Brands to spend Rs 500 crore on influencer marketing this Diwali season: Report

New Delhi: Brands are expected to spend over Rs 500 crore on influencer marketing during this Diwali season,  according to the Qoruz Diwali Festive Report 2024. 

The report further highlighted that there is a very evident shift toward regional content and increased focus on Tier 2 and Tier 3 cities. Thus, underlining the brands’ focus on tapping into these areas for boosting engagement.

According to the report, 53% of consumers now prefer content in their local languages, underscoring a clear shift toward regionalised content consumption. This indicates how the role played by regional influencers is increasing in establishing a connection between brands and audiences across different linguistic groups. 

The report stated that the top-spending category is fashion — particularly through micro and nanoinfluencers. 

The FMCG sector, with strong activity from Tier 2 and Tier 3 cities, is outperforming Tier 1 regions, followed by Home Decor. 

Aditya Gurwara, Co-Founder and Brand Alliance at Qoruz, said, "This Diwali season, we’re seeing a real shift in how consumers are engaging with content. Influencers who speak in their regional languages are forming deeper connections because they feel more relatable and genuine to their audiences. For brands, it’s no longer just about reaching people, but about creating relationships that resonate. By embracing regional content, brands aren’t simply part of a campaign, they’re becoming part of everyday conversations, which helps build long-lasting trust and loyalty."

The data also points to the rising influence of Tier 2 and Tier 3 cities, which are expected to account for a significant portion of festive spending. The report anticipates that over 50 million shoppers from these regions will drive a substantial increase in engagement, with campaigns targeted at these cities, generating 1.5 times more engagement compared to metro-focused initiatives. These findings reflect the increasing purchasing power of consumers in emerging markets and present a significant opportunity for brands to broaden their reach.

According to the report, these categories are leading the race this season, while other sectors are also increasing investments to capture attention and engagement on social media. Even micro and nano influencers are expected to account for 80% of consumer interactions this Diwali — becoming a critical factor for brands looking to drive authentic engagement.