Connect with us

Hi, what are you looking for?

World News

Australia regulator to probe social media influencers for false endorsements

SYDNEY — Australia’s competition regulator said on Friday it would check whether influencers on social media platforms had failed to disclose their affiliation with the brands they were promoting.

The Australian Competition and Consumer Commission (ACCC) said it would look at more than 100 influencers after several consumers informed the regulator about some endorsements and testimonials which they said were misleading.

“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,” ACCC Chair Gina Cass-Gottlieb said in a statement.

As part of the sweep, ACCC has begun reviewing Meta Platforms Inc.’s Facebook and Instagram, TikTok, Snap Inc.’s Snapchat, Alphabet Inc.’s YouTube, and Amazon.com Inc.’s streaming service Twitch, Ms. Cass-Gottlieb said.

The probe will target influencers in fashion, cosmetics, food and beverage, travel, fitness, parenting, gaming, and technology. It will also check if advertisers, marketers, brands, and social media platforms are facilitating any misconduct.

Individuals who breach Australian consumer laws could be fined up to A$2.5 million ($1.78 million).

The ACCC has been conducting a series of investigations as part of a broader Digital Platform Services Inquiry, focused on the provision of social media services, including sponsored posts and influencer advertising on social media platforms. It is expected to submit its sixth interim report by March 31. — Reuters

    You May Also Like

    Business

    The head of the International Monetary Fund has warned of increased risks to the stability of the financial system after weeks of banking sector...

    Business

    1.22 billion people use Instagram every month. That’s a huge number of Instagrammers trying to hit it big on the platform all at the...

    Business

    The Home Office has made next to no progress in tackling criminal fraud during the past five years, despite it having become Britain’s most...

    Business

    Since the rise of online casinos, cybersecurity has become a major concern for both casino operators and players alike. The transactions that go around...

    Disclaimer: rightdecisionnow.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2023 rightdecisionnow.com | All Rights Reserved