The State of Influencer Marketing in India: Trends and Growth

India’s relationship with influencer marketing is unlike anywhere else in the world. With over a billion people, hundreds of languages, and one of the fastest-growing digital economies on the planet, India offers a unique, high-potential landscape where a creator from a small town in Rajasthan can drive purchase decisions as effectively as a celebrity in Mumbai. What started as occasional brand endorsements by bloggers has grown into a sophisticated, data-driven industry – and the numbers back it up decisively.

The explosive growth of influencer marketing in India 🔗

According to EY, India’s influencer marketing sector is projected to reach INR 3,375 crore by 2026, growing at a compound annual growth rate (CAGR) of 18%. The India Influencer Marketing Report 2025 by The Goat Agency (WPP Media) and Kantar placed the industry’s value at ₹3,600 crore in 2024, with a further 25% expansion forecast for 2025. The industry’s market value is further estimated to exceed 105 billion Indian rupees by 2027.

This growth is not happening in isolation. With 50% of mobile engagement centred on social media, influencer marketing has become a key communication strategy for marketers. Brands are responding accordingly – 75% of brands view influencer marketing as integral to their overall marketing strategy, and 70% of surveyed brands intend to maintain or boost their influencer marketing expenditure.

The Indian government has also recognised the scale of this ecosystem. It has announced a Rs. 8,545 crore fund to foster content creators, innovation, and reach – a signal that influencer culture is no longer a fringe phenomenon but a mainstream economic driver.

What’s fuelling this surge? 🔗

Several factors are converging to drive this rapid growth. Digital penetration in India is high, with over 700 million internet users as of 2023, a number expected to grow to 900 million by 2025. Social media growth is robust, with over 450 million active social media users in India, projected to increase to 600 million by 2025. Affordable smartphones, low-cost data plans, and a young, digitally-native population have all laid the groundwork. Simultaneously, the rise of short-form video on platforms like Instagram Reels and YouTube Shorts has dramatically lowered the barrier to content creation, enabling millions of ordinary Indians to build followings around their passions – from cooking and cricket to coding and comedy.

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% now prioritise content quality when selecting influencers. Marketers are also growing more sophisticated – prioritising engagement rates (39%) and content quality (36%) over vanity metrics to gauge ROI.

Reaching beyond the metros 🔗

For a long time, influencer marketing in India was largely a metropolitan affair – polished creators based in Mumbai, Delhi, or Bangalore talking to urban audiences in English. That geography is shifting fast. According to a report by the Internet and Mobile Association of India (IAMAI), over 70% of internet users in India now reside in smaller cities. Brands that ignore tier 2 and tier 3 cities are essentially ignoring the majority of India’s online population.

The next phase of digital growth in India is not happening in metro cities – it is happening in tier 2 and tier 3 markets. These audiences are coming online rapidly, consuming content daily, and making purchase decisions influenced by what they see online. Regional creators are particularly effective in these markets because they speak the local language, understand the cultural context, and build trust faster than metro-based influencers whose content often feels aspirational but out of reach.

The power of regional and vernacular content 🔗

Regional language content gets 2x more engagement than English-first content in semi-urban areas, according to a KPMG India report. This engagement advantage makes regional creators not just a feel-good choice for brands but a measurably better ROI decision in many cases. Collaborating with content creators from smaller cities can be more cost-effective for brands than engaging with high-profile influencers from tier 1 cities. Regional influencers often deliver higher engagement at a lower cost, making the investment more efficient.

Real examples illustrate this well. A couple from Surat, Parul and Yogesh, have amassed over 510K followers on Instagram through humorous posts in Gujarati. Their recent collaboration with Lord Petrick Coffee and Burger garnered over 28K likes and 158 comments – proving that small-town influencers can be just as impactful as national celebrities. Similarly, Flipkart, while preparing its marketing campaign ahead of its Big Billion Days sale in 2022, roped in over 45 regional YouTube content creators to expand its reach in tier 2 and 3 cities.

Instagram as the engine of influence 🔗

Among platforms, Instagram occupies a dominant position in India’s influencer marketing ecosystem. In 2025, Instagram solidifies its position as the leading platform for influencer marketing, with the global Instagram influencer market size projected to surpass $22 billion, outpacing other social networks in brand partnerships and campaign spend. Instagram Stories have become the dominant format, accounting for 71.9% of all brand content on the platform, while Reels and carousels also contribute significantly to high engagement rates.

The platform’s visual nature makes it ideal for categories like fashion, beauty, food, and lifestyle – all of which are among the top-performing verticals for influencer marketing in India, according to IBEF. Instagram and YouTube emerged as the top choices for consuming influencer content, with emerging platforms also gaining traction by providing innovative ways to engage with new consumer cohorts.

Types of influencers shaping the market 🔗

India’s influencer ecosystem spans a wide spectrum. The number of content creators in India is estimated at 2.5 to 3.5 million on platforms like YouTube and Instagram. Nano-influencers typically engage with 1,000 to 10,000 followers; micro-influencers cater to audiences ranging from 10,000 to 100,000; macro influencers usually command a following of 100,000 to 500,000; and mega or celebrity influencers boast audiences exceeding the 500,000 mark.

While mega and macro influencers offer wide reach, the micro and nano tiers are increasingly attractive to brands for their authenticity and engagement depth. Micro-influencers tend to provide engagement rates as high as 60%, demonstrating that smaller audiences can generate a better return on investment. Niche micro-influencers are gaining traction across high-consideration categories such as automotive and consumer durables, with 85% of marketers in these verticals planning increased investments.

About 70% of brands consider trust and credibility the primary reasons for engaging influencers , and this trust is often built more durably by creators who feel like peers rather than celebrities. Additionally, 72% of brands favour long-term collaborations , moving away from one-off sponsored posts toward sustained partnerships that build brand narrative over time.

Brands that got it right: successful campaigns in India 🔗

The real proof of influencer marketing’s power lies in how brands have used it to achieve concrete business outcomes. Two standout examples – one in tech, one in fashion – show what a well-executed influencer strategy can deliver.

OnePlus and the multi-influencer playbook 🔗

OnePlus built much of its early brand equity in India not through traditional advertising but through influencer-driven word of mouth. As documented by the Marketing Club at IMI, while tech vloggers were approached for phone reviews, fashion, lifestyle, photography and food influencers were roped in to highlight the design and camera features. The most used features in smartphones are social media applications, thus marketing through content creators gives a brand maximum reach. Product discovery also becomes easier since influencer-created content tends to rank higher in YouTube search results.

Before the launch of the OnePlus 6T, the brand opened a challenge to its community – to capture a ‘T’ in any form. OnePlus India collaborated with illustrators, food stylists, photographers and lifestyle influencers, and 150 influencers travelled to a specially created graffiti wall to celebrate the launch. This community-first approach made consumers feel like participants in a cultural moment rather than targets of an advertisement.

Myntra FWD and the power of scale 🔗

Myntra’s influencer strategy is arguably one of the most data-driven and comprehensive in Indian e-commerce. For the launch of its Gen Z-focused brand “FWD,” Myntra deployed influencer marketing at an impressive scale. By collaborating with 15,000 influencers across various tiers – from nano creators to top-tier names – Myntra FWD’s campaign garnered over 60 million views, 45 million organic reach, and more than 2 million engagements overall. FWD’s Instagram also saw over 30 organic collaborations as a result.

Myntra works with fashion YouTubers, bloggers, and affiliate partners who create videos and write reviews. When an influencer recommends a product, it feels more genuine, and people are more likely to check it out. The brand has now built this into a systematic strategy – blending nano influencers for authentic local reach with macro creators for visibility, creating a full-funnel approach to influencer-driven commerce.

Challenges and what lies ahead 🔗

Despite the momentum, the industry faces real challenges. 83% of marketers – and 95% in the BFSI sector – struggle to find the right influencer talent. Measuring ROI remains a persistent pain point, and as the space matures, issues around transparency and authenticity are becoming more pressing. The Business Standard notes that the past year saw a sharp rise with over 20 mergers and acquisitions taking place in the media and marketing sector, with agencies strengthening their influencer capabilities – a sign that consolidation is bringing greater professionalism to the field.

From a consumer standpoint, the opportunity is enormous. Over two-thirds of Indian users turn to influencers for product discovery (63%), information (69%), and action (60%) – making influencer content a significant force across the entire purchase journey, not just awareness. The brands that win in this environment will be those that treat creators as strategic partners rather than advertising channels, invest in long-term relationships, and back their decisions with audience data rather than guesswork.

India’s influencer marketing story is far from its final chapter. As internet penetration deepens, regional languages gain digital ground, and new platforms emerge, the creator economy will only grow more complex, more nuanced, and more powerful.

What do you think? As brands increasingly rely on influencer voices to reach consumers, does that shift make advertising feel more authentic – or does it erode the trust that made influencers effective in the first place? And with tier 2 and tier 3 cities becoming the new frontier, do you think regional creators will eventually outpace metro influencers in brand value?

References

1. https://www.ey.com/en_in/insights/media-entertainment/how-influencer-marketing-is-impacting-brands-in-india
2. https://www.wppmedia.com/news/influencing-with-integrity
3. https://www.ibef.org/blogs/the-rising-trend-of-influencer-marketing-in-india-key-insights-and-strategies
4. https://marketingclubimi.wordpress.com/2020/02/29/oneplus-influencing-through-one-plus-more/
5. https://www.business-standard.com/industry/news/india-influencer-marketing-industry-to-grow-25-percent-in-2025-125061101048_1.html