82% Indians Now Prefer AI Recommendations: LS Digital Report Signals a New Era of Hyper-Personalised, Vernacular Advertising

LS Digital, a Digital Business Transformation (DBT) company, unveiled a report titled “The Rise of AI-Native Advertising in India: Hyper-Personalisation Meets Vernacular Scale.” Using its AI-led ‘Quilt’ framework—an advanced methodology that applies machine learning to search, social, and public web data—LS Digital has decoded how Indian consumers are embracing AI far faster than their global counterparts.

The report reveals a striking paradox: while 99% of consumers still search for basic definitions of digital advertising, 82% prefer AI-led recommendations, and 48% already trust AI-generated content. This unusual combination of high trust and low foundational knowledge is accelerating India’s shift toward AI-native advertising models.

Hyper-Personalisation Dominates India’s Ad Landscape

The biggest finding? Hyper-personalisation accounts for 47% of all industry conversations.

With Indians increasingly expecting tailored content, marketers are adopting AI-driven programmatic models to meet rising demand. The report notes that brands leaning into personalised experiences are seeing exponential impact—setting the stage for the next wave of digital transformation.

Vernacular AI Is Driving a 40% Engagement Surge

India’s linguistic diversity is becoming a competitive advantage.

Key findings include:

• 30–40% higher engagement for vernacular-first content

• 11% of industry discourse now focused solely on Vernacular AI

• Majority (70%) of conversations revolve around multilingual content and cultural nuance

Regional voice interfaces and dialect-level targeting are also emerging as strategic priorities. This shift is helping brands reach the next billion Indian users—and deeply connect with “Bharat.”

LS Digital Report – The Rise of AI-Native Advertising in India: Hyper-Personalisation Meets Vernacular Scale.

AI Emerges as the Great Equalizer for SMEs

India’s social commerce market is projected to reach USD 70 billion by 2030, and AI is fueling its rise.

The report highlights a growing “Democratising Bharat” narrative:

• 50% of conversations focus on empowering SMEs through AI-led self-serve tools

• 13% highlight the rapid rise of Tier 2/3 markets

• 13% spotlight rural inclusion through low-cost, voice-led digital solutions

AI is enabling smaller businesses to access metro-grade targeting precision, leveling the playing field across India’s digital economy.

Human + AI Creativity: The Winning Formula

Despite rapid AI adoption, human creativity remains irreplaceable.

73% of marketers prefer a hybrid model where AI enhances—not replaces—creative work.

The “Creative Balance” theme (14% of conversations) shows:

• 77% value AI for high-volume, rapid asset generation

• 23% emphasise human oversight for cultural insight and ethical judgment

The future lies in blending AI’s efficiency with human imagination and emotional intelligence.

A Future Built on Responsible, Real-Time AI Advertising

Prasad Shejale, Founder & CEO of LS Digital, underscored the importance of vernacular scale and responsible AI, saying:“Brands that invest in multilingual creative and privacy-preserving AI models will lead the $70 billion social commerce wave.”

With the DPDPA reshaping India’s data governance landscape, the report calls for consent-driven, first-party data strategies. The shift is clear: India is moving from event-based advertising to real-time, micro-moment contextual marketing—powered by AI, protected by regulation, and shaped by cultural nuance.