Green claims under scrutiny by ASCI

  • Greenwashing, per the industry body, can erode consumer trust and hinder their ability to make informed decisions.

Varuni Khosla
Published18 Jan 2024, 07:05 AM IST
ASCI has observed that violations were coming from every aspect of the advertising ecosystem.
ASCI has observed that violations were coming from every aspect of the advertising ecosystem. (Mint)

New Delhi: Unsubstantiated ‘green’ or environmentally friendly claims and misleading marketing tactics of advertisers are likely to land them in trouble going forward. 

These claims have come under the scanner of the self-regulatory body, the Advertising Standards Council of India (ASCI) which has now decided to put out stringent guidelines on what constitutes environmentally friendly and is a violation.

Interestingly, the body has observed that violations were coming from every aspect of the advertising ecosystem. 

“We have been seeing that increasingly consumers are looking for products and services that are environmentally friendly. Oftentimes based on these claims, they take the decision to buy the product or pay a premium for it,” Manisha Kapoor, CEO and secretary general of the organisation told Mint. She said that ‘greenwashing’ was a type of misleading claim for which the body had been receiving complaints. “This is the first time we are putting out these guidelines because these claims have been rampant across categories, including personal care, food products, beverages, automobiles, digital devices, and the real estate industry,” she said.

Greenwashing, per the industry body, can erode consumer trust and hinder their ability to make informed decisions. Usually it will be when a product or service is touted to be greener than it actually is. That is, it may only have a green packaging but the product itself may not be good for the environment or if a company does not have any goals to become net zero by a certain year but advertises to be that way.

The guidelines include other issues like terms like "environment friendly" or "sustainable" must have robust data and credible accreditations to be substantiated. Once a claim is being made, it cannot come with a disclaimer or a QR code to dilute the claim's strength.

More importantly, claims should explicitly state whether they apply to the entire product, packaging, service, or just a specific portion.

Claims like "greener" must be backed by evidence and also must specify the basis of comparison, be it a previous version or competitor products. It added that environmental claims should consider the entire product or service lifecycle, not just specific aspects of the product.

Interestingly, the body has also laid emphasis on colour schemes and natural imagery related to brand identity. These will not be considered green claims unless directly linked to a specific claim.

If a company is making any carbon offset claims it must disclose if the offset occurs beyond two years and avoid implying reductions from legally mandated activities. Similarly for biodegradable claims, it must be qualified with specific details and supported by scientific evidence.

 

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First Published:18 Jan 2024, 07:05 AM IST
Business NewsNewsGreen claims under scrutiny by ASCI

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