Influencer marketing has become an increasingly popular way for brands to reach new audiences and promote their products or services. In India, the rise of influencer marketing has been accompanied by a number of new laws and regulations aimed at protecting consumers and ensuring that influencers disclose their relationships with brands.
One of the most significant new laws in this area is the Consumer Protection (E-Commerce) Rules, 2020. These rules, which were introduced by the Indian government, require all e-commerce platforms and influencers to disclose any sponsored content or paid promotions. This means that influencers must clearly label any posts that are sponsored or contain affiliate links, and must also disclose any gifts or other incentives they have received from brands.
Another important law that affects influencer marketing in India is the Advertising Standards Council of India (ASCI) Guidelines. These guidelines, which were introduced in 2018, set out clear rules for influencers and brands around the use of influencer marketing. They require that influencers disclose any sponsored content or paid promotions and that they use appropriate hashtags and labels to identify such content. They also set out guidelines for brands, such as the requirement that they should not use misleading or deceptive claims in their advertising.
Another important new law is the Personal Data Protection Bill, 2019, which was passed by the Indian government in December 2019. This law will provide a framework for the collection, storage, and use of personal data in India, and will have a significant impact on influencer marketing. Brands will need to be more transparent about how they collect and use data from influencers, and influencers will need to be more aware of the data they are sharing with brands.
In conclusion, there are several new laws and regulations in India that are aimed at protecting consumers and ensuring that influencer marketing is conducted in a transparent and ethical manner. Brands and influencers alike will need to be aware of these laws and ensure that they are in compliance with them. The laws will also help in building trust between consumers and brands and influencers, which will be beneficial for the growth of the industry in the long run.