Advertising Regulation Vulnerable areas • Tobacco and alcoholic beverages • Food advertising – nutrition and health claims • Children advertising • Advertising to old people • Environmental issues Control authorities • Ministry of I&B • ASCI • Other formal bodies eg. AAI, Mumbai Ad Club, etc Legal issues • • • • Subject to the law of contracts “Passing off” Copyright protections Intellectual Property Rights “Puffery” To a certain extent most advertising suffer from this. It is usually exaggerated claims, using superlatives, etc. Deceptive Advertising • Differs from the reality of the situation – misrepresentation or omission • Affects buying behaviour to the detriment of the consumer – consumer has believed the communication and acted accordingly • Consumer injury is possible and he/she might have acted differently if the facts were communicated What is deceptive advertising? • • • • • • • • • • • • Suggesting a small difference is important Artificial product demonstrations Using an ambiguous or easily confused phrase Implying a benefit that does not fully or partially exist Implying that a product benefit is unique to that brand Implying that a product benefit is needed or a product will fulfill a benefit when it will not Incorrectly implying that an endorser uses and advocates the brand Omitting a needed qualification Making a claim without substantiation Bait and switch Disguising advertising as news Infringing IPR Misperception When communication is vague and ambiguous, imperfect comprehension or miscomprehension can lead to misperception Remedies • • • • Cease-and-desist orders Restitution (compensation) Affirmative disclosures Corrective advertising