ASCI Reports Sharp Rise in Misleading Digital Ads

The Advertising Standards Council of India (ASCI) has reported a significant surge in misleading advertising complaints during FY 2025–26, highlighting growing concerns around digital advertising, influencer promotions, and harmful online content. According to ASCI’s latest Annual Complaints Report, the organisation reviewed 11,581 cases during the year  marking a 21% increase compared to the previous financial year.

The report reveals that offshore betting emerged as the most violative sector with 6,933 cases, followed by real estate, personal care, food and beverages, and products violating the Drugs and Magic Remedies Act. ASCI also noted that 98% of the advertisements scrutinised required modification, indicating widespread non-compliance across categories.

Digital platforms continued to dominate the violations landscape, accounting for 97.3% of all advertisements reviewed. Among these, sponsored social media content formed the majority of violations, reflecting how rapidly influencer-led and digital-first advertising ecosystems are expanding without adequate compliance standards. Meta-owned platforms alone accounted for nearly 80% of digital violations identified by ASCI.

The report highlights how the scale and speed of digital advertising are increasingly being used to amplify misleading claims, harmful products, and restricted categories. Ads promoting harmful products or situations accounted for more than 75% of violations, while misleading claims made up 27.5% of cases reviewed.

One of the biggest concerns identified by ASCI was the growing offshore betting ecosystem. According to the report, these advertisements are being aggressively distributed through influencers, affiliate networks, messaging platforms, and social media groups, making monitoring and enforcement increasingly difficult. Between April and December 2025 alone, ASCI identified 854 influencer violations linked to offshore betting promotions.

Influencer marketing overall remains a major area of concern. Of the 1,609 influencer advertisements processed during the year, over 97% required modification, with more than half promoting categories where advertising is prohibited or legally restricted.

ASCI also raised concerns around exaggerated and pseudo-scientific claims in the beauty, personal care, and food sectors. Common violations included unrealistic promises around skin transformation, hair growth, instant results, weight loss, child development, fertility, and chronic disease management without proper scientific backing. Nutraceutical products emerged as one of the largest problematic subcategories due to increasingly blurred boundaries between food products and therapeutic claims.

Despite the rise in complaints, the report noted improvements in voluntary compliance levels, which increased from 83% to 86%. Traditional media formats like television and print demonstrated particularly strong compliance rates, with nearly 97% adherence.

Commenting on the findings, Sudhanshu Vats stated that the report reflects an advertising ecosystem increasingly driven by speed, competition, digital amplification, and influencer-led visibility. He emphasised the urgent need for stronger accountability, responsible influencer practices, and better substantiation standards in digital advertising.

Meanwhile, Manisha Kapoor highlighted the importance of proactive monitoring systems and collaborations with regulatory bodies to strengthen consumer protection in the digital era.

The findings underline a larger shift within India’s advertising landscape where digital growth is outpacing governance frameworks, making transparency, compliance, and responsible communication more critical than ever before.