The Federal Trade Commission (FTC) last month announced the agenda for its workshop “Putting Disclosures to the Test,” (Workshop) planned to take place on September 15 in Washington, DC. The Workshop will focus on testing and evaluation of disclosures in both digital and traditional media.
Last summer, we noted that disclosures, especially for endorsements and testimonials, were coming onto the FTC’s radar and would likely see heightened enforcement. Since then, the FTC has increased its scrutiny of advertising and privacy practices where it believes marketers are not adequately disclosing key details to consumers. For example, Warner Brothers Home Entertainment in July settled the FTC’s charges that it instructed paid social media influencers of the video game … Continue Reading
I had the great pleasure of moderating a panel at AdWeek Europe on the issue of trust earlier this year. The session was titled “Trust: Digital’s New Currency,” and there was broad agreement on the panel—which included among others the CEO of Clear Channel UK, the European Editor of Newsweek, and Phil Stokes, partner, Entertainment & Media Industry, PwC EMEA—that in today’s environment, trust is a valuable currency indeed.
It always has been. Before consumers act on an advertising or marketing message, after all, they need to trust it. In the digital age, however, it seems that consumer trust is under threat from more sources than ever before. If consumers aren’t knowledgeable and wary of digital scams, they can soon … Continue Reading
Today’s agencies are expanding more quickly and aggressively into new jurisdictions than ever before. That isn’t a project to take lightly.
Advances in technology and the globalization of business have facilitated the process of international expansion to some extent, but the fact is that great regional differences remain: in business cultures, regulatory environments, and more.
All of which makes the question of when to pull the trigger on taking an agency abroad a difficult one—challenging enough, in fact, to make an executive wish they had a crystal ball.
How I See It
Business is global today, and for many firms it is imperative to serve clients from many global locations. But expanding for expansion’s sake alone is not a path… Continue Reading
Developing — and keeping — trust has never been more important for advertisers. With consumers being bombarded by a dizzying variety of messages and choices, trustworthiness has emerged as an important differentiator between brands.
In other words, as Richard Eyre, CBE, chairman of the Internet Advertising Bureau UK (IAB UK) would put it, trust is now a key disruptor for advertising. At the 2014 IAB Engage conference, Eyre told advertisers that trust is their most important tool for relating to customers. The main job for today’s brands and agencies, he said, is to secure trust — and hold onto it.
As for what kinds of advertising consumers trust, online seems to be winning out over more traditional formats, though … Continue Reading
20,679 physicians say Lucky Strike [cigarettes] are less irritating. It’s hard to imagine that a claim from a 1930s Lucky Strike ad survived today’s regulatory and class-action environment. Someone would take a shot at the ad: a competitor brand, the Federal Trade Commission (FTC), or consumers.
But maybe we haven’t evolved all that much. Here is another number: advertising claim substantiation fails nearly three out of four times. This one is true. Looking at 68 consumer perception surveys deployed by brands and their challengers from 2006 to 2011, 71% were deemed unreliable by the National Advertising Division (NAD) of the Council of Better Business Bureaus, which offers alternative dispute resolution for advertisers.
The FTC advertising standard, which dates back to … Continue Reading
Digital media has opened up exciting new worlds for the advertising industry. It has given advertisers the ability to reach audiences in new places, on new devices, in more engaging ways, and in more targeted fashion than ever before. No doubt about it: these are all good things.
But the advent of digital media has also given the industry a whole new set of concerns about trust. This is a topic I’ve been talking about a lot lately, and for good reason. The advertising industry simply isn’t viable without trust. To begin with, consumers must be able to trust the content of advertisements they read, see, and hear. This is the “trust” issue that advertising lawyers like myself have traditionally … Continue Reading
As mentioned in my last post, over the next few weeks, I will be sharing with you a few articles I co-authored that were included in our Lessons Learned/Practical Advice publication. (To read the full publication, click here.) Each article suggests steps that marketers and agencies may take to decrease risks and help ensure compliance with applicable laws and regulations.
This week I will share my article on the National Advertising Division of the Council of Better Business Bureaus (the NAD) that I co-authored with Davis & Gilbert Advertising, Marketing & Promotions Partner, Aaron Taylor.
2015 was another eventful year for the National Advertising Division of the Council of Better Business Bureaus (the NAD). Fifty-six competitor challenges were … Continue Reading
The marketing communications industry experienced a number of important changes in 2015. In the third edition of our Lessons Learned/Practical Advice publication, lawyers from Davis & Gilbert explore the key regulatory developments, statutory changes, and court decisions in numerous areas such as children’s advertising, entertainment, social media, trademark, and data security. To read the full publication, click here. In addition, each article suggests steps that marketers and agencies may take to decrease risks and help ensure compliance with applicable laws and regulations.
Over the next few weeks, I will be sharing with you a few articles I co-authored. I am kicking off this series with my article on green marketing that I co-authored with Davis & Gilbert Advertising, Marketing … Continue Reading
Just over a year ago, three of the leading advertising trade organizations – IAB, ANA, and 4A’s – formed the Trustworthy Accountability Group (TAG) to address several critical challenges affecting digital advertising, including fraud, piracy, malware, and lack of transparency. These issues not only cost the U.S. digital advertising ecosystem an estimated $8.2 billion annually, but also erode consumer confidence in advertisers generally – and the brands they represent.
TAG has grown exponentially since its inception, attracting cross-industry participation and support from the world’s largest advertisers, agencies, publishers, and ad-tech companies. Its board of directors includes executives from Facebook, Google, IPG Mediabrands, JCPenney, McDonald’s, Mondelez, Motorola, NBCUniversal, Omnicom, P&G, Publicis, Unilever, and WPP.
All of TAG’s programs drive collective accountability … Continue Reading
If you were forced to pick one way in which companies have evolved the most significantly since the turn of the century, you’d be hard-pressed to find a more popular response than communication.
Social media has created two-way dialogue and real brand accountability. The 24/7 news cycle has amplified the impact of any crisis, from CEOs sticking their foot in their mouths to customer data breaches. Brands are compelled to be socially and environmentally conscious. Heck, Millennials want to know your charitable partners before they buy your goods or apply for your jobs.
These are just a few of the new functions that fall on the shoulders of today’s Chief Communications Officer (CCO). No longer is this a role exclusively … Continue Reading