Raising Superstars fined ₹8 Lakh for misleading claims about child development

The details

• Raising Superstars, an edtech startup based in Mumbai, was fined ₹8 Lakh by the Central Consumer Protection Authority (CCPA) for misleading advertisements.
• The startup claimed in its ads that children could crawl at 3 months, walk at 8 months, and use 200+ vocabulary by 18 months under its 'Prodigy Framework Program'.
• The Advertising Standards Council of India (ASCI) filed a complaint against the company, prompting the CCPA to issue a show cause notice in 2022.
• During the investigation, the CCPA found that Raising Superstars had no objective data or feedback from parents to support its claims.
• The company added disclaimers to its website and terms and conditions, stating that results are not guaranteed and outcomes vary from child to child.
• The startup acquired 13,000 new users while the misleading ad was live.

The bigger picture

• The CCPA has been actively monitoring brands and penalizing companies for misleading advertisements in recent years.
• Other companies fined by the CCPA include FirstCry for 'drip pricing' and Rapido for two ad campaigns.

About the business

• Raising Superstars offers activity-based educational videos for children aged 0-6 years.
• The company's 'Prodigy Framework Program' is a product that claims to help children develop specific skills at certain ages.
• The startup operates in the edtech sector and targets parents looking for early childhood development resources.
• It acquired 13,000 new users during the period when its misleading ad was live.
• The company added disclaimers to its website and terms and conditions after the complaint was filed.

The deal

Type

policy

Investors

• BLinC Invest (investor) — BLinC Invest participated in Raising Superstars' pre-Series A round in 2023.

Founders

• Raghav Himatsingka, co-founder
• Shraddha Himatsingka, co-founder

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