Electronic Retailer - July 2011 - 54

RICK PETRY

Double Standards and Practices
Recently, ABC’s 20/20 examined the direct response television industry with an exposé entitled “Infomercial Nation.” The primetime news magazine segment examined several facets of the industry that included the use of celebrities as pitch people with a particular emphasis upon trailblazer and ERA Lifetime Achievement Award winner Suzanne Somers. It scrutinized claims and highlighted the results of several product tests conducted by Consumer Reports. Much of the piece suggested that what motivates the participation in and marketing of DRTV products is greed. A somewhat ironic assertion given that this report – as such reports often do – occurred during a Nielsen “sweeps” period when networks often rely on programming stunts and stretching the truth and works cooperatively with the Federal Trade Commission to self-police the industry. The 20/20 episode alluded to ERSP in its analysis of the industry, even interviewing director Peter Marinello. But what stopped this viewer cold was this statement made by reporter Jim Avila prior to the introduction of Marinello: “Who polices the claims beforehand? The answer: nobody.” Excuse me? Have you never heard of a broadcast standards and practices department? In addition to reviewing programming, this body should be combing through advertising claims for their veracity before the ad goes on the air. This includes a comprehensive review of the ad itself and may also involve an examination of double-blind studies, testimonial affidavits and other substantiation. If there is anything questionable about the ad, it is ferreted out in advance of airing or may be vetoed altogether if it does not meet the broadcaster’s standards. While networks like to make the distinction between programming and advertising as being akin to “church and state,” the fact is that broadcast and advertising communities exist as part of an economic system that requires mutual cooperation. Rather than tarring the very industry it depends on for a significant part of its sustenance, perhaps television news departments should point their cameras acting as microscopes internally to ensure they are holding up their end of the deal. At one point in the 20/20 profile, it is reported that the likes of Justin Bieber and Katy Perry have enjoyed easy money – reputedly $3 million for a couple days of work – to endorse Proactiv. A sound bite from Perry is taken out of context to punctuate the point when she intones, “I have found the gold at the end of the rainbow.” She’s not alone. Rick Petry is a freelance writer who specializes in direct marketing and is a past chairman of ERA. He can be reached at (503) 740-9065 or online at rickpetry.com. On Twitter at http://twitter.com/thepetrydish.

While networks like to make the distinction between programming and advertising as being akin to “church and state,” the fact is that broadcast and advertising communities exist as part of an economic system that requires mutual cooperation.
dubious come-ons in order to attract higher ratings that will ultimately drive the rates for general advertisers. When you consider that networks like ABC reap tens of millions of dollars from the very industry they are going after, it’s a bit hard not to wince at this exemplar of biting the hand that feeds you. Such teeth marks require stitches. That isn’t to say that there are not bad actors with spurious claims utilizing DRTV, which is exactly why ERA launched the Electronic Retailing Self-Regulation Program (ERSP) in 2004. The program reviews claims, makes recommendations to marketers it deems may be 54

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Electronic Retailer - July 2011

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