Indian brands eye in-house programmatic desks as hybrid models gain traction

As India’s advertising landscape continues its metamorphosis, one question echoes louder in boardrooms and agency war rooms alike: should brands take programmatic advertising fully in-house? While global giants like P&G and Unilever have experimented with building their own programmatic desks, the Indian scenario remains a complex chessboard, more cautious than radical, more hybrid than purist.

The digital advertising market in India is projected to reach Rs 59,200 crore (approximately $7.1 billion USD) by the end of 2025, according to the latest dentsu-e4m report, with programmatic advertising accounting for nearly 44 percent of digital display spends by 2026. Yet, the story beneath these impressive figures is far from linear.

Samir Karpe, Country Manager for DoubleVerify and Scibids, observes that many consumer goods brands are gradually exploring in-house setups to gain better control. “It’s about better control rather than depending on somebody else to do the optimisation,” Karpe says.

By building capabilities internally, brands can align strategies more closely to business goals and gain sharper insights. However, he cautions that full in-housing isn’t a silver bullet, especially given India’s diverse market dynamics. “Brands realise they can use automation to free up their resources for more strategic work,” he adds, referencing tools like Scibids that allow AI-driven customisation to brand-specific KPIs.

But beyond the allure of AI and 24/7 optimisation, other voices urge a tempered approach. Dev Batra, CEO of Lyxel&Flamingo, points out that even among high-spending brands, full-fledged in-house programmatic desks remain rare. “So far in our work with high spending brands also, we haven't seen a lot of brands building their programmatic desk in-house,” Batra states candidly. Instead, he sees brands demanding more transparency from agency-led desks and gravitating towards independent trade desks from Amazon, Flipkart, and Google DV360. However, DV360’s access has become more exclusive, reserved mainly for advertisers committing significant spends.

Batra notes that brands today are laser-focused on performance. “They can’t deliver conversion, but they do deliver intent audience,” he says, referring to programmatic’s strength in reaching interested cohorts rather than driving immediate sales. The rise of interactive multimedia formats such as videos on CTV and immersive display creatives has further complicated the media landscape. Batra underscores the need for creative thinking, noting, “Without that, getting attention of audience is getting increasingly difficult.” 

Vedavyas Badri, Deputy Vice President – Programmatic Buying at LS Digital, echoes this complexity. He believes that while the idea of in-house programmatic desks is enticing, the practical challenges are formidable. “Identifying, onboarding, and implementing various programmatic partners like multiple DSPs, DMPs, AI tools for optimisation, creative partners, smart targeting, and verification tools is a very cumbersome and time-consuming process,” Badri explains. Beyond the tech stack, the real roadblock lies in finding and retaining talent capable of handling such a multi-layered ecosystem.

He also emphasises the unique advantages that agencies bring to the table, including wider platform experience, better negotiation power for premium inventory, and deep publisher relationships that individual brands typically lack. “Agencies work across multiple clients and industries, allowing them to experiment, learn, and adopt newer tools faster,” he says. Moreover, as privacy regulations tighten, agencies are often better equipped to navigate compliance and data governance challenges.

However, Badri acknowledges that brands investing in the right resources can build strong in-house teams capable of faster turnarounds and tighter data security. “Data remains within the organisation, enabling teams to leverage it confidently and craft sharper, insight-led media plans,” he adds. In scenarios where sensitive data sharing is a barrier, in-housing offers a compelling edge.

Sushant Chopra, Director of Sales, North India and Gujarat at Hybrid, offers a middle path that seems to be gaining traction: the hybrid model. “We’re witnessing a growing appetite among Indian brands to shift toward in-house or hybrid programmatic models, driven by the need for greater data ownership, transparency, and real-time control,” Chopra explains.

Technological advances are accelerating this trend. Tools enabling contextual targeting, TV sync, and hyper-localised campaigns are helping brands engage consumers in more personal and dynamic ways. According to a June 2025 Dentsu report, over 62 percent of large Indian advertisers are now experimenting with at least one element of a hybrid programmatic model, a figure expected to rise further in the next two years.

Case studies like Marico’s experiments with geo-personalised programmatic campaigns and Tata Motors' use of hybrid trade desks to combine first-party data with contextual overlays show promising results. Both have achieved measurable lifts in brand consideration and recall, suggesting that smart integration can yield powerful outcomes.

While fully independent desks remain uncommon, hybrid setups where brands partially manage operations but still rely on external partners for scale and expertise are seeing rising interest, particularly in FMCG, auto, BFSI, and e-commerce sectors.

A senior executive at a leading FMCG brand, requesting anonymity, shared a note of caution. "We love the idea of owning the data and decisions, but the sheer operational complexity makes in-housing feel like building a spaceship when all we need is a car," the executive said. This sentiment captures the broader hesitation among legacy brands that value control but are wary of the significant investment and technical depth required.

Meanwhile, a senior marketer at a prominent fashion brand echoed a more cautiously optimistic stance. "We're intrigued by in-house programmatic because it promises speed and control, but we're treading carefully before jumping in completely," the marketer said. This measured curiosity reflects how lifestyle and fashion players are evaluating hybrid and in-house approaches as potential differentiators, while still relying on proven external expertise to guide the transition.

While the road to full in-housing remains riddled with challenges, from tech investment to talent acquisition, the momentum around hybrid approaches signals a pragmatic Indian mindset: test, learn, and scale cautiously. As Karpe aptly puts it, “No advertiser wants to spend money just to buy impressions — they’re buying toward an objective like awareness, consideration, or ROAS.”

In the end, the Indian programmatic playbook might not yet be a story of sweeping in-house revolutions. Instead, it is one of incremental shifts, strategic partnerships, and a gradual rewriting of the brand-agency dynamic. As the ecosystem matures and martech capabilities deepen, the next few years will likely define which brands emerge as the true programmatic vanguard.