In the past few months, there has been a lot of buzz in the blogosphere about the FTC’s plans to monitor blogs and social media sites in order to regulate viral marketing and “false promotion” of products.
According to Michael Bush, a writer for Advertising Age, “…the FTC is proposing that word-of-mouth marketers and bloggers, as well as people on social-media sites such as Facebook, be held liable for any false statements they make about a product they’re promoting, along with the product’s marketer.”
When I first read this news, I was pretty disturbed by the control that the FTC was looking to assert over bloggers. I mean, we have the right to free speech! How could they possible control the voice of the blogosphere?
But when I took the time to research a little more, it seems as though these regulations are just looking to extend the same principles that apply to traditional “advertising” to online promotions. Michael Bush again reports, “The FTC guidelines apply only to bloggers and others compensated to promote or review a product…There are no legal implications for social-media sites such as Facebook or marketer sites such as Amazon, where consumers often post product reviews.”
So now that I have more information, I’m even more confused than ever. I am definitely against online personalities promoting products that they haven’t actually used or tested, as using bloggers to market a product is supposed to give said company more credibility. However, I am a huge advocate of new media marketing and all that it can do for a company and it pains me to think that government regulations could potentially stop thousands of companies from attempting these innovative new marketing strategies.
Jim Nail, chief marketing officer of TNS Media Intelligence and a WOMMA board member, explains his point of view at the conclusion of the Bush article, and I’m tempted to agree with him:
“The thing that makes word-of-mouth marketing powerful is people believing they are getting truthful and honest opinions from real users…If people start disbelieving word-of-mouth marketing as much as they disbelieve advertising, we are in deep trouble.”









