The National Advertising Division of the Better Business Bureau (“NAD”), the investigative unit of the advertising industry’s system of self-regulation, recently referred advertising claims made by Nectar Sleep, LLC for its Nectar Mattress to the Federal Trade Commission (“FTC”) after Nectar Sleep failed to respond to the NAD’s request to provide substantiation for its claims. … Continue Reading
The National Advertising Division of the Better Business Bureau (“NAD”) recently announced updates to its procedures. The change was announced by the Director of the NAD, Laura Brett, at the NAD’s Annual Conference and is the self-regulatory body’s response to a recommendation from the ABA Antitrust Section’s Working Group. The new procedural process is codified … Continue Reading
The Federal Trade Commission (“FTC”) recently approved final revisions to its Jewelry Guides (formally, the “Guides for the Jewelry, Precious Metals, and Pewter Industries,” the “Guides”), aimed at helping prevent deception in jewelry marketing. Based on the overall record of FTC review over the past six (6) years, the FTC has approved revisions to the … Continue Reading
In enacting the Children’s Online Privacy Protection Act, Congress determined that the safeguards built into the statute should apply only to children under 13. It sought to focus the restrictions on collection and use of personal information on younger children who are particularly vulnerable to marketing tactics because of their unfamiliarity with advertising and the … Continue Reading
The ad industry – and the brands that are its anchors to success – are under attack. Two articles appearing in major publications take publishers, brands and agencies to task on legal issues. Please see the BuzzFeed article and the New York Times article. On the other hand, occasionally there is some good news. Brian Jacobs’ article in … Continue Reading
Moberg Pharma filed a NAD challenge against Kramer Laboratories, Inc. regarding the name of Kramer’s nail product. Kramer’s “Fungi-Nail Toe & Foot” product competes in the market with Moberg’s “Kerasal Fungal Nail Renewal” product. At issue was whether the name of Kramer’s product—Fungi-Nail Toe & Foot—implies that the product effectively treats toenail fungus. The NAD … Continue Reading
Last month, the Children’s Advertising Review Unit (“CARU”) referred claims by Dave & Busters Entertainment, Inc. to the Federal Trade Commission (FTC). CARU’s initial inquiry involved Dave & Busters advertising that aired during children’s programming. The ad started with large text that stated “Free Video Game Play”, and a voiceover said “Dave & Busters has … Continue Reading
Dona Fraser, a leading privacy expert, comes to CARU from the Entertainment Software Rating Board (ESRB), a self-regulatory program developed by the video game industry. Dona brings to CARU a strong understanding of the marketplace challenges facing children’s advertisers, the complexities of children’s privacy issues and extensive experience with self-regulation. Dona has spoken on these … Continue Reading
Last week, Laura Brett was named director of the National Advertising Division of the Advertising Self-Regulatory Council (“NAD”). Laura Brett joined the NAD in 2012, and is widely viewed as an excellent choice to maintain continuity with former director Andrea Levine. Laura speaks frequently at advertising conferences about the role of the NAD in the … Continue Reading
Paris Cannes Next week, the advertising industry gathers in Cannes, France for its annual awards celebration. In addition to the much coveted Lion statuette, countless leaders in the industry will be on hand for networking, speeches, and partying. And there will be the usual dose of celebrities as well. Amid all this revelry will be … Continue Reading
The advertising industry’s self-regulatory arm, the National Advertising Division (“NAD”), recently reviewed certain advertising messages made by Vapore, LLC. In both television and internet advertising, Vapore claimed that its “MyPurMist” handheld steam inhaler had “more 5-star reviews than any other steam inhaler.” In connection with the 5-star review message, Vapore focused on certain attributes of … Continue Reading
The Online Internet-Based Advertising Accountability Program recently released decisions regarding popular app publishers’ compliance with the Digital Advertising Alliance Self-Regulatory Principles. These inaugural decisions are a significant step toward ensuring appropriate data protections exist in the context of mobile advertising. To learn more about these decisions and how they may impact the mobile advertising space, … Continue Reading
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
The countdown is underway to the deadline when the digital marketing ecosystem needs to be in compliance with the Digital Advertising Alliance guidelines for Online Behavioral Advertising. Failure to comply may expose brands and companies to actions by the Online Interest-Based Advertising Accountability Program and potentially negative press releases.… Continue Reading
In its first ever compliance warning, the Online Interest-Based Advertising Accountability Program Council ("Accountability Program") noted that many website operators are omitting notices of data collection for online behavioral advertising ("OBA") on their websites where third parties, such as ad networks, are not able to provide notice without the website operator's assistance. Such notices are required under the Self-Regulatory Principles for Online Behavioral Advertising ("OBA Principles").
In an effort to encourage compliance, the Council has delayed enforcement against first parties that fail to provide the required enhanced notice beginning until January 1, 2014.… Continue Reading
The Digital Advertising Alliance (DAA), the self-regulatory program for online behavioral advertising (OBA), was busy last week, releasing four formal review decisions.
The cases discussed below highlight DAA's commitment to spreading consumer awareness about OBA, educating consumers on OBA activities, and providing consumers with options regarding the collection of their data. The cases were initiated by DAA itself, and not by competitors or consumers. OBA activity is a relatively unregulated area, and consumer protection authorities have largely relied on businesses self-regulating to protect consumers. To avoid heavier regulation, it is important that businesses make concerted efforts to be aware of and comply with DAA's Self-Regulatory Principles for Online Behavioral Advertising (OBA Principles).… Continue Reading
The Digital Advertising Alliance ("DAA"), a self-regulatory group that represents marketing and media organizations, released new guidance this week for advertisers in the mobile space. Entitled "Application of Self-Regulatory Principles to the Mobile Environment," the guidance builds on well-known principles such as notice (or transparency) and choice (or control), and tailors them to the unique challenges that face the mobile environment.… Continue Reading
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
CARU's West Coast Conference 2013 is scheduled for April 10 at the Beverly Hills Hilton, and once again promises to be a not-to-be-missed event. Confirmed speakers include Mamie Kresses, Federal Trade Commission; Katie Ratte, The Walt Disney Company; Jeannette Neumann, Mattel; Cynthia Nishimoto, Bandai; Stevan Levy, Kabillion; and Ryan Shadrick Wilson, The Partnership for a Healthier America. CARU believes if there is one conference to attend this year, this is the one, particularly in view of the impending COPPA modifications. CARU will devote a panel to the COPPA changes and will have detailed, lively discussions about the impact to the industry at-large. Indeed, rather than just a panel discussion, CARU hopes it will be more of a training session to prepare advertisers and website operators for the changes. Additionally, panelists will examine domestic and global challenges to self-regulation in the areas of social media, mobile marketing, sweepstakes, and food and beverage advertising.… Continue Reading
This post was also written by Christine Nielsen. Yielding to pressure from advertisers, ad agencies, the media, consumers, and, perhaps, the FTC, Facebook has agreed to place The Digital Advertising Alliance’s (DAA) “AdChoices” logo on ads served on its site via its FBX ad exchange. The move makes Facebook more accountable for educating users about online … Continue Reading
No need to fret over Thanksgiving! The Federal Trade Commission has extended until December 23, 2011, the deadline for the public to submit comments on proposed amendments to the Children’s Online Privacy Protection Rule. That’s good news because the revisions are significant and include the demise of the flexible "sliding scale" approach that permitted operators … Continue Reading
After a swift left to the chin in early September from the Republican-controlled House Energy and Commerce Committee Chair, Rep. Fred Upton, David Vladeck, the FTC Director of the Bureau of Consumer Protection, testified before the Subcommittee on Commerce, Manufacturing, and Trade, and the Subcommittee on Health, October 12, 2011, discussing the International Working Group … Continue Reading
From the proposed changes to COPPA to the latest developments in the area of self-regulation of food marketing to children, the CARU conference to be held Wednesday, October 5, 2011 in New York City will be one of the best places not only to learn the details but also to interact with leaders in the … Continue Reading
The Federal Trade Commission issued an advisory opinion letter this week saying that it has no present intention to challenge the Council of Better Business Bureaus’ accountability self regulatory program for companies engaged in online behavioral advertising. The program is designed to foster compliance with the Self-Regulatory Principles for Online Behavioral Advertising, which were released by … Continue Reading