Leading with purpose creates wins for consumers, community and country: Hina Nagarajan of Diageo India

'Largest employer in the world is inefficiency': CRED's Kunal Shah at Storyboard18 Global Pioneers Summit

Unheard tales of Maggi’s redemption: How poetry and nostalgia revived an iconic brand

Content creator Raj Shamani’s journey: Prioritizing substance over virality

MIB’s Ashwini Vaishnaw at Storyboard18 DNPA Conclave: Govt working for fair compensation for media houses

Nobody’s Perfect Retro Porsche Ad

In Conversation With Raja Rajamannar, Mastercard

Shahid Kapoor And Varun Ganjoo Speaks On PokerBaazi's Campaign

In conversation with IHCL’s Puneet Chhatwal & GroupM’s Kate Scott-Dawkins

Why are brands including e-sports in their sports marketing itinerary?

Storyboard18 x The English Nut: How to pronounce these 10 brand names

Experts' Take On Reinvention Of Ad Campaigns Through Technology

Experts Speak On Key Emerging Trends In Cannes Lions Entries

Leaders of the future have to be outstanding human beings: Nestle MD

In conversation with VMLY&R’s Hari Ramanathan

Quick Commerce platform Zepto recently ran a promotional campaign for Parimatch, an offshore betting and gambling company. Despite strict guidelines prohibiting the advertising of illegal gambling platforms, Zepto not only promoted Parimatch but also went as far as including flyers in customer orders, essentially delivering gambling ads straight to people’s homes.

Regulatory bodies, including the Ministry of Information and Broadcasting, the Advertising Standards Council of India (ASCI), and the Department of Consumer Affairs, have all put forth strict measures to curb both direct and indirect promotion of illegal betting firms. Yet, some companies continue to disregard these rules in pursuit of profit.

Roland Landers, CEO of the All India Gaming Federation (AIGF), expressed deep concern over the rise of such unethical advertising practices. "It’s alarming to see quick commerce platforms—originally built to enhance convenience—now jeopardizing consumer safety by running unchecked gambling ads," Landers stated.

"In their race for quick profits, they are legitimizing illegal gambling operators, misleading consumers, and undoing years of regulatory progress. These platforms must be held accountable for what is essentially digital door-to-door solicitation for unlawful gambling. Innovation should never come at the expense of public trust, let alone by enabling offshore entities that blatantly violate Indian laws."

Zepto declined to comment on the issue. 

Legal experts warn that Zepto could face serious consequences for its involvement in promoting such platforms.

Jay Sayta, a technology and gaming lawyer, explained "Zepto can be held liable under state gaming laws for promoting gambling apps, as well as under consumer protection laws for misleading advertisements. Additionally, under IT Act regulations, they could be forced to take down all gambling-related content. Given recent police action against influencers and others promoting illegal betting apps, authorities could very well take strong action against platforms like Zepto."

IT and Electronics Minister Ashwini Vaishnaw recently told Lok Sabha that the government has blocked 1,410 illegal gaming sites in 2024. Vaishnaw said the Centre has taken several initiatives against fraudulent gaming applications, however, state government has the power to make the legislative framework around such apps. He urged state governments to work together with the centre to combat the nexus of illegal gaming applications.

While legitimate gaming companies are currently engaged in legal battles regarding Tamil Nadu’s Online Gaming regulations, illegal gambling advertisements have begun to flood the market. Hoardings of Parimatch Sports, surrogate of illegal gambling platform Parimatch have sprung up at various prime locations in the state of Tamil Nadu. 

A major Real Money Gaming (RMG) operator voiced frustration over the situation, "The Tamil Nadu government should be cracking down on illegal betting and gambling firms advertising in the state. Instead, they’re restricting legitimate gaming companies. It’s bizarre—while the Madras High Court hears our case, illegal betting companies are taking advantage and gaining more users through ads."

In March 2024, the Central Consumer Protection Authority (CCPA) issued a strict advisory under the Consumer Protection Act, 2019, reinforcing the prohibition of advertising or endorsing unlawful activities. Betting and gambling remain illegal in most parts of India under the Public Gambling Act, 1867, yet many offshore platforms continue to market their services—sometimes disguised as gaming.

The advisory emphasized the significant financial and socio-economic risks, particularly for young consumers. The Ministry of Information and Broadcasting has repeatedly warned media platforms against airing such advertisements, while online ad intermediaries have been advised to steer clear of targeting Indian audiences with gambling promotions.

Further reinforcing this stance, the Guidelines for Prevention of Misleading Advertisements and Endorsements (2022) explicitly prohibit advertising products or services that are illegal under existing laws.

Quick Commerce or Quick cash? Zepto’s promotion of illegal betting firm Parimatch

A new report by Red Lab, powered by data from SYNC Pulse, sheds light on how leading brands are performing on YouTube in India’s top six metropolitan cities. SYNC Pulse, India’s only verified cross-media exposure analysis platform, offers an accurate and detailed understanding of audience engagement. The report reveals key insights into the competitive landscape, highlighting how digital advertising strategies are shaping brand visibility and recall.

Zepto, Blinkit, and Flipkart emerged as prominent players, leveraging YouTube as a core platform to connect with their target audiences. The analysis focuses on impressions, reach, and audience dynamics, providing a clear picture of their campaign strategies and performance.

Zepto Leads the Quick Commerce Space
Zepto outperformed Blinkit on all key metrics, cementing its position as the leader in the quick commerce category. According to the report, Zepto garnered 2.9 times more impressions than Blinkit, significantly enhancing its visibility. Zepto reached 1.7 times more people, ensuring its campaigns resonated with a broader audience. Zepto delivered campaigns 1.85 times more frequently, reinforcing strong brand recall among its viewers.
Zepto’s well-rounded campaigns appealed to a diverse demographic, achieving universal visibility across age groups and maintaining equal engagement among males and females. This inclusive approach has helped the brand strengthen its leadership in the market.

Flipkart Dominates E-commerce Advertising
Flipkart continued to dominate the e-commerce segment, driven by its high-profile festive campaigns such as the Big Billion Days and year-end sales. The platform maintained strong visibility across all demographics, with notable traction among older audiences.

Interestingly, Flipkart showed a slight skew towards female engagement, highlighting the success of its campaigns in this demographic. The brand could further expand its reach by creating targeted initiatives for male audiences, thereby achieving a more balanced appeal.

Blinkit’s Focused Approach Shows Potential
Despite its narrower targeting, Blinkit ranked among the top three brands in visibility, reflecting its focus on younger audiences and its core promise of quick deliveries. The report noted that Blinkit achieved near-equal engagement between males and females, demonstrating versatility in its campaign strategies.

However, its restricted audience base may be limiting critical metrics like impressions and recall. A broader, higher-frequency campaign approach could help Blinkit compete more effectively with rivals like Zepto.

Audience Dynamics Across Brands
The report also provided a detailed analysis of age and gender dynamics across leading brands:

Age Groups: Brands like Flipkart, Uber, and Country Delight demonstrated strong visibility among older audiences, while Blinkit and Myntra resonated more with younger demographics.
Gender Engagement: Zepto and Blinkit achieved balanced reach across genders, while Myntra led in female engagement. Swiggy Dineout and Country Delight displayed slight biases towards female and male audiences, respectively.
Myntra continued to excel with women-centric campaigns, reinforcing its dominance in the fashion space. However, expanding its portfolio to include more options for men’s fashion could help the brand achieve more balanced impressions.

<a href="https://cms.storyboard18.com/brand-marketing/zepto-relocates-hq-from-singapore-to-india-in-pre-ipo-move-54793.html">Also Read: Zepto relocates HQ from Singapore to India in pre-IPO move</a>

Key Insights and Opportunities
The report has highlighted that Zepto’s broad-based, high-frequency campaigns were instrumental in amplifying its visibility and engagement. By targeting a larger audience base and delivering consistent messaging, Zepto has set a benchmark for other brands to follow.

On the other hand, Blinkit’s precise but limited targeting approach may be constraining its potential reach. Expanding its audience focus while maintaining its strong brand message could enhance its visibility and recall.

For Flipkart, the challenge lies in achieving greater parity across genders. By tailoring campaigns to appeal equally to male and female audiences, the e-commerce giant could further strengthen its position.

<a href="https://www.storyboard18.com/brand-makers/blinkit-to-drive-growth-in-smaller-cities-says-ceo-albinder-dhindsa-54727.htm">Also Read: Blinkit to drive growth in smaller cities, says CEO Albinder Dhindsa</a>

Zepto outshines Blinkit in YouTube campaign reach, achieves 2.9x more impressions

Multiple retail trade associations and federations have written to the Indian government, expressing concerns that the growth of Q-commerce platforms is hurting their retail businesses. The Retailers Association of India (RAI) believes that instead of complaining about the rise of Q-commerce and e-commerce platforms, retailers should focus on upgrading themselves.

It's worth noting that several FMCG companies have reported strong double-digit growth in online sales through quick-commerce. According to a RedSeer report, the Q-commerce market is expected to reach $5.5 billion by 2025. The contribution of quick-commerce platforms to the online grocery market is projected to increase from 10% to 45% in the coming years. In 2023, the gross merchandise value (GMV) of quick commerce in India reached $2.3 billion, showing a growth of over 70% compared to the previous year.

On the sidelines of the Retail Technology Conclave, ReTechCon 2024, Kumar Rajagopalan, CEO of the Retailers Association of India (RAI), spoke to Storyboard18 about the ongoing Q-commerce vs. Retailers conflict, which has now reached the Competition Commission of India (CCI).

Addressing the allegations of unfair trade practices by Q-commerce and e-commerce platforms, Rajagopalan stated, “When it comes to unfair trade practices and allegations by retailers, we need to wait and see. The government has a mechanism to address such issues.”

Rajagopalan added, “As far as Q-commerce platforms are concerned, they are here to stay because customers are getting something they've always wanted. At RAI, we believe in creating a level playing field for all retailers, and the Indian government has already launched the Open Network for Digital Commerce (ONDC), which will likely incorporate hyper-local and fast-commerce capabilities.”

He went on to say, “We are waiting for ONDC to improve further, and RAI is actively working with them. I believe that when your trusted local retailer can provide the product you want, whether online or offline, at the desired speed, small retailers will naturally thrive.”

Rajagopalan emphasized, “Our goal is to help small retailers improve their operations. As the Retailers Association, we don’t believe in halting new or innovative businesses, but we aim to ensure everyone has a level playing field.”

Recently, All India Consumer Products Distributors Federation (AICPDF), which claims to represent about 800,000 entities, expressed concerns over the rapid expansion of quick commerce platforms. They allege that these platforms create an uneven playing field, negatively impacting small retailers.

The AICPDF submitted a complaint to the Ministry of Commerce and Industry, raising concerns about anti-competitive practices by quick commerce companies and calling for an investigation.

When asked about RAI's stance on this issue, Rajagopalan said, “The debate over whether retailers should be available both online and offline is now irrelevant. Customers are shopping both ways. Any retailer worth their salt must be available online and offline, which is why I support ONDC. You can’t do anything that goes against customer interests—it will backfire.”

He added, “The key is to enable everyone to do business for the customer. However, if someone is engaging in deep discounting or loss leadership practices that are anti-competitive, these should be addressed, and it’s the government’s responsibility to ensure such practices are stopped.”

“At RAI, we always emphasize a level playing field. No one should take undue advantage of the situation with unfair trade practices. At the same time, businesses should not expect things to be the same as they were a decade ago—COVID has changed all of us as consumers. Retailers must adopt new methods to upgrade themselves.”

The Department for Promotion of Industry and Internal Trade (DPIIT) has referred a complaint against quick commerce companies to the CCI for further investigation.

Moreover, Confederation of All India Traders (CAIT) has urged the government to suspend the 'festival sales' events of Amazon and Flipkart, as they will further harm domestic traders through the continued use of anti-competitive practices.

On September 26, Madras High Court lawyer K Narasimhan alleged in his complaint to the DPIIT that e-commerce platform Flipkart is offering discounts at product level for select sellers and creating a non-competitive environment. The letter was sent to the Department for Promotion of Industry and Internal Trade Secretary Amardeep Singh Bhalla.

‘Q-commerce is here to stay, retailers must upgrade themselves’, says CEO of Retailers Association of India

ZEPTO