Regulators in APAC are stepping up scrutiny of e-commerce product claims for food and nutraceutical products, a shift that presents both risks and opportunities for brands.
While exaggerated ads remain common on platforms like TikTok, experts warn that copying such tactics could backfire as oversight tightens.
“Cross-border e-commerce has been a growth channel for us, especially in Korea and China. We note that regulators are increasingly scrutinising product claims and ingredient safety in these markets,” said Liza Tan, Glanbia’s Regional Regulatory Affairs Lead for Asia.
She was speaking at a panel on the latest regulatory opportunities and challenges across the food, beverage, and nutraceutical sectors.
“Platforms like TikTok are popular sales channels but also rife with exaggerated or misleading claims from competitors. Sometimes, our stakeholders ask why we can’t make similar claims. As a brand owner, we have a responsibility to ensure all claims are scientifically backed, so we don’t mislead consumers.
“E-commerce used to be a regulatory grey zone, but I see authorities tightening oversight. Over time, requirements for e-commerce products may align more closely with those for domestic products,” Tan added.
Indeed, brands that are threatened by competition via e-commerce have led to greater awareness and push towards fairer regulatory measures that will prevent exploitation of loopholes.
John O’Doherty from Complementary Medicines Australia (CMA) noted that non-compliant advertising online undermines compliant firms. He urged stronger enforcement to protect consumer trust.
“We are particularly concerned about the amount of non-compliant advertising in the market. It’s already difficult for Australian companies to compete with international firms. Advertising is a key part of that.
“We continue to see non-compliant ads online, particularly on social media, making exaggerated claims like “lose dad bod in three days.” These kinds of promotions hurt compliant companies, which are the ones following regulations. We want the TGA to take stronger action against this,” said O’Doherty.
Clamping down on misleading claims will increase consumer confidence – a market gap that brands can capitalise on.
Consumer confidence is key
India’s flourishing e-commerce market offers major opportunities but also rising risks from exaggerated claims and promises. The government is therefore tightening rules around e-commerce and label claims to protect consumers.
With regulators cracking down on exaggerated marketing, brands that highlight evidence-based claims and leverage expert endorsements are more likely to succeed, said Sandeep Gupta, Founder and CEO of the Expert Nutraceutical Advocacy Council.
“India offers major opportunities right now. Consumers of health and nutraceutical products are seeking credibility and evidence-based claims, supported by experts like nutritionists and doctors. This gives international brands an advantage if they can emphasize clinical validation, product safety, and purity.
“Claims made without evidence, whether by small or large companies, are increasingly being challenged. Brands that focus on authenticity and scientific backing will have the best chance of success in India,” said Gupta.
In light of these challenges and opportunities, strategic planning is key.
Planning for a diverse market
Tan pointed out that differing definitions, categories, and claims requirements across markets mean that the same product often needs to be adapted multiple times.
This affects labelling, advertising, and time to market. Tan underscored the need for strategic planning around product positioning and regulatory compliance to navigate these challenges effectively.
“For the categories I handle – sports and active lifestyle nutrition – it’s definitely a challenge. I manage nine diverse markets across Asia, and the definitions and product categories vary widely.
“For the same product, we often need different labels, different categorisations, and different timelines to market. For example, a product sold in the U.S. with a specific structure-function claim might need that claim amended or removed entirely to be sold in a market like Korea, where it would fall under the health functional food category. Even advertising rules differ,” said Tan.
She added that it is important to always take note of regulatory requirements. This is especially crucial in markets like China, which is increasingly stringent with its food safety regulations.
Safety is the government’s top priority, said Chao Wang, Senior Registration & Regulatory Consultant at China’s Food Safety Compliance Service.
“Strict guidelines govern both ingredients and final products in functional foods. These include toxicity testing, probiotic safety evaluations, and checks on physical and chemical indicators. For categories like health foods and infant formula, companies must provide evidence that products are not only safe but also effective in delivering their claimed functions,” said Chao.
Ultimately, brands that prioritise compliance and consumer trust stand to gain the most from APAC’s fast-growing e-commerce boom in the long run.
