Oct
19
Social Media Time Bomb
Filed Under Marketing | Author: Gerald Smith |
With the updating of a three decade-old rule of ‘truth in advertising’ by the FTC, bloggers everywhere were given the highest honor by the Federal Trade Commission this past week; REGULATION.
“Given that social media has become such a significant player in the advertising area, we thought it was necessary to address social media as well,” said Richard Cleland, assistant director for the division of advertising practices at the FTC.
At the core of the updated ruling is that bloggers must disclose all monetary gifts and payments for promoting brands and products via their social media channels. Failure to do so can result in a fine of up to $ 11,000 USD.
The greatest outcome is that social media now moves one step closer to the credibility enjoyed by traditional media outlets (TV, Print, etc.). Bloggers and celebrity endorsements appear to be the two most singled-out voices for testimonials. The most visible change will result in re-crafting those late-night infomercials promising to shed pounds, clear up acne, and grow hair. You can no longer report on the best results measured without first disclosing the results that consumers can generally expect from the product or service. Ouch, the truth hurts.
Good for the consumer? Yes. Difficult rules for the advertiser to follow? Most definitely. Capable of making testimonials evermore scripted and difficult to understand? Absolutely.
Full disclosure: No products were provided during the writing of this blog-entry.
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http://blog.brand-yourself.com/2010/02/10/6-timesaving-tools-for-social-media/