Influencer Market in India

Influencer in India Trends and Forecast

The future of the influencer market in India looks promising with opportunities in the fashion & lifestyle, retail & consumer good, health & wellness, banking & finance, and travel & tourism markets. The global influencer market is expected to reach an estimated $38.9 billion by 2031 with a CAGR of 22.4% from 2025 to 2031. The influencer market in India is also forecasted to witness strong growth over the forecast period. The major drivers for this market are the growing usage of the Internet for marketing, the rising need for cost-effective and efficient marketing techniques, and the increase in the use of social media.

• Lucintel forecasts that within the enterprise size category, the small & medium-sized enterprise segment is expected to witness higher growth over the forecast period.
• Within the end use category, fashion & lifestyle is expected to witness the highest growth over the forecast period.

Emerging Trends in the Influencer Market in India

The influencer market in India is growing rapidly due to the increasing popularity of TV shows and movies. The country’s vast social media user base is expanding, with more people becoming digitally savvy. As marketers and brands find new methods to reach Indian consumers, influencers are emerging as powerful tools to market products and services. This shift has transformed India’s digital landscape, changing brand communication and content strategy, and increasing trust in brands. Below are some of the key changes in the market that are drawing attention globally.

• Regional Influencers Gaining Popularity: Due to India’s cultural and linguistic diversity, companies focusing on specific regional markets are increasingly turning to regional influencers. These influencers, who speak local dialects or represent indigenous cultures, have gained traction as they resonate with their audience. This helps brands target niche products in specific regions. Regional influencers offer a cost-effective way for brands to enter less saturated markets, fostering consumer loyalty and higher ROI in targeted areas.
• The Popularity of Long-Form Videos Is Growing: While short TikTok videos are highly popular, there is also a growing demand for long-form video content. Platforms like YouTube and Instagram’s IGTV allow influencers to produce more complex content, keeping users engaged for extended periods. As a result, influencers are shifting toward detailed reviews, tutorials, and storytelling, rather than simple product showcases. These long-form videos help influencers establish deeper connections with their audience by showcasing expertise and providing valuable content.
• Influencer Partnerships with Conventional Brands: Indian influencers are increasingly collaborating with traditional brands, rather than just e-commerce companies or startups. These partnerships enable established brands to reach tech-savvy younger audiences who are less responsive to traditional advertising. Influencers can partner with these brands for endorsements, sponsored ads, or even as brand ambassadors. For influencers, this provides an opportunity to align with well-known brands, improving their trust and credibility among their audience.
• Marketing through Influencers for a Social Cause: Influencers in India are increasingly partnering with NGOs and brands to promote social causes like environmental sustainability, mental health, education, and women’s empowerment. These collaborations resonate with the values of the audience, strengthening the relationship between influencers and their followers. Brands also benefit by positioning themselves as socially responsible, which builds greater trust and brand equity among consumers who prioritize these causes.
• Tremendous Growth of Virtual and AI Influencers: AI and virtual influencers are beginning to make an impact on India’s influencer marketing scene. These influencers, who exist solely in the digital world, are created using AI and CGI. Virtual influencers allow brands to have full control over the content and personality of their influencers, ensuring alignment with brand values. This trend offers brands a chance to reach a more tech-savvy audience and create unique, customized campaigns for younger, digital-centric consumers.

The emerging trends in India’s influencer market reflect significant changes in the country’s social media and digital landscape. The rise of long-form content, regional influencers, and collaborations with mainstream brands is reshaping the influencer marketing space. Additionally, the growing influence of virtual and AI-powered influencers offers brands innovative ways to engage with their audience. Brands that understand the local social dynamics and stay ahead of these trends will be able to forge deeper connections and make a lasting impact in India.

Recent Developments in the Influencer Market in India

The rapid changes in technology and evolving consumer habits are significantly shaping India’s influencer marketing landscape. The rise of connected communities in India has led to explosive growth in influencer marketing. This phenomenon offers brands a powerful way to engage with consumers. Below are key developments in the relationships between brands and influencers in India and the new trends that continue to shape this fast-paced market.

• Increased Investment in Influencer Marketing Platforms: Indian brands are investing significantly in influencer marketing platforms that help identify the right influencers for campaigns. These platforms use data analytics and AI to match brands with influencers based on demographics, interests, and follower engagement. This enables brands to run more efficient campaigns by targeting the right audience at the right time. The platforms also help influencers professionalize their presence by offering content management, analytics, and monetization tools, making influencer marketing more streamlined and effective.
• Growth of Micro-Influencers: Micro-influencers have become a key focus for Indian brands due to their ability to connect with smaller, but highly engaged, audiences. Micro-influencers typically have followings between 10K and 100K, but they achieve higher engagement rates similar to those of macro influencers. Their authenticity and niche focus allow them to form stronger connections with their followers. As brands recognize the potential of these influencers, micro-influencers are becoming an important resource for personalized and localized marketing campaigns that drive trust and conversions.
• Companies Focusing on Long-Term Influencer Collaborations: Indian companies are increasingly moving away from one-off campaigns and opting for long-term partnerships with influencers. This shift allows brands to build stronger relationships with influencers, who can relate better to their audience over time. These partnerships enable brands to integrate their products seamlessly into influencers’ content, making the endorsements feel more authentic. Long-term collaborations also create a more sustainable influencer marketing environment for both brands and influencers.
• Influencers Diversifying to New Markets: Indian influencers are expanding beyond Instagram and YouTube, exploring new platforms like TikTok, Clubhouse, and other regional apps. By diversifying their presence, influencers can reach a broader audience and create platform-specific content. For brands, leveraging a wide variety of platforms helps increase reach and engagement, leading to more successful campaigns.
• Focus on Analytics for Campaign Effectiveness: As influencer marketing gains traction in India, brands are placing a stronger emphasis on analytics to measure campaign performance. Platforms that evaluate ROI, engagement, and audience sentiment are becoming essential tools for brands. Analytics enable brands to optimize their campaigns and ensure that marketing budgets are being used effectively. Influencers are also using these platforms to improve their content strategies, increase engagement, and attract more brand collaborations, which further strengthens the credibility of influencer marketing.

Influencer marketing in India is rapidly evolving, with increasing investments in platforms, a focus on micro-influencers, long-term partnerships, and cross-influencer strategies. The rise of virtual influencers, along with the emphasis on data-driven results, is reshaping how brands engage with influencers and their audiences. These changes are expected to drive more personalized and effective marketing strategies, contributing to the growth of India’s digital economy.

Strategic Growth Opportunities for Influencer Market in India

The influencer market in India is evolving rapidly due to changes in consumer behavior, digital interactions, and advancements in technology. The increasing use of social media is shifting the focus of marketing toward digital platforms, opening new avenues for businesses to leverage influencers in different ways. Below are some key growth opportunities that demonstrate how influencers are impacting various industries across India.

• Influencer Marketing in Social E-Commerce: The growth of influencer marketing is closely tied to the rise of e-commerce in India. As e-commerce continues to boom, influencer marketing has become a necessity for driving sales and customer satisfaction. Influencers can promote, review, and offer products with exclusive discounts or affiliate links, streamlining the shopping experience for followers. By directly reaching specific audiences, influencers help brands build trust and achieve higher conversion rates. This opportunity enables brands to expand their reach without increasing marketing spending, as influencer partnerships are generally more cost-effective than traditional advertising.
• Influencers in Regional and Local Markets: India’s vast diversity in language and culture is driving the popularity of regional influencers. These influencers, who speak local dialects or represent indigenous cultures, are gaining traction because their content resonates with local audiences. Brands looking to penetrate regional markets can leverage these influencers’ strong community ties, improving engagement and building trust with consumers in specific regions.
• Influencers for Social Causes and Sustainability: Influencers in India are increasingly using their platforms to raise awareness about social issues, sustainability, and social responsibility. Brands partnering with influencers focused on these causes diversify their audience while enhancing their credibility. These collaborations also appeal to younger, more socially and environmentally conscious segments. Brands that adopt cause-driven marketing early will build significant loyalty. The shift in social norms will ultimately determine the sustainability of their brand equity.
• AI and Virtual Influencers: AI and virtual influencers are transforming influencer marketing in India. These digitally crafted personas engage with audiences in unique ways, enabling brands to create characters that align with their brand values. Virtual influencers provide greater control over content, allowing for highly tailored and futuristic marketing campaigns. As this technology rises in popularity, it enables brands to connect with younger, digital-centric audiences who are increasingly interested in this type of content.
• Micro-Influencers in Niche Markets: Micro-influencers, with smaller but highly engaged followings, are gaining popularity in India. These influencers focus on specific niches and deliver targeted content that resonates deeply with their audience. As brands aim to run more focused, budget-friendly campaigns, micro-influencers are becoming the ideal choice. Their strong authenticity fosters brand loyalty, resulting in higher engagement and better conversion rates for businesses.

The influencer market in India is evolving with new opportunities in e-commerce, local markets, social causes, AI-driven marketing, and micro-influencers. These developments allow brands to strengthen their relationships with audiences and remain competitive in a rapidly growing digital landscape. As influencers continue to influence consumer buying decisions, these strategic opportunities enable brands to enhance their marketing efforts and improve engagement.

Influencer Market in India Driver and Challenges

The influencer marketing landscape in India is shaped by various drivers and challenges, including advancements in technology, regulatory changes, and shifts in consumer behavior. The primary drivers include the growth of social media platforms, changing consumption patterns, and the increasing need for data analysis. However, challenges such as the lack of regulatory standards, influencer fraud, and the demand for authenticity in campaigns persist. Understanding these drivers and challenges will help brands navigate the complexities of influencer marketing more effectively and develop sound strategies.

The factors responsible for driving the Influencer market in India include:
• Expansion of Social Media and Digital Business Marketing: The evolution of social media is closely tied to the growth of influencer marketing. Over 50% of the population in India is now online, contributing to the increasing number of influencers. This provides brands with the opportunity to reach a broader audience across diverse segments. The widespread access to the internet and the proliferation of mobile devices have made social media the primary communication channel, allowing brands to connect with people from across the country.
• Popularity of Video Content: Video content engagement in India has surged through platforms like YouTube, Instagram, and TikTok (before it was banned). Video-focused influencers are more engaging compared to other types of influencers, as they provide interactive and dynamic content. Brands are increasingly incorporating video content into their influencer marketing strategies, as it has proven to be more effective in advertising products and services. This shift makes it easier for influencers to weave their audience’s values into the stories they tell, leading to more successful campaigns.
• Consumer Shift Towards Personalized Content: As consumers in India become more selective, they seek personalized and authentic content. Influencers who understand their audience’s needs can produce relatable and trustworthy content. This trend is changing the way brands collaborate with influencers to create content tailored to specific audience segments. Personalization strengthens the bond between brands and consumers, leading to greater brand loyalty and improved conversion rates.
• Data-Driven Insights and ROI Measurement: Brands in India are increasingly relying on data and analytics to measure the effectiveness of their influencer campaigns. Metrics such as engagement rates, conversion rates, and ROI are now key indicators of success. Advanced analytics tools allow brands to quantify influencer activity, providing valuable insights that help refine strategies. This data-driven approach ensures that brands optimize their campaigns in real time, delivering the right message to the right audience.
• Influencer Credibility and Authenticity: Influencers who maintain credibility and authenticity have a stronger ability to attract customers. Authentic influencers command significant trust compared to those who do not. Promoting products that align with the influencer’s personal brand and values proves to be much more effective than hype-driven campaigns. Over time, markets have come to value genuine relationships with influencers, and as this norm becomes more widespread, brands that invest in authentic partnerships will see higher engagement and return on investment.

Challenges in the Influencer market in India are:
• Regulatory Issues and Compliance: The absence of clear regulations for influencer marketing in India makes it difficult for brands to navigate the landscape. Without defined guidelines, brands risk legal troubles and reputational damage. However, as the influencer marketing industry continues to grow, clearer regulations are expected to emerge. Brands will need to comply with these standards to maintain credibility and avoid potential pitfalls.
• Influencer Fraud and Transparency: Influencer fraud, including fake followers and engagement fraud, is a growing concern in India. Some influencers resort to using bots or fake followers to boost their reach, which undermines the effectiveness of campaigns and wastes brand budgets. To combat this issue, brands are increasingly adopting practices that promote accountability and transparency. By engaging with verified influencers and utilizing analytics tools, brands can ensure the authenticity of their campaigns and improve their effectiveness.

The growth of influencer marketing in India presents both opportunities and challenges. While the expanding social media landscape, increasing video content consumption, and consumer demand for personalized content are driving growth, challenges such as regulatory uncertainty and influencer fraud persist. Brands that effectively navigate these challenges and build authentic relationships with influencers will be better positioned to succeed in the evolving Indian market.

List of Influencer Market in India Companies

Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. Through these strategies, influencer companies cater to increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the influencer companies profiled in this report include:
• Company 1
• Company 2
• Company 3
• Company 4
• Company 5
• Company 6
• Company 7
• Company 8
• Company 9
• Company 10

Influencer Market in India by Segment

The study includes a forecast for the influencer market in India by enterprise size, component, application, and end use.

Influencer Market in India by Enterprise Size [Analysis by Value from 2019 to 2031]:

• Large Enterprises
• Small & Medium-Sized Enterprises

Influencer Market in India by Component [Analysis by Value from 2019 to 2031]:

• Influencer Marketing Platform
• Services

Influencer Market in India by Application [Analysis by Value from 2019 to 2031]:

• Campaign Management
• Influencer Relationship Management
• Analytics & Reporting
• Compliance Management
• Others

Influencer Market in India by End Use [Analysis by Value from 2019 to 2031]:

• Fashion & Lifestyle
• Retail & Consumer Goods
• Health & Wellness
• Banking & Finance
• Travel & Tourism
• Others

Features of the Influencer Market in India

Market Size Estimates: Influencer in India market size estimation in terms of value ($B).
Trend and Forecast Analysis: Market trends and forecasts by various segments.
Segmentation Analysis: Influencer in India market size by enterprise size, component, application, and end use in terms of value ($B).
Growth Opportunities: Analysis of growth opportunities in different enterprise size, component, application, and end use for the influencer in India.
Strategic Analysis: This includes M&A, new product development, and competitive landscape of the influencer in India.
Analysis of competitive intensity of the industry based on Porter’s Five Forces model.

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FAQ

Q1. What are the major drivers influencing the growth of the influencer market in India?
Answer: The major drivers for this market are growing usage of the internet for marketing, rising need for cost-effective and efficient marketing techniques, and increase in the use of social media.
Q2. What are the major segments for influencer market in India?
Answer: The future of the influencer market in India looks promising with opportunities in the fashion & lifestyle, retail & consumer good, health & wellness, banking & finance, and travel & tourism markets.
Q3. Which influencer market segment in India will be the largest in future?
Answer: Lucintel forecasts that small & medium-sized enterprise segment is expected to witness higher growth over the forecast period.
Q4. Do we receive customization in this report?
Answer: Yes, Lucintel provides 10% customization without any additional cost.

This report answers following 10 key questions:

Q.1. What are some of the most promising, high-growth opportunities for the influencer market in India by enterprise size (large enterprises and small & medium-sized enterprises), component (influencer marketing platform and services), application (campaign management, influencer relationship management, analytics & reporting, compliance management, and others), and end use (fashion & lifestyle, retail & consumer goods, health & wellness, banking & finance, travel & tourism, and others)?
Q.2. Which segments will grow at a faster pace and why?
Q.3. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.4. What are the business risks and competitive threats in this market?
Q.5. What are the emerging trends in this market and the reasons behind them?
Q.6. What are some of the changing demands of customers in the market?
Q.7. What are the new developments in the market? Which companies are leading these developments?
Q.8. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.9. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.10. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
For any questions related to Influencer Market in India, Influencer Market in India Size, Influencer Market in India Growth, Influencer Market in India Analysis, Influencer Market in India Report, Influencer Market in India Share, Influencer Market in India Trends, Influencer Market in India Forecast, Influencer Companies, write Lucintel analyst at email: helpdesk@lucintel.com. We will be glad to get back to you soon.