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Influencers undergo a grand spring cleaning through fraud suppression measures

by Hashem Ali
July 3, 2023
in Technology
3 min read
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60% of FCI-controlled influencers break rules Economy minister intends to publicly denounce fraudsters New law to tighten rules and control even further Influencers have become key players in the digital economy, but also prime targets for fraud repression. According to data released by the Directorate General of Competition, Consumer Affairs and Fraud Prevention (DGCCRF), of the approximately sixty influencers and agencies audited since 2021, 60% did not comply with current advertising and consumer rights regulations. The main anomaly concerns the lack of transparency of the commercial nature of influencer publications. Indeed, the law requires all advertising to be clearly identified as such, such as using the terms #pub, #sponsored or #partnership. However, the DGCCRF found that all infringing influencers failed to comply with this obligation, which may mislead consumers regarding nature and objectivity of disseminated messages. In addition, some influencers have also misled consumers about the properties of the products or services they promoted by using false claims (anti-COVID, organic, natural, etc.), not mentioning risks or contraindications, or exaggerating expected results. advantages. Such practices may harm the health or safety of consumers or encourage them to buy goods or services that do not meet their needs. In the most serious cases, some influencers carried out unauthorized or even illegal advertising operations, such as account takeovers. personnel (CPF) to receive cash or gifts, or to promote cosmetic injections by non-healthcare workers. These actions may constitute fraud or an attack on the physical integrity of people.

What are the penalties?

Influencers who do not follow the rules are subject to administrative or criminal sanctions. The DGCCRF may impose an administrative fine of up to EUR 3,000 for an individual and EUR 15,000 for a legal entity. He can also ask the public prosecutor to initiate proceedings for misleading commercial practices, punishable by two years in prison and a fine of 300,000 euros. In addition, affected consumers can take action justice demand compensation for the damage caused. They can also report anomalies observed on the implemented SignalConso platform. place according to DGKRF. Economy Minister Bruno Le Maire, speaking into Franceinfo’s microphone, promises to do away with the Far West. He explains:

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The names of influencers who did not comply with the rules will be announced in the coming days. We can’t accept that this is the Wild West.

Influencers: “In the coming days, we are going to name the names of influencers who did not follow the rules. We cannot accept that powerful people are the Wild West,” announces Bruno Le Maire, Minister of the Economy. t.co/0naQZOp7fu peak.twitter.com/vnwbvLT2RQ — FranceInfo (@franceinfo) May 3, 2023

New framework law

Faced with the serious challenges presented by this profession, especially in terms of protection the youngest consumers, the DGCCRF has announced that it will tighten its controls in the coming months. In addition, a framework law passed by MP Arthur Delaporte (PS) aims to strengthen the legal framework applicable to powerful persons. Text on remuneration transparency, platform responsibility, protection minors and the fight against illegal content. Finally, influencers can also rely on the advice of the Advertising Regulatory Professional Body (ARPP), which in 2017 published a guide to influencer marketing best practices. This guide is a reminder of the ethical principles to be observed in terms of loyalty, respect for the public, the truthfulness and proof of statements or protection personal data.

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