Explore the intriguing world of surrogate advertising and how brands navigate tricky legal waters in India. The discussion reveals the creative strategies brands use to sidestep restrictions on promoting tobacco and alcohol. With looming bans, can these brands thrive without their clever workarounds? Tune in to discover the historical context and the potential future of marketing in a changing landscape.
Surrogate advertising allows brands to circumvent restrictions on sin goods by promoting legal products creatively, but this raises regulatory challenges.
Brands are diversifying into unrelated sectors to maintain visibility and revenue, demonstrating adaptability in response to tightening advertising regulations.
Deep dives
Surrogate Advertising: A Creative Tactic
Surrogate advertising has emerged as a clever workaround for brands restricted by prohibitions on direct advertising of sin goods like tobacco and alcohol. In India, companies have been promoting legal products under established brand names to circumvent advertising bans, a strategy that initially originated in Britain due to social pressures. Brands like Pan Masala often exploit the loophole of promoting non-existent products, while others bundle their legal items with tobacco products to boost sales. Regulations permit these practices as long as brands can demonstrate substantial sales for their extensions, yet many companies find ways to manipulate figures, showing the challenges faced by authorities in enforcing these advertising laws.
The Impact of Stricter Regulations and Diversification
As authorities consider tightening the rules on surrogate advertising, brands are already diversifying to sustain their revenue and visibility in a competitive market. Notably, companies like Kingfisher have successfully branched into unrelated sectors, like aviation, to enhance brand recognition despite limitations on direct advertising. This diversification strategy creates genuine revenue streams and makes it harder for regulators to target these brands effectively. Even newer market entrants like Bira have innovatively positioned themselves as lifestyle brands, showcasing that adaptability in operations and marketing can lead to continued success even amidst tightening regulations.
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Navigating Surrogate Advertising: Brands and the Law
In today’s episode for 7th August 2024, we talk about surrogate advertising and see if brands can thrive without it.
Also, we're hiring for multiple marketing roles at Ditto Insurance - from SEO content managers to digital marketing executives. If you crave an exhilarating journey that challenges you, rewards your drive, and gives you the platform to build exciting initiatives - check out our open roles on Ditto's careers page - https://joinditto.freshteam.com/jobs
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