Smartphone Industry Forecast to Spend Rs 330 Crore on Digital Marketing in 2019


A Techarc report also forecast that the focus of the smartphone marketers would be to evolve organically consuming over 68 per cent of their budgets in 2019

Smartphone brands will cumulatively spend over Rs 330 crores on digital marketing in India. Majority 72 per cent of this spending, will be consumed by digital marketing over mobile platforms with the remaining being spent on web platform marketing.

The Techarc report also highlights that 34 per cent of the digital marketing spend would be done to improve search results including keyword bidding and SEO. Social media marketing would consume 26 per cent of the digital marketing budgets for smartphones in 2019. Similarly, 24 per cent, 10 per cent and 6 per cent would be spent on performance marketing, programmatic marketing and influencer marketing, during the period.

Faisal Kawoosa, founder and chief analyst, Techarc, said, “Digital is increasingly becoming the preferred mode in marketing of smartphones as it helps brands to establish an engaging connect with the millennials, who are either the buyers or influencers for smartphones.”

Techarc’s report read, “Among the key advantages, Digital Marketing offers include call-to-action and rich media messaging to compliment a product like smartphone, where a brand wants to communicate a lot many details. At the same time, the main challenges remain that of creativity and innovations, besides ad-fraud which results in the inefficiencies of digital marketing, reducing the RoI as well as hurting the brand image.”

Digital marketing over TV and radio ads

The report said that smartphone companies are more likely to take the digital marketing route over the traditional TVs and radio ads. Techarc’s report read, “Digital is growing fast and will take over print and radio in 2019.”

It continued, “As over 90 per cent of the users access internet over a smartphone, the device would continue to be the main marketing battlefield to get new customers as well as engage with the existing.”

Search will consume the most, 34 per cent, of the digital marketing spend of smartphone brands in 2019. This will be followed by social (26 pr cent), performance marketing (24 per cent), programmatic (10 per cent) and influencer marketing (six per cent) respectively.