Online ads come under new regulation

Major change in the online advertising landscape

  • By Josh Hall
  • 2 September 2010

The Advertising Standards Authority (ASA) is to be given the power to regulate online advertising from 2011.

The move will bring online ads under stricter regulation, making them subject to the same rules as TV and radio advertising.

Advertisers are being warned that their online efforts will now come under increased scrutiny. Amongst other things, the ASA will now be able to ban pay-per-click adverts on channels like Facebook if it finds them to be misleading.

This mirrors the position in TV and radio, where adverts are banned with relative frequency. Just last week the ASA prevented BT broadcasting an advert for its broadband services, which the Authority said was misleading.

The new rules come into force on 1 March 2011, and will apply to any statement made online with the intention of selling a product or service. Editorial and journalistic content will be exempt, provided that it relates to a cause or idea, rather than a product or service.

The move marks a major change in the online advertising landscape, and could cause compliance issues in the short term.

An ASA spokesperson said: “This is a massive step. Consumers don’t differentiate between adverts on TV or online and this ensures that claims online will be subject to the same strict scrutiny of those in traditional media.”

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