New guidelines for social media influencers soon, offenders to face Rs 50 lakh penalty

Mangalore Today News Network

New Delhi, Dec 21, 2022: With an aim to bring transparency in social media advertising, the Consumer Affairs Ministry is likely to release a set of guidelines that social media influencers have to follow if they are endorsing or promoting any product. The guidelines are likely to be issued on December 24, non-compliance to which will attract a penalty up to Rs 50 lakh.

 

Besides celebrities who often endorse products on different platforms such as television and newspapers, a new trend that has come to the fore is social media influencers, with millions of followers on their Facebook or Instagram pages, engaging in brand promotion in lieu of money or expensive gifts.

This was being seen as an unhealthy practice and against competitive advertising. Subsequently, certain products promoted by the social media influencers were also found to be sub-standard, contrary to how they were promoted by them.

With millions of followers, any social media influencer endorsing any product may have an impact on the market and increase the demand value of the said product. Social media influencers often make money from the firms without telling their followers that the endorsement is actually not free.

To stop such practices, the Consumer Affairs ministry is likely to issue detailed guidelines that will ensure transparency in social media advertising by independent social media influencers.

As per the guidelines, all social media influencers will have to declare before endorsing any product about the expensive gifts or cash they receive from the company and even disclose their affiliation with any brand they are endorsing. The influencers will also have to declare everything related to the product and the endorsement. Violation of the products will attract a fine up to Rs 50 lakh.

The move will also help consumers understand that a social media influencer endorsing a product is not doing so voluntarily but is getting paid in cash or gifts for promoting the product.

Courtesy: India Today