Bank of Baroda, a public sector lender, has reduced its advertising and publicity expenses by 20.2% in the fiscal year 2025. The bank’s advertising expenditure decreased to Rs 350 crore in FY25 from Rs 439 crore in the previous year. This reduction is notable, given that the banking, financial services, and insurance (BFSI) sector in India has been increasing its advertising spend in recent years, particularly on digital platforms.
Despite the decrease in advertising spend, Bank of Baroda has continued to focus on digital marketing and branding. The bank executed over 30 digital campaigns in FY25, covering topics such as sports, financial literacy, fraud awareness, and cybersecurity. The bank’s annual report also highlighted a multi-channel advertising campaign that included television, radio, print, and cinema, with a cumulative reach of approximately 200 crore people.
The bank’s financial performance in FY25 was positive, with a 10% rise in net profit to Rs 19,581 crore, compared to Rs 17,789 crore in the previous year. The bank’s net interest income (NII) grew by 2.1% to Rs 45,659 crore, and non-interest income increased by 14.8% to Rs 16,647 crore. The bank’s operating profit also rose by 4.7% to Rs 32,435 crore.
Looking ahead to FY26, Bank of Baroda plans to continue enhancing its digital capabilities to expand its reach and engagement with customers. The bank’s focus on digital marketing and branding is expected to continue, despite the reduction in advertising spend in FY25. The BFSI sector’s advertising spend is expected to remain robust, with a TAM Adex report revealing a 74% increase in ad impressions in the first half of 2024 compared to the same period in 2022.
Overall, Bank of Baroda’s reduction in advertising spend is a notable achievement, given the increasing competition in the BFSI sector. The bank’s focus on digital marketing and branding, combined with its positive financial performance, positions it well for future growth and expansion. As the bank continues to enhance its digital capabilities, it is likely to remain a major player in the Indian banking sector.