FTC lays stringent rules for digital advertising

Posted by admin March 13, 2013 0 Comment 696 views

Northern, WI 03/13/2013 (gdpinsider) – A large number of businesses are advertised via online advertising and mobile advertising is gaining a lot of popularity as well. As the world goes mobile advertising is following suit. Digital media has been coming under a lot of flak lately. The U.S Federal Trade Commission has said that all advertising that is delivered either on mobile phones or social media, will have to provide clear disclosures.

No exceptions will be made

Advertising delivered through social media or on mobile phones needs to provide clear disclosures and abide by the same requirements that apply to newspaper and television messages, the U.S. Federal Trade Commission said. In latest updates in guidelines that were issued today, the agency said that it is the advertisers’ responsibility to ensure that their messages are not deceptive in any way and are completely truthful. They went on to say that enforcement action will be taken against anyone who violates consumer protection laws.

The primary aim of the guidelines is the provisioning of practical tools for any advertising that takes place on social media such as Twitter Inc services or Facebook Inc (NASDAQ:FB). The current updates are an annexure to the “Dot Com Disclosures” that had been issued by the FTC in 2000. What advertisers need to take into account is the fact that very few consumers will actually end up scrolling through the content of a lengthy ad. Simple rules such as that the entire cost of the product has to be displayed before a purchase is made, must be followed and that merely providing links such as “more information” and “disclaimer” are not enough.

Shares of Facebook Inc (NASDAQ:FB) went down by 2.23% and currently trading at $27.20

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