E-retail platforms have become the fastest-growing segment within India’s advertising ecosystem, driven by surging expenditure on digital commerce and quick-commerce channels, according to recent industry analyses.
Two major advertising sector reports published in February 2026 highlight the rapid expansion of retail media — a category encompassing e-commerce marketplaces such as Amazon and Flipkart, quick-commerce services including Blinkit and Zepto, and food delivery apps like Zomato and Swiggy — as a key driver of ad revenue growth. Analysts say these platforms have attracted advertisers because they reach consumers with high purchase intent and offer measurable return on investment.
The Dentsu-e4m Digital Advertising Report 2026 reported that digital media commanding 59% of total advertising expenditure now includes retail media as its fastest expanding property, with spending jumping nearly 56% compared with 2024. Ad spending on e-retail platforms had reached Rs. 17,601 crore (US $ 1.93 billion) by the end of 2025, accounting for approximately 24.6% of total digital media outlay.
Zepto, which filed a Draft Red Herring Prospectus in December 2025 in advance of its planned initial public offering, reportedly achieved more than Rs. 1,000 crore (US $ 109 million) in advertising revenue by June last year — a five-fold increase on the previous year. Combined advertising revenue for Zomato and Blinkit’s respective platforms was estimated at Rs. 2,000 crore (US $ 219 million) for the 2025 financial year.
According to This Year Next Year (TYNY), the annual ad forecast report from WPP Media, the convergence of retail media with quick and social commerce segments is reshaping sales channels and consumer expectations. The head of commerce for India at WPP Media observed that brands must strategically define the role of quick commerce — whether for gathering consumer insights, differentiating service or driving demand across an expanding user base — to remain competitive.
Industry experts also note that advertisers are drawn to retail platforms because they frequently engage users — often around 30 million weekly on leading quick-commerce apps — who are already in a “purchase mode” on opening these applications, enhancing conversion prospects.
Despite rapid growth, analysts caution that retail media is unlikely to eclipse other digital advertising categories immediately as the dominant channel. Nevertheless, its mounting share underscores a broader shift towards transactional and performance-linked digital ad investments
