Last week, the National Advertising Division (“NAD”) issued a decision in the realm of online native advertising. In the action against Joyus, Inc., the NAD was concerned that the company’s advertising for certain products appeared in a format that blurred the line between editorial content and advertising in a way that may confuse consumers. Joyus
We’ve seen native advertising take many forms, from paid celebrity Tweets to advertisements masked as editorial content to paid influencers promoting brands on social media. With a growing number of companies engaging in native advertising, in particular those involving social media influencers, the relationship between independent bloggers and corporate brands has become a sticky issue as sites like Instagram and Twitter have become increasingly influential platforms.
This week, Lord & Taylor agreed to settle charges brought by the FTC that it allegedly deceived customers by paying for advertisements on influencer Instagram accounts and Nylon online magazine without revealing that the posts were – in fact – paid promotions by the company.Continue Reading Lord & Taylor Settles with FTC Over Influencer Native Advertising Campaign on Social Media and Online Magazine
As publishers increasingly rely on more modern methods of native advertising, the FTC has published a new guidance on enforcement that clarifies when native advertising may cross the line and become deceptive to consumers.
Read more on our Technology Law Dispatch blog.
As we have previously reported here, native advertising is intended to form a part of users’ online experiences, aiming to engage and compel with minimal disruption. Often the content of native advertising is high quality, reaching out to an audience’s wants and needs, sometimes going viral. Clearly marketers are working within divergent boundaries; creating…
Driven by the evolution of technology and social media, brand advertisers are increasingly turning to “native advertising” — a form of paid media in which promoted content is woven into the actual visual design, or fabric, of a website, magazine, or newspaper. The theory is that by providing ads in the context of a user’s experience, and designing content that blends in with the media in which it is placed, the promoted content is less intrusive, and more likely to capture the attention of consumers.
Of course, because native advertising necessarily blurs traditional lines of editorial and advertising content, regulators have begun to more closely scrutinize the practice, and have expressed concerns about the potential for consumer deception. Earlier this year, for example, the National Advertising Division (“NAD”) examined a campaign from Qualcomm, in which it ran banner ads for its Snapdragon processor adjacent to a series of articles that it had sponsored on the Mashable website. For the duration of the campaign, the banner ads included a tag indicating that Qualcomm had sponsored the articles. Once the campaign concluded, however, the tags were removed (even though the articles remained live on Mashable).
Continue Reading BLURRED LINES: The Evolution of Native Advertising
Kim Kardashian is notorious for setting Twitter trends with her fashion-forward tweets. But would a consumer buy the same product knowing she was paid up to $20,000 for tweeting it?
The term “native advertising” refers to when an advertiser masks ads as editorial content in an effort to market more seamlessly to consumers. The intent behind this practice is to make advertisements less intrusive and to associate a brand with an experience.
Continue Reading The Risks of ‘Native Advertising’
Last week, the Interest-Based Advertising Accountability Program (Accountability Program) released a compliance warning regarding the use of online-behavioral advertising (OBA) in conjunction with native advertisements. The compliance warning states that native advertisements tailored to a consumer based on the consumer’s browsing history (i.e., OBA) must comply with the Self-Regulatory Principles for Online Behavioral Advertising (“OBA Principles”), just like any traditional-based advertisement utilizing OBA would. Enforcement of the compliance warning will begin January 1, 2015.
The Accountability Program was developed by leading industry associations in order to regulate online behavioral advertising across the Internet. The Program issues compliance warnings to provide guidance on how to comply with the OBA Principles. The two key pillars of the OBA Principles are transparency and consumer control. The transparency principle requires companies to ensure that consumers are aware when their data is being collected for OBA purposes. The consumer control principle requires companies to provide consumers with an easy-to-use mechanism to opt out of having their data collected.
Continue Reading OBA Principles Have Gone Native!
The internet was set alight last week with witty remarks from Jonathan Perelman, vice president of BuzzFeed, at this year’s Abu Dhabi Media Summit as he proclaimed users are, “more likely to summit Mount Everest than click on a banner ad”. His comments are timely as the industry has recently woken up to the effectiveness …
If you wear contact lenses, chances are you find them a necessary evil, an uncomfortable "poke in the eye" to start your day. This may all change in the not too distant future as a team of researchers at Washington University are developing computerised contact lenses which will be able to receive and display certain…
This post was written by Laura Hicks.
This article was previously published in Media & Marketing Online.
It is no secret that the consumer habits for accessing and consuming music are changing incredibly quickly. In December 2009, radio audience measurement body Rajar revealed that 4.5 million people in the UK regularly use personalised online radio…