Channel sheet · CH-07 · gain 2 min · logged October 13, 2026

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AI Set to Take a Third of India's Influencer Budgets

AI is set to claim about a third of India's influencer marketing budgets, even as the largest advertisers plan to increase spending on human creators, per Livemint.

By Nathan Brooks2 min read414 words

Signal notes

  1. AI is projected to capture roughly one-third of India's influencer marketing budgets, per a Livemint report.
  2. India's largest advertisers plan to increase spending on human influencers despite AI's growing share.
  3. The report does not specify a timeline, budget baseline, or definition of AI-attributed spending.
  4. The shift implies the hardest squeeze on mid-tier creators caught between premium human talent and cheaper AI alternatives.

Artificial intelligence is on course to absorb roughly a third of India's influencer marketing budgets, according to a Livemint report — and, in a twist that will surprise anyone predicting the end of human creators, the country's biggest advertisers plan to spend even more on them.

The figure frames a market in transition. AI-generated personalities, automated campaign tools and machine-assisted content are no longer pilot projects; they are competing for real rupees against human influencers. One budget line in three shifting toward AI would mark one of the fastest reallocations in Indian advertising.

But the headline cuts both ways.

What does 'a third of budgets' actually mean?

The claim covers money moving to AI across the influencer ecosystem — virtual influencers, AI-driven campaign creation, and automation replacing tasks once billed by agencies or human creators. It does not mean a third of influencers lose their work tomorrow.

What the report does not specify matters here. It offers no timeline for the shift, no breakdown between virtual influencers and back-end automation, and no baseline budget figure. A third of a number nobody has published is still an unspecified sum.

Why are the big brands going bigger?

According to the report, India's largest advertisers intend to increase their influencer spending rather than trim it. The logic is straightforward: top-tier human influencers carry trust and reach that generated personas have not replicated.

That creates a two-track market:

  • Scale players pour more money into established human creators.
  • Mid-tier and long-tail budgets migrate toward cheaper AI alternatives.

If that split holds, the squeeze lands hardest on the middle of the market — creators too small for premium deals and too expensive to beat a generated rival on price. The report's framing supports this reading; it does not spell it out.

What is left unsaid?

Three gaps stand out. First, the measurement: nobody has defined which spending counts as "AI" — a virtual influencer campaign, or a human creator using AI editing tools? Second, disclosure: Indian regulators have yet to settle clear rules on labeling synthetic personalities, and budgets rarely account for compliance risk. Third, performance: no published comparison shows AI-driven campaigns matching human influencers on conversion.

Every promise of cost reduction carries the caveat that cheaper reach is not the same as effective reach.

For now, the number to watch is one in three — and whether the brands going bigger are buying influence, or just renting it at higher rates.

via Google News — AI influencer marketing (Source)

Filed under

  • influencer-marketing
  • virtual-influencers
  • ai-advertising
  • india-marketing
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Nathan Brooks

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Correspondent covering regulation, policy and their impact on marketing professionals running AI in the stack at Mart Signal.

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