Compliance Oversights in Branding
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Questions and Answers

Which of the following is a common cause of data breaches in large organizations?

  • Lack of third-party compliance verification
  • Inadequate social media oversight
  • Unforeseen weaknesses in data sharing between apps (correct)
  • Endpoint security platform issues
  • What was the reason for the FTC fining Deutsch LA and its client Sony?

  • Running video advertisements that demonstrated features not present in the games (correct)
  • Partnering with brand influencers without proper disclosure
  • Not having a well-structured review process for social campaign content
  • Failing to deliver on product promises made to consumers
  • What action led to clothing brand Lord & Taylor being sued by the FTC?

  • Partnering with brand influencers without proper disclosure (correct)
  • Not having a well-structured review process for social campaign content
  • Failing to resolve an issue prior to a campaign's distribution
  • Lack of third-party compliance verification
  • Study Notes

    Common Compliance Oversights by Brands

    • 75% of large organizations find that data breaches come from staff-related errors.
    • Marketing firm Exactics unintentionally exposed over 340 million records on a publicly accessible server.
    • Unforeseen weaknesses in data sharing between apps and how that data is sold can undermine even the most diligent intentions.
    • Companies should select tools and apps that offer third-party compliance verification, controlled guest access, and use endpoint security platforms built for cloud systems.
    • Major agency Deutsch LA and its client Sony were fined by the FTC for running video advertisements that demonstrated remote and cross-platform features in specific games that did not contain those features upon the console’s launch.
    • Due diligence processes at and between the agency and its client failed to resolve the issue prior to the campaign’s distribution.
    • Companies need to deliver on product promises made to consumers.
    • Social media is everyone’s responsibility in maintaining proper brand language and avoiding unintentional faux pas.
    • Pre-approving content according to brand language can be tough to balance with the rapid, ever-flowing nature of engagement.
    • The gold standard is a well-structured, yet agile review process that can capture social campaign content natively from each platform and route it for approval and posting in a structured, auditable fashion.
    • Clothing brand Lord & Taylor was sued by the FTC when it partnered with a large number of brand influencers to promote its apparel online without proper disclosure that those promotions were paid advertisements.
    • Brand partnerships should set detailed guidelines for product disclosures and usage and demonstrate structured oversight over partnership content development.

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    Description

    Test your knowledge on common compliance oversights by brands with this informative quiz. From data breaches to social media faux pas, this quiz covers the most important compliance issues that brands face today. Learn about the consequences of marketing mishaps, the importance of pre-approving social media content, and the need for structured oversight in brand partnerships. Take the quiz to see how much you know about staying compliant in the business world.

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