FTC Guides Suggest Social Media Policies and Procedures Might Reduce Liability Risks

100_2987At the onset of this post, I want to be very clear that I am not intending to send fear coursing through the veins of senior management nor should this be construed as a “let’s all find another reason to fear social media”.

Quite conversely, part of leveraging a strong social media business strategy is ensuring the appropriate operational controls are in place.  Policies, standardized practices and process are a responsible part of any business strategy and the business strategy of social media should be no exception.

This week, potential liability regarding the use of social media hit home as the Federal Trade Commission (FTC) released new Guides concerning the use of endorsements and testimonials in advertising.  Essentially, the new guides will work to ensure a higher level of honesty and transparency in the use of the social web for the purpose of marketing in terms of “pay to say” disclosure and factual representations.

Though I am not  a lawyer (nor have I ever played one on TV) and always encourage consultation with legal counsel, I did read through the 81 page FTC document yesterday and came across an important consideration which I don’t believe has been adequately highlighted.  That consideration is the liability an employer faces for the actions of employees engaging in social media activities either within or outside the scope of their work responsibilities.   The FTC addresses this scenario in response to a question which appears to have arisen during an open comment period relating to employer liability.  Below is a verbatim excerpt from the FTC’s response:

“…although the Commission has brought law enforcement actions against companies whose failure to establish or maintain appropriate internal procedures resulted in consumer injury, it is not aware of any instance in which an enforcement action was brought against a company for the actions of a single “rogue” employee who violated established company policy that adequately covered the conduct in question…  The Commission does not believe, however, that it needs to spell out the procedures that companies should put in place to monitor compliance with the principles set forth in the Guides; these are appropriate subjects for advertisers to determine for themselves, because they have the best knowledge of their business practices, and thus of the processes that would best fulfill their responsibilities.” see page 48 of the complete FTC document for full text

What this means is it is time to create social media policies and practices within your organization which carefully balance innovative business uses of social media with clear lines drawn on unacceptable practices.

While it is my intention to use my Association 2020 blog to add value to our community rather than endlessly promote my consulting practice, Social Frequency Media Communications, this is one instance where I want everyone to know that social media internal policy and procedure development is a core part of my services.  Click here to learn more about Social Frequency Media Communications or feel free to contact me directly at stuart@socialfrequency.net.

Add comment October 9, 2009

FTC – Bloggers Liable for Endorsements and Misleading or Unsubstantiated Representations

The Federal Trade Commission this week released new Guides Concerning the Use of Endorsements and Testimonials in Advertising.  Since I am a strong and vehement advocate for authentic and genuine participation/interaction on the social web, allow me to provide my spin on how we might simplify our understanding of the 81 page FTC document:

  • If you get PAID to SAY, then you must SAY you got PAID.
  • If you CLAIM RESULTS, it better be TRUE.

Here is a verbatim breakdown of the FTC Office of Public Affairs release (10/5/09) as it relates to bloggers:

1)  The revised Guides also add new examples to illustrate the long standing principle that “material connections” (sometimes payments or free products) between advertisers and endorsers – connections that consumers would not expect – must be disclosed. These examples address what constitutes an endorsement when the message is conveyed by bloggers or other “word-of-mouth” marketers.

2)  The revised Guides specify that while decisions will be reached on a case-by-case basis, the post of a blogger who receives cash or in-kind payment to review a product is considered an endorsement. Thus, bloggers who make an endorsement must disclose the material connections they share with the seller of the product or service.

3)   A  paid endorsement – like any other advertisement – is deceptive if it makes false or misleading claims.

Let’s all work to preserve the integrity in the appropriate use of social media, within which resides immense possibilities for a more meaningful world.  Since I’m not a lawyer, I encourage you to consult a lawyer or legal counsel for advice or a complete interpretation of the  complete 81 pages of text.

Add comment October 8, 2009

12 Ways Social Media is Different than Traditional Mass Media

Social Frequency_symbolThe social web has changed the media communications landscape in a way much of the world has yet to fully understand.  Simply put, the social web has created almost a reverse flow in the traditional mass media world in which user-generated content and consumer activism is reaching more audiences than brand messaging.

Those businesses and organizations who refuse to begin charting a path toward collaborative and conversational social media communications models will eventually find their high-paid mass media messages generating a lonely echo on a faint frequencies.

Fear not my friends.  Below you will find a comparison of 11 ways in which social media is different than traditional mass media which will hopefully get those right brain neurons firing in a new direction.

1)  Traditional Mass Media is passive consumer participation, Social Media is active consumer participation.

2)  Traditional Mass Media is one-way “one-to-many” communication, Social Media is two-way “one-to-one” communication.

3)  Traditional Mass Media targets isolated consumersSocial Media connects consumers who generate conversations and content.

4)  Traditional Mass Media is message-driven, Social Media is conversation-driven.

5)  Traditional Mass Media is built around perceived brand control, Social Media is built around shared control and humanizing transparency.

6)  Traditional Mass Media consists of a limited set of targeted channels, Social Media consists of a conceivably unlimited number of targeted channels.

7)  Traditional Mass Media impressions are fleeting with awareness subsiding after date of publication/broadcast, Social Media conversations and content are lasting and continually discoverable via search engines.

8)  Traditional Mass Media is brand-driven, Social Media is service and consumer-driven.

9)  Traditional Mass Media has limited reach with increasing cost as reach expands, Social Media offers unlimited reach and micro-targeting while investment remains relatively constant.

10)  Traditional Mass Media is a financial investment in paid channels and creative, Social Media is a social investment in people, conversation and user-generated content.

11) Traditional Mass Media carries varying levels of credibility and authenticity, Social Media is conveys a stronger sense of credibility and authenticity.

12)  Traditional Mass Media is like night, Social Media is like day.

While the above picture has been painted with a broad brush and is far from complete, I believe the progression of social media to date has proven these thoughts to be fundamentally true and are becoming truer by the day.  What will be your next move?

Add comment September 30, 2009

Association Publishing Magazine Features Stuart Meyer in September/October 2009 Issue

Association Publishing ArticleMy advance apologies for the dreadfully ego-centric sounding headline above.  I simply wanted to make sure this posting was optimized for search engine results… or “SEO” as it is called… which translates into posting views and insures that this story might reach a wider audience.

As many of you know, I’ve spent the second half of this year making the transition toward living and sustaining my life purpose.  This wonderful article, written by the very talented Carla Kalogeridis, provides a deeper perspective on how I am working to translate my humbling gifts and talents into my daily vocation as composer, filmmaker and not-for-profit social media consultant.

Earlier this year, as a step along this journey, I voluntarily composed a theme song (click here to listen) for the Association Forum to be used as a source of motivation for all the not-for-profit association professionals out there who have weathered a very difficult year.  The title of the theme song is “Go the Distance” which pretty much says it all to anyone from any walk of life who has endured this year of economic heartbreak and setbacks.

Within the past couple of months, I was contacted by Association Publishing Magazine about their interest in writing an article about the story behind this piece of music.  If you click here you can read the full article.

As the journey continues, I also invite you to support my current documentary film project, Imprévu – The Kenneth von Heidecke Storywhich is an inspiring story about a blue-collar Midwestern kid from Chicago who faces unimaginable triumph and tragedy in pursuing professional and international acclaim in the world of ballet.

When I first met Ken, I knew this was a powerful story that had to be told in a way that is as uniquely creative and as beautifully artistic as his life.  This film will not be your typical documentary, but rather an emotive and inspiring cinematic journey that well leave audiences reflecting, and hopefully acting upon their own inexhaustible purpose and calling in life.

Please join the official Imprévu film group on Facebook by clicking here where you can read our production diary dating back to 2008, listen to clips of film music I’ve composed and see our growing collection of production photos. I also welcome you to spread the word.

Add comment September 14, 2009

7 Golden Rules for Engaging in Social Media Conversations

DSC_0033It happened in the solemn twilight hours of an otherwise typical weeknight.  The CEO of the International ACME Widget Association (IAWA) awoke helplessly from a deep sleep which was disrupted by a harrowing nightmare.  In the nightmare, the CEO received a distressed email from an IAWA Board Member with a link to a blog post which included a number of criticisms about IAWA’s statement of practice regarding widget engineering.  The panicked Board Member instructed the CEO to find a way to make the posting go away.  The CEO awoke in a cold sweat, but quickly realized that their association had no strategy or process for handling such a situation.

As associations, its time for us all to awaken to the reality we can no longer ignore the social media-based conversations which are taking place outside our organizational walls.  Even more, we must realize that every single conversation is an opportunity to cultivate insights, trends, engagement and relationships.

As you begin to assemble your social media strategy, below are 7 golden rules for engaging in social media conversations:

  1. Release yourself from the illusion that you can somehow control the conversation.
  2. Regularly monitor the social web and all major social media channels using your brand as a keyword search.
  3. Listen very carefully to what is being said with an open-mind as every  perspective is an opportunity to learn.
  4. When you discover an opportunity to engage, try to first reach out directly on a one-to-one level either through email or a direct message.
  5. When you reach out, know that conversations cultivate valued relationships.
  6. Focus on reaching a better understanding of praise and complaints alike while at the same time looking to create value in shaping a positive experience through the interaction.
  7. If a public response/comment is necessary, wait until after you’ve had a chance to engage in the one-on-one interaction.

Social Frequency_symbolNeed help developing your association’s social media strategy?  Social Frequency Media Communications can help your association join its future… already in progress.  Visit our website at www.socialfrequency.net or contact me directly at stuart@socialfrequency.net .

Add comment September 3, 2009

5 Ways to Get into the Flow of Social Media

DSC_0131Below are  5 ways to use social media to expand your organization’s sphere of engagement, interaction, particiaption and influence: 

1)  Develop a comprehensive relationship-focused social media strategy driven by the mission and strategy of your association.

2)  Conduct a social media audit to identify all groups and influencers within your association’s social sphere. 

3)  Engage regularly in social media monitoring, utilizing keyword-based search tools built into popular social media platforms or third party applications.

4)  Operationalize the use of social media as a business tool at levels of the organization.

5)  Be authentic, experiment, make connections, build relationships and cultivate brand ambassadors.

Add comment August 24, 2009

2009 ASAE Annual Meeting Opens with a Bang in Host City Toronto

For those who may not know, the 2009 ASAE Annual Meeting is taking place this week in Toronto.  I was on hand for half the meeting and must say both ASAE and the host city of Toronto have pulled out all of the stops this year.  From volunteer leadership and networking to education and new business tools, the ASAE Annual Meeting brings together our community to  experience what being an association executive is all about.   

For those who weren’t able to attend or for those looking to re-live or share the experience of the opening reception, I happened to capture some rough video from my iPhone of the exciting pyro fireworks finale, which features the 4 Canadian Tenors, which you can view below.

Social Frequency_symbolSocial media is a conversational business strategy, not just a set of tactics.  Looking to develop and/or manage the right approach ?  At Social Frequency Media Communications we help your association join its future… already in progress.  For more information, visit  www.socialfrequency.net .

Add comment August 17, 2009

Quick Tip: Value vs. Motive in Social Media ROI Measurement

Association2020_Value v MotiveYou can ultimately achieve social media motives and measurable ROI by keeping the focus on generating value… and, most importantly, valuing the vital role and contribution of participants.  

As Susan Scott points out in her book, Fierce Conversations , the “conversation is the relationship.” 

Social media is an opportunity to make meaningful connections and build vital relationships by providing something of value and genuinely valuing user-generated participation.  Time and time again, I see all types of organizations make the mistake of simply using social media to sell themselves, which is the quickest way to get ignored.

Measuring value generation in it’s many forms is the first phase of your social media ROI equation.

Add comment July 30, 2009

Quick Tip: How to Navigate Complaints and Negativity on the Social Web

Social Frequency_symbolThe Truth about Complaints

Unless the person appears to be crazy, always see complaints via the social web as an opportunity to deepen the relationship.  Most people who complain do so because on some level they care and they want to be heard. 

How to Handle Legitimate Complaints

The key is to reach out one-on-one, thank them, listen… really listen, acknowledge, learn, identify mutual commonality, provide additional information which might provide clarification and thank them again. 

In doing so, you stand a chance to either neutralize the discontent or, even better, establish a relationship which could convert the individual to a promoter.  I’ve had experiences were the individual issuing the complaint added a retracting comment.  Additionally, once you’ve cleared the air, you can also provide a follow-up comment or post which clarifies any misunderstandings and reinforces your position.

Listening is perhaps the most powerful communication tool.

Add comment July 27, 2009

How the Text-Obsessed “Distracted” Generation Will Become the Engaged Generation for Associations

PhoneWe already know that ASAE’s 2006 Decision to Join study showed the younger generations value social networking at a higher level than previous generations.  In addition, it appears the younger generations remain to see a strong need for associations.

Since I have two boys under age 10, let’s dive a little bit deeper into what one might be tempted to label as Generation D, the distracted generation. 

The main source of distraction in the eyes of parents is kids texting endlessly.  Just in the past month, here is my top 3 list of strangest places I’ve seen kids texting:

1) A girl texting while riding a bike down the street, one hand texting on the phone the other on the handle bar.

2) A girl texting will riding the hang glider ride spinning round-and-round up-and-down at a summer festival midway.

3) Two kids texting each other while sitting side-by-side.

While I can understand the temptation to label this new generation as distracted, I choose to label them differently… very socially focused.  This is excellent news for associations, especially as we drive our social media strategy into more of a convergent pipeline and straight into the iPhones and smartphones of the future. 

Social engagement is what creates the cohesive social investment which has kept our associations running throughout time and will continue to help us build even stronger futures.  The only thing that has changed is the medium/s in which we operate.  Smoke signals, the printed word, the telegraph, the telephone, the radio, the tv and now the social web sphere.    

While the iPhone dominates the U.S. market right now, the other phone makers are frantically developing comparable platforms which will ultimately enable the development of applications for multiple platforms.  In the meantime, the iPhone is the best bet for application experimentation.  Why not get started today? SM 

Ready to join your future already in progress, but not quite sure where to start?  Visit www.socialfrequency.net

Add comment July 23, 2009

Previous Posts


Recent Posts

Categories

Stuart on Twitter

Recent Comments

Meta

Blogroll