While an argument can be made for a need to extend the ASA’s remit to cover websites as well as online ads I’m not entirely convinced that the attempt to pin down marketing communications is the best approach to regulating social media.
The ASA's media release tells us that their new remit will cover:
- Advertisers' own marketing communications on their own websites and;
- Marketing communications in other non-paid-for space under their control, such as social networking sites like Facebook and Twitter.
Journalistic and editorial content and material related to causes and ideas - except those that are direct solicitations of donations for fund-raising - are excluded from the remit.
There are two things that need clarifying here:
- what exactly is marketing communications
- how does it differ from editorial?
Ask any PR professional how marketing communications differs from editorial and the they'll tell you that the two aren't necessarily mutually exclusive.
Possibly, the ASA has taken marketing communications as overt communications marketing products, services or brands, e.g. "Buy this cream and it'll make you thin!" but then that risks taking a very narrow definition of marketing communications.
Further evidence for this comes to life in the IAB's FAQs on the ASA's new remit. They state that the guidelines won't cover "press releases or other PR material" - a notion that at best shows some vagueness about what PR is and does, and at worst reveals a fundamental misunderstanding of the industry.
Even if the ASA has somewhere unpicked the finer points of PR then how can marketing communications (regulated) be adequately differentiated from 'editorial' (not regulated)?
Add to this the convergence of media in online social spaces and there's even more complexity.
For example, what happens when the public starts engaging with brands and discussing products or services on brand owned spaces? And then when brands respond with neither editorial or marketing communications - e.g. general conversation on Twitter - and what about passionate members of the public that are brand advocates and start evangelising about a brand or product - is that marketing communications?
The ASA's new remit, it could be argued, is a missed opportunity to truly understand and attempt to strengthen regulation of marketing activity in the online space - a worthy initiative given they claim websites were the second most complained about marketing channel last year.
Brand Republic says that the new guidelines are a "fudge". But it's a fudge that could have potentially been avoided – or at least – addressed directly.
Back in May, the Chartered Institute of Public Relations’ Social Media Advisory Panel [Disc. I'm a member] approached the IAB which is represented on the Committee of Advertising Practice (CAP) to request that the PR industry be involved in development of the new code.Given the centrality of ‘editorial’ and ‘marketing communications' in the new regulations we felt it was appropriate, if not essential, to input and have the vice of the PR industry.
While we were given the undertaking that the views of the PR industry would be heard it seems that this wasn’t to be the case. Of course, we could have gone direct to the ASA but a dialogue had already been opened.
The CIPR has issued a statement which articulates some of its major concerns, which I've pasted below.
But to me it seems that the ASA has missed an opportunity to think coherently about social media and implement an effective regulatory approach to the online space, not to mention a potentially naïve assumption by the ASA as to the role of PR, marketing communications and editorial in contemporary society.
Here's the CIPR's statement in full:
Chartered Institute for Public Relations (CIPR) policy statement on the proposed regulation of social networks/media by the ASA
The Chartered Institute of Public Relations (CIPR) recognises the importance of protecting the online public from unscrupulous businesses and organisations, however the Chartered body representing the PR profession has concerns regarding the planned extension of the remits of the Committee of Advertising Practice (CAP) and Advertising Standards Authority (ASA) to cover online communications.
The advertising industry is concerned with advertising messaging that is one-way. Social networks involve dialogue and frequently ‘editorial’ content.
We believe that the ASA's remit does not extend to moderating the freedom of speech so closely associated with social media such as Twitter, Facebook and websites Any definition of advertising should be scoped so as to avoid censoring the ability of citizens and consumers to enjoy the free on-line dialogue they have come to expect.
The CIPR also has reservations about changes to the CAP Code and the way the ASA's new and extended remit has been planned. Any changes to the UK's current regulatory frameworks affecting how the public relations profession conducts its business should be developed through close consultation with the chartered body of the public relations profession. Given the significance these proposed changes will have for public relations, marketing and social media professionals, the CIPR believes that the ASA should be working together with the CIPR to develop fair and workable regulations that work with and supports broader, existing frameworks such as the CIPR Code of Conduct and social media guidelines.
The CIPR approached the Internet Advertising Bureau (IAB) which is represented on the Committee of Advertising Practice (CAP) in May of this year and were given the undertaking that the views of the PR industry would be heard. "We are disappointed this action has been taken without our involvement.”
George
I am moved by your candid argument to respond - and we should acknowledge the Guardian for giving you the space - and yet for the first time in many threads I am, frankly, quite perplexed by the commercial paradox you identify.
There are some alternatives, but none of them are entirely satisfactory or perhaps commercially practical. Some are not consistent with the ethical requirements you describe and with which I broadly agree. But in the first place, let us enjoy for a moment the irony of taking money from the airlines, the automotive industry and their ilk, in order to sponsor an MSN outlet that consistently criticises them and pays for people like you to do so. It does sweeten the pill a little, but perhaps not enough.
Some suggestions then - not so much as things I think can be done, but as catalysts that might lead to constructive discussion and better solutions than I can offer:
1) Recent news suggests that some quality MSN websites will attempt to institute subscriptions. If the Guardian moved in that direction but limited advertising according to content that met published ethical standards, it would make subscription more meaningful. I would pay to support a news site that placed ethical behaviour at the core of its business model, because that is exactly what I find is virtually absent from commercial concerns, and much to our detriment both as consumers and members of society.
2) Try such a scheme as an alternative site and trial it for a reduced sub in the first year. If it took off, move the enterprise in that direction and reward those early supporters with a discount on the second year - or something.
3) Ban only the ads that meet the ethical standard. This is not a moral exercise but a commercial one, but where virtue is rewarded. Ethical standards should be applied to products or services, not companies per se, and when certain products enjoy more ad space than their counterparts, their importance to the companies that produce them shifts in their favour, simply because they sell more. Advertising usually targets the consumer, attempting to modify their behaviour; here advertising could target the companies and do the same. It is in the boardroom that this message needs to be understood - the market is changing and ethical behaviour will be rewarded by consumers. (And when it's all hat and no cattle, you have new fodder for the column).
4) Develop more flexible price strategies and find more innovative ways to deliver the adverts. Perhaps a rate card with weighted price bands depending on gross revenue, where smaller and more ethical concerns can also take some space in the paper or the site, thus increasing opportunities for ad sales. I suggest this because I think taking the ethical stance will cost the Guardian some revenue. Quite how much it loses is in part dependant on the ad sales team, because there is also a strong marketing advantage in the ethical stance, especially if the Guardian is the first to adopt is. Very newsworthy, and worth trumpeting in any ad campaign. It must also be true that properly exploited, there may be some additional market share to be gained through it, so it's not all downside.
5) Keep discussing the option of going completely digital. I'm sure this is discussed and the Guardian management understand this much better than I, but there are important implications for the environment as well as the economics. It must include a subscription, but that has benefits since it would probably be annual or semi-annual, which is more reliable income than variable sales of print copies. (I'd like to see the management's thoughts on this. Things change, as the Guardian demonstrates with this very site. Where are they now on this?)
Prudence would dictate money will be lost, so the Guardian must ask the same question it does over page 3 girls: what is it prepared to do in service of Mammon rather than its founders like Scott? Tits are out of bounds, yet they would bring in more money, as would the sex trade ads, but the Guardian has taken a moral stance at the expense of profit. Morality cannot be parcelled out or striated by expediency. Either the Guardian is wholly responsible and doesn't want to assist in destroying civilisation, or it may as well start looking for busty women and brainless men to leer at them, since that readership will always put their hands in their pockets - if you know what I mean.