Finance, restaurant, beauty sectors fuel rise in advertising complaints

The rise is partly due to a jump in complaints against the finance, restaurant and beauty sectors. ST PHOTO: MARK CHEONG

SINGAPORE - The "brownface" ad debacle of 2019 was among 359 complaints made to the Advertising Standards Authority of Singapore (Asas) last year. This is a 65 per cent increase over the 218 complaints received the year before.

The rise is partly due to a jump in complaints against the finance, restaurant and beauty sectors, Asas said on Tuesday (April 28), adding that its own public awareness outreach efforts could have also contributed to it.

As the watchdog for the advertising industry, Asas - which comprises advertisers, advertising agencies, government agencies, media owners and other supporting organisations - aims to promote ethical advertising.

Finance saw 31 complaints, the highest among all sectors, followed by restaurants, with 30, and the beauty industry with 24 complaints.

The tally for the finance sector - which excludes adverts from banks and insurance firms - includes remittance services and companies offering investment opportunities.

In one instance, questions were raised against a remittance business' murky claim of "no sneaky charges" after Swift fees were deducted from a customer's transaction.

Swift, or the Society for Worldwide Interbank Financial Telecommunications, is an international cooperative that lets both individuals and businesses receive electronic or card payments even if different banks are used by the customer or vendor.

The advertiser in question said that since the transaction, done in US dollars, was made in a country where it is not the local currency, the local banks would implement Swift fees which were "outside of the remittance business' control".

"The advertiser complied with Asas' advice to include a warning to consumers to check with recipients if their banks charged additional fees during the remittance process," said Asas chairman Ang Peng Hwa.

Some 14 complaints were received against the Nets e-payment advertisement, which drew a furore when it launched in late July 2019.

The advertisement by e-payment firm Nets, featuring Mediacorp celebrity Dennis Chew, was lambasted for featuring Mr Chew in "brownface", and was widely seen as racially insensitive. Asas said then that the ad did not contravene advertising guidelines, but noted it was in "poor taste".

The advertisement was taken down, and a warning by the Info-communications Media Development Authority issued to the parties involved.

"Advertisers were reminded to be mindful of racial sensitivities and not cause offence to ethnic groups when conducting their advertising campaigns," Asas said.

Meanwhile, the complaints against the restaurant sector involved matters such as price and discount discrepancies in advertisements, or a lack of clarity in the description of food and beverage items on menus and in promotional materials.

Asas noted that complaints also included advertisements through food delivery apps.

In other areas, the telecommunications sector got 22 complaints, with 21 against the food and beverage sector.

Overall, complaints in all business categories went up, including feedback on advertisements by mobile phone companies.

A total of 69 complaints - out of all the feedback investigated and resolved by end-2019 - were found to have breached advertising guidelines, Asas said, adding that it was a lower proportion compared with previous years and continues a downward trend.

Asas reminded advertisers "not to overstate the benefits or returns that consumers could expect from using their services, and to ensure that they are capable of substantiation".

It also "encourages consumers to continue to write in if they encounter advertisements that are not legal, decent, honest or truthful".

Join ST's WhatsApp Channel and get the latest news and must-reads.