Advertising and Society
Chapter 3
Advertising’s Societal Role
• Does advertising create a materialistic culture or does it simply reflect it?
– Critics believe that advertising has the power to shape social trends and the way people think and act
– Advertising professionals believe advertising mirrors values rather than sets them
• Advertising can potentially shape and mirror values
Advertising’s Regulatory Environment
Federal Trade Commission
• Regulating deception
• Regulating substantiation
• Remedies for deception and unfair advertising
• Deceptive advertising misleads customers by making claims that are false
Advertising’s Regulatory Environment
Federal Trade Commission
• Regulating deception
• Regulating substantiation
• Remedies for deception and unfair advertising
• The advertiser should have a reasonable basis for making a product claim
Advertising’s Regulatory Environment
Federal Trade Commission
• Regulating deception
• Regulating substantiation
• Remedies for deception and unfair advertising
• Consent Decrees
• Cease-and-Desist Orders
• Corrective Advertising
• Consumer Redress
• Advertising Agency Legal Responsibility
Advertising’s Regulatory Environment
Food and Drug Administration/BSTI
• Oversees package labeling, ingredient listings, and advertising for food and drugs
• Watchdog for drug advertising
Federal Comm. Commission
• Can issue and revoke licenses to broadcasting stations
• Can ban messages that are deceptive or in poor taste
Media Review of Advertising
• The media attempts to regulate advertising by screening and rejecting ads
• The First Amendment gives any publisher the right to refuse to publish
• The Advertising Review Council designed the standards and guidelines used by major television networks
Self-Regulation
• Self-discipline
• Industry self-regulation
• Self-regulation with outside help
• Most advertisers and agencies have in-house review procedures
• Every element of a proposed ad should be evaluated by an in-house committee or lawyers
Self-Regulation
• Self-discipline
• Industry self-regulation
• Self-regulation with outside help
• National Advertising Review Council
– National Advertising Division
– National Advertising Review Board
• Negotiates voluntary withdrawal of deceptive advertising
Self-Regulation
• Self-discipline
• Industry self-regulation
• Self-regulation with outside help
• Local Groups
• Consumer Groups
Advertising Ethics
• A set of moral principles that guide actions and create a sense of responsible behavior
• Six key issues
– Poor taste and offensive advertising
– Stereotyping
– Body and self image
– Targeting children
– Misleading claims and other message strategies
– Controversial products
Advertising Ethics
Poor Taste/Offensive
• Advertisers and media outlets must try to be sensitive to consumer objections
• Creating guidelines for good taste is difficult
• Sex in advertising
Reinforcing Stereotypes
• Diversity Issues
• Gender Roles
• Racial and Ethnic Stereotypes
• Senior Citizens
Advertising Ethics
Body and Self Image
• Self-image advertising can contribute to self-improvement
• Can also lead to dangerous practices
• Advertising mirrors and shapes the standard of attractiveness
Children
• One of the most controversial topics in the industry
• Children are unable to evaluate advertising messages and make purchasing decisions
Advertising Ethics
Misleading Claims
• Advertising claims are unethical if they are false, misleading, or deceptive
Controversial Products
• Though it is acceptable to advertise these products, it is still offensive to some
Determining What is Ethical
• The social ethic
• The professional ethic
• The personal ethic
• The “Golden Rule”
• Social responsibility motivates a business to make a positive impact on society
Determining What is Ethical
• The social ethic
• The professional ethic
• The personal ethic
• Industry standards help with a decision about what is ethically correct
• A code of standards identifies how professionals should respond when facing an ethical dilemma
Determining What is Ethical
• The social ethic
• The professional ethic
• The personal ethic
• Personal judgment and moral reasoning rests on an intuitive sense of right and wrong
• Advertising professionals must be aware of industry standards as well as ethical questions