Every year in India, thousands of\naspiring businessmen start their own businesses. Being one of the world\u2019s\nbiggest emerging economies, India stands full of such untapped entrepreneurial potential.\nHowever, not all startups touch the skies of glory. There are some essentials\nthat must be undertaken before starting up a new agency to ensure that the\nflight of aspirations reaches the top. Amidst the highly competitive work\nambience, the world received a blow from the Pandemic which added more to\nthe challenges. Where each passing day new agencies are emerging, reduction in\nthe marketing spends of companies made it tough for the new bees to survive in\nthis game of advertising.<\/p>\n\n\n\n
Advertising industry\nin India.<\/strong><\/p>\n\n\n\n The advertising industry in India was\nestimated to grow by 10.9% to reach Rs.75,952 crore by the end of 2020.\nHowever, pandemic stalled the growth game and the nation witnessed an economic\nslowdown, advertisers decided to cut back on marketing, consumers decided to\nwait-and-watch, market touchpoints reached a new low, and India\u2019s Ad\nExpenditure (AdEx) received a noticeable fall. And amidst all the chaos, all\nthat soared higher and higher was Digital Advertising. A new stream of\nadvertising which branched out from traditional advertising owing to its\npopularity, efficiency, and effectiveness saw exponential growth. By the end of\n2019, the digital advertising industry stood at Rs.13,683 crore, up at a\nrate of 26% from Rs. 10,859 crore in 2018. And it is expected to grow at 27% to\nreach Rs. 17,377 Crore by the end of 2020.<\/p>\n\n\n\n How is it\ngrowing in the current world?<\/strong><\/p>\n\n\n\n The advertising industry has been\ngrowing rapidly worldwide. Here are some insightful numbers by the month of\nOctober 2020, which spell the growth rate of advertising. <\/p>\n\n\n\n \u00b7\u00a0 Total world population:\u00a07.81 billion\u00a0people<\/p>\n\n\n\n \u00b7\u00a0 Number of people using mobile phones around the world:\u00a05.20 billion<\/p>\n\n\n\n \u00b7\u00a0 Global internet users:\u00a04.66 billion<\/p>\n\n\n\n \u00b7\u00a0 Worldwide social media users:\u00a04.14 billion<\/p>\n\n\n\n The number of people using social\nmedia around the world has grown to 4.14 billion in October 2020, and an\naverage of nearly 2 million new users are joining them every day. Analysis by\nKepios mention that more than 450 million people started using social media\nover the past 12 months, equating to annual growth of more than 12%. It has\nbeen found that more than 9 in 10 Internet users around the world connect via\nmobile devices, but two-thirds still, connect via computers too. Ad spending in\nthe Digital Advertising market is projected to reach US$345,948m in 2020. The\nmarket’s largest segment is Search Advertising with a projected market volume\nof US$148,488m in 2020.<\/p>\n\n\n\n Advertising\nmarket share.<\/strong><\/p>\n\n\n\n Google was the leading vendor in the\ninternet advertising industry with 31% market share in 2019, followed by\nFacebook with 20% internet advertising market share, Alibaba with 9% internet\nmarket share, Amazon with 4%, Baidu with 4%, Tencent with 3%, Microsoft with\n2%, and others with 27% internet advertising market share. Facebook has been\ninserting ads directly into a user\u2019s feed, making it look more organic and is\nalso exploring inserting advertisements into WhatsApp, Alibaba Internet Advertising market share was 9%. Alibaba accounts for a third of the Chinese\nmarket and places ads on its various platforms, including online shopping sites\nTmall, Taobao, and video streaming service Youku Tudou. Amazon’s market share\nwas 4% of the Internet Advertising market. Amazon\u2019s ad business is similar to\nthat of Google\u2019s. It displays digital ads to over 200M unique monthly users\nwhen they search for products on Amazon\u2019s online shopping platform.<\/p>\n\n\n\n Startup trend in\nIndia<\/strong><\/p>\n\n\n\n The Indian startup ecosystem now\nstands as the third-largest startup hub in the world after USA and China. With\nmore than 1,300 startups joining this year and taking the total to 8,900-9,300,\nIndia continues to reinforce its position as the third-largest startup\necosystem. Companies with a valuation of $1 billion are termed as unicorns and\nIndia witnessing the addition of seven unicorns till August taking the total\ntally to 24 \u2013 the third-highest number of unicorns in a single country in the\nworld. It is also\nreported that startups have created an estimated 60,000 direct jobs and 1.3-1.8\nlakh indirect jobs. <\/p>\n\n\n\n Reason for such\nspike in startups<\/strong><\/p>\n\n\n\n Indian youth accounts for 34% of 1.3\nBillion people. Such a young nation is bound to burst with new ideas,\ninventions and innovations. This scenario is one of the reasons for such a\nspike in startups. Another reason for more and more people switching to start-up\nculture is to help them break the monotony of regular 10-6 jobs with an\naspiration to do something new in their lives. <\/p>\n\n\n\n The balance\nbetween creativity and relevant communication<\/strong><\/p>\n\n\n\n Roti, Kapda, Makaanaur Transport \u2013\nOla\u2019s success mantra has spoken for their growth. An Indian startup that is not\nonly thriving in India but also is doing commendable business in countries like\nthe UK and Australia. Another startup that created its own space in the\nhospitality business is OYO. The objective of Oyo\u2019s inception was to provide\nstandard rooms at a very affordable price and this has become the mantra of\ntheir success.<\/p>\n\n\n\n