How does the regulation on influencer marketing differ from that governing traditional advertising?

[Dimaeiya333]

Generally speaking, the regulations applicable to influencer marketing differ from traditional advertising regulations in that their focus is on seeking transparency and disclosure of sponsored content. This is because influencer marketing involves a huge responsibility towards its followers on the different social media platforms.

In response to calls for stricter regulations on influencer marketing, professional bodies are emerging in several countries, including France, the United Kingdom and Germany . For example, the long-dormant Federal Association for Influencer Marketing (BVIM) was revived in Berlin last week with an event attended by around 60 participants.

In Germany , influencer marketing is regulated by several competition, media and advertising laws, and several high-profile court cases on influencer content have ruled on labelling requirements and differentiators of influencer content.

Jeanette Okwu , Chairwoman of the BVIM Board of Directors, calls for European harmonisation of the regulations applicable to influencer marketing and argues that the current legislation in Germany is too strict compared to the requirements for traditional advertising.

“As soon as we have a complaint, the finger is pointed. The consumer protection law is very strict. The bad apples are publicly shamed and prosecuted, but the main problem, which is the harshness of the regulations, is not addressed,” says Okwu.

« If you watch a movie and you see Coca Cola, there's nothing in the scene that says that, it's in the credits at the end. It's a mismatch, they're cracking down on influencers who are not professional advertisers. They're content creators with paid collaborations. It needs to be clearer and there needs to be equal opportunities .»

Guthrie says most influencers understand the rules, and he doesn’t disagree with the requirement that creators’ commercial content be clearly and immediately labeled . He agrees that traditional media and advertising have an easier time with regulators than influencers do.

“ If you’re advertising on Instagram or TikTok, what is an influencer? The ASA would sa r&d directors email database y that an influencer is anyone who has a following. There are a lot of questions about when an amateur becomes a professional ,” says Guthrie.

“ Influencers are treated unfairly on a level playing field. There is a sense that traditional media has it easier than TikTok or Instagram. There is a disincentive for legacy media to praise influencer marketing because they are ultimately competing for the same advertising spend .”

How are complaints about influencer marketing content resolved?
In most countries, consumer complaints about influencer content are handled by specific regulatory bodies. In Spain, for example, an Advertising Jury has been appointed under the auspices of Autocontrol to handle complaints. Companies adhering to Autocontrol's Code of Conduct on the use of influencers in advertising are bound by its decisions.

Between January 2021 and March 2023, the Spanish Advertising Jury resolved 72 cases regarding influencer content, of which 52 involved companies that did not sign the code.

" The fact that there are more than 900 companies adhering to the Code, which represents a very high percentage of advertising investment in Spain, demonstrates the knowledge and commitment of the Spanish industry to responsible influencer marketing ," says the Communications Director of Autocontrol, Sandra Cid Dopazo.