International Chamber of Commerce

Advertising and Marketing Communication Practice

Consolidated Code

Introduction

• Code has been primary policy instrument for self-regulation of commercial communications for over 70 years.

• This general Code has been regularly updated.• In the past separate codes were added on:

– sales promotion,– sponsorship, – direct marketing, – electronic media and

–environmental advertising–market research–direct selling.

Eighth edition achieves two principal goals

• Consolidate the major part of the existing ICC marketing and advertising codes into a single, easily accessible document;

• Extend the scope of the Code’s general provisions to include other forms of marketing communication as well as advertising.

Purpose of the Code

• demonstrate responsibility and good practice in advertising and marketing communication across the world;

• enhance overall public confidence in marketing communication;

• respect privacy and consumer preferences;• ensure special responsibility as regards

marketing communication and children/young people;

Purpose of the Code (cont)

• safeguard the freedom of expression of those engaged in marketing communication;

• provide practical and flexible solutions;• minimize the need for detailed governmental

and/or inter-governmental legislation, regulations, costly administrative structures.

Key Messages

Marketers and practitioners should ensure that their advertising and marketing communications are…

Fair

• Respect the principles of fair competition, all applicable laws and adhere to the ICC Code in spirit as well as in fact.

Decent

• Always maintain ethical standards; avoid offending prevailing standards of decency in countries or cultures concerned.

Honest

• Ensure consumers have or can easily and timely access information necessary for their decisions. Do not make unjustifiable use of the name, logo, trademark etc of another company or organization, nor in any other way take advantage of the goodwill of others.

Truthful

• Check all content is accurate and not presented in a way likely to mislead consumers.  All verifiable claims and facts must be capable of substantiation at the time of use.

Suitable for Children

• Take special care with messages intended for or featuring children. Make sure such messages do not exploit children’s natural credulity, or undermine positive social behavior, lifestyles and attitudes; avoidance of unsuitable products; and never include children’s messages in media where editorial matter is unsuitable.

Socially Responsible

• Respect human dignity and the environment.  Never condone or encourage discrimination, violent or other anti-social behavior, or exploit the misfortune of others.  Never denigrate or ridicule any person or group, organization, product, profession etc.

Other Considerations

• Respecting Privacy - Respect the rights and privacy of individuals from whom data are collected.

• Clearly Distinguishable - Ensure messages are clearly identifiable as marketing communiqué, distinguishable as such and not susceptible to being confused with editorial content.

• Honest Product Endorsements - Use testimonials or endorsements only if they are genuine, verifiable and relevant.  Do not portray or refer to anyone without prior consent.

Challenge to Marketing Communications

• criticism of marketing and advertising centers on advertising and promotion of foods, and the development of new marketing techniques in a fast-evolving media universe, with some groups offering various proposals to ban or restrict advertising in response

ICC Solution

• ICC has created and maintains a set of universal standards that can be accepted by different cultures and political systems, reflecting the dynamism of the international marketplace while recognizing the need for a flexible system of self-regulation for effective local adoption.

Self Regulation

• Its value lies in the ability to create, enhance and preserve consumer confidence in the business communities behind it, and by extension, marketplace.

• It is an instrument for the protection of individual companies’ goodwill and reputation.

• Self-regulatory codes continue to be developed and refined in response to societal, technological and economic changes.

Benefits Include:

• The ability to swiftly update codes to address new issues. – The ICC Commission on Marketing and

Advertising keeps the codes under constant review, adjusting them when necessary to meet changing public sensitivities and the demands of new technologies.

Benefits (cont)

• a set of universal standards that can be accepted by different cultures and political systems. – The self-regulatory codes and guidelines offer a basis

for national codes applied by professional associations.

Benefits (cont)

• a true global consensus with buy-in from business. – ICC’s unique consensus building process

means that the self-regulatory codes reflect the views of companies from all sectors, of all sizes, and from developed, transition and developing economies.

Benefits (cont)

• an effective and cost-efficient system.– Self-regulation assures consumers of ethical

and responsible advertising. It reduces costs that otherwise would be required for governments to legislate and administer detailed regulatory codes.