Surrogate Advertising

1. Concept - Surrogate advertising involves the marketing and advertising of categories with
brands which are found in categories that are not permitted to advertise in a social context.
Merriam Webster defines a Surrogate as a 'substitute'. A surrogate advertisement is an
advertisement that replicates the brand image of one product to endorse another product of the
same brand.

2. Purpose- The surrogate or substitute could either be like the original product or could be a
different product overall but it is marketed under the brand name of the original product.
Surrogate advertisements are used to endorse and publicize products of brands when the
original product cannot be advertised on mass media. Examples of surrogate advertisements
are: Bagpiper Club Soda, Kingfisher Airlines, Royal Stag and Marlbros, Imperial Blue
Cassettes and CDs etc.

3. Advantages

 Profitable for domestic players

 It increases the sales of companies.
 The brand image of company is shifted from negative to positive side.
 It creates difficulty for new entrants.
 High revenues by government through taxes and duties.
 High revenue for television channels.
 It allows the promoters of banned products to get market exposure.

Disadvantages

 It is injurious for the society as people are confident to consume the harmful products.
 Ban of surrogate advertising eventually affects the sale of banned product.
  Due to a ban, not only sale of the products get unfavorably affected but also result in a
loss of revenue of TV channel and media.
 Billions of rupees are spent on advertising.

4. Ban/Regulations

CIGARETTES AND OTHER TOBACCO PRODUCTS (PROHIBITION OF

ADVERTISEMENT AND REGULATION OF TRADE AND COMMERCE,
PRODUCTION, SUPPLY AND DISTRIBUTION) ACT, 2003 ("COTPA"):

Section 5 of the Act prohibits the advertisement of "Tobacco products" by both direct and indirect
means. Sub-clause (i),(iii) and (iv) of Rule 2 of COPTA Rules, clearly sets out that the use of a
name or brand of Tobacco products for marketing, promoting or advertising other products would
constitute a form of "indirect advertisement". Accordingly, surrogate advertising carried out by
tobacco companies would constitute a form of indirect advertisement and would consequently be
prohibited under Section 5.

THE CABLE TELEVISION NETWORKS (REGULATION) ACT, 1995

Rule 7(2) (viii) of the Cable Television Rules clearly prohibits the direct or indirect promotion and
advertisement of "cigarettes, tobacco products, wine, alcohol, liquor or other intoxicants"; However the
proviso to this rule also runs as:

"Provided that a product that uses a brand name or logo, which is also used for cigarettes, tobacco
products, wine, alcohol, liquor, or other intoxicants, may be advertised on cable services subject to the
following conditions that-

 the story board or visual of the advertisement must depict only the product being advertised and
not the prohibited products in any form or manner;
 the advertisement must not make any direct or indirect reference to prohibited products;
 the advertisement must not contain any nuances or phrases promoting prohibited products;
 the advertisement must not use particular colors and layout or presentations associated with
prohibited products;
  the advertisement must not use situations typical for promotion of prohibited products when
advertising the other products"

THE ADVERTISING STANDARDS COUNCIL OF INDIA ("ASCI")

ASCI is a voluntary self-regulation council, registered as a non-profit company under the Companies Act.
It is formed to safeguard against the indiscriminate use of advertising for the promotion of products which
are regarded as hazardous to society or to individuals to a degree or of a type which is unacceptable to
society at large.

Section 6 of the ASCI code states:

'Advertisements for products whose advertising is prohibited or restricted by law or by this code must not
circumvent such restrictions by purporting to be advertisements for other products the advertising of
which is not prohibited or restricted by law or by this code. In judging whether or not any particular
advertisement is an indirect advertisement for product whose advertising is restricted or prohibited, due
attention shall be given to the following:

 Visual content of the advertisement must depict only the product being advertised and not the
prohibited or restricted product in any form or manner.
 The advertisement must not make any direct or indirect reference to the prohibited or restricted
products.
 The advertisement must not create any nuances or phrases promoting prohibited products.'

FRAMEWORK CONVENTION ON TOBACCO CONTROL (FCTC)

 India ratified the convention on 5th February, 2004 and the Convention came into force on 27th
Feb, 2005. The convention seeks to protect present and future generations from devastating
health, social, environmental and economic consequences of tobacco consumption and exposure
to tobacco smoke by providing a framework for tobacco control measures.
 Article 13 of the Convention is titled as Tobacco advertising, promotion and sponsorship. This
article recognizes the fact that a comprehensive ban is necessary and imperative. The framework
 gives the parties the freedom to introduce a comprehensive legislation banning all tobacco
advertising, promotion and sponsorship.

CASE STUDY ON MARKETING STRATEGIES OF MAGGI

EARLY STRATEGY AND LAUNCH

In India it was propelled in 1980s by Nestle gathering of organizations. Maggi has confronted obstacles in
its trip in India. The fundamental issue the brand confronted was the Mind. I.e. Indians used to be
preservationist about the nourishment tendencies so noodles confronted a ton of issue. At first settle
attempted to position the Noodles in the stage of accommodation focusing on the working ladies. Be that
as it may, the offers of Maggi were not getting not withstanding of substantial Media Advertising. To beat
this NIL led an exploration, which uncovered that it was youngsters who loved the essence of Maggi
noodles and who were the biggest shoppers of the item. So they invented Maggi-2 minute noodles with
cost of Rs. 2.10 with an end of 100% edge. NIL moved its concentration from working ladies and focused
on kids and their moms through its advertising. NIL's advancements situated the noodles as a 'comfort
item', for moms and as a 'fun' item for kids. The noodles' slogan, 'Quick to Cook Good to Eat'wasalso
with regards to this situating.

Youngsters

On the very edge of adulthood, young people get a kick out of the chance to underscore and convey what
needs be in a way that gets consideration. They have trial with their nourishment with inclination towards
inventive offerings which they convey forward throughout everyday life. They are likewise inclined
towards nibble things as they tend to feel hungry between customary suppers. They have a great deal of
say in regards to the nourishment that they need to expend with restricted parental control.

ADVERTISING STRATEGIES OF MAGGI TO RELAUCH IN INDIA

India has expanded its advertising of Maggi as it gets ready to exhibit after effects of the re-test directed
on tests of the moment noodles brand to the Bombay High Court. The court had on August 13 arrange
guided the organization to finish the tests in a month and a half. Settle has tied up with cell phone
applications to make a buzz around the year-end re-dispatch. Clients of applications like Haaptik, an
online index, are accepting mailers that the administration will caution them when Maggi lands in stores.
The organization has been transferring recordings for its Miss-You Maggi publicizing effort divulged a
month back. The commercials discuss how Maggi was a vital nibble whenever.

The Miss-You Maggi battle is upheld by a twitter hashtag 'wemissyoutoo' that had surfaced directly after
the Bombay High Court decision on August 14. The hashtag has gotten around five million impressions,
as indicated by Mind Shift Metrics, an advanced office that maps reach and patterns via web-based
networking media. Settle has additionally transferred another corporate promotion on YouTube that
features its adventure in India more than 100 years. While Maggi isn't a piece of this film, mark
specialists said the affirmations of wellbeing and quality would rub off on the brand also.

Misleading Advertising

1. Concept- Misleading advertisements can be defined as the advertisements that deceive/trick the
audience who sees it. Misleading advertising can also occur if the product is false but it is
shown right in the advertisement.

2. Areas governing Misleading Advertising

Misleading Advertising include:-

• Boasting

• communicating impossible characteristic of the product

• Use of professional approach for more effect

• Forged license

• Deceitful warranties

• Usage of filmic plot and disingenuous images

• Concession and awards.

3. Regulations for Misleading Advertising

1. Constitution Of India:-

Even though there is no special provision for regulating advertisement policy in the Constitution
of India, which should be adopted by press or media, the Supreme Court has given guidelines for
the same through a series of Judgments Most significant decisions in this context are is Tata Press
Ltd. v. Mahanagar Telephone Nigam Ltd.8The constitution of India explicitly protects freedom of
speech and expression in Article 19 (1) (a). The Supreme Court of India in Tata Press Ltd. v.
Mahanagar Telephone Nigam Ltd. held advertisements to be commercial free speech subject to
certain reasonable restrictions9. The limitations include restriction on manipulative advertising as
well. The Hon’ble apex court in the same judgment remarked “it is expected that by way of
advertisement or promotion of its services, the subscriber should not be misled”.

The Consumer Protection Act, 1986

The consumer protection act, 1986 under section 2 (1) (r) describes unfair trade practices, which
specifically under sub-sections 2 (1) (r) cl. vi and 2 (1) (r) cl. ix include the acts which can be
called as misleading advertisements and claims. Section 2 (1)(r) cl. vi describes any act(s) aimed
at “making a false or misleading representation concerning the need for, or the usefulness of, any
goods or services” as one of the restrictive trade practices. Further Section 2 (1)(r)ix prohibits any
act that “materially misleads the public concerning the price at which a product or like products
or goods or services, have been or are, ordinarily sold or provided, and, for this purpose, are
presentation as to price shall be deemed to refer to the price at which the product or goods or
services has or have been sold by sellers or provided by suppliers generally in the relevant market
unless it is clearly the price at which the product has been sold or services have been provided by
the person by whom or on whose behalf the representation is made.”. Section 2 (1) (r) x prohibits
any misleading claims and advertisements aimed at disparaging goods, services and trade of
another person.

The Trademarks act, 1999

A coherent depiction of the manipulative advertising can be found in the Trademarks act, 1999.
Section 2(1) Clause (I) of the Trademarks act, 1999 define ‘False Trade deceptions’. False and
misleading advertisements may also attract regulatory measures provided in the Trade Marks Act,
1999. As provided in Section 103 of the Act, any person who (1) falsifies any trademark or (2)
falsely applies to goods or services any trademark, or (3) applies any false trade description to
goods or services, shall be punishable with imprisonment and fine. Moreover, under Section 107
of that Act, making of false representation of a trademark as registered shall be an offence,
punishable with imprisonment and/or fine.

The Drugs and Magic Remedies (Objectionable Advertisements) Act, 1954

This act Specifies two kinds of offences: advertising of drugs and diseases specified in the act, or
rules and advertisements that are misleading about the nature, cure and any other material
particular of the drug so advertised12.

While Section 3 of the act prohibits advertisements of certain drugs for treatment of certain
diseases and disorders, Section 4 prohibits misleading advertisement relating to drugs. Section 4
which is exceptionally significant to the concept of misleading advertisements states “Subject to
the provisions of this Act, no person shall take any part in the publication of any advertisement
relating to a drug if the advertisement contains any matter which

Directly or indirectly gives a false impression regarding the true character of the drug;
or

Makes a false claim for the drug; or

Is otherwise false or misleading in any material particular”

The IRDA (Insurance Advertisements) Regulations, 2000

The IRDA (Insurance Advertisements) Regulations, 2000, seeks to regulate and control every
insurance advertisement issued by the insurer, intermediary or insurance agent. For this purpose,
every insurer, intermediary or insurance agent is required to establish and maintain a system of
control over the content, form and method of dissemination of all advertisements concerning its
policies and such advertisement should be filed with the Authority as soon as it is first issued. An
 advertisement issued by an insurer should not fall in the category of an unfair or misleading
advertisement. A precise definition of the ‘unfair or misleading advertisement’ is given under
section 2(d).

Patanjali Ayurved
Advertising Standards Council of India (ASCI) has by and by pulled up yoga master Ramdev-Patanjali
Ayurved for running "deceiving" promotion campaigns that slander contenders' items. The ASCI said
Patanjali Ayurved "unjustifiably criticizes" results of its opponents in the advertisements. The Consumer
Complaints Council (CCC) discovered Patanjali's claim for its Kachi Ghani Mustard Oil that opponent
producers are offering mustard oil "contaminated with oil made by dissolvable extraction process with
neurotoxin containing Hexane," was not substantiated. "Likewise, the claim is terribly deceptive by
distortion," the advertisement controller said in its rundown for April, 2016, in which it maintained 67
grumblings against a few organizations. Moreover, Patanjali additionally neglected to substantiate its
cases for Patanjali Fruit Juice, where it had named equal beverages as "costly squeezes containing less
mash." According to the controller, the promotion was joined by reference to the costs of other marked
juices and "by suggestion unjustifiably maligns the whole class/classification of organic product juices."
Similarly, it likewise neglected to substantiate its cases in the advertisement for steers encourage Patanjali
Dugdhamrut as "different organizations blend three to four for every penny urea and other non-eatable
things in their cows bolster." ASCI additionally held Patanjali Ayurved's promotions for toothpaste
Patanjali Dant Kanti as deceiving as it didn't substantiate cases of it being viable against pyorrhea,
swelling and seeping of gums, yellowing of teeth, affectability and awful breath and gives a characteristic
shield against germs. Whenever reached, an organization representative said the firm was investigating
points of interest and investigating legitimate alternatives. In May, ASCI had hit Patanjali Ayurved for
"false and deluding" asserts in its notices, including for its hair oil and washing powder brands, while
issuing the rundown for March.
Bharti Airtel Ltd

The Advertising Standards Council of India (ASCI) has sent a notice to Bharti Airtel Ltd,
India's biggest telecom administrations supplier, requesting that the firm pull back its 4G speed
challenge commercial on grounds that it is deluding. "The claim in the promotion, 'Airtel 4G is
the quickest system ever' and 'If your system is speedier, we will pay your portable bills
forever', is deceiving by oversight without fitting disclaimers in the print, TV, storing ads.
In May, ASCI issued notification to Idea Cellular Ltd and Vodafone India and in addition to
Airtel for their 3G commercials. On account of Idea, ASCI said that its notice of Idea Internet
Network was observed to delude by uncertainty as it persuaded that through Idea Internet
Network (IIN), an understudy can benefit of a similar level of training (financial aspects and
science) as is being given in a school. "There is no information to help that the subjects being
alluded to in the promotion are being made accessible for formal instruction," ASCI had said.
Thus, the case for Vodafone India Ltd's promotion asserting "Speediest 3G Network" was
likewise not substantiated satisfactorily and was deluding by uncertainty, ASCI said. On
account of Airtel's 3G advertisements, ASCI found that the cases of being "India's Best 3G
arrange" and that "Airtel gives 122% speedier download speeds than other 3G systems" were
not enough substantiated.