Misleading AI ad complaints on the rise, says ASAS

The Advertising Standards Authority of Singapore (ASAS) recorded a total of 379 pieces of advertisement feedback in 2025, including seven related to generative artificial intelligence (Gen AI). This is more than double the combined total received in 2023 and 2024.

The feedback received by ASAS spanned multiple industries, with the five sectors most complained about in 2025 being telecommunications, restaurants, food and beverage, health, and beauty. Telecommunications received 38 pieces of feedback, followed by restaurants at 35, while food and beverage, health, and beauty rounded out the top five.

In a statement, ASAS said the increase reflects the growing use of AI in advertising and highlighted the need for marketers and industry bodies to develop sector-appropriate guidance to protect consumers and stakeholders. “While the guidelines of the Singapore Code of Advertising Practice (SCAP) apply to advertisements across all media platforms and industries, AI creates new opportunities and applications for marketers in each sector,” the authority said.

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“Indiscriminate and vague disclosures of AI usage are not useful, and they hinder rather than aid consumer discernment. We recommend a risk-based approach that focuses labelling requirements and/or usage restrictions on applications where Gen AI usage has high potential to mislead," it added. 

The authority emphasised that AI is not inherently objectionable in advertising, but asserts that responsible use for honest, decent and legal ethical advertising is still paramount.

ASAS’s guidance highlights that advertisers remain responsible for ensuring their content complies with SCAP and national legislation. “False and misleading advertisement content is unacceptable, regardless of the tools used or the disclosures added,” the authority said. In practice, ASAS will first approach advertisers for explanation and substantiation, then assess the advertisement against the SCAP, with enforcement action taken if content is found to be misleading.

The regulator pointed to real examples, such as a telemedicine company that used Gen AI to create a video featuring a first-person testimonial. The advertisement gave the impression it came from a real individual, prompting complaints. The advertiser subsequently ceased the ad and conducted an internal review to prevent recurrence.

ASAS has also called on industry bodies to collaborate on ethical guidance specific to their sectors, ensuring consumers are properly informed about AI usage in advertising. Stakeholders can seek ASAS’s input on proposed guidelines, while marketers can use its copy advice service to confirm compliance with SCAP.

Wider oversight on AI in marketing

The government has been actively monitoring AI use in advertising. Earlier in February this year, deputy prime minister Gan Kim Yong told Parliament that agencies including the Consumers Association of Singapore (CASE) and the Competition and Consumer Commission of Singapore (CCS) are collaborating with digital platforms, such as eCommerce and property listing sites, to detect and address AI-generated content that misrepresents products and services.

Gan also highlighted that the Council for Estate Agencies’ (CEA) code of ethics and professional client care sets minimum standards for real estate agents. Marketing materials must accurately reflect properties, and agents are required to provide clear disclaimers when AI is used to alter or enhance images or videos. Non-compliance can result in enforcement action, and the CEA is reviewing its regulations to provide further guidance on AI use in ads.

Meanwhile, in a statement to MARKETING-INTERACTIVE at the time, CCS said it “continuously monitors market practices and emerging trends, including overseas developments.” In 2025, the commission took action against Quantum Globe, which used ChatGPT to generate fake reviews on Sgcarmart.com.

CCS noted that while generative AI can boost productivity and creativity, businesses remain responsible for ensuring their content does not deceive or mislead consumers. The authority has also collaborated with the Infocomm Media Development Authority to develop the AI Markets (AIM) Toolkit, enabling developers to self-assess compliance with fair trading rules.

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