ACA Webinar June 12, 2018 The Dos And Don’ts Of Influencer .

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ACA WebinarJune 12, 2018The Dos and Don’ts of InfluencerMarketing: New Disclosure Guidelines

About Ad StandardsThe national, independent, not-for-profit advertisingself-regulatory body.1957230 Belief that advertisingself-regulation best servesthe interests of industryand consumersMembers from all sectorscommitted to enhancingpublic trust and supportingindustry self-regulation2

About Ad Standards(cont.) Administers The Canadian Code of Advertising Standards Consumer Complaint Procedure Advertising Dispute Procedure Administers other self-regulatory programmes e.g. CAI, non-partisan, auto guidelines, OBA accountability, SpiritsCanada Clearance Services reviews ad copy in five regulatedcategories Education and global connecting

Truthful, Fair and Accurate4

Canadian Code of Advertising Standards 14 clauses InterpretationGuidelines Standards Council adjudicatesconsumers’ complaints5

Ad Complaints# Complaints # of AdsReceived18081322Met Code acceptance criteria 1172832Administratively resolved224164Raised potential Code issuesand forwarded to Council21872Upheld by Council173466

Consumer Perspectives on Advertising7

Importance of Standards, Role of Ad StandardsStandards: Importance of Rules & Regulations The vast majority of consumers believe there should be rules and regulations for advertisers to follow.The proportion saying this is "Very important" is up 15 points over two years.Millennials are less likely to say this (72%) while Seniors are far more likely to say it (87%).8

Influencer Code of Conduct Among the majority who are familiar with onlineinfluencers, most do not believe there is eitherregulation or requirement to disclose.9

Influencer Code of Conduct Canadians aged 18-35 are more likely to be aware of influencer marketing; but most are not aware ofhashtags that denote paid influencer marketing.In response to a separate question, 21% of all surveyed said they had seen or noticed #Sponsored or #Ad inposts. Among those aged 18-35, nearly four in ten recalled seeing those hashtags (39%).10

Transparency in Marketing The vast majority strongly or somewhat agree there should be transparency about sponsored ads.72% agree non-disclosure should have consequences.Most said their view of brands would improve if there was transparency about product placement.11

Importance of Standards, Role of Ad StandardsTrust in Ads Based on Association with Ad Standards Most Canadians say they would trust ads more if they knew the advertiser was a member of Ad Standards.Identical proportions said a visible Ad Standards stamp of approval would increase their trust in an ad.12

Influencer MarketingSteering CommitteeAd Standards Influencer MarketingDisclosure Guidelines

Members of the Influencer Marketing Steering CommitteeCommittee Members(Co-Chair)(Co-Chair)Ad Standards’ mandate is to help industry toregulate itself and we’re proud to be workingwith the influencer marketing sector tosupport this project.14I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

The Do’s and Don’tsof Disclosure15I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Upfrontis best.When in doubt,spell it out.Disclosures are meant to providetransparency and honesty to all partiesinvolved with the sponsored post.The guidelines are not intended to beprescriptive—as social media platforms andthe speed of how trends and habits changewill not keep up with any defined guidelines.Each of these best practices areintended to catch the viewer’s attentionand ensure the disclosure is clear,conspicuous, and broadly understood.16I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NESIt is important to treat these as best practicesand use judgement whenever includingdisclosures.

Guidelines as proposed bythe Ad Standards Committee17I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Do:Disclosures shouldbe clearlycommunicated anduse widely accepteddisclosures1) Context matters. Sometimes audio andvisual disclosures may be needed to beclear.2) Hashtags that have been recognized asclear and widely accepted include:EN: #ad, #sponsored, #XYZ Ambassador,#XYZ Partner (where “XYZ” is the brandname).FR: #pub, #commandité, #XYZ ambassadeur,#XYZ partenaire.For gifted items: #giftedproduct, #produitreçu.3) Disclosures can also be made throughnatural language:“I’m excited to be working with X Brand on thelaunch of product Y.”1818I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Don’t:Hidden Disclosuresz1919I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NESz

Do:Disclosuresshould be upfrontand identifiabledisclosuresin videos2020I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Don’t:Blanket Disclosurescannot be used inlieu of disclosureswith each content“Where I have received monetarycompensation I attempt to makethis as clear as possible on mysocial media channels, theabbreviated nature of a mediummay impact my ability to do so.”2121I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Do:Disclosures shouldbe independentof social medianetworks orchannel-specificsettings2222I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Don’t:AmbiguousHashtags or phrasesOther unclear hashtags include:#Ambassador, #Partner, #Spon,#PR, #Promo, #PRHaul, #Brand,#Collab, #sp.or fabricated hashtags, “ThanksXYZ”, or unclear language.2323I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Do:Disclosuresshould be made inthe language ofthe endorsementThe disclosure should bein whatever language theendorsement is made.If the content and captionsare in French, disclosuresin French.If the content is in English,the disclosures should bemade in English.2424I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Do I Need To Disclose?25I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

TitleText to Disclose?Do I NeedGifted items“I was gifted an item from abrand for me to try out, butthere wasn’t an agreementor obligation for me to postabout the brand orproduct.”26Yes, disclosure is required.I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

TitleText to Disclose?Do I NeedExperiences / Events“I got invited to a privateevent by a brand to seesome of their newproducts.”Yes, disclosure is required.27I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

TitleText to Disclose?Do I NeedNon-contractualbrand mentions“I’m doing a photoshootwith a brand and want toshow my followers a sneakpeek of me on set with thebrand.”28Yes, disclosure is required.I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

TitleText to Disclose?Do I NeedPaid, but genuineendorsements“Sure I’m getting freeproducts from the brand,but I REALLY like them andwould post about them evenif I wasn’t paid.”29Yes, disclosure is required.I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

TitleText to Disclose?Do I NeedReplies or DirectMessages to a“follower”:“One of my followers asksme questions about thebrand I just posted. Do Ineed to include disclosuresin my reply?”30No, disclosure is likely notrequired.I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

TitleText to Disclose?Do I NeedTestimonials with nomaterial connection:“I didn’t receive anyproduct, compensation, orexperience from the brand,but I want to endorse aproduct.”31No, disclosure is likely notrequired.I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Examples32I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

YouTube33I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

YouTube34I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

YouTube35I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Instagram:Gifted Product36I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Instagram:Gifted Product37I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Instagram:Events38I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Instagram:Paid Collaborations39I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Instagram:Stories40I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Instagram:Stories41I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Snapchat42I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Twitter43I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Blog44I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Learn MoreFor further reading, please see:www.adstandards.ca Go to Library (on the top right toolbar).4545I NFLUENCER M ARKE TI NG STEERI NG CO M M I TTEE - DI SCLO SURE G UI DELI NES

Influencer Code of Conduct Canadians aged 18-35 are more likely to be aware of influencer marketing; but most are not aware of hashtags that denote paid influencer marketing. In response to a separate question, 21% of all surveyed said they had seen or noticed #Sponsored or #Ad in posts.

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