On the 15th April ERA UK membership gathered for a meeting, very kindly hosted by Ayo Hughes and Euro RSCG.
by Robert Logie, Mike Wells and Hugh Geach
We were delighted to welcome from the ASA Malcolm Philips and Marie Almond who were there to guide us through and answer questions on reviews to the Advertising Standards Code.
(Please Note: All UK members should respond to the proposed changes on the Advertising Standards Consultation by 19th June. Any questions in the interim can be referred to Hugh Geach).
Issues relating to the consultation on the draft Advertising Standards Code.
Areas for particular focus are Misleading Advertising; Distance Selling; Ingestibles, Weight loss and Health claims.
This is first time advertising codes for both broadcast and non-broadcast have been considered at the same time. All rules have been examined in detail and recommendations for change have been made wherever deemed appropriate.
Areas under Misleading Advertising and Distance Selling that will come under scrutiny according to Consumer Protection Directive in Brussels. Particular areas for consideration are as follows:
• ‘Up to’ and ‘From’ price claims – you cannot mislead here. Around 10% of items should be available at the lead price.
• Broadcasters – ads must have made a reasonable estimate of demand (rather than making spurious claims about selling out of stock)
• Advertisers – Assess potential demand. This must be made clear.
• ‘FREE’ – cannot just scream ‘free’ or ‘money back’ – a free trial really must be that. Satisfaction or your money back must be clear.
Direct Selling (Distance Selling resolutions)
• You must fulfil orders within 28 days, to extend to 30 days
• Ensuring protection of consumers’ money
• TV code – broadcasters need to be satisfied advertisers have sufficient measures to protect consumers’ money (eg not taking the money until the product is despatched)
• Regarding substantiation of claims the basic requirements remain the same
• Obese individuals still cannot be used in weight loss advertising, something which the ERA lobbied to be changed to the morbidly obese. After advice from the Department of Health the ASA decided to recommend that the present rule on the use of obese individuals in weight loss advertising should remain the same.
• The draft document will allow the use of healthcare professionals to be used in advertising for permitted products.
• The rules on comparative advertising remain the same.
Hugh Geach urges each individual member to contact the ASA saying they “support the changes but…” 19th of June is the date when the consultation closes. Please respond. The publishing of the new Code will be followed by seminars to explain the changes to industry members.
Participation TV
Ofcom is looking to redefine teleshopping, and the ASA are in negotiations with Ofcom over this issue, because of the vexed issues of channels who earn their income from Premium Rate Services (PRS), such as Psychic and Adult and potentially, in the future, quiz channels and could end up with the same classification as ERA members. This potential re-classification of PRS channels may have consequences for traditional teleshopping, including image issues and who regulates teleshopping.
This is a massive area of contention and potentially a massive threat. Psychic, Adult, Betting and Gaming are clearly not teleshopping, but as they are ‘transactional’ there is a real danger they could be termed as advertising. And this is a big issue for ERA. We are now well respected. If it’s deemed that these other streams are teleshopping there is a threat to the reputation of the traditional teleshopping channels by association with these PRS channels and services.
ERA UK agreed that it would oppose the measures, though the valid point was made that in the yes of the consumer there is a very clear line between the different types of programming (Teleshopping, Psychic, Adult, Betting and Gaming).
ERA UK membership.
There will be information soon from the AVMS directive relating to internet broadcasters. The ERA UK members will seek to bring relevant parties on board.
Music Licensing laws.
The Performing Right Society (PRS) are, perhaps for the first time, taking an interest in teleshopping channels. PRS has the right to levy a fee for music used on all TV channels on behalf of its member and can impose heavy “interim” fees. Such fees can almost always be negotiated and it would be of considerable benefit to all UK members owning channels to share their experiences of PRS interventions and outcomes with the Group
The next ERA UK meeting
Is likely to be in the early Autumn. The date will be determined primarily according to the regulatory calendar.
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