Dentsu India launched its latest industry report, ‘Martech Landscape in India’ – a comprehensive exploration of India’s dynamic Martech ecosystem.
Fueled by digital infrastructure growth and initiatives like ‘Digital India’, Martech is now driving customer engagement, improving operational efficiency, and optimizing ROI.
Digital advertising in India is set to grow at a 19.09 percent CAGR, reaching 59,200 crore by 2025. E-commerce and digital retail are major contributors, with MarTech tools enhancing customer experiences through AI-driven personalization and advanced analytics, highlighted the report.
The startup ecosystem is another key contributor to MarTech innovation, the report mentioned. Startups focusing on SaaS-based solutions, AI, and data analytics are creating cost-effective and scalable tools that cater to both domestic and international markets. With increased venture capital interest, these startups are pushing the boundaries of MarTech by incorporating technologies like machine learning and blockchain.
Emerging trends like voice and vernacular language technologies are expanding MarTech’s reach in Tier 2 and Tier 3 cities, presenting new growth opportunities.
The key trends influencing the MarTech sector include the increasing role of artificial intelligence in personalised marketing and the strategic importance of first-party data in a future where third-party cookies are becoming obsolete. AI-driven tools allow for the creation of highly personalised and targeted marketing efforts, while first-party data has emerged as a valuable asset for businesses seeking to strengthen customer relationships.
As mentioned in the report, businesses are intensifying their digital initiatives to improve customer engagement, optimise marketing strategies, and enhance operational efficiency. As part of this transformation, analytics and data management platforms have become integral to MarTech operations, enabling organisations to generate actionable insights and deliver personalised customer experiences at scale.
Government programs such as ‘Digital India’ are playing a pivotal role in strengthening the nation’s digital infrastructure, thereby driving the adoption of MarTech solutions across multiple industries, mentioned the ‘Martech Landscape in India’ report.
The rise of Direct-to-Consumer (D2C) strategies has further fuelled the growth of MarTech, with brands, especially in personal care, beauty, and wellness, increasingly adopting D2C models to build direct connections with consumers.
As mentioned in the report, AI is revolutionising various aspects of MarTech, including customer relationship management (CRM), content personalisation, and the scalability of digital campaigns. Machine learning (ML) algorithms are enabling marketers to predict customer behaviour, optimise campaigns in real-time, and drive more informed decision-making.
These models allow businesses to anticipate customer needs by analysing large datasets, leading to more targeted and efficient marketing efforts, stated the report.
However, integrating disparate MarTech tools and data sources into existing systems remains a persistent challenge, often resulting in inefficiencies and underutilisation of the tools’ full capabilities.
Financial limitations are a significant challenge, especially for small and medium-sized enterprises (SMEs), impacting their capacity to invest in advanced MarTech solutions. The high costs associated with premium tools and platforms can act as a barrier to entry for these businesses.
The adoption of programmatic advertising tools is expanding, allowing for more efficient and precise ad placements through automated bidding systems and data-driven decision-making. This technology enables businesses to optimise their advertising spend by targeting the right audience at the right time, maximising campaign effectiveness, stated the report.
Further, hyper-personalization enables brands to deliver tailored experiences that align with individual preferences, driving
higher engagement and conversion rates.
Harsha Razdan, chief executive officer, South Asia, dentsu said, “I have always believed that technology is most powerful when it simplifies complexity. Martech is a great example of that – it helps businesses make sense of vast amounts of data and turn it into meaningful customer experiences. Today, it’s not about whether businesses use Martech, but how well they integrate it into decision-making and customer engagement. In India, we’re at that turning point. The companies that get this right will build stronger customer relationships and more resilient businesses. But success isn’t just about having the right tools – it’s about knowing what to focus on. This report is designed to help businesses cut through the noise, focus on what works, and turn Martech into real business impact.”
Narayan Devanathan, president and chief strategy officer, South Asia, dentsu added, “As the dots between media, creative, and customer experience connect more intimately, Martech has become the spine that unites these disciplines – enabling powerful, data-driven connections that drive meaningful outcomes. India’s Martech landscape is evolving rapidly, redefining how brands engage with consumers. By viewing Martech as the backbone of their business strategy, brands can unlock smarter solutions that fuel growth and impact. We’re proud to introduce this report as a valuable guide for brands looking to navigate and thrive in this ever-changing market.”
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