Parent Blogs Facing Disclosure Issues

By Tom Ryan
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?
- Parenting Blogs May
Be Held Liable for Product Reviews – ABC News - Is a Crackdown Looming for Parenting Blogs? – Wall
Street Journal
Join the Discussion!
13 Comments on "Parent Blogs Facing Disclosure Issues"
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It’s a changing world and we need to be sensitive to new ways of advertising–including blogging. In the same way we read articles, editorials, etc, we should also be cognizant of the intentions behind blogging. My concern lies with the free speech right and how that may end up getting manipulated.
Our company is blogging all over the place and we also need to be aware of even the most subliminal posts.
This isn’t the real question. The critical issue here goes far beyond parenting blogs and centers around regulation of the entire blogosphere. You can’t really regulate one class of blog and not all classes of blog. I say the best rule in cyberspace is the same as it is in the physical world–caveat emptor!
I believe in “truth in advertising” but this sounds like a case of government overreaching. The marketplace needs to determine the success or failure of products recommended by bloggers based on the merits of the products themselves.
How, exactly, does the FTC propose to regulate a digital media phenomenon like blogging without being intrusive and potentially stepping on privacy rights? After all, most bloggers and other users of the Internet expect their confidentiality to be protected. There is an element of “herding cats” to this idea, anyway…unless the FTC proposes a practical solution to this issue, they ought to avoid intrusion in other “new media” such as Twitter, Facebook and text messaging if they can’t demonstrate a consumer benefit.
There should be greater disclosure. If readers are going to maintain trust in blogs, blogs should disclose when they are receiving free products or being compensated for an entry.
Ms. Bailey is absolutely wrong in saying that this would be terrible for business. Transparency should have the opposite effect, making claims in blogs more believable. I’m tired of marketers forgetting basic ethics in defense of their employers.
All bloggers, not just parents, should disclose relationships and/or benefits they receive beyond the obvious. Why should bloggers be held to a lesser standard than the press?
I agree that transparency is the central issue, and that consumers deserve to know if a blogger is being paid to write or tweet on behalf of a brand. But, this is an issue that can and should be resolved within the trade groups, who are in fact willing to discuss and resolve and set guidelines. Government is truly over-reaching on this one.
The whole idea of regulating a blog is ridiculous. There are over a million of them and 80% of those are abandoned.
How is this different from free product being given to a store owner to try it out? We’re not talking Case Knives paying people to say their “gut stripper special” is safe and easy to use for three year olds. Doesn’t the government have more important things to do than a PR job on “considering” such an impossible regulatory burden? I think so.
I’m confident that consumers will uncover the practices they don’t like and broadcast the activities via the blogs and Twitter. I agree with the concerns about too much government involvement. And I agree that the government couldn’t control it all anyway. So let the people govern themselves.
In my work with website optimization I keep hearing consumers doubting the reviews which appear on retail sites. These consumers wonder who writes the review and therefore question the credibility and truth in the review.
If the issue is to insure consumers are not misled by bloggers, I believe bloggers will eventually correct themselves. Those who are paid, influenced or otherwise insincere will be exposed. There will be no advantage for clients to pay them or give them products to promote.
And all of this will become an anecdote in the annals of the Wild Wild West of the Internet.
“Astroturfing” (creating fake grass-roots movements) and similar practices may work in the short term, but any blogger that doesn’t disclose compensation isn’t going to last long. Responsible bloggers clearly state when they are given free product, and even point out when a link to a product in their blog is an affiliate link. There’s no shame in it–most point out that it helps them continue to spend time on the blog. But they have to then convince their readership that they remain objective. Regulation should not be necessary.
I agree with Jeff Weitzman’s comments. The entire blogosphere is one that is built on elements of trust. Those that are most transparent and most honest about their business relationships tend to have the largest and most loyal readers/followers. Abuse that trust and readers will go elsewhere. It’s such a gray area and so difficult to monitor in any media. Over-regulation in the blogosphere will be difficult, but pure fraud cannot be accepted and somehow needs to be exposed.