Brand focus shifts from celebrities to influencers as endorsements drop 22% in 2025

545

In a marked change for India’s marketing landscape, celebrity-led advertising witnessed a 22% reduction in volume in 2025 compared with 2024, the steepest decline in recent years, according to industry data from TAM AdEx. This trend illustrates a broad shift in brand strategy away from marquee celebrity endorsements toward a more diversified array of content creators.

The influencer advantage

Brands are reallocating budgets to influencers, especially regional, micro, and nano creators, who often cost a fraction of celebrity talent yet deliver engagement among younger consumers.  “Influencer marketing offers companies deeper inroads and direct connections to their audiences and a greater ability to explain product stories and usage opportunities,” said Manisha Kapoor, CEO of the Advertising Standards Council of India (ASCI).

Who’s cutting back — and why

According to market insiders cited in the report, even big advertisers — including names like Nykaa, HUL, Swiggy, Zomato, ITC, and global players like PepsiCo and Coca-Cola — are placing greater emphasis on creators. These companies cite an ability to measure engagement and conversion rates more precisely, and to target Gen Z and digital-native audiences more effectively compared with traditional celebrity campaigns.  

Still room for star power

Despite the decline, celebrity endorsements are not disappearing entirely. They still accounted for roughly 27% of television ad airings in 2025, indicating that star power retains relevance in broad-reach campaigns. However, the trend lines point firmly toward a hybrid ecosystem where creators and celebrities play complementary roles.

What this means for marketers

For brands, the shift underscores a broader recalibration of marketing metrics in an era where data-driven performance and community engagement matter more than ever. While celebrities can still deliver reach and aspirational appeal, creators — particularly niche voices with loyal followings — are increasingly central to activation strategies.