20 July, 2017
Guidelines on Interactive Marketing Communications & Social Media
On 29 August 2016, the Advertising Standards Authority of Singapore ("ASAS") issued its Guidelines on Interactive Marketing Communications & Social Media ("Guidelines"). The ASAS is the regulator of the advertising industry in Singapore and is comprised of representatives from key industry members, and is an Advisory Council to the Consumers Association of Singapore ("CASE"). It sets out best practices and industry standards for advertising in Singapore, including the Singapore Code of Advertising Practice.
The Guidelines were introduced in response to increased complaints about misleading advertising by influencers. According to public feedback, many consumers have been misled by the advertisements. In 2015, 91 complaints about online advertisements were received, as compared to 45 in 2014.
The Guidelines were developed in consultation with social media agencies, public agencies, corporations and members of the public, with the aim of establishing a standard of ethical conduct for advertisers on social media.
The key requirement of the new Guidelines is that marketing communication must be clearly distinguished from editorial or personal opinions. This is achieved by disclosing any commercial relationship or connection between the endorser and marketer of the product or service, where the connection may have a material effect on the weight or credibility of the endorsement. The onus of disclosure is on the marketer.
Crucial information that is likely to influence consumer decisions are to be disclosed within the marketing communication. This includes information such as prices, product characteristics and sale procedures and conditions.
Any digital marketing communication directed at children of a particular age group must be age-appropriate and suitable.
Implications
While the Guidelines are not legally binding, any marketers who breach them may face industry level sanctions. For instance, media owners may withhold advertising space or time from offenders. Alternatively, the ASAS may adopt "name and shame" measures against recalcitrant offenders. CASE may even take further action where an application has been made under the Consumer Protection Fair Trading Act.
For further information, please contact:
Andy Leck, Principal, Baker & McKenzie.Wong & Leow
andy.leck@bakermckenzie.com
