FTC Orders Alcohol Advertisers to Hand Over Data

In the US, the Federal Trade Commission (FTC) has ordered fourteen advertisers of alcoholic beverages to provide information on their online marketing and data collection practices, for use in its annual study on the effectiveness of guidelines for reducing marketing to underage audiences.

The FTC has also requested information on advertising expenditure and placement data, as well as background intelligence on the firms' business practices.

Each advertiser must confirm what information is collected from a visitor to an online site, and how such information is used to deliver advertising to consumers in the future. Additionally, the firms must explain any restrictions they place on the use of information collected and the mechanisms and tracking practices used to deter entry by persons under the age of 21.

As part of the process, the firms also have to describe any analytics or technologies used to identify or profile visitors to web sites, and how that information is used.

Recommendations from past reports have resulted in agreements by the Beer Institute, the Wine Institute, and the Distilled Spirits Council of the US to adopt a voluntary advertising placement standard; buying guidelines for placing ads on radio, in print, on TV, and on the Internet; a requirement that suppliers conduct periodic internal audits of past placements; and systems for external review of complaints about compliance.

Web site: www.ftc.gov .