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Social Media Stars Agree To Declare When They Post Ads For Products (bbc.com)

"Britain's Competition and Markets Authority (CMA) has threatened prominent social media stars with heavy fines or prison time if they advertise commercial products on social media without making it clear that they are doing so in exchange for financial rewards," writes Slashdot reader dryriver. The BBC reports: Sixteen social media stars including singers Ellie Goulding and Rita Ora, models Rosie Huntington-Whiteley and Alexa Chung, and vlogger Zoella have agreed to change how they post online. They will have to clearly state if they have been paid or received any gifts or loans of products they endorse. It follows warnings from the Competition and Markets Authority that their posts could break consumer law. Online endorsements can boost brands but can also mislead, said the CMA. The CMA has not made a finding on whether the influencers named breached consumer law, but said all of them volunteered to change their practices following an investigation. However, if they fail to comply with the agreement reached with the CMA, they could be taken to court and face heavy fines or prison sentences of up to two years.

18 of 40 comments (clear)

  1. social media stars by YrWrstNtmr · · Score: 4, Insightful

    Sixteen social media stars including singers Ellie Goulding and Rita Ora, models Rosie Huntington-Whiteley and Alexa Chung, and vlogger Zoella

    Who?

    1. Re:social media stars by Actually,+I+do+RTFA · · Score: 1

      People who are of interest to a different demographic than you. I mean, I don't want people making fun of people who like niche cultural products - because I also like niche cultural products. And you probably do to. I mean, if you wanna go back to the days of being mocked in HS for liking Star Trek instead of watching sports, I don't wanna join you.

      Although the "Star Trek"/"sports" were used as examples. I think Star Trek has become pretty popular, and most people like some sports.

      --
      Your ad here. Ask me how!
    2. Re:social media stars by DNS-and-BIND · · Score: 1

      Grandpa, the world has moved on. If you've never heard of them, it's you not everyone else.

      --
      Shutting down free speech with violence isn't fighting fascism. It IS fascism!
    3. Re:social media stars by Opportunist · · Score: 1

      I just completed a quick poll among the people I know in the age range of 14 to 30. Out of 8 people asked, 8 answered with the counter question "who?"

      I admit, that 8 isn't that big a sample, but maybe you could point to what demographic is actually interested in these people so I know whether I should be worried.

      --
      We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
  2. Already Required In The US by WankerWeasel · · Score: 1

    The FTC has Endorsement and Influencer guidelines which require disclosure any time a product is received for free or as part of a paid endorsement. They haven't been strictly enforcing them but have begun to issue warnings. I'm sure in the future we'll see stricter enforcement and maybe even fines as part of their requirements.

  3. So, basically they'll tag everything as 'ad' now? by Mr.+Dollar+Ton · · Score: 1

    Because I've never seen anything posted by a "media star" that is not a product ad. Even their titpics are advertising - for silicon gel bags or niptuck services.

  4. Why is this restricted to "social media"? by mnemotronic · · Score: 1

    How about regular media? TV, films, printed? I propose that all the monitoring and data gathering technology in newer televisions, combined with the data harvesting practices of content distribution networks like Comcast, Youtube or Netflix makes them "social"; just not as interactive as other "social media".

    --
    The Russians have won. They have made the world a cesspool of distrust, greed, fear and hate.
    1. Re:Why is this restricted to "social media"? by jonwil · · Score: 1

      Its obvious that a TV commercial is exactly that, an ad for the product being advertised.

      But if Ford is giving Wheel of Fortune a free/cheap/discounted/whatever car to give away on the show in return for promotion of the car by Wheel of Fortune, Wheel should absolutely be required to tell people that they have received that stuff from Ford.

      Or if Nike is paying a studio to have a character in a sitcom wear Nike shoes (and to show those Nike shoes off on camera) the studio should be required to tell the audience that Nike has paid for those shoes to be in there.

      Just like if someone running a PC-related YouTube channel is required to tell someone that the Gigabyte motherboard they are using in their video was donated by Gigabyte. Or that the promotion of Squarespace on the channel is in fact paid promotion.

    2. Re:Why is this restricted to "social media"? by tlhIngan · · Score: 1

      But if Ford is giving Wheel of Fortune a free/cheap/discounted/whatever car to give away on the show in return for promotion of the car by Wheel of Fortune, Wheel should absolutely be required to tell people that they have received that stuff from Ford.

      Or if Nike is paying a studio to have a character in a sitcom wear Nike shoes (and to show those Nike shoes off on camera) the studio should be required to tell the audience that Nike has paid for those shoes to be in there.

      Just like if someone running a PC-related YouTube channel is required to tell someone that the Gigabyte motherboard they are using in their video was donated by Gigabyte. Or that the promotion of Squarespace on the channel is in fact paid promotion.

      The TV shows already do - and usually pretty damn early in the credits. Usually it goes under the heading "Promotional consideration given by" followed by a list of companies who have given money or product to the show.

      Sometimes they even put it up on screen of "Courtesy of". Though you can pretty much assume all prizing given out was either donated/given/provided cheaply to the show.

      Most YouTube personalities already identify their sponsors - Brilliant.org, Squarespace, TunnelBear and NordVPN, etc.

    3. Re:Why is this restricted to "social media"? by Opportunist · · Score: 1

      I don't know about your country, in mine you're informed before and after the show that it is sponsored by something and/or that product placement happens.

      --
      We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
    4. Re:Why is this restricted to "social media"? by coofercat · · Score: 1

      First up, the vloggers and whatnot don't get on regular media, so there's no need to worry about them there. They're a concern on youtube and whatnot because it's ostensibly their account, rather than (say) l'oreal or whomever. As a 'reasonable person', I would imagine that what they say on their own channel/account is their views. Of course, if they're being paid to have views, then fairly reasonably, they should say so.

      Secondly, we generally have carefully marked adverts on TV and in print. That is, on TV, before the ads start there's a little title page, and then at the end of the ads the same. That tells you you're about to see ads. The 'informercial' type of ads (or the ones that look a bit like a TV show or whatever) typically have to say "advertisement" on the screen while they're playing too. Likewise in print, if a "reasonable person" could be fooled into thinking an ad was something more than that, then it too must say "advertisement" on it, sufficiently prominently to avoid any such confusion. The regular media is already pretty heavily regulated and managed. Anyone messing up there gets some pretty hefty issues to deal with afterwards, and as yet, we don't have "a problem" with product placement there.

  5. Advertising by ledow · · Score: 2, Insightful

    Alternate headline:

    "Social Media Stars Agree To Abide By The Law That's Been In Place For Years Or Else Go To Jail"

    They didn't "agree" to anything... and they shouldn't need to.
      They got told to comply with long-established advertising laws in the UK, or else.

    Unlike other countries, you can't just slip in a sponsored product into a tweet, movie, TV programme, etc. without either clearly stating that or it literally being incidental (e.g. a live program interviewing someone who says "Well, I bought a Tesla the other day..." as part of an anecdote, etc.).

    You know what ruins some Hollywood movies? Blatant product placement. Literally stopping the movie and introducing bullshit adverts for no reason - and often for products not even available in some countries. Not just "Oh, they're drinking a Coke" or "He used an Apple Mac to hack into the mainframe" but "Hey, look at my new Nike's" (e.g. iRobot).

    If you're commercially benefiting, you need to make that clear. It's pretty much that simple.

    The bigger question is: Why do people follow such people (who just use them to monetise their "fame")? Why would anyone buy something because a celebrity they like "endorsed" it?

    Someone was watching one of those trashy YouTube channels the other day - the ones where it's just a couple filming themselves and talking about the most inane and facile trivia while they do, interrupting their own sentence to "look at the little bird", etc. as they walk through town and all that nonsense. They literally had a merchandising channel. They had T-Shirts and all sorts and pushed it in the middle of their "vlogs".

    Merchandising. For someone who films the most boring parts of their day (literally - they aren't funny, they aren't famous, they don't do anything, they just film themselves wandering around their OWN house!) and streams it to the Internet for others to sit and watch. If ever there was a sign that God doesn't exist, it's that we've got trash like that and not incurred an Apocalypse.

    1. Re:Advertising by JaredOfEuropa · · Score: 1

      they aren't funny, they aren't famous, they don't do anything, they just film themselves wandering around their OWN house

      Sounds like most sitcoms, but some people find that stuff entertaining too. And maybe it is, sometimes. For a long time I wondered about people streaming themselves playing games and thought: "Why on earth would anyone watch that", but then I found out that some actually are genuinely entertaining, and funny in the way they play and narrate what they do. So if one of the peeps I watch playing the games that I like, states that this or that game is awesome, I might give his opinion a little bit more weight than a paid reviewer or some random punter in the street.

      And maybe it works like that for those social media celebrities as well. If kids watch them because for whatever reason they enjoy watching what they wear, eat, buy, or how they behave in public, and if their friends are watching the same thing, then it's rather likely that they will try and emulate them to some degree. It's probably more effective advertisement than some sports bloke wearing a brand T-shirt: the kids might admire him but they do so for his athletic achievements, not for his lifestyle (although that particular line is rather blurred these days).

      --
      If construction was anything like programming, an incorrectly fitted lock would bring down the entire building...
  6. Finacial rewards by nospam007 · · Score: 1

    Phew, I dodged a bullet.
    I only get cars, flights, cosmetics, clothes and restaurant vouchers, so I'll be OK.

    1. Re:Finacial rewards by Opportunist · · Score: 1

      I'd first try to figure out how the UK define "financial" compensation. It might well stretch into anything that you could at least in theory sell and make money of.

      --
      We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
  7. Re:Social Media Stars??? by Opportunist · · Score: 1

    Nah, the first spots are still well covered by "military intelligence" and "Microsoft Works".

    --
    We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
  8. Re:WTF, Man! by Opportunist · · Score: 1

    You DO know that this is already the case in the US, yes?

    Besides, a country where every rear view mirror invariably reminds the driver that objects in it are closer than they are and has a military that deems it necessary to print on their ordnance which end of the weapon should be pointed towards the enemy should maybe not complain about making the world idiot proof...

    Still not enough? How about this label?

    (linking to Amazon so nobody could claim it's just a hoax someone made up. Given the label the "made in the USA" information is kinda redundant...)

    --
    We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
  9. Re:isn't "compelled speech about motivation" wrong by Opportunist · · Score: 1

    If you're trying to influence people into following your example, yes.

    --
    We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.