2014-06-13

Government regulations with respect to acceptable advertising standards have now been extended online; for most organisations this means developing a tailored approach to compliance and a particular focus on social media platforms.

The Advertising standards Authority (ASA) is the independent regulator dealing with all forms of advertising and its remit has now been extended online to oversee communications from businesses directed at audiences. This includes, for example, banner and display ads, paid for (sponsored) search and marketing on business website and via social media platforms. Governance has now also extended to Online Behavioural Advertising (OBA) – the collection of customer data online so that it can be used in order to present more relevant advertising to a specific computer user.

The changes were introduced partly as a result of evidence of abuse by unscrupulous firms that were misusing customers’ behavioural data online, as well as the mis-selling of product and services online. Of course the extension of the regulation has been a long time coming and it’s still fair to say that regulators and the online population are playing catch up. Before the remit of the ASA was extended online represented a space that was not mediated and the conduct of some firms reflected that fact. Now, however, a different approach is required.

Misleading content is the biggest issue raised by people who regularly go online. Firms that sell product and services online will now have to abide to the same regulations as those producing advertising offline. Compliance rules are still being adapted as firms are coming up with new and innovative ways of pushing their messages online so it is very much an ongoing process.

One thing to note is that the regulations are country specific and, as a result, spam and unwanted communications originating outside the UK and EU are still getting through and are not covered. Perhaps as a result of the rush to extend regulation to this area, the description provided as to what constitutes right and wrong has been vague. As a result, to avoid ending up in hot water firms should build up their competencies and knowledge with constant referral to the codes of conduct set by ASA.

Digital marketing allows businesses to interact with customers on a personal level, changing the way in which online communication is at its most effective. The push by firms to get the attention of audiences online should be tailored to what an audience wants to see and hear so as to remain within the ASA standards. As a result of a focus on this area, the margin for error for firms is getting smaller and there are now clear repercussions including bad PR, fines imposed, and lost of trust by customer. A self-mediated protocol can help in avoiding these pitfalls, as well as ensuring that advertising is effective.

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