the sector evolves, quality of engagement and transparent reporting will become central to advertiser confidence. Performance frameworks that clearly link adtech outcomes to business value are poised to become a standard, driving more strategic investment decisions.

In summary, while India’s adtech market finished 2025 with strong growth momentum, 2026 is shaping up as a year of optimisation, where smarter analytics, privacy readiness and outcome-oriented strategies will define success for marketers and technology partners alike.