ASA warns advertisers of the regulatory demands of digital

19 January 2006

"The advertising business cannot afford to abandon self-regulation in the digital world," Advertising Standards Authority (ASA) Director General Christopher Graham told an audience of international business leaders in New York last week.

Mr Graham was describing the future for advertising self-regulation online at a roundtable on emerging challenges to self-regulation at the International Chamber of Commerce (ICC).

"Effective self-regulation delivers consumer trust in advertising and protects the credibility of advertising media.  New media platforms need that trust as much, or more, than conventional media," Mr Graham said.

"Self-regulation benefits consumers and advertisers by securing fair competition between brands.  It also serves public policy goals by upholding socially responsible advertising and safeguards freedom to advertise responsibly.  We would walk away from nearly half a century of successful self-regulation if we failed to apply the same principles to new and emerging advertising media.  The technology may be new, but the responsibilities are the same," he continued.

Mr Graham acknowledged that self-regulation would need to adapt to the changing advertising environment: "The online world works differently.  Media owners cannot play the same gatekeeper role online that applies with print and broadcast advertising.  Instead, effective self-regulation may best be maintained by a tripod of brands, advertising codes and alert consumers."

Mr Graham outlined how digital self-regulation might work:

• Brands that fail to adhere to the rules online risk damage to their reputation.  Corporate Social Responsibility and compliance will be increasingly relevant to protecting the character of brands themselves.  Internal compliance procedures and self-regulation of campaigns will be even more important to protect the brand online.
• Advertising self-regulatory bodies like the Advertising Standards Authority (ASA) and the code-writing Committee of Advertising Practice (CAP) will bring new media companies within the self-regulatory system and should not shrink from upholding challenges to non-compliant advertisements even if there can be no guarantee that the offending material will be quickly withdrawn from cyberspace.
• Consumers will need to watch out for their own interests online - through technological and regulatory filters and through improved media literacy.  Advertisers and regulators will have to signpost effectively so that consumers are more aware than now of the rules that apply in different media.  Clear adjudications from self-regulatory organisations like the ASA will be an important source of information for online consumers.

Mr Graham called for the big, global advertisers, agency networks and media players to be more actively involved in strengthening the network of national self-regulatory organisations, particularly across the EU 25.