28-05-2025
From skincare to smartphones: Ads by Apple, Mamaearth, L'Oreal under scrutiny
Can you trust your favourite brand and the claims it makes? Recent findings from India's Advertising Standards Council (ASCI) suggest you might want to take a closer look.
In its 2024–25 Annual Complaints Report, which reviewed over 9,500 advertisements, the self-regulatory body flagged dozens of misleading or non-compliant ads from some of India's biggest consumer brands—including Mamaearth, L'Oréal India, Apple India, and Hindustan Unilever—raising fresh questions about the integrity of digital advertising in India's booming consumer market.
Honasa Consumer Pvt. Ltd., the parent company of beauty brand Mamaearth, saw 29 of 31 ads flagged for violations. Fusion Cosmeceutics, which markets Dr Sheth's products, had all five of its ads pulled up, while Lotus Herbals also saw all five of its ads deemed non-compliant.
L'Oréal India and Apple India weren't far behind, with 24 of 26 and 16 of 19 ads requiring modification, respectively. Hindustan Unilever had 15 of 21 ads flagged.
ASCI processed 9,563 ads this year, up from 8,229 the year before. Of those reviewed in FY25, 98% required some form of modification—unchanged from last year's violation rate.
Instagram emerged as the largest source of problematic ads, reflecting the platform's popularity and looser regulatory controls compared to traditional media.
"Unlike Instagram or other social media platforms, we've noticed that television violations are really low now and so are print, as both of these are strongly regulated and they act as a deterrent so definitely having legal backstops or legal backing helps," said Manisha Kapoor, CEO and secretary general of ASCI, speaking to Mint.
Kapoor stressed the responsibility of beauty and healthcare companies to implement internal compliance mechanisms. 'Eventually, this is content that's being paid for and or authorised by them. Better internal controls and clearer guidance for influencers on compliance could go a long way," she said.
Mint reached out to nearly a dozen companies named in the report but did not receive comments by the time of publication.
Continuing a persistent trend, betting and real estate ads led the violation charts. Offshore gambling promotions surged 135% year-on-year, jumping from 1,311 flagged ads in FY24 to 3,081 this year.
Many betting operators are based outside India, complicating enforcement efforts, Kapoor said. The council has escalated prohibited advertisements, including those falsely claiming health benefits from drugs, as well as alcohol and tobacco ads, to government authorities for further action.
Among gaming platforms, Zupee, operated by Cashgrail Pvt. Ltd and known for games like Ludo, had all 12 ads reviewed found in violation. Offshore betting companies MostBet, Winmatch, and 4Rabet topped the list with thousands of ads flagged. Other major names such as Melbet, 1XBet, and Parimatch were repeatedly cited.
'Betting companies keep coming up with alternate websites…The government is becoming serious about acting on these issues, but since many companies are based outside India, enforcement through self-regulation has limits,' Kapoor said.
She also noted that Instagram remains the platform with the most violations, adding that 'even on LinkedIn, influencers now fall under the law — you can't have a material connection and not disclose it.'
ASCI also examined influencer marketing, reviewing 100 posts and finding over two-thirds failed to clearly disclose paid promotions.
Disclosures were often hidden in hashtags or omitted altogether, undermining transparency. While many influencers corrected flagged posts, some non-compliance cases were escalated to the Ministry of Information and Broadcasting.
Kapoor said ASCI has reduced its average turnaround time to address flagged ads to 16 days. Many advertisers now comply quickly, with a significant increase in uncontested claims, meaning ads are often taken down or corrected before formal escalation. The council noted that nearly all violations are detected through its own digital monitoring tools rather than public complaints.
