Gaming emerges as top violative sector as digital scrutiny intensifies: ASCI

The Advertising Standards Council of India (ASCI) on Wednesday released its annual complaints report for the year 2022-23, which analysed 7,928 advertisements across various media platforms including print, digital, and television, revealed an increase in non-compliant digital ads, raising concerns about consumer safety online.

As per the report, the real-money gaming industry surpassed the education sector to emerge as the most violative sector, moving from fifth to first place.

“An astounding number (92 percent) of gaming advertisements reviewed by ASCI for FY 2022–23 did not adhere to the guidelines for real money gaming and failed to inform consumers about the risks of financial loss and addiction. The sector also gained the dubious distinction of being the least complaint, with only 50 percent of ads being modified voluntarily after they have been called out,” read a statement from the regulatory body.

It is worth noting that ASCI issued guidelines for the real-money gaming sector in December 2020, and the Ministry of Information and Broadcasting subsequently released an advisory urging compliance.

While television and print advertisements demonstrated high compliance rates of 94 percent, the overall compliance dropped to 81 percent due to the prevalence of non-compliant digital ads. Astonishingly, digital ads accounted for 75 percent of the reviewed ads and emerged as the leading violator, indicating a pressing need for improved standards in the online advertising ecosystem.

The ASCI report also shed light on the escalating issue of misleading ads featuring celebrities. The council processed 503 such ads, an 803 percent increase compared to the previous year's 55 cases. Shockingly, in 97 percent of these ads, celebrities failed to provide evidence of due diligence as required by the Consumer Protection Act.

In addition, influencer violations accounted for 26 percent of the complaints processed, with 2,039 cases reported. Violations were prevalent across categories such as personal care, food and beverage, and fashion and lifestyle.

Commenting on the report, NS Rajan, Chairman of ASCI, acknowledged the challenges posed by the digital advertising landscape and highlighted ASCI's commitment to staying abreast of the evolving environment through the use of AI tools and a robust complaint management system. He emphasised the importance of updating ASCI's codes to address emerging consumer concerns and reaffirmed the organisation's role as the conscience keeper of the Indian advertising industry.

Manisha Kapoor, CEO and Secretary General of ASCI, underscored the dominant presence of violative digital ads and stressed the need for advertisers, content creators, and platforms to collaborate urgently to protect consumer interests. She also expressed concern about the significant increase in violative gaming ads, calling for greater industry attention to this pressing issue.