The Federal Trade Commission (FTC) is considering imposing new rules for parent-bloggers. The agency is concerned that the manufacturer-blogger relationships may not be transparent enough for endorsements in which the blogger receives payment nor for those in which they receive free goods from manufacturers.
"The sticky issue that is raised is what happens if a product is given for free," Richard Cleland, a spokesman for the FTC, told ABC News. "That's something we're going to have to address."
Mr. Cleland said that similar to false advertising cases, a blogger may face a cease-and-desist order as punishment. Procedures may also be developed to reimburse consumers who bought a product under false circumstances. "What's driving the issue is one of disclosure," he said.
Many parenting magazines also receive free samples for review and Mr. Cleland said that each situation will be examined on a case-by-case basis. The FTC hopes to address the issue by the summer.
The Wall Street Journal notes the FTC's review comes as a number of parents have turned to blogging as a way to earn income or get free products. And it also comes as blogs have become a critical voice for mothers to learn about and exchange information around products.
Speaking to ABC News, Maria Bailey, the founder of BSM Media, which specializes in marketing to moms, was concerned that the new FTC guidelines would be too restrictive. She noted that 80 percent of mothers buy a product on recommendation of another mother, and 87 percent of mothers read blogs.
"From the business side, it's a terrible thing because that's how much moms find out about a product," Ms. Bailey said.
Discussion Questions: Do you see a need for greater disclosure around parenting blogs? Should there be different standards for endorsements based on payment versus free products? How will any restrictions impact the marketing opportunity around parenting blogs?