Why India Is Reaching a Turning Point for Programmatic Advertising

India’s digital audience has moved far beyond search and social. Viewers now spend significant time across OTT platforms, connected TV, premium news, audio, gaming and apps. Advertising investment, however, has not kept pace. Industry leaders say this widening gap marks a decisive moment for programmatic advertising in the country.

In a conversation with exchange4media, Tejinder Gill, Managing Director – India, The Trade Desk, argues that India is entering its next phase of programmatic growth, driven by changing consumer behaviour, rising performance expectations and the need for greater transparency in media buying.

Consumer behaviour is outpacing media buying models

According to Gill, digital consumption has already fragmented, but buying models remain stuck in an earlier era. “Consumers now spend over half their online time across OTT, CTV, premium news, audio, gaming and apps,” he says. “Yet only about 15% of ad spend reaches the premium open internet. That gap is the clearest signal that India is ready for its next phase of programmatic growth.”

He believes traditional programmatic guaranteed and media-first approaches are no longer sufficient. “Brands want audience-first strategies, cross-channel measurement, real-time optimisation and the ability to activate first-party data at scale,” Gill notes. “Consumer behaviour has moved ahead, while buying practices have lagged. That mismatch is forcing a rethink.”

From cheap reach to accountable performance

Gill points out that budget shifts away from walled gardens toward the open internet are already underway. In India, the imbalance between time spent and ad spend is particularly pronounced. “That gap creates a clear opportunity to move budgets into premium open-internet environments,” he says.

Performance pressure is accelerating this change. “Low CPMs don’t automatically translate into strong business outcomes,” Gill explains. “Over-reliance on walled gardens and fixed deals limits transparency, choice and optimisation.” He adds that sectors such as FMCG, automotive and consumer technology are already showing early momentum.

“The next wave will come as marketers prioritise quality reach over cheap scale and demand measurable outcomes,” he says. “For Indian advertisers, this shift can become a real competitive advantage.”

AI is no longer just automation

Another barrier, Gill suggests, is the way AI in programmatic is often misunderstood. “Many still think AI is rules-based automation. In reality, programmatic is becoming fully AI-optimised.”

He points to The Trade Desk’s AI engine, Koa, which analyses trillions of impressions daily. “That allows smarter bidding, creative rotation and budget pacing at a level manual optimisation can’t match,” he says. Gill also dismisses fears that AI will replace marketers. “AI works best when guided by human expertise, good data and clear objectives. It gives an edge to those who know how to use it.”

Skills and understanding remain the biggest gaps

Despite growing interest, Gill says capability gaps continue to hold back scale. “When a single platform controls media, data, buying tools and measurement, advertisers lose visibility. Platforms end up grading their own homework.”

He also highlights the need for better understanding of the premium open internet. “As consumption fragments, advertisers need stronger skills in omnichannel planning, cross-channel measurement and first-party data activation.” To bridge this gap, The Trade Desk has invested in education initiatives such as Edge Academy, aimed at helping marketers regain control over data and decision-making.

A privacy-led future for programmatic

Looking ahead, Gill believes India’s evolving data protection environment will push advertisers toward consent-led data strategies. “First-party data and trusted brand-consumer relationships will matter more than ever,” he says.

He points to open identity frameworks like Unified ID 2.0 as critical enablers. “They allow privacy-conscious targeting on the open internet, while giving users control over their data.”

Can India influence the global playbook?

Gill is optimistic about India’s potential. “India has scale, digital-native consumers, fast-growing OTT and CTV ecosystems, and a maturing advertiser base,” he says. What’s needed now is a decisive move toward audience-first buying, sustained investment in skills, and collaboration across the ecosystem.

“If India gets this right,” Gill concludes, “it won’t just adopt global best practices. It can help shape the future of programmatic advertising for the open internet.”