The IPA is warning the industry that restrictions on commercial communication via the internet, social networking and word of mouth communications, are to be made much stricter when the Consumer Protection from Unfair Trading Regulations comes into force on 26th May 2008, and in some cases may become illegal.
One particular clause in the Regulations will make the following activities a criminal offence:
• Seeding positive messages about a brand in a blog without making it clear that the message has been created by, or on behalf of, the brand.
• Using “buzz marketing” specialists to communicate with potential consumers in social situations without disclosing that they are acting as brand ambassadors.
• Seeding viral ads on the internet in a manner that implies you are a simple member of the public.
Says Marina Palomba, IPA Legal Director, “If advertisers and their agencies ignore the ethics of responsible advertising, the damage to the advertising and marketing industry generally will be considerable, undermining all commercial messages, their effectiveness and the self regulatory systems.”
Palomba goes on to strongly advise agencies and marketing departments to asses whether their activities within these areas comply with the new Regulations, before they come into force in May, or risk a risky and undesirable future involving hefty fines and potential prison sentences.
View the IPA's briefing note on Buzz Marketing Techniques