The encyclopedia · Marketing & Brand · Marketing decision · 2025
One remark on India's Got Latent made brands pull their influencer deals
A crude joke on India's Got Latent set off a market-wide retreat — creators lost deals, contracts were rewritten, and influencer rates fell 5-7%.
Ranveer Allahbadia · India's influencer marketing industry · 2025-02
What happened
In February 2025, YouTuber Ranveer Allahbadia made a crude remark on the comedy show India's Got Latent. The clip went viral and police registered FIRs against him and other creators on the episode. The backlash hit the business he stood at the centre of: India's influencer marketing market, which had tripled to over 40 lakh creators by 2024.
The retreat was broad and immediate. Vlogger Shenaz Treasury said she was dropped from a brand deal — the brand told her it could not afford to work with celebrities or influencers after what happened with Allahbadia. Comedian Samay Raina lost an energy-drink collaboration he was on the verge of signing. Apoorva Mukhija was removed from the official ambassador list of the IIFA awards. Standup comics became uninsurable: agencies stopped suggesting them to brands at all.
The price showed up in rates. An advertising executive told Moneycontrol that fees fell by over 50% in some cases, with some influencers not even being considered. A macro influencer charging about Rs 2.5 lakh per post saw his rate drop 5-7%. Agencies answered with process: legal consultants, content-approval gates, and contracts with clauses for immediate remedies if things went south. The Indian Influencer Governing Council was launched to write rules for a market that had none.
Why it happened
- Brands had priced influencer reach but not conduct risk — one creator's joke made every creator un-bankable overnight, because none was insured against the person behind the account
- The retreat was indiscriminate: creators with no connection to the controversy lost deals too, because brands had no way to separate the risk from the medium
- Agencies answered with paperwork, not protection — legal reviews and approval gates were added after the money was already lost, aimed at the next controversy rather than this one
The lesson
An endorsement market that prices reach but not conduct collapses when one creator crashes — the whole industry pays for the one who misbehaved
Sources
- Moneycontrol — Ranveer Allahbadia controversy: Brands retreat, influencers scramble, agencies tightening grip on creators
- Moneycontrol — Ranveer Allahbadia controversy: Influencers' rates drop, deals fall through as impact persists
- Financial Express — Ranveer Allahbadia loses brand deals; earnings take a hit amid controversy
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