Industry
Data drought: The absence of reliable metrics is thwarting advertisers and marketers in India
Summary
- Relying on data from a time when smartphones were still gaining traction and social media was in its infancy leaves marketers and policymakers grasping at straws.
In a world where data reigns supreme, guiding everything from economic policies to marketing strategies, India finds itself in a rather comical predicament: it’s as if we’re trying to bake a cake without knowing the recipe. Data is the flour, sugar and eggs of policymaking; without it, we’re left with a half-baked concoction that might collapse under its own weight.
Yet here we are, in a nation of 1.4 billion, where even the most basic data is as elusive as a joke in a serious meeting. Advertisers and marketers are expected to allocate their budgets wisely, but with outdated statistics and missing datasets, it feels more like they’re aiming in the dark—hoping their arrows land somewhere close to the target.
Take the decennial census, for instance. Scheduled for 2021, it has been postponed, leaving us with demographic data that is over a decade old (The last census took place in 2011; Mint has reported that the next exercise may begin in 2025). Similarly, the last official consumer expenditure survey was conducted in 2011-12, and any attempt to update this vital information was scrapped due to “data quality concerns."
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The Broadcast Audience Research Council (BARC) and the Indian Readership Survey (IRS) are like the old-school fortunetellers of the marketing and advertising ecosystem, relying on crystal balls that are decidedly foggy. The last IRS was released in 2019, while the Broadcast India Survey dates back to July 2018.
As the landscape shifts dramatically with the rise of over-the-top (OTT) platforms, viewers are no longer just couch potatoes flipping through channels; they’re savvy content connoisseurs curating their own viewing experiences.
Why would advertisers throw their money into a black box of old metrics when they could be targeting audiences who are binge-watching the latest series on their favourite OTT instead? With the digital revolution at full throttle, it’s high time these organizations updated their playbooks. After all, in an age where viewers can choose from a plethora of content at their fingertips, relying on yesterday’s ratings feels like trying to sell rotary phones in a smartphone world.
The last decade has been a whirlwind of rapid change, characterized by technological advancements, shifting consumer preferences and unprecedented global events. In this fast-paced environment, a decade-old dataset may as well be considered half-a-century old. The speed at which trends evolve today means that insights gathered in 2011 are not just outdated; they are virtually irrelevant for understanding the complexities of contemporary society.
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With the rise of digital platforms, the gig economy and heightened awareness of social issues, consumer behaviour is evolving at an extraordinary rate. Relying on data from a time when smartphones were still gaining traction and social media was in its infancy leaves marketers and policymakers grasping at straws. As we navigate an era defined by constant flux, the need for timely and accurate data has never been more critical; without it, we risk making decisions based on a reality that no longer exists.
We have often heard the phrase: “What we cannot measure, we cannot manage." Yet here we are, managing our marketing budgets based on gut feelings and anecdotal evidence rather than solid data. With major industries operating on outdated metrics, it begs the question: are advertisers simply throwing money at random targets and hoping something sticks? Or do they have some semblance of data guiding their decisions?
According to a report by Dentsu India, the Indian advertising sector is projected to grow at a compound annual growth rate (CAGR) of 9.86%, increasing from ₹93,166 crore in 2023 to ₹1,12,453 crore by 2025. As India positions itself as an emerging market ripe for investment, the lack of reliable data poses a significant risk.
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While data may be the backbone of effective policymaking and advertising strategies worldwide, India finds itself in an ironic twist of fate—surrounded by potential insights yet starved for actionable information. As advertisers and marketers continue to navigate this murky landscape, one can only hope they invest in better flashlights, because right now it feels like they’re trying to find their way through a blackout with nothing but a flickering candle.
Partho Dasgupta is former chief executive officer of BARC India and currently managing partner, Thoth Advisors.
