Singapore’s competition watchdog issues new guide to curb misleading marketing claims

After a string of enforcement actions against misleading marketing claims, Singapore’s competition watchdog has rolled out a new guide to help make sure what consumers see is what they get.

The Competition and Consumer Commission of Singapore (CCS), previously known as CCCS, said on Oct 6 that its new guide on quality-related claims was designed to help businesses communicate clearly and accurately about the qualities, uses and benefits of their products and services.

The guide lays out five principles that all claims should meet.

First, they must be true and accurate. Businesses are obliged to verify the accuracy of their claims, and ensure the claims do not mislead consumers about why they need the product.

Second, the claims should be clear and easily understood. Technical jargon should be avoided. Overly broad and vague statements or imagery should not be used too.

Third, the claims should be meaningful. Businesses should focus on explaining material product attributes rather than insignificant features. Any comparisons they make with other products should be fair and substantiated.

Fourth, all claims should be accompanied by material information. Any assumptions, limits or conditions underlying the claim should be clearly stated.

Lastly, the claims should be backed by credible evidence that is valid, specific and up to date.

CCS chief executive Alvin Koh said: “Beyond helping businesses comply with Singapore’s fair trading laws, we hope that this guide will support businesses in making product claims with clarity and confidence while building customer trust.

“We want to ensure that environmental claims – and all quality-related claims – reflect genuine facts rather than empty promises.

“Greater transparency ultimately enables consumers to make informed decisions and promote competition on merit.”

The release of the guide follows a series of cases where businesses were found to have made false or misleading claims, from overstating the purity of filtered water to exaggerating the need for beauty treatments.

In 2024, CCS issued warnings to Sterra Tech and its directors for making misleading statements about the quality of Singapore’s tap water and the supposed benefits of its filtration systems, among other false claims.

In 2023, CCS commenced contempt of court proceedings against nail care salon chain Nail Palace, eventually leading to a jail sentence for the group’s managing director in 2024, the first meted out in a move to protect consumers against unfair practices.

Earlier in 2025, CCS also revealed findings of its probe into hair salon chain HairFun, which admitted to misleading elderly customers into buying expensive packages.

The new guide by CCS also built on findings from a 2023 study by NUS Business School, which found that 51 per cent of environmental claims on e-commerce sites were vague. That study highlighted the risks of “greenwashing”, where businesses exaggerate or misrepresent their environmental credentials to attract eco-conscious buyers.

Consumers have a role to play in keeping businesses accountable, CCS said. The watchdog urged shoppers to question product claims and not take them at face value.

Those who encounter false or misleading claims can seek help from the Consumers Association of Singapore or report questionable advertisements to the Advertising Standards Authority of Singapore.

Source: The Straits Times © SPH Media Limited. Permission required for reproduction.

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