Chudails, roasts and relatability: What’s in store for influencer marketing in 2025?

It has been a big year for influencer marketing, which hit its peak this year. Brands took risks with Zomato and Unacademy employing influencer Samay Raina to roast them—a move that set new benchmarks for creativity in influencer campaigns.

It was also the year of Ganji Chudail , a virtual influencer, who cast a spell on brands big and small as they scrambled to collaborate with her.

Unsurprisingly, brands have been allocating increasingly larger portions of their budgets to influencer marketing. By 2026, nearly 23% of marketing budgets will go toward this channel, predicts Chandan Sharma, Digital Media Head at Adani Group. "Although it also depends on the kind and scale of business, smaller companies needing a push could dedicate as much as 35-40%," he explains.

The prediction is backed by data, which says that influencer marketing delivers a return of $5.78 for every dollar spent. The strategy works, and its appeal extends far beyond the big names of traditional advertising.

Influencers take centre stage in India’s digital era

When a 12-year-old was asked about their favourite celebrity, the answer wasn’t Salman Khan, Katrina Kaif, or Shah Rukh Khan. It was CarryMinati—a YouTube sensation with 44.9 million subscribers and only 204 videos.

This isn’t an isolated case. Samay Raina, with his India Got Latent (IGL) series, has become a go-to choice for big brands like Bold Care, Wok Tok noodles, and Spinny.

The digital age has paved the way for influencers to dominate the celebrity landscape. ShareChat’s Chief Business Officer, Gaurav Jain, emphasises the growing influence of regional creators, particularly in tier-2 and tier-3 markets.

“Regional influencers thriving in these areas offer a cost-effective yet impactful way for brands to connect with audiences. These creators act as cultural ambassadors, ensuring campaigns feel personal,” he explains.

Platforms like ShareChat and Moj are leveraging this trend, especially during festivals like Onam and Chhath Puja, where 86% of users prefer native-language content. This approach has doubled click-through rates for regional ads, proving the power of hyper-local campaigns.

Jain predicts the next wave of influencer marketing will involve long-term collaborations. “Brands are moving toward deeper partnerships, involving influencers in product design, testing, and storytelling. By FY26, this approach will push India’s influencer marketing sector to $3-4 billion.”

Beyond traditional celebrities

Experts also predict that the days when film stars and sports legends solely ruled the celebrity space are gone. Influencers now captivate audiences with relatable content, unfiltered opinions, and direct connections to their followers. From gaming streams to makeup tutorials, these creators are reshaping brand identities and guiding consumer choices in ways traditional advertising never could.

As we approach 2025, influencer marketing is experiencing exponential growth. According to an EY report, India’s influencer marketing industry is projected to reach Rs 3,375 crore by 2026, growing at an impressive CAGR of 18%. This growth is fueled by increased internet and smartphone penetration, driving a surge in social media usage.

As Snapchat and BCG have highlighted, Gen Z is responsible for 43% of India’s consumer spending, and their influence is undeniable, driven by the power of social media and cultural icons.

Neha Jolly Sawhney, Head of Advertising Solutions, India, Snap Inc, says, “ This generation demands authenticity, seeking connections that feel real and pressure-free. Platforms like Snapchat, with their focus on unfiltered communication, allow influencers to forge deeper, more personal relationships with their audience. As a result, brands are increasingly making influencers the centrepiece of their campaigns, tapping into the trust and relatability that influencers bring to drive meaningful engagement, impact, and long-term brand loyalty."

Global Trends

Global influencers like Mr Beast and Logan Paul venturing into India to launch their brands in collaboration with local influencers is a trend that few could have anticipated.

KlugKlug Co-Founder and CEO Kalyan Kumar highlights the global scope of influencer marketing. “With a 20-30% increase, the global influencer market is set to touch $40-45 billion by 2025,” he explains. Categories like beauty, cosmetics, and fashion now allocate 25-30% of their digital spends on influencers. In India, D2C brands are moving beyond performance marketing to build deeper consumer connections through influencers. Unilever, for instance, has doubled its influencer spend in India, surging from Rs 30-35 crore to Rs 80 crore.

At present, the market is expected to hit Rs 2,344 crore, reflecting a staggering 25% growth rate, according to the EY report with more than 56% of Indian brands now allocate over 2% of their budgets to influencer marketing, and over 70% plan to maintain or increase these budgets by 10%.

However, Robin Thomas of White Rivers Media challenges this data and predicts a larger shift. He says, “Approximately one-fourth of marketers in 2025 are likely to spend around 40% of their budgets on influencer marketing, while another one-fourth are investing 10-20%. End-to-end AI tools will streamline campaigns in real-time, ensuring better strategy over logistics.'" According to him, 2025 is the year of breakthrough in AI usage for influencer marketing.

Sumon K. Chakrabarti, CEO & Co-Founder of Buffalo Soldiers, offers a different perspective on brand spending on influencer marketing in 2025. He says, “The influencer marketing landscape is undergoing a major transformation. Issues like fake views and bot followers have caused a noticeable dip in expected ROI. There’s significant disruption in the industry. But once these problems are solved and engagement rate becomes the primary metric, we’ll see a major increase in budget allocation. This shift is real, and those who can genuinely influence purchasing decisions will emerge as leaders.”

Monks India’s VP, Megha Ahuja, also highlights the growing importance of sustainability and ethics. According to her, “Sustainability and ethics will define influencer marketing by 2025. Influencers will amplify eco-conscious brands, wellness products, recycled materials, ethical production, and transparent supply chains.”