Can IIGC tame the wild west of influencer marketing?

In the midst of a growing controversy around digital content and public accountability, a few months back YouTube had taken down a video featuring YouTuber Ranveer Allahbadia, popularly known as BeerBiceps, following a takedown request from the National Human Rights Commission, according to media reports.

The video, part of stand-up comedian Samay Raina’s show India’s Got Latent, drew widespread criticism for its vulgar and offensive content.

With public sentiment boiling over, both the Information and Broadcasting Ministry and the IT Ministry had reportedly stepped in, planning strong action under the IT Rules to prevent similar content from slipping through in the future. Meanwhile, comedian Kunal Kamra also found himself in hot water with the Shiv Sena for his comments on Maharashtra Chief Minister Eknath Shinde.

A Timely Coincidence or a Much-Needed Move?

Amidst this climate of tightening scrutiny and political pressure, the timing of the Indian Influencer Governance Council’s (IIGC) launch seems, at best, a striking coincidence. But perhaps, given the current tone of the digital discourse, it’s exactly the moment the industry needed it most.

Addressing the timing of IIGC's launch, Sahil Chopra, Chairman, IIGC, says, "I’d been thinking about launching the council for the last 12 to 18 months. Other priorities delayed it. The launch is more a response to how fast content consumption is growing — especially regional and vernacular content. The influencer industry is evolving rapidly. While it’s a coincidence that the launch came around the time of some controversies involving top creators, there’s no direct correlation."

According to Chopra, the creator economy today rests on four major pillars: creators, consumers, brands, and platforms (primarily Meta and YouTube in India). Each of these groups brings its own set of challenges to the table. Influencers are increasingly uncertain about what content crosses the line, brands struggle to moderate the tone and message of influencer campaigns, and consumers feel overwhelmed by the sheer volume and ambiguity of the content they see.

"Just recently we had over 100 pieces of influencer content requested for takedown due to DeFluence violations," Chopra says. "Consumers are also overwhelmed by the volume of content and unsure what to trust. So IIGC isn’t tackling just one issue — we’re addressing a broad range of problems, one by one."

Is the IIGC Tilted Toward Brands?

One pressing concern is whether the IIGC — being an industry-led initiative — might inadvertently serve brand interests over creator concerns.

"Absolutely not skewed," Chopra clarifies. "The current code is for influencers, so it might look brand-tilted. But we’ll soon have codes of standards for brands and consumers too. Once that happens, it’ll be a level playing field. In fact, we’ll be launching some initiatives that are pro-influencer in the coming weeks — including an IP that’s focused entirely on supporting influencers."

The question of enforcement looms large: will IIGC have real teeth, or is it more symbolic?

"Right now, we’re requesting compliance and aiming for moderation," Chopra explains. "In the future, we’ll likely have systems to flag influencers so brands can choose not to work with them. Eventually, we may introduce a formal complaint forum. But as of now, we’re not enforcing anything authoritatively."

Another hot-button issue is payment delays and exploitative contracts - a recurring pain point for influencers.

"Yes, eventually," Chopra says, when asked if IIGC would address these concerns. "From our experience, though, these aren’t very widespread. There are occasional offenders, but many issues arise from miscommunication or misunderstanding. Both influencers and brands need to find common ground to make their partnerships more fruitful."

Self-Regulation vs Government Involvement

As regulatory interest around influencer marketing grows, many wonder if IIGC will work with existing frameworks like ASCI or push for government collaboration.

"We’re a self-regulated body, just like ASCI," Chopra says. "We’ve announced a partnership with MMA, and we’re open to more industry collaborations in the future. As for the government, we don’t currently plan to tie up with them — we prefer to remain a self-regulated organization."

ASCI, the Advertising Standards Council of India, laid the initial groundwork for influencer guidelines in 2021. Manisha Kapoor, Secretary General at ASCI, says, "ASCI’s Influencer Guidelines, introduced in 2021, were the first to establish a strong foundation for transparency and responsibility by requiring influencers to clearly disclose their material connections with brands and to be truthful about any claims they might make."

She adds that the launch of a body like IIGC is timely, considering the growing maturity of the space. "Influencer advertising is seeing greater advertising spends and is becoming mainstream. Therefore, it is timely that a platform is being created to address the opportunities and challenges related to influencer marketing."

While acknowledging IIGC’s broader focus, Kapoor also notes the importance of harmonization across codes. "While ASCI’s and CCPA’s code primarily deal with consumer protection, the IIGC code also has guidelines related to mutual issues between advertiser and influencers. As with traditional advertising, we are likely to see both horizontal and sectoral codes emerging in influencer advertising. ASCI already has specific codes for health and finance influencers as we believe that these are sectors which pose greater consumer vulnerability."

"With the massive scale of digital advertising and influencer marketing, it is important that industry codes are harmonised so that there is clarity. Codes take a lot of effort to be implemented and this needs building consensus and credibility amongst stakeholders, creation of a fair process, developing expertise in monitoring, investigation and the jury process," Kapoor adds.

Is IIGC Saying Anything New?

While the emergence of new bodies like IIGC signals progress, not everyone is convinced it’s reinventing the wheel. Rachit Sharma, Head of Brand Partnerships at Qoruz, says, "New bodies may bring fresh perspectives to the table, and it’s encouraging to see more groups take an interest in building a stronger creator economy. But in terms of actual impact, much of what’s being suggested isn't vastly different from what ASCI has already laid down, which is where most of the industry continues to anchor itself."

Read More:The rise of Influencer Cartels: Gaming the system or just playing smart?

"At Qoruz, our belief has always been that good influence is measurable. The Creator Authority Score is our way of helping brands go beyond the surface, it’s not about who’s the loudest, but who’s the most trusted, consistent, and contextually relevant."

Sharma adds, "Regulations, formal or otherwise, often act as signals that a space is reaching a tipping point. In that sense, yes, it’s a nudge for the ecosystem to evolve into something more transparent, accountable, and outcome-focused."

But he also cautions against a top-down approach. "But for that maturity to be meaningful, the shift can’t just be compliance-led. It needs to be ecosystem-led. Today, a lot of the narrative is still shaped from a brand or agency lens and while those perspectives are crucial, real progress comes when creators are equal stakeholders in the process, not just recipients of new rules."

Bridging the Knowledge Gap Among Small Creators

Ritesh Ujjwal, Co-Founder of Kofluence, highlights a challenge many overlook. It's the regulatory literacy gap among micro and nano influencers. "Regulatory bodies like ASCI have brought much-needed clarity to influencer marketing, but it’s also surfaced a significant challenge: ensuring consistent compliance across a diverse creator base, particularly among micro and nano influencers who may not fully grasp regulatory nuances. This gap in understanding can lead to non-compliance, risking penalties and causing brands to hesitate when partnering with smaller creators."

"Kofluence addresses this by going beyond reactive fixes and leveraging our AI platform to enforce standards proactively, ensuring creators meet regulatory expectations without stifling their creativity," Ujjwal says.

He also highlights the need for regulation in sectors like finance, where the risks are higher."In recent times, concerns about fake engagement, undisclosed promotions, and misleading content have become more prevalent across the influencer marketing landscape. For example, in the finance sector, we've seen the rise of finfluencers sharing unverified investment advice, highlighting the urgent need for regulatory measures to ensure transparency and protect consumers. This shift is driving the industry toward creating a safer, more accountable digital environment."

Read More:Is your favourite influencer real? The blurring lines of authenticity in the age of AI