New Delhi: The Advertising Standards Council of India (ASCI) has updated its code to include social media influencers as “celebrities” but has cautioned them to be mindful of what they endorse.
After noticing a jump in misleading ads from 55 in 2021-22 to over 500 in 2022-23, the self-regulatory body has also tightened guidelines around advertising and endorsement by “celebrity” influencers.
According to the latest regulation, anyone who has an annual income of Rs 40 lakh or equivalent from advertisements and campaigns in any format, and with a social media following of 500,000 or more on any single platform, can be termed as a “celebrity”. Previously the definition was limited to Rs 20 lakh.
The body has also expanded the definition of a “celebrity” to include notable personalities like doctors, authors, activists, educationists, etc. who meet the criteria. ASCI has also requested high due diligence by celebrities while choosing their advertising campaigns.
According to the revised code, the celebrity or his/her advertiser/manager need to submit a duly-signed written confirmation to ASCI, assuring the celebrity’s due diligence for the claims and representations made in a given advertisement.
It further discouraged celebrities to participate in ads, which by law, require warnings like “injurious to health”.
Manisha Kapoor, CEO and Secretary General, ASCI, said, “We have a range of personalities who are extremely popular on social media and share a close personal connection with consumers. These personalities affect the spending habits of consumers who trust them. So, it’s vital to ensure consumer protection – especially when celebrities endorse products or services that can cause serious financial loss and physical harm.”
According to media reports, the highest number of problematic ads were found in the gaming, education and beauty-related sectors. Some of the famous personalities accused of violating the ASCI code include former Indian cricket team captain Mahendra Singh Dhoni and Youtube personality Bhuvan Bam, who endorsed ads for Tictok Skill Games Private Limited, the parent company of WinZO.
Cricketer Virat Kohli and actor Jim Sarbh were also found guilty of violating the advertising code by endorsing Mobile Premier League through its owning company Galactus Funware Technology Private Limited. Kohli violated the code at least four times while Dhoni has a track record of 10 violations.
In January this year, the Central Consumer Protection Authority – a government body for consumers rights protection – rolled out new rules for influencers and introduced fines for advertisers, manufacturers, and endorsers which could go up to Rs 50 lakh.
The rules state the body can prohibit endorsers for at least a year in case of violations, which could be extended up to three years.
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