AI Democratizes Ads for Indian SMBs: Amazon Report

New Delhi, Aug 20 (PTI) Nearly 87 per cent of small and medium businesses (SMBs) in India believe that artificial intelligence (AI) has enabled them to access advertising opportunities, such as streaming TV, that previously felt out of reach, according to a study by Amazon Ads.

The research, released on Thursday, noted that 75 per cent of surveyed Indian SMBs stated that AI-enabled advertising has supported their business growth.

Additionally, 68 per cent of respondents said that AI tools have unlocked greater creativity in their marketing efforts.

"We are seeing Indian SMBs approach advertising with a confidence we have not seen before. The share of Amazon advertisers using AI-powered tools in India has grown by 77 per cent year over year, with SMBs generating 62 per cent more ad creatives with those tools in Q1 2026 over last year," said Kapil Sharma, Director of Amazon Ads India.

​"Today, AI-powered tools are opening up channels like streaming TV that once felt reserved for big brands with big budgets. It is exciting to see SMBs writing their own growth stories and at Amazon Ads, we are focused on innovating on their behalf to offer self-service solutions built to help businesses of all sizes," he said.


The study found that three years ago, barriers such as high costs (48 per cent), minimum spend requirements (39 per cent), and planning complexity (36 per cent) kept many SMBs away from streaming TV. Today, 62 per cent of those interested in the medium say it helps them reach new audiences, while 59 per cent say it can increase brand awareness.

AI is also facilitating international trade for Indian sellers. According to the report, 56 per cent of respondents who found cross-border campaigns inaccessible three years ago now say they are more accessible due to AI-powered tools.

Furthermore, 59 per cent of businesses said AI has supported their expansion into new countries.

​However, the report emphasised that human oversight remains critical. Only 2 per cent of SMBs reported using fully automated decision-making without human review. Business owners remain the final decision-makers for 40 per cent of respondents, followed by AI tools with human review at 32 per cent.

​The research surveyed 300 B2C marketing decision-makers from SMEs in India as part of a larger global study involving 4,100 respondents across 14 countries.