Real Estate Sector Leads in Advertising Norm Violations: Asci Report
The Advertising Standards Council of India (Asci) has identified the real estate sector as the most violative of advertising norms, with a significant number of ads sent to MahaRERA for review. The sector accounted for 34% of all ads investigated between
Real EstateAdvertising NormsAsciMahareraIllegal BettingReal Estate MaharashtraNov 27, 2024
Real Estate Norm ViolationsAsci shortlisted 1,027 real estate ads and sent them to the Maharashtra Real Estate Regulatory Authority (MahaRERA) for review. A staggering 99% of these ads were found to be in violation of the MahaRERA Act. MahaRERA penalized 628 real estate developers, imposing a total penalty of Rs 88.90 lakh. In 59% of the cases, advertisers promptly complied by either modifying their ads to include the required information or withdrawing them entirely.
Impact on the Real Estate MarketThe real estate sector has seen a surge in luxury housing, especially in the Delhi NCR region, which has emerged as a hotspot for high-end housing in the first half of 2024. U.S. foreign investment policies are also influencing Non-Resident Indian (NRI) investment patterns in Indian real estate. Local developers like Lodha and Godrej are defending their market share as realtors from other cities expand in Mumbai.
Illegal Betting and GamblingAsci also reviewed and sent 890 ads related to illegal betting and gambling to the Ministry of Information and Broadcasting for further action. Out of these, 831 Instagram posts featured betting tickers, directing viewers to offshore betting platforms. These tags and tickers are often found on fan and community pages, with some page owners reportedly earning between Rs 2,000 and Rs 3,000 daily by featuring these logos. Additionally, 50 websites and social media pages were identified as promoting illegal betting apps and platforms, and nine influencer posts were found endorsing illegal betting services.
Green Claims in AdvertisingAsci reviewed 100 advertisements for potential violations of the Asci Guidelines for green claims. The majority of the violative ads were from the Home Care sector, where products claimed to be eco-friendly or environment-friendly without adequate support data. Overall, 53% of the ads processed were not contested and were promptly withdrawn or modified.
ConclusionThe real estate sector's high rate of advertising norm violations highlights the need for stricter regulatory measures and better compliance. Asci’s efforts in identifying and addressing these violations are crucial in maintaining advertising standards and protecting consumers from misleading claims.
Frequently Asked Questions
What is Asci, and what role does it play in advertising regulation?
Asci, or the Advertising Standards Council of India, is a self-regulatory organization that monitors and sets standards for advertising in India. Its role includes investigating complaints, reviewing ads, and ensuring that advertisements comply with ethical and legal norms.
How many real estate ads were found to be in violation of the MahaRERA Act?
According to Asci, 99% of the 1,027 real estate ads shortlisted and sent to MahaRERA were found to be in violation of the MahaRERA Act.
What penalties were imposed on real estate developers for violating advertising norms?
MahaRERA penalized 628 real estate developers, imposing a total penalty of Rs 88.90 lakh for violations of the MahaRERA Act.
What percentage of violative ads were promptly withdrawn or modified?
53% of the ads that were found to be violative were not contested and were promptly withdrawn or modified.
How are illegal betting and gambling ads being addressed by Asci?
Asci reviewed and sent 890 ads related to illegal betting and gambling to the Ministry of Information and Broadcasting for further action. This includes 831 Instagram posts featuring betting tickers and 50 websites promoting illegal betting platforms.
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