MSAE

Spring 2013

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The FTC says the disclosure needs to clearly and conspicuously convey to the reader the relationship between the promoter and the company. The FTC does not mandate the words for the disclosure. They have said that a general statement on the "About" or "Info" page disclosing the relationship is no longer sufficient. Every post, right down to every promotional tweet, must disclose the relationship. The FTC does not mandate exactly what words to use as long as the readers understand the relationship. Some people suggest using a hashtag of #paid, #ad or #spon which satisfies the disclosure relationship. Is FTC Really Taking Action Here? Yes! In 2010, Ann Taylor was fined for having bloggers attend a conference and write about the experience as well as the new clothing line in exchange for a gift card. Neither Taylor nor the bloggers disclosed their relationships. In 2011, Legacy Learning was fined $250,000 for creating an affiliate program which was endorsed by users and the relationship was not disclosed. For more information: • The FTC's Revised Endorsement Guides: What People are Asking • Guidelines Concerning the Use of Endorsements and Testimonials in Advertising Why is transparency about endorsements and compensations in social media important for conference organizers and speakers? How do you feel when you discover that a speaker has been compensated to favorably promote a conference in social media for compensation and the actual conference experience was severely lacking? Jeff Hurt is Exec. VP of Velvet Chainsaw Consulting. He is considered one of the leading authorities in the meetings industry on adult education, conference design, digital events and social media for events and associations. He speaks and blogs frequently about meeting and technology trends, the future of conference education, adult learning and all things meetings at velvetchainsaw.com . Company: Velvet Chainsaw Consulting website: http://velvetchainsaw.com Twitter: @JeffHurt On the other hand, the FTC says it's not monitoring social media and does not have plans to do so. It also has no direct authority to fine. As violations are brought to their attention, they investigate. When appropriate they take the case to the courts and the court mandates the fine. A Word Of Advice To Speakers If your speaker contract requires you to promote your appearance at the conference in social media posts and the organization does not give you suggested guidelines for language and disclosure to follow, think about removing those social media promotion requirements from the contract before signing it. Or let them know about the FTC Guidelines and their requirement to help educate compensated social media promoters. A Word Of Advice To Conference Bloggers If you are recruited by conference organizers to blog about the event in exchange for some type of compensation, like free or discounted registration, you must disclose that relationship in every conference post! If the organization that recruits you does not provide suggested guidelines for disclosure, think twice about accepting their offer. SPRING 2013 | CONNECTIONS 23

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