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Presentation on:
‘Regulations in Advertising’
What is Advertising?



“Advertising is the non-personal communication of
information usually paid for and usually persuasive in
nature about products, services or ideas by identified
sponsors through the various media.”
                                              - Bovee
What are Advertising Regulations?




Advertising regulation refers to the laws and rules
defining the ways in which products can be advertised
in a particular region.
"Advertising is a non-moral force, like
electricity, which not only illuminates but
  electrocutes. Its worth to civilization
      depends upon how it is used."




           (J. Walter Thompson)
 The namesake & Founder of the JWT advertising agency
- Advertising has been in the vortex of controversy of the
  many ills that it brings to society

- It is accused of encouraging materialism and
   manipulating our behaviour generally contributing to
   the downfall of our social system.



  Hence, there comes a need for regulatory bodies
Purpose

The purpose of the regulatory bodies would be to make
sure that advertisers and advertisements are -

- Truthful and fair to consumers and competitors.

- Within the bounds of generally accepted standards of
  public decency.

- Not used indiscriminately for the promotion of products,
  hazardous or harmful to society or to individuals
  particularly minors, to a degree unacceptable to society
  at large.
Advertising Regulatory Bodies Around the World

Some of the well known regulatory bodies are-

 Advertising Standards Council of India (ASCI)


 Federal Trade Commission for United States


 Advertising Standards Authority (ASA) for United Kingdom


 Advertising Standards Authority ASA) for South Africa
(ASCI)
-Was set up in 1985


-The Advertising Agencies Association of
India, the media owner's association and the
Indian Newspapers Society, came together
and took the initiative to form the ASCI (the
council)


- The council was voluntary and self-
regulatory, registered as a non-profit
Company .
Composition of ASCI
The Council is managed by a Board of Governors
consisting of 16 elected members, constituted as follows:

- 4 from Advertisers
- 4 from Advertising Agencies
- 4 from Media and
- 4 from Allied Professions like outdoor contractors, audio-
   visual producers/distributors, consumer researchers,
   printers, etc.
Objectives
The objectives of ASCI are to make sure advertisers and
 advertisements are-

- Truthful and Honest
- Not offensive
- Not hazardous to society
- Fair with competitors


    The Complaints the ASCI receives are handled by
         Consumer Complaints Council (CCC)
CONSUMER COMPLAINTS COUNCIL (CCC)
Birth and composition of CCC
The ASCI’s Board of Governors set up a Consumer
  Complaints Council (CCC) to examine complaints
  received by the ASCI.

The composition of the CCC is as follows:
 9 from within the advertising industry representing
  advertisers, advertising agencies, media owners
  and allied professions.
 12 from society at large, consisting of eminent
  consumer activists, educationists, prominent
  journalists, lawyers, engineers, doctors, etc
Receiving
complaints

- For public awareness sake, from time-to-time the Council puts
   out advertisements in newspapers

- This invites them to complain to the Council

Each year the Council receives approximately 150 complaints.
- 50 % Upheld
- 80% Voluntarily modified/withdrawn
This is one of the ads of ASCI encouraging people to complaint against ads making
                                   false claims!
Complaining
 Procedures
Online and Offline complaining
Who can Complaint?


ANYONE!


There are two ways of complaining to CCC. They are through


-   Online and
-   Printed form


The form can be downloaded from,
ASCI’s Official Website - http://www.ascionline.org/
Online Complaint Form
Printed Form

This is the form that
has to be filled and
sent to ASCI
CASE STUDIES
CASE STUDIES: CASE 1
DECISION IN FAVOR OF COMPLAINANT
Brand- Bajaj Pulsar

Complaint- Visuals had bikers doing extreme stunts
 but the disclaimer was almost invisible. So
 complaint was filed keeping in consideration of the
 recent bike stunt mishaps.

CCC said that- This shows dangerous stunts without
 having a regard for safety and hence some action
 should be taken by the brand.

Result- Ad was modified with a clear disclaimer in the
 beginning itself.
CASE STUDIES: CASE 2
DECISION IN FAVOR OF COMPLAINANT
Brand- AXE Dark Temptation Deodorant

Complaint- Ad is in bad taste and is vulgar, as it
 shows the girls licking and biting the boy. The scene
 of the girl biting his backside is highly objectionable.

   CCC said that- The Visuals were indecent and likely
    to cause grave or widespread offence.


Result- Ad was modified by deleting a few scenes
CASE STUDIES: CASE 3
DECISION IN FAVOR OF COMPLAINANT
Brand- KFC

   Complaint- Car crashes after driver loses concentration while
    eating KFC product. Showing eating while driving a car, is
    promoting an unsafe practice. The words "non stop khao, non
    stop khilao", in conjunction with the Ad being of KFC bucket
    size pack, is clear intention of advertiser promoting
    over/excessive consumption of KFC, which being fried
    chicken has high content of fat in it.


   CCC said that- Visual depiction of the “driver licking his finger”
    implied that he has been eating whilst driving, which could
    result in harm to the driver/passengers. Ad shows a
    dangerous practice without justifiable reason

Result- Ad was modified
CASE STUDIES: CASE 4
DECISION IN FAVOR OF ADVERTISER
Brand- MOTOROLA

   Complaint- A father telling his son to be responsible and not to
    litter the house. The son who is shown having a mobile phone
    (Motoyuva model) with earphones just keeps staring at his
    father and increases the voice of the music on the mobile
    hone therby making the voice of this father fading. Ad conveys
    the message that it is cool for today’s youth to just ignore what
    their elders are telling them.


   CCC said that- The “behaviour of the son ignoring his father”,
    as shown in the Ad, was not likely to cause grave or
    widespread offence.

Result- Complaint Not Valid
CASE STUDIES: CASE 5
DECISION IN FAVOR OF ADVERTISER
Brand- BIG BAZAAR

   Complaint- Print ad has the tagline- “Is se sasta aur
    accha kahin nahi!”. According to the Complainant, there
    are items available outside, which are cheaper than
    what Big Bazaar claims.

   CCC said that- Claim misleading by exaggeration.


   Result- The Advertiser provided comparative bills of Big
    Bazaar and other stores, which proved that on a basket
    of commodities, they are cheaper. So no changes to the
    ad was made.
BIG BAZAAR- PRINT AD
Advertising
Regulatory
 Body In
   USA

  Federal
   Trade
Commission
   (FTC)
ASCI is a non- profit organization while FTC is a government
  organization

FTC collects complaints about companies, business practices,
  and identity theft while ASCI only concern advertising.

The FTC enters all complaints it receives into Consumer
  Sentinel, a secure online database that is used by
  thousands of civil and criminal law enforcement
  authorities worldwide. This is not the process in ASCI as it
  is not govt and hence can’t and doesn’t involve law
  enforcement authorities and also they receive very less
  complaints.
ASCI home page says- Regulate yourself, or someone else will.

Self-regulation is the most advised way to stay out of
  unwanted troubles. In India, self regulation is quite high
  considering the low complaints.

Also, when complaints are filed at ASCI, there is a high chance
  that the brand image may get damaged. So, its high time
  that advertisers think twice before spending lakhs and crores
  on an advertisement.
Regulations in Advertising

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Regulations in Advertising

  • 2. What is Advertising? “Advertising is the non-personal communication of information usually paid for and usually persuasive in nature about products, services or ideas by identified sponsors through the various media.” - Bovee
  • 3. What are Advertising Regulations? Advertising regulation refers to the laws and rules defining the ways in which products can be advertised in a particular region.
  • 4.
  • 5. "Advertising is a non-moral force, like electricity, which not only illuminates but electrocutes. Its worth to civilization depends upon how it is used." (J. Walter Thompson) The namesake & Founder of the JWT advertising agency
  • 6. - Advertising has been in the vortex of controversy of the many ills that it brings to society - It is accused of encouraging materialism and manipulating our behaviour generally contributing to the downfall of our social system. Hence, there comes a need for regulatory bodies
  • 7.
  • 8. Purpose The purpose of the regulatory bodies would be to make sure that advertisers and advertisements are - - Truthful and fair to consumers and competitors. - Within the bounds of generally accepted standards of public decency. - Not used indiscriminately for the promotion of products, hazardous or harmful to society or to individuals particularly minors, to a degree unacceptable to society at large.
  • 9. Advertising Regulatory Bodies Around the World Some of the well known regulatory bodies are-  Advertising Standards Council of India (ASCI)  Federal Trade Commission for United States  Advertising Standards Authority (ASA) for United Kingdom  Advertising Standards Authority ASA) for South Africa
  • 11. -Was set up in 1985 -The Advertising Agencies Association of India, the media owner's association and the Indian Newspapers Society, came together and took the initiative to form the ASCI (the council) - The council was voluntary and self- regulatory, registered as a non-profit Company .
  • 12. Composition of ASCI The Council is managed by a Board of Governors consisting of 16 elected members, constituted as follows: - 4 from Advertisers - 4 from Advertising Agencies - 4 from Media and - 4 from Allied Professions like outdoor contractors, audio- visual producers/distributors, consumer researchers, printers, etc.
  • 13. Objectives The objectives of ASCI are to make sure advertisers and advertisements are- - Truthful and Honest - Not offensive - Not hazardous to society - Fair with competitors The Complaints the ASCI receives are handled by Consumer Complaints Council (CCC)
  • 15. Birth and composition of CCC The ASCI’s Board of Governors set up a Consumer Complaints Council (CCC) to examine complaints received by the ASCI. The composition of the CCC is as follows:  9 from within the advertising industry representing advertisers, advertising agencies, media owners and allied professions.  12 from society at large, consisting of eminent consumer activists, educationists, prominent journalists, lawyers, engineers, doctors, etc
  • 16. Receiving complaints - For public awareness sake, from time-to-time the Council puts out advertisements in newspapers - This invites them to complain to the Council Each year the Council receives approximately 150 complaints. - 50 % Upheld - 80% Voluntarily modified/withdrawn
  • 17. This is one of the ads of ASCI encouraging people to complaint against ads making false claims!
  • 19. Online and Offline complaining Who can Complaint? ANYONE! There are two ways of complaining to CCC. They are through - Online and - Printed form The form can be downloaded from, ASCI’s Official Website - http://www.ascionline.org/
  • 21. Printed Form This is the form that has to be filled and sent to ASCI
  • 23. CASE STUDIES: CASE 1 DECISION IN FAVOR OF COMPLAINANT Brand- Bajaj Pulsar Complaint- Visuals had bikers doing extreme stunts but the disclaimer was almost invisible. So complaint was filed keeping in consideration of the recent bike stunt mishaps. CCC said that- This shows dangerous stunts without having a regard for safety and hence some action should be taken by the brand. Result- Ad was modified with a clear disclaimer in the beginning itself.
  • 24. CASE STUDIES: CASE 2 DECISION IN FAVOR OF COMPLAINANT Brand- AXE Dark Temptation Deodorant Complaint- Ad is in bad taste and is vulgar, as it shows the girls licking and biting the boy. The scene of the girl biting his backside is highly objectionable.  CCC said that- The Visuals were indecent and likely to cause grave or widespread offence. Result- Ad was modified by deleting a few scenes
  • 25. CASE STUDIES: CASE 3 DECISION IN FAVOR OF COMPLAINANT Brand- KFC  Complaint- Car crashes after driver loses concentration while eating KFC product. Showing eating while driving a car, is promoting an unsafe practice. The words "non stop khao, non stop khilao", in conjunction with the Ad being of KFC bucket size pack, is clear intention of advertiser promoting over/excessive consumption of KFC, which being fried chicken has high content of fat in it.  CCC said that- Visual depiction of the “driver licking his finger” implied that he has been eating whilst driving, which could result in harm to the driver/passengers. Ad shows a dangerous practice without justifiable reason Result- Ad was modified
  • 26. CASE STUDIES: CASE 4 DECISION IN FAVOR OF ADVERTISER Brand- MOTOROLA  Complaint- A father telling his son to be responsible and not to litter the house. The son who is shown having a mobile phone (Motoyuva model) with earphones just keeps staring at his father and increases the voice of the music on the mobile hone therby making the voice of this father fading. Ad conveys the message that it is cool for today’s youth to just ignore what their elders are telling them.  CCC said that- The “behaviour of the son ignoring his father”, as shown in the Ad, was not likely to cause grave or widespread offence. Result- Complaint Not Valid
  • 27. CASE STUDIES: CASE 5 DECISION IN FAVOR OF ADVERTISER Brand- BIG BAZAAR  Complaint- Print ad has the tagline- “Is se sasta aur accha kahin nahi!”. According to the Complainant, there are items available outside, which are cheaper than what Big Bazaar claims.  CCC said that- Claim misleading by exaggeration.  Result- The Advertiser provided comparative bills of Big Bazaar and other stores, which proved that on a basket of commodities, they are cheaper. So no changes to the ad was made.
  • 29. Advertising Regulatory Body In USA Federal Trade Commission (FTC)
  • 30. ASCI is a non- profit organization while FTC is a government organization FTC collects complaints about companies, business practices, and identity theft while ASCI only concern advertising. The FTC enters all complaints it receives into Consumer Sentinel, a secure online database that is used by thousands of civil and criminal law enforcement authorities worldwide. This is not the process in ASCI as it is not govt and hence can’t and doesn’t involve law enforcement authorities and also they receive very less complaints.
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  • 32. ASCI home page says- Regulate yourself, or someone else will. Self-regulation is the most advised way to stay out of unwanted troubles. In India, self regulation is quite high considering the low complaints. Also, when complaints are filed at ASCI, there is a high chance that the brand image may get damaged. So, its high time that advertisers think twice before spending lakhs and crores on an advertisement.