Australian Regulator Turns Up the Heat on Social Media Influencers

Australian Regulator Turns Up the Heat on Social Media Influencers

Australian Regulator Turns Up the Heat on Social Media Influencers
Australian Regulator Turns Up the Heat on Social Media Influencers
Retail Bum

Retail Bum

Retail Bum

Retail Bum

Share

Australian competition regulator plans to scrutinize influencer posts on social media platforms to assess whether they are disclosing their brand affiliations or not.

Individuals or platforms that are found to be violating the laws could face a potential fine of up to $1.78 million.

The regulator decided to launch an investigation after it received several complaints from consumers over misleading endorsements and testimonials.

“The number of tip-offs reflects the community concern about the ever-increasing number of manipulative marketing techniques on social media, designed to exploit or pressure consumers into purchasing goods or services,” said Australian Competition and Consumer Commission (ACCC) Chair Gina Cass-Gottlieb.

As part of its investigation, ACCC is reviewing posts from more than 100 influencers across platforms such as Amazon, Facebook, Instagram, YouTube, TikTok, and Twitch. Most influencers being put under the microscope are content creators focusing on fashion, cosmetics, food and beverage, travel, fitness, parenting, gaming, and technology.

The investigation is also assessing whether advertisers, marketers, brands and social media platforms are facilitating any misconduct, according to Reuters.

The investigation is part of a broader probe that is focused on influencer marketing and advertising on social media platforms. ACCC plans to share its assessment by March 31, 2023.

MUST READS
EU Clamps Down on Fake Greenwashing Claims

EU Clamps Down on Fake Greenwashing Claims

The European Commission has proposed new rules that may soon require companies to back up their eco-friendly claims. The new rules, if passed, would regulate labels such as “natural,” “climate neutral,” and “recycled content,” which brands often use on their product packaging to appear more

FTC Grills Social Media, Streaming Platforms on Misleading Ads

FTC Grills Social Media, Streaming Platforms on Misleading Ads

The U.S. Federal Trade Commission (FTC) has issued orders to the eight major social media and streaming platforms, including Meta, Twitter, TikTok, and YouTube, seeking information on how they scrutinize misleading ads. According to the FTC, social media has become a hub for fraudulent healthcare

No more posts to show, explore other topics: