Detailed Presentation on Advertising to children followed by Ethics and Regulations followed in Different Countries

1. ADVERTISING TO
CHILDREN:UNDERSTANDING
THE NEED OF RESPONSIBILITY
Presented by:
Anirudh Kotlo
Reg. no:130606007
Pharmaceutical Marketing
Dept. of Pharmacy
Management
Guided by:
Dr. Virendra S Ligade
Assistant Professor
Dept. of Pharmacy
Management
MCOPS,MANIPAL

2. FLOW OF PRESENTATION
Advertising to Children
Status of Advertisements in India
Classification of Advertisements to children
Ethical aspects of Advertising to children
Regulations in India and Various Countries
Pharmaceutical Advertisements to Children
Case Studies
Conclusion
References

3. ADVERTISEMENT
• Advertisement is the non–personal communication of
information that is usually paid for and usually
persuasive in nature about products, services or ideas
by identified sponsors through the various media.

4. ADVERTISING TO CHILDREN
• Advertising to children is the act of marketing
or advertising products or services to children, as defined by
national legislation and advertising standards
• It is often the subject of debate, relating to the alleged
influence on children’s consumption.

5. • Children today are exposed to all types of advertisements in
the various media like Television, Print and Internet as well.
Children are more susceptible and easily get influenced by
advertisements.
• Advertisements are made in such a way to attract children and
they do not understand that its an Marketing strategy.

6. STATUS OF ADS IN INDIA
• The size of the Advertising industry in India is Rs.30,800
crore as of 2013.
• The advertising industry is growing at a rate of 7.4%compared
to the previous year
• According to ASCI ,television channels in India played 1.04
billion seconds of advertisements to children
• In India the advertising expenditure per year on products
meant for children but purchased by parents, like health
drinks, is 12 to 15 % of the total Rs. 38,000 million

7. • Children in India constitute 18.7 % of the World kids
population and one-third of our country's population is under
the age of 15 years.
• Thus in India, children form a massive 30% of the total
population and this segment is growing at a rate of 4% per
annum.
• This means a huge target market of 300 million is available to
advertisers and they are already focusing on the kids channels.

8. Indian advertisement industry

9. Status of Advertisements in Various channels

11. Status of advertisements in India
POSITION Name of the Company Amount Spent(in millions)
1) Hindustan Lever 376
2) Paras Pharmaceuticals 120
3) Procter& Gamble 114
4) Coca-Cola 95
5) Godrej Industries 80
6) Colgate-Palmolive 67
7) PepsiCo 62
8 Nirma Chemicals 52
9 Nestle 50
10 Dabur India 49

12. Classification of advertisements to children
1) Television Advertising
2) In School Marketing
3) Product Placements
4) Kids Club
5) Toys and Products with Brand Logos
6) Youth Targeted Promotions

13. Television Advertising
• The largest single source of media messages about food to
children, especially younger children, is television. Over 75%
of US food manufacturers' advertising budgets and 95% of US
fast-food restaurant budgets are allocated to television.

14. • Food is the most frequently advertised product category on US
children's television and food ads account for over 50% of all
ads targeting children. Children view an average of one food
commercial every five minutes of television viewing time, and
may see as many as three hours of food commercials each
week

16. In School Marketing
• In-school marketing is the marketing to children and
adolescents include the desire to increase sales and generate
product loyalty, the ability to reach large numbers of children
and adolescents in a contained setting, and the financial
vulnerability of schools due to chronic funding shortages.

17. • There are many types of direct advertising in schools, such as
soft drink, fast food, or snack food corporate logos on athletic
scoreboards, sponsorship banners in gyms, ads in school
newspapers and yearbooks, free textbook covers with ads, and
screen-saver ads on school computers for branded foods and
beverages.
• EX: McDonalds ,Frito lays, Hershey ,Kellogg's

19. Product Placements
• Product placement is increasing in popularity and becoming
more acceptable as a standard marketing channel. It typically
involves incorporating brands in movies in return for money
or promotional support.
• Fees are variable depending on the relative prominence of the
placement in movies, and are usually around $50,000 to
$100,000 in the United States.

20. • Product placement in the movies first gained attention in 1982
when it was reported that sales of the peanut butter candy
Hershey's Reese's Pieces increased by 65% within a month
due to its placement within E.T., The Extra Terrestrial.

21. Kids Club
• Several corporations have developed branded kids clubs as a
way to communicate with and maintain an ongoing
relationship so that they can participate in contests, receive
coupons and branded items such as posters, screensavers, and
discounts for items with the club's logo.
• Ex: Burger King, Nickelodeon, Sega

22. Internet
• The forms of advertising and marketing on the web differ
significantly from television commercials
• These sites include games, word-find puzzles, contests,
quizzes, riddles, music, e-mail cards, clips of commercials,
sweepstakes, downloadable recipes, desktop wallpaper and
screensavers that feature their products, and on-line stores that
sell licensed merchandise

23. • Children can also sign up to receive electronic newsletters
with news about products and promotions
• Ex:Tony the tiger, Chester the cheetah

24. FOOD COMPANY Example of web site content
BURGER KING
http://www.burgerking.com
Games, toys, tunes, and other downloads
are promoted along side their food items.
There is a special Big Kids Club link on the
home page where 4–12 year olds are
encouraged to become club members.
FRITO-LAY
http://www.fritolay.com
Homepage displays logos of all of this
corporation's food products. These
websites contain flashing icons and
banners, music, games, e-cards, and special
offers featuring the products and/or its
characters, (i.e., Chester Cheeto, the hip
animated character that advertises
Cheetos).
HERSHEY'S
http://www.kidztown.com
There are animated games all promoting
the company's brands, i.e., Milk Duds Trivia,
Hershey's Syrup Flavor Farm, Twizzlers
Slider Puzzle, Hershey's Kisses Way to
Go, and recipes using Hershey's candy.

25. Toys and Products with Brand Logos
• There has been a recent trend among food companies to market
toys and products with brand logos to preschoolers and young
children to develop an early and positive relationship with the
child and thereby promote brand awareness and preference.
• The Food industry has partnered with toy manufacturers to
create toys that advertise food.

27. Youth Targeted Promotions
• Promotions are a commonly used marketing method for
reaching children and adolescents and include cross-selling,
tie-ins, premiums, and sweepstakes prizes
• Cross-selling and tie-ins combine promotional efforts to sell a
product. In the US, the food industry has forged promotional
links with Hollywood and Network studios, toy companies,
and sports league

28. • Premiums and sweepstakes prizes have increased recently and
are often used to appeal to children's and adolescent's tastes
and desires

29. ETHICAL ASPECTS
• Advertisers have to be especially careful to act ethically at all
times, taking extra care when advertising to children, Should
not advertise potentially harmful products and use
psychological tactics to stimulate demand.
• Having a list of ethical and legal issues at hand when creating
advertisements can help companies to craft legal, responsible
Ad messages for the benefit of children.

30. • Children are easily persuaded and have a large pull on today's
market and as it is known by all advertisers even ones which
are not intended for the children are also sold as products.
• Children are among the most sophisticated observer of ads.
• They have strong feelings for the product.

31. Infant Milk Substitutes
• The Parliament passed the Infant Milk substitutes, Feeding
Bottles and Infant Foods(Regulation of production, supply and
distribution) Act in 1992.
• This Act prohibits the promotion of Infant foods, Infant milk
Substitutes and Feeding bottles.
• This Act ensures that “No impression is given that feeding of
these products is equivalent or better than breast feeding”.

32. Cable TV Networks Act
• The Cable Television Networks(Regulation)Act 1995 provides
guidelines for programmes and advertisements on television
and it set up some provisions related to children:
• Programmes on cable television should not denigrate children
• Programmes meant for children should not contain any bad
language or explicit scene of violence.

33. Comparison of Advertisements
• Nowadays the advertisers are engaged in unhealthy brand
comparison with the help of advertising in children.
• Such comparisons create problems and confusions for the right
choice of the product as far as children are concerned.
• Examples: Pepsi vs. Coca-Cola ,Colgate vs. Pepsodent,
Horlicks vs. Complan

36. Ethical Advertisements
Positive Effect:
• Advertising makes the kids aware of the new products
available in the market
• It makes them to learn moral lessons
• Advertising ethically causes children to motivate positively
• Some of the public service Ads are useful to children

38. Unethical Advertisements
• Negative Effects:
• Unhealthy advertisements are those which include dangerous
stunts, demand for luxurious life and learn unusual language.
• These advertisements encourage children to purchase the
products.

41. Why do we need Regulation?
• Advertising has been in the vortex of controversy of the many
ills that it brings to the society

42. • Advertising is generally accused of encouraging materialism
or manipulating behavior generally contributing to the
downfall of social system particularly in children.
• Hence there comes a need for regulatory bodies and
authorities

43. • Truthful and fair to consumers and competitors
• Within the bounds of generally accepted standards of decency.
• Not used indiscriminately for the promotion of products,
hazardous or harmful to the society or to individuals,
particularly minors to a degree unacceptable to a society by an
large.

44. Advertising Regulatory Bodies around the Globe
• Advertising Standards Council of India(ASCI)
• Federal Trade Commission of United states(FTC)
• Advertising Standards Authority for United Kingdom(ASA)
• Advertising Standards Bureau for Australia(ASB)
• Advertising Standards Authority for South Africa(ASA)

45. • European Advertising Standard Alliance (EASA)
• Japan Advertising Review Organization (JARO)
• Advertisement Law of the People’s Republic of China under
the State administration of industry and commerce
• Singapore Code of Advertising Practices(SCAP)

46. Advertising Standards Council of India
• Advertising Standards Council of India(ASCI) is a self
regulatory voluntary organization of the advertising industry.
• ASCI founded in 1985. The three main constituents of
advertising industry viz advertisers, advertising agencies and
media came together to form this independent NGO.

47. Consumer Complaints Council
For public awareness council time to time
puts up the advertisements in newspapers
Each year the council receives 150
complaints:
50 are upheld
80 are voluntarily withdrawn/modified

48. Children Advertising Review Unit
• It is an independent self-regulatory agency for the promotion
of responsible advertising to children under the age of 12 in all
media. CARU reviews and evaluates advertising for truth,
accuracy, appropriateness and sensitivity to children in
accordance with its Self-Regulatory Program for Children's
Advertising (the Guidelines) and relevant laws

49. Children Online Privacy Protection Act
• It details what a website operator must include in a privacy
policy when and how to seek verifiable consent from
a parent or guardian, and what responsibilities an operator has
to protect children's privacy and safety online including
restrictions on the marketing to those under 13.

50. COUNTRY STATUTORY
GUIDELINES ON
ADVERTISING
TO CHILDREN
SELF REGULATORY
GUIDELINES ON
ADVERTISING TO
CHILDREN
COMMENTS
AUSTRALIA Advertising before and after children
programme is banned
BELGIUM Advertising is banned with certain
modifications
CANADA Advertising to children is proscribed
since 1990
FRANCE Advertisement banned to children
under 14 years of age
GERMANY New regulations
IRELAND Advertising before and after children
programme is banned
SWEDEN Advertising to children is proscribed
since 1991
ITALY Proposals to ban advertising to
children
NORWAY Advertising is not permitted in children
programme lasting than 30 min

51. PHARMACEUTICAL
ADVERTISEMENTS

57. Case study #1
• COMPANY: Hindustan Unilever Limited
• PRODUCT: Surf Excel Liquid Detergent and Bar
• COMPLAINT: Ad depicts a child sprinkling ink on his white
shirt and face and teeth.

58. • Nature of Complaint: Ad is very offensive and negative in
Nature and children with impressionable minds could ape it
with disastrous results. Ink is toxic, is it safe to allow the ink
to get into the child's mouth and the ink even discolors his
teeth?
• DECISION: Upheld
The CCC viewed the TVC and concluded that the visual
depiction of “a child with ink stained teeth and mouth”, is
likely to encourage minors to emulate such acts in a manner
which could cause harm to them

59. Case Study 2
• COMPANY: Nirma Ltd
• PRODUCT: Nirlife Ener-G drink
• COMPLAINT: Ad shows - “a child is late for school, denied
entry by watchman, scales high walls, jumps over terraces,
performs various stunts to gain entry via classroom window
and proudly flips out energy drink and gains admiration of a
girl in a class”

60. NATURE OF COMPLAINT:
• "Ad shows - “a child is late for school, denied entry by
watchman, scales high walls, jumps over terraces, performs
various stunts to gain entry via classroom window and proudly
flips out ener-g drink and gains admiration of a girl in a class
"It's dangerous for children who are liable to imitate the act
and It’s wrong to show 'pride in wrong activity' especially by a
pre - teen. “
DECISION: UPHELD
• The CCC concluded that the TVC shows dangerous acts which
are likely to encourage minors to emulate such acts in a
manner which could cause harm or injury. The advertisement
contravened Chapter III.2(b) of the Code. The complaint was
UPHELD.

61. Case Study 3
• COMPANY: Heinz India Ltd
• PRODUCT: New Complan with 8 Memory Chargers
• COMPLAINT:
• "TVC claims: “New Complan contains the nutrition of
Complan and the power of 8 memory chargers”, These
memory chargers are graphically shown to be protein, iron,
iodine, zinc, vitamin B12, folic acid, vitamin B6 and choline.
“They help improve a child’s memory”. TVC shows - “a child
neglecting a plate of complete meal” and claims “feeding
children with the New Complan”. "

62. • NATURE OF COMPLAINT:
• It means that children who neglect their daily meals can
suffice their nutrition needs with a cup or two of Complan.
This claim needs to be substantiated. "
• DECISION: UPHELD
• The CCC considered the third party independent data provided
by the Advertiser and concluded that the claims were
substantiated. Also, the TVC was not considered to be
objectionable. The complaint was NOT UPHELD.

63. Conclusion
• The Existing rules and laws should not only be strictly
implemented but should be harmonized to curb the unethical
advertising and practices to the children.
• Members of all Aspects of Every Profession need to come
together and remain vigilant to shield child health from
business and trade.
• There is urgent need for the Authorities to draft and implement
laws that do not deal with the advertising in general but are
specifically related to every aspect of advertising especially
with those of which target young children and kids and
necessary measures should be taken to avoid confusion among
children.

64. References
1)Jethwaney J, Jain S. Advertising Management . 2nd
ed. New
Delhi: Oxford University Press; 2012. P:481-486.
2)Thakurta PG. Truth Fairness and Objectivity. New Delhi:
Oxford University Press; 2009. P:245-250.
3)Sharma S, Singh R. Advertising Planning and Implementation.
New Delhi: Prentice Hall of India Pvt.Ltd; 2006. P:41-43.
4)Nawathe A, Rohan GR, Sudhir DS. Impact of advertising on
children’s health. Proceedings of international marketing
conference on Marketing and Society,8-10 April,2007.
5)Mary S, Simone F. Food advertising and marketing directed at
children and adolescents in the US. IJBNPA.2004 Feb 10;
1(3).

65. 6)Anonymous. Advertising to Children the Tricky
Business[Internet].[updated on 2014 Feb 28;Cited on 2014
Mar 5].New York. Available from:
http://www.theguardian.com/sustainable-business/advertising-
to-children-tricky-business
7)Anonymous. The Face of Marketing. Pitch Madison Media ad
Outlook. 2012 Aug:9(11). P:2,8.
8) Advertising to Children[Internet].[updated on 2014 Feb; Cited
on 2014 Mar 5]. Available from:
http://www.wikipedia.org/advertising to children .

66. 9)Advertising to kids[Internet].[updated on 2014 Jan 16; Cited on
2014 Mar 7]. Available from:
http//www.ftc.gov.in/Advertising to kids and FTC regulatory
advices present
10)Advertising Decisions[Internet].[updated on 2013 Jul;Cited
on 2014 Mar 12]. Available from:
http//www.ascionline.org/index.php/ascidecisions.html

67. Thank you