China’s New Rules On Internet Advertising

We’re going to repeat these sweeps regularly and take action against any brands who break the rules. We’re exploring how other technologies, including machine learning and data-driven monitoring of chatter on social media, can help us spot problems and better protect the public. On the other hand, static and fixed placement ads, small sticky ads at the bottom of mobile pages, immediately rendered ads with no countdown and ads that seamlessly coexist with content are strongly preferred by consumers. In fact, most consumers have a level of familiarity with internet advertising such that when ads are unobtrusive, their experience of pages with and without ads is not significantly different.

We work with the online data that’s been gathered by clients to manage and optimise their online ad campaigns, web properties and/or more generally, their online presence. In doing this we may purchase advertising inventory from a variety of online platforms, advertising exchanges, and other media sources on behalf of clients. For the platforms and intermediaries, if a user complained about an ad which is harmful in the context of body image, they would be subject to review mechanisms. If they were found to have not taken reasonable steps to prevent harm, they would be subject to a proportionate sanction.

To clarify the relationship on fraudulent advertising between the Online Safety Bill and the OAP, we have set out in the box below the actors in the supply chain who will be held accountable through the forthcoming Online Safety Bill, with those who are in scope for the OAP. As per the actors in scope listed above, we take a broad view of intermediaries, and the actors listed in the table below are exemplary of the groups of intermediary organisations in scope, not exhaustive. I welcome the role advertisers and broking intermediaries can play in helping prevent advertising appear on websites with inappropriate and / or illegal content. We want to protect consumers from inappropriate content and help the creative industries tackle pirated material.

This will include the government working with industry, the intelligence services, law enforcement, and all partners to tackle fraud, including that which is enabled and perpetuated through online advertising. Open display market The open display market provides an alternative channel for buying display advertising inventory alongside the ‘owned-and-operated’ platforms. In contrast to the walled gardens of Google, Facebook and other platforms, in the open display market a wide variety of publishers, such as newspapers and other content providers, compete against each other in real time to sell inventory to advertisers. Programmatic advertising Programmatic advertising is the process of automatically buying and selling digital advertising space. Programmatic advertising provides an opportunity for businesses and other organisations to target their marketing messages to particular audiences on the basis of detailed consumer profiles. Influencers are often able to reach a big and targeted audience in a subtle, natural and effective way.

Through its Scam Ad Alert system, the ASA seeks to play its part in disrupting ads that form part of fraudulent activity. The ASA is not a law enforcement body, and therefore it does not process such ads through its normal regulatory functions. It works closely with the Financial Conduct Authority to ensure that the most appropriate body is addressing complaints and taking action. Classified advertising Classified advertising involves advertisers paying online companies to list specific products or services on a specialised website serving a particular vertical market. Payments for classified advertising will typically consist of listing fees or commissions. As outlined in section 4.1.1, the current regulatory framework considers regulated VODs in the same way as online advertising, subject to the CAP Code.

However, as digital technologies underpin more and more of our economy, society and daily lives, we need to ensure that the rules governing them keep pace. We are cognisant of the complexities and interdependencies in considering the regulation of online entities, and that no single intervention will address all issues. The Coalition for Better Ads, formed by leading trade associations and companies involved in online media, was launched as a solution to implementing new global standards for online advertising that address consumer expectations. As the advertising market grew and the number of companies advertising through the internet multiplied, advertisers began to look for less conspicuous ways to promote their products that actually augmented the user experience. Because of this, the use of native advertising was on the rise due to their ability to obtain higher CTRs and better engagement.

Ultimately, a number of statutory regulators act as legal back-stops to deal with the number of advertisers who refuse to comply with the rules. The focus on online advertising, in all its guises, reflects a dramatic shift in media consumption habits. Unsurprisingly, businesses are following us, so online ad spend has exploded in recent years. Figures from the Internet Advertising Bureau reveal that in 2018 UK digital ad spend was £13.44bn, 60% of the total. It’s unsurprising that the pace of change has fuelled concerns about online content potentially causing harm, particularly to more vulnerable people.

We will engage the Digital Regulation Cooperation Forum in ensuring regulatory reforms relating to the online advertising market are coherent and effective. Work on the OAP will also complement the government’s work to establish a new pro-competition regime for digital markets. This follows recommendations set out in the Competition and Markets Authority’s online platforms and digital advertising market study. The new regime will promote competition and competitive outcomes, and as such competition issues are out of scope for the OAP.

The deterrent of ‘naming and shaming’, in the case of legitimate operators, can be effective in preventing both advertisers and agencies from deviating from the ASA rules administered by the ASA. Whilst there are no laws on misinformation, and the government does not wish to undermine freedom of speech, there are harms that arise from spreading misinformation. The World Health Organisation has previously explained how misinformation ​​jeopardises measures to control the pandemic, ultimately costing lives. According to the ASA, over 70% of its work involves responding to and tackling concerns related to misleading advertising.