Essena O'Neill: can kids spot covert marketing by social media stars?

Australian model and teenage social media star Essena O’Neill hit the headlines earlier this month when she decided to quit social media, claiming it wasn’t “real life”.

Explaining the images she uploaded to social media portrayed as spontaneous life snaps, she spoke of lengthy staged photoshoots and sponsored clothing, claiming she could could be paid up to AUD$2,000 (£955) for each post.

In a recent survey of 16- 19-year-olds, participants said most of their online time was spent using websites and apps such as YouTube, Instagram and Facebook. Brands are following them there and partnering with teenagers who have big online followings to whom they can market their products and services. The problems arise when these commercial partnerships aren’t transparent.

Rules on social media marketing are “fuzzy”

In the UK Advertising Standards Authority (ASA) regulates sponsored content. Last week, the ASA banned a video on the Instagram account of Made in Chelsea reality TV star Millie Mackintosh because it hadn’t made clear it was an advertisement for a Britvic beverage.

The image caption featured the brand name and the hashtag #sp, which was meant to indicate sponsored content. However, the ASA ruled that it “was not a sufficiently accurate label” and that consumers needed to be aware that they were viewing marketing content prior to engaging with it.

“There is a common misconception that this space is not regulated but it is,” says Richard Lindsay, director of legal and public affairs at the Institute of Practitioners in Advertising. “Advertising needs to be obviously identifiable as such, in other words advertising has to be transparent, and if it’s not people get their fingers burnt.”

The ASA’s sister body, the Committees of Advertising Practice, offers guidance around non-broadcast advertising and urges brands and partners to be transparent about their association. Its director, Shahriar Coupal, says: “It’s simply not fair if we’re being advertised to and are not made aware of that fact.”

Jed Hallam, head of digital strategy at global media and marketing services company Mindshare, explains that there is a difference between so-called “paid” and “earned” media.

For example, paid media would mean paying for an influencer’s time and audience reach for a specific project, whereas earned media refers to giving an influencer a product or service and hoping they promote it in return.

“Usually it’s a kind of you scratch our back, we scratch your back type of situation, but it always goes unsaid, so that’s what makes it a really grey area,” says Hallam, adding that Mindshare mainly deals with paid media.

Either way, he says it is important to remain clear. “If you don’t know you’re being sold to and you have even a glimmer of doubt that you are, then that is going to create a backlash from the audience,” he says.

Nathan McDonald is co-founder and global managing partner of social media agency We Are Social, which matches commercial clients with online influencers. McDonald says the rules can seem “fuzzy” and that transparency, credibility and trust – as well as matching the right brand with the right online influencer – is key to getting it right.He also says that his agency wouldn’t ask someone to say or promote something that they didn’t believe in.

McDonald thinks authenticity will continue to remain key to social media marketing success, especially with the advent of live streaming services such as Periscope and Meerkat. He explains that with live streaming “there is no editing, there is no second take ... it’s just as it’s happening and I think that’s really interesting for brands to be involved with”.

Equipping young people with a “bullshit meter”

Dr Pamela Rutledge, director at the Media Psychology Research Center in California, says that people, and especially young people, can often feel like they have real relationships with those they follow online, which is why it’s so important that the line between real life and paid-for endorsement isn’t blurred.

Rutledge says the fact that social media showcases so many different ways of being is “a real positive” but argues that education is critical.

“Just because [young people] can use apps and text like the wind doesn’t mean they understand the implications of the media environment, privacy, and potential manipulation,” she says.

“Just as we’ve argued for media literacy in terms of image, such as Photoshopped magazine covers, we need to be aware of lack of authenticity in endorsements. The only way to protect young people is to teach them the critical thinking skills and judgment, and to push for increasing transparency.

“We want to do everything possible to make sure kids are armed with, for lack of better words, a bullshit meter. The illusion of familiarity that comes with social media makes that critical.”

But Rutledge also emphasises that product placements and endorsements are nothing new and that it is important not to just view teenagers as victims.

“To me there would have been nothing wrong with her [Essena] saying ‘Look at this great outfit, I got this from this great company, they are supporting me to show it to you but I really love it’,” says Rutledge.

She believes there is a huge opportunity for companies to embrace this authenticity and ultimately come across as good guys.

“There’s no shame in promoting; there’s just shame in tricking.”