Internet & Social Media Law Blog
On May 5, 2023, the National Advertising Division (NAD) of BBB National Programs handed down its Final Decision in T-Mobile USA, Inc. v. Comcast Cable Communications Management, LLC. The NAD found that Comcast made several express and implied claims that were disparaging and/or unsubstantiated regarding T-Mobile’s home internet service, T-HINT, by way of television and online advertising. The decision is a useful reminder that advertiser claims must be (1) truthful, (2) not misleading, and (3) supported by a reasonable (and often evidentiary) basis.
Articles Posted in Advertising
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Marketing in the Metaverse: Sponsorship Contracts for Stadiums, Arenas and Other Venues
Every year professional sports franchises introduce new marketing tactics and sponsorship models to increase their revenue streams—new gear, new placements for logos in stadiums/arenas and on jerseys, not to mention an array of online engagement opportunities. As the concept of the Metaverse becomes more established in the minds of fans, there is, not surprisingly, a good deal of buzz about this futuristic environment. But even as professional sports franchises announce their own forays into the Metaverse, organizations around the world would do well to consider how this bifurcation of the sporting experience (viewing the venue in person vs. in the Metaverse) creates a whole new world of marketing revenue streams.
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Second ’Verse, Same as the First: Advertising, Influencing and Disclosure in the Metaverse
Back in the day when I rushed home after school to play The Sims, I would have never imagined that one day I would actually become a Sim… Of course, it turns out The Sims—and games like it—have always been an early, somewhat limited iteration of what is now popularly referred to as the metaverse. And no matter the world you inhabit, where there are humans, there are efforts to sell things to them. But that raises the question: how different are the rules for advertising in the metaverse going to be? It turns out that whether “uni,” “multi” or “meta,” certain constants apply when it comes to advertising, no matter the ’verse.
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How Far Is Too Far When Marketing Your Product for COVID-19?
Society is driven by word-of-mouth endorsements. Likewise, it’s instinctive to share self-prescribed remedies that alleviate our various ailments. A colleague recommends ginger tea for a cold. A friend tells you how lavender essential oil helps with anxiety and insomnia. We habitually rely on such recommendations. However, a business making such statements must be careful that any claims are substantiated and that marketing efforts do not run afoul of any laws or regulations. This is especially true now, where consumers are desperately hunting for hygienic methods to prevent the spread of the novel coronavirus and to treat symptoms stemming from COVID-19. Amidst the seemingly uncontrollable COVID-19 pandemic, it might seem like the perfect time for dietary supplement manufacturers and holistic medicine practitioners to tout the benefits of their products and services. But is it?
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Esports and Gaming in the Time of COVID-19
March often marks a new beginning—not just by Mother Nature—but also in sports. In the U.S., March brings the excitement of the NCAA tournament, Spring Training for Major League Baseball, and the ever-tightening playoff races for the NBA.
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The FTC, Kidfluencers and the Looming Challenge of Child-Proof Disclosures
By now, most people know that advertising on social media requires certain disclosures so as to avoid the ire of the Federal Trade Commission (FTC), which is tasked with protecting consumers from fraudulent, deceptive and unfair business practices. FTC rules concerning advertising on social media track the basic rules of traditional advertising law. For example, advertising must be truthful and not misleading, advertisers must have evidence to back up their claims (a.k.a., “substantiation”), and advertisements cannot be unfair.
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UK Privacy Regulator Takes Aim at the AdTech Industry
The UK Data Protection Authority, the Information Commissioner’s Office (ICO), has published an update report on privacy issues around real-time bidding (RTB) and programmatic advertising. The report is a progress update on the ICO’s investigation into the AdTech industry, which it says is one of its regulatory priorities.
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Like the FTC Before It, the UK’s Competition and Markets Authority Puts Influencers on Alert
Be clear. Be open. Be upfront. That’s what influencers need to do to build a following. But those same standards could just as easily describe the legal guidelines applicable to influencers Fall short, and influencers may violate the law.
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When Do the Perils of Programmatic Advertising Undermine Its Value?
#FakeNews is hurting more than political campaigns. Companies’ hard-earned reputations may be on the line when their ads pop up next to fake news stories and offensive YouTube videos.
Last year, major brands found their ads appearing in videos promoting extremist views and hate speech. JPMorgan Chase learned that it was advertising on a fake news site called Hillary 4 Prison. The ad ran under a headline claiming that actor Elijah Wood revealed “the horrifying truth about the Satanic liberal perverts who run Hollywood” (talk about bad publicity).
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The Selfish Side of Self-Reporting: Should We Trust the Numbers Behind Music Streaming?
Music consumers love streaming services. The data surrounding subscriptions and revenue tells us so. Largely self-reporting systems, however, have made it more complicated to quantify that success. Can we trust companies to embrace transparency when their own interests rely so much on the numbers they are reporting?