'Conduct due diligence': Asci releases new guidelines for celebrities

Asci also widened the definition of 'celebrities' to include 'famous and well-known people' with annual compensation of Rs 40 lakh or more via ads or with social media following of 500,00 or above

The Advertising Standards Council of India (Asci) has on Wednesday released fresh guidelines for celebrities — whose definition it broadened to include those with over 500,000 followers on social media — emphasising due diligence prior to endorsing a product.

Celebrities should ensure that the claims and descriptions made by ads were valid, it said.

They should not participate in any ads for products that require a health warning like “... is injurious to health”, Asci added.

“Celebrities should do due diligence to ensure that all description, claims and comparisons made in the advertisements they appear in, or endorse, are capable of being objectively ascertained and capable of substantiation, and should not mislead or appear deceptive,” the revised guidelines said.

The industry watchdog has also noticed a sharp increase in misleading ads featuring celebrities. Compared to 55 ads that Asci processed in 2021-22, the number of misleading ads by celebrities jumped to 500 in 2022-23.

Asci redefined “celebrities” to include “famous and well-known people”, who get compensated 40 lakh or more annually for appearing in ads or campaigns on any media.

“With the advent of social media and the increasing popularity of influencers on digital media, the definition of celebrities has changed drastically. Earlier, only personalities from the world of sports or entertainment were considered celebrities. Today, however, the scenario is different. We have a range of personalities who are extremely popular on social media and share a close personal connection with consumers,” said Manisha Kapoor, chief executive officer and secretary general, Asci.

“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,” she added.

The guidelines also said that celebrities should not participate in any advertisement of a product or treatment, or remedy that is prohibited for advertising under the Drugs and Magic Remedies (Objectionable Advertisements) Act, 1954, and the Drugs and Cosmetics Act, 1940, and Rules, 1945.

“Testimonials, endorsements or representations of opinions or preference of celebrities must show the genuine, reasonably current opinion of the individual(s) making such representations, and must be based upon adequate information about, or experience with, the product or service being advertised,” it added.