Sep 24, 2024 01:07 AM IST
The Union government will soon introduce strict guidelines on surrogate ads for liquor and tobacco, imposing penalties for misleading marketing practices.
The Union government will soon enforce new guidelines on surrogate ads by liquor and tobacco companies, including stiff penalties for violations, according to a senior official who said that a draft prepared by an 11-member committee in this regard will be released soon.
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The new rules on surrogate ads, for which the consumer ministry took a consultative approach with industry representatives, deal with what constitutes brand extensions.
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This move could reshape marketing campaigns in the liquor industry, whose brand extensions often including packaged water, music CDs, soda, glassware and playing cards — items that reflect the same logos and style linked to their main products.
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“The draft surrogate advertisement rules are being formulated by a committee which has members from various stakeholders,” consumer affairs secretary Nidhi Khare said on Monday. She also said that the ministry would soon release new rules to prevent greenwashing, which refers to false claims about positive environmental impacts of a product.
The rules on surrogate ads will provide for penalties over using brand extensions intended to mislead consumers and celebrity endorsements of products that violate the law.
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India prohibits direct liquor ads and several spirit firms take recourse to indirect marketing campaigns through brand extensions, which involve sponsoring events and products such as music CDs and soda. Tobacco firms similarly market products containing fennel and cardamom.
Surrogate ads are essentially advertisements of goods that closely resembles the brand of products whose marketing and advertisement are banned. The government has told industry representatives that there should be a clear distinction between the brand extension and the restricted product or service being advertised, said a second official, requesting anonymity. Any ad also must not use colour, layout or presentations associated with a prohibited product, the official said.
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