Real Estate Advertising Leads Misleading Ad Violations as ASCI Tightens Scrutiny
The Advertising Standards Council of India (ASCI) flagged over 3000 misleading ads in the first half of 2024-25, with the real estate sector accounting for 34% of the violations.
Real EstateMisleading AdsAsciMahareraAdvertising StandardsReal EstateDec 04, 2024
From April to September 2024, ASCI reviewed 4,016 complaints and evaluated 3,031 advertisements. An overwhelming 98% of these ads required revisions to meet the necessary standards. The council primarily focused on digital platforms, with 2,830 ads—93% of the total reviewed—undergoing detailed scrutiny. Out of the ads analyzed, 2,087 were found to be in violation of regulations. Of these, 1,027 were forwarded to the Maharashtra Real Estate Regulatory Authority (MahaRERA) in line with a partnership between ASCI and MahaRERA.
In the remaining 944 cases that were thoroughly investigated, 53% of advertisers chose not to contest the findings after receiving ASCI's formal notice. ASCI also examined 2,115 real estate advertisements, with 1,027 of them being reviewed for compliance with the Maharashtra RERA Act. Earlier reports show that MahaRERA imposed fines amounting to INR 88.9 lakhs on 628 developers following the identification of misleading advertisements by ASCI. This action reflects the growing effort to hold developers accountable for deceptive marketing practices.
Additionally, with an increasing trend of advertisers opting for amicable settlements rather than engaging in disputes, ASCI has significantly streamlined its operations. As a result, the average time taken to respond to complaints has been reduced from 30 days to just 18 days, showcasing the effectiveness of this cooperative approach in addressing issues more swiftly and efficiently.
In conclusion, the ASCI's report underscores the increasing challenge of misleading advertising, especially in the real estate and offshore betting sectors. The proactive steps taken by ASCI, such as stronger scrutiny of digital platforms and cooperation with regulatory bodies like MahaRERA, have helped streamline the process of addressing violations. The reduction in response times and the rise in voluntary resolutions signal a positive shift in the industry. With more advertisers opting to settle disputes, ASCI's efforts to enforce ethical advertising practices are paving the way for a more transparent and accountable market.
Frequently Asked Questions
What is ASCI?
ASCI stands for the Advertising Standards Council of India. It is a self-regulatory organization that aims to promote responsible advertising and maintain ethical standards in advertising practices across various industries.
How many misleading ads were flagged by ASCI in H1 2024-25?
ASCI flagged over 3,000 misleading ads in the first half of the 2024-25 fiscal year.
What percentage of the violations were from the real estate sector?
The real estate sector accounted for 34% of the violations.
What is MahaRERA and how does it work with ASCI?
MahaRERA stands for the Maharashtra Real Estate Regulatory Authority. It works in partnership with ASCI to review and act on real estate advertisements that are found to be in violation of regulations, imposing fines and ensuring compliance with the Maharashtra RERA Act.
How has the average time taken to respond to complaints been reduced by ASCI?
The average time taken to respond to complaints has been reduced from 30 days to just 18 days, thanks to the proactive and cooperative approach taken by ASCI.
Related News Articles
Hyundai Motor's India Unit Files for Country's Largest IPO, Boosting Share Price
Hyundai Motor's India unit files for IPO, sharing surge 6.34% to reach 285,000 won, hitting a new 52-week high.
Macrotech Developers Sees 20% Rise in Q1 Sales to Rs 4,030 Crore Driven by Strong Housing Demand
Macrotech Developers has reported a 20% increase in Q1 sales to Rs 4,030 crore, driven by robust housing demand, with a strong pipeline of new launches planned for the fiscal year.
Bajaj Housing Finance IPO Listing LIVE: Market Capitalization Doubles on Blockbuster Debut
Bajaj Housing Finance shares open at Rs 150 per share with 114% premium over IPO price, market capitalization doubles on listing day
2024 Market Review: Real Estate and Healthcare Soar, FMCG Struggles. What’s Next for 2025?
These sectors showed robust growth, driven by increased demand in real estate and significant advancements in healthcare. The BSE Consumer Goods Index, however, faced challenges. What can we expect in 2025?
India's Luxury Real Estate Market Witnesses 37.8% Sales Surge in 2024
The luxury housing segment, including units priced at INR 4 crore and above, experienced a 37.8% increase in sales year-on-year during the first nine months of 2024, driven by robust economic conditions and consumer confidence.
India’s Economic Rise to Shape Global South’s Growth in the Coming Decades
India, under the leadership of bold reforms and strategic investments, is set to play a crucial role in the economic growth of the Global South. With a young and dynamic population, India is on track to become a leading global economy.