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05.26.09 New FTC Guidlines To Hold Brands And Bloggers Liable For Misguided Claims  By Brian Solis In the eyes of imaginative and opportunistic advertisers and marketers, bloggers and online influencers are the new celebrities and athletes. Brands are showering them with endorsement deals rich with products, cash, trips, exclusive access to information, and VIP treatment each and every day, creating a new genre of star spokespersons. Many expert and lifestyle "citizen" bloggers and online weblebrities are creating communities around their persona as they freely and actively share personal and identifiable experiences online, in social networks and also in the real world. Those who can successfully connect their stories to others in and around their peer groups earn trust, visibility and authority – limited only by ambition and ingenuity. They're rewarded for their presence and ability to point their followers in strategic directions. These new brand ambassadors are almost the perfect instruments for surreptitiously sparking and cultivating groundswell within desired and vital target markets. Consumers look to experts and trusted peers for guidance and insight when making decisions. Who's to say that the information they're receiving from their trusted sources is indeed truthful and honest, if they're unaware that these authorities are actually directly or indirectly compensated for their opinions and insights. Journalists and reporters on the other hand, most of them anyway, are held to strict editorial guidelines and policies that denounce the practice of receiving products, gifts or compensation in exchange for editorial coverage. There's at least, a line that separates ethical press from advertorials – whether it's crossed, is another story.
But in the new online world of citizen influence, there's no line on the horizon – at least not yet. Driven only by loosely defined and sporadically practiced methodologies that promote at-will disclosure and transparency, many brands, intentionally or deliberately, are blurring a consumer's ability to discern the distinction between partisan and genuine experiences. But that's all about to change. Under new guidelines proposed by the Federal Trade Commission, brands and/or bloggers may be held liable should either the FTC or scorned consumers deem that the actions or claims misguided their decision and/or misrepresented actual performance or efficacy. 
According to the Federal Trade Commission, the ability for a consumer to exercise better judgment and common sense is indefensible when a glaring absence of disclosure is pervasive.Earlier this year, The FTC published recommendations to update its guidelines concerning the use of endorsements and testimonials in advertising and public relations. A new set of guidelines, enforceable by the FTC Act, is due soon. Continue reading this article. About the Author: Brian Solis is principal at FutureWorks PR, an award-winning PR and Social Media agency founded in 1999. FW PR bridges the communications gap between companies and their customers, and between products and their specific benefits for their target markets. Solis blogs at PR2.0, http://www.briansolis.com, and regularly contributes to many industry trades. He is also frequently quoted in articles relating to technology trends and Marketing/PR strategies. |
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