India's influencer marketing industry to grow by 25% in 2025: Report

Business Standard

3 days ago

India's influencer marketing industry is expected to grow by 25 per cent this year from ₹3,600 crore in 2024, as many traditional and digital-first agencies strengthen their influencer marketing capabilities, according to a report titled 'India Influencer Marketing Report 2025.'
The report released by The Goat Agency, WPP Media's (formerly known as GroupM) influencer and content marketing solution segment and Kantar, a marketing data and analytics company, stated the last 12 months saw a sharp rise with over 20 mergers and acquisitions taking place in the media and marketing sector, with media agencies strengthening their influencer marketing capabilities.
The report further highlighted that 70 per cent of brands cited trust and credibility as the top reasons for engaging with influencers. Adding to this, the Indian government has also stepped in with a $1 billion fund to support content creators, boost innovation, production quality, and reach.
One of the most significant shifts in the industry is the move beyond follower count to content quality and creator relevance, especially among manufacturing brands, where 85 per cent of these brands prioritise content quality when selecting influencers. At the same time, 72 per cent of the brands have a preference for long-term influencer partnerships. In comparison, 95 per cent of brands have a strong inclination towards macro-influencers, driven by increasing concerns around content control and brand safety.
Niche micro-influencers are gaining traction across high-consideration categories such as automotive and consumer durables, with 85 per cent of marketers in these verticals planning increased investments, the report added.
'Today's consumers aren't just buying products, but they are buying into stories, communities, and creators they trust,' said Ashwin Padmanabhan, chief operating officer, WPP Media, South Asia, in a statement. 'With sharper content, stronger metrics, and a renewed focus on credibility, influencer marketing in India is moving towards maturity.'
Puneet Avasthi, director, specialist businesses, insights division, Kantar, was quoted as saying: 'Influencer marketing in India is no longer just about reach, it's about relevance, resonance, and results. As consumers become more discerning, the role of influencers in shaping perceptions, guiding discovery, and driving action has never been more critical. The future belongs to brands that treat influencers as strategic collaborators, not just content amplifiers.'
From a consumer lens, creators continue to influence the purchase funnel significantly, with over two-thirds of Indian users turning to influencers for product discovery, information, and action, the report added.