ICA presentation - disclosure of material connections in social media
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This document discusses disclosure of material connections in social media channels. It summarizes FTC guidelines requiring disclosure of paid endorsements and reviews. The document then analyzes a study of top style blogs which found that almost three-fourths did not properly disclose paid partnerships or sponsored content in blog posts. It concludes by advising influencers and advertisers to always disclose connections, even if in doubt, to avoid confusing consumers.
ICA presentation - disclosure of material connections in social media
- 1. Plug Away: Disclosure of material connections in social media channels David Kamerer, PhD, APR Loyola University Chicago Follow me on Twitter @davidkamerer
- 10. Disclosure of material connections 16 CFR Part 255 Guides Concerning the Use of Endorsements and Testimonials in Advertising Resource: FTC dot-com disclosures guide http://1.usa.gov/cScCMo
- 11. Failure to disclose is not new Payola In-program selling Product placements in film/TV
- 12. Ann Taylor FTC: it is the advertisers responsibility to assure disclosure, not the bloggers
- 13. Legacy Learning Systems $5 million sales $250,000 fine
- 14. Reverb Communications memo: Reverb employs a small team of interns who are focused on managing online message boards, writing influential game reviews, and keeping a gauge on the online communities. Reverb uses the interns as a sounding board to understand the new mediums where consumers are learning about products, hearing about hot new games and listen to the thoughts of our targeted audience. Reverb will use these interns on Developer Y products to post game reviews (written by Reverb staff members) ensuring the majority of the reviews will have the key messaging and talking points developed by the Reverb PR/marketing team.
- 15. Online, ads dont work
- 17. Typical response rates Targeted email 5.00% Direct mail 3.00% Rich media 0.14% Banner ad 0.08% The failure of outbound tactics Source: Ad Age, 2010
- 18. How are blogs funded? No funding hobby Banner ads Search ads (Google AdSense) Affiliate programs Pay per post Free goods & services Rarely: ecommerce, memberships
- 21. The advertisers view: No one looks at/clicks on banners Bloggers have negotiable standards Its easy to purchase influence
- 22. The bloggers view: Not making much from ads Eager to monetize site Open for business Rationalization: I received X from Y But the opinions are my own
- 23. Two inquiries: 1.Study of top style blogs 2.Examination of celebrity Twitter feeds
- 24. Method, style blog inquiry: 1.Sampling frame: top style blogs as curated by Signature9.com 2.Only U.S. blogs included, N = 68 3.Rubric: PageRank (scored 0-10) Link score (0-10) Unique IP links (0-15) Alexa rank (0-15) Twitter score (0-10) Facebook domain activity (0-15) Google blog links (0-15)
- 26. Results: many revenue streams
- 27. Tracking software shows ad relationships Average of 14 tracking services on style blogs Analytics Share buttons Third-party ad networks (source: Ghostery plug-in) At left, tracking software from the blog LoveMaegan
- 28. Almost three-fourths of the sample did not disclose in-post
- 29. Examples of in-post disclosures
- 30. Not quite a disclosure: c/o (courtesy of) In- post Site State- ment
- 44. Influencers/Advertisers Always disclose, even if in doubt Only work with ethical influencers Also use a site statement, linked on home page Goal: to avoid consumer confusion FTC dot-com disclosures http://1.usa.gov/cScCMo Consumers Media literacy Understand the ad-supported (free) web Search engines are complicit
- 45. For more information: http://davidkamerer.com (search for corruption) http://delicious.com/davidkamerer/disclosure http://delicious.com/davidkamerer/corruption On Twitter: @davidkamerer Email: david@davidkamerer.com Thank you!
Editor's Notes
- #3: We know what a commercial looks like. We know what journalism is But what about everything else?
- #8: Adly stats Minimum ad buy: $25,000. They have worked with 150 advertisers, sending out more than 24,000 tweets. About 1000 influencers work with adly. To participate as an influencers, you must have + 150,000 followers.
- #21: PaidPerTweet