The column was originally published in ADgully. 

In conversation with Adgully, Anita Kotwani, CEO - Media, South Asia, dentsu, shares her insights into the transformative changes that are expected to shape the Indian media agency landscape in 2025. As the industry navigates the intersection of marketing innovation, economic shifts, and evolving consumer behaviour, Kotwani delves into the key trends driving the media ecosystem and much more…

Trends, developments innovations that are expected to dominate the media industry

The Indian media agency landscape is on the brink of transformative change in 2025, shaped by powerful trends at the intersection of marketing innovation, economic shifts, and evolving consumer behaviour. This rapid evolution, fueled by advanced algorithms and disruptive technologies, marks the beginning of what we at dentsu call the algorithmic era of media.

Generative AI will move beyond experimentation, delivering tangible value and redefining strategies with hyper-personalized, micro-moment-driven experiences.

To stand out in an increasingly addressable, shoppable, and accountable media environment, brands will need to break through algorithmic bubbles. Storytelling will be reimagined by leveraging niche interests, deep fandoms, connected TV advancements, and innovative media planning.

With limited audience attention at a premium, media agencies must elevate the quality of investments through smart collaborations, optimized supply chains, and advanced retail media solutions. Success will require navigating fragmentation and inequality while driving purposeful growth and sustainable impact. The focus will be on creating inclusive and secure digital ecosystems, enabling brands to meet dynamic consumer needs while contributing to broader societal progress.

This year will challenge the industry to balance innovation, economic resilience, and meaningful societal contributions, all while redefining how brands connect and grow in the Indian economy’s fast-evolving media landscape.

Here are a few key trends foreseen:

• OTT Dominance & Hyper-Personalization: OTT platforms and regional players are expected to amplify the demand for high-quality, localized content, while AI-powered recommendations and targeted ads will transform engagement strategies.
• AI & Automation in Content Creation: The adoption of AI tools will streamline content creation processes and elevate marketing campaign efficiency.
• Rise of Regional Content & Short-Format Videos: Vernacular content is poised for significant growth, compelling brands to craft localized strategies for diverse audiences. Meanwhile, platforms like Instagram Reels and YouTube Shorts will deepen their influence on youth engagement.
• AR/VR Growth: Immersive experiences in advertising, e-commerce, and events are set to witness exponential expansion, offering new dimensions for consumer engagement.
• Blockchain in Advertising: Blockchain is anticipated to ensure greater transparency and mitigate fraud in digital advertising campaigns.
• Decentralized Media: NFTs and decentralized platforms are likely to disrupt conventional content creation and monetization models, opening new revenue streams.
• Sustainability Focus: Purpose-driven marketing aligned with sustainability and social causes will resonate strongly with evolving consumer preferences.
• Hybrid Events: The momentum around virtual and hybrid event formats will accelerate across industries, blending physical and digital experiences seamlessly.
• Subscription Models: The shift toward premium digital content will fuel the rise of paywalls and subscription-based offerings.
• Next-Gen Analytics: Unified audience measurement systems will evolve, integrating granular digital and TV data for sharper insights.
• Social Commerce: Interactive and shoppable content on social platforms will drive substantial growth in e-commerce.
• Live Commerce: Brands will increasingly leverage live-streaming and video formats to enhance direct product sales, redefining online shopping experiences.

What are you looking forward to in 2025?

I am looking forward to seeing the media landscape evolve into a space where brands can truly harness the potential of technology and creativity to drive meaningful impact. At dentsu, we’re energized by the transformative shifts brought by generative AI, hyper-personalization, and the creator economy. Media is becoming fully addressable, shoppable, and accountable, and I anticipate brands adopting Media++ strategies to uncover new growth opportunities.

From where I see, there will be significant advances in areas such as:

• AI Delivering Tangible Impact: AI will move from being a promising concept to an essential tool, creating micro-moments and hyper-personalized experiences that revolutionize consumer interactions.
• Breaking the Algorithmic Bubble: Storytelling will play a critical role in helping brands connect with niche audiences, leveraging deep fandoms and platforms like connected TV to deliver powerful narratives.
• Retail Media’s Dominance: The rapid growth of retail media will redefine advertising strategies, as brands tap into unparalleled shopper data and expand into dynamic retail ecosystems.
• The Pursuit of Quality: Maximizing media investments will hinge on strategic partnerships and premium content, ensuring brands cut through the clutter while driving both results and long-term equity.
• Navigating Fragmentation: Hyper-localized strategies will become indispensable as brands adapt to the uneven pace of technological and economic shifts across markets.

What are the headwinds and tailwinds that you foresee in the year ahead?

2025 promises to be a year of dynamic change and immense opportunity. I am particularly excited to see how agencies, including dentsu, will embrace these shifts with innovation and confidence to shape a thriving, impactful future for brands and consumers alike.

In 2025, the media industry will face several headwinds that will challenge its growth and operations. One significant hurdle will be the tightening of data privacy regulations, like the evolving data protection laws in India.

As demand for personalized advertising increases, media agencies will be forced to navigate complex compliance requirements, which could lead to higher operational costs and adjustments in data collection practices. At the same time, consumer trust will be a growing concern. With privacy awareness on the rise, brands will need to strike a careful balance between delivering personalized content and protecting user data.

Ad saturation and consumer fatigue will also intensify, as more ads flood digital spaces, pushing consumers to embrace ad blockers and ad-skipping technology. To overcome this, brands will need to find innovative ways to engage audiences without being intrusive. Additionally, as content consumption becomes increasingly fragmented across platforms, media agencies will face the challenge of capturing attention in a crowded and competitive market.

Lastly, economic uncertainty may affect advertising budgets, leading to a potential reduction in spending, particularly in traditional media channels. Smaller agencies may also struggle to keep up with the high costs of cutting-edge technologies, widening the gap between them and larger, more tech-savvy firms. Despite these headwinds, the opportunities for growth through digital transformation and technological advancements remain significant, especially for those agencies able to innovate and adapt.

Despite these headwinds, the tailwinds are powerful. Digitalization and mobile-first consumption will continue to expand, offering new opportunities for engagement. Advancements in AI and automation will help media agencies become more efficient, enabling more precise targeting and campaign effectiveness. By embracing these shifts with a strategic, forward-thinking approach, media agencies like dentsu can overcome the challenges ahead and seize the opportunities that come with this rapidly evolving landscape.