Navreet Kamal Kaur, Master of Laws at University Institute of Legal Studies, Punjab University, Chandigarh, India
ABSTRACT
This article seeks to analyze how the recent surge in influencers and social media marketing has brought about a remarkable shift in the purchasing power and mindset of new-age customers, particularly Gen-Z and millennial consumers, who are more engaged on social media platforms. This surge has established influencer marketing as one of the most lucrative professions in India. This significant transformation is the result from the fact that when content creators or social media influencers and celebrities recommend a product or service, it can have a huge impact on the purchasing decisions of their followers, leading to increased sales for manufacturers and boosted brand recognition. This study goes deeper into the question of whether the advertising and social media industries—who are essentially being paid to promote the products—have a sufficient level of accountability and responsibility. It also examines the various legal frameworks established to impose obligations and assure accountability within these industries, for instance, The Advertising Standards Council of India in consonance with the Consumer Protection Act, 2019, has established many guidelines for the celebrities and endorsers to ensure that their claims in advertising do not deceive customers. After thorough consultation with organizations and digital stakeholders, ASCI also released standards for influencer marketing to promote products or services. In an effort to fortify the laws and regulations pertaining to misleading endorsements and advertisements the Central Consumer Protection Authority under the Department of Consumer Affairs have issued the “Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022. Furthermore, it takes into consideration the impact of endorsement standards promulgated by the Ministry of Consumer Affairs, Food, and Public Distribution through its Department of Consumer Affairs and referred to as “Endorsement Know-Hows."
Keywords: Social media influencers, Consumer purchasing power, Influencer marketing guidelines, Advertising accountability, Misleading Endorsements.
Comments