TV ad revenues last year dropped to Rs 251 billion from Rs 320 billion in 2019.
After seeing a significant drop in both ad volumes and revenue last year due to the COVID-19 impact, the volumes on TV have now surpassed the pre-COVID level.
And top categories which were severely impacted due to the pandemic, including the auto sector, have also reached the pre-COVID level.
According to a report released on July 22 by Broadcast Audience Research Council (BARC), a TV audience measurement service, after a dip in June 2020, the auto sector has made a strong comeback in June 2021 by registering a growth of 74 percent.
With 3.94 million seconds in June 2021, the auto sector is at par with the ad volumes it registered in June 2019. The sector has achieved 128 percent growth over May 2021.
The FMCG sector, which also felt the negative impact of coronavirus, has maintained its position as the biggest contributor in terms of ad volumes on TV.
In the first half of 2021 with 566 million seconds, the category has registered a growth of 40 percent over H1 2019.
Another category, the building sector, registered 30.7 million seconds of ad volumes, a 24 percent growth in H1 2021 versus H1 2019.
As for the telecom sector, ad volumes almost doubled in June 2021 over May 2021 and has registered 2x growth in June 2021 over June 2019.
Along with traditional categories, newer categories have also seen significant growth in ad volumes on TV.
With 15.4 million seconds in June 2021, ad volumes for the e-commerce sector have registered a 56 percent growth when compared to June 2019. Currently, at an all-time high, the category constitutes a 12 percent share in the total ad volume pie, the report said.
Ad volumes for the BFSI sector grew by seven percent over H1 2019 with 14.5 million seconds in H1 2021.
In addition to volumes, the report also noted that the number of active advertisers and brands in June 2021 is at par with June 2020. However, it is lower as compared to 2019.
The number of active advertisers in June 2019 was 2,780 which dropped to 1,875 last year and now stands at 1,839 during the same period.
Similarly, the number of brands that were active in June 2019 was 4,392 which dropped to 3,005 last year. It increased this year to 3,074.
“There is a sharp increase in ad volumes from the top three advertisers and while FMCG continues to dominate by share, the e-commerce category continues to see strong growth year on year. The auto sector has also made a comeback despite the impact of the second wave,” said Aaditya Pathak, Head – Client Partnership & Revenue Function, BARC India.
HUL saw 66 percent growth in ad volumes in 2021 versus 2019 whereas Reckitt Benckiser saw 124 percent growth during the same period.