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Harnessing Creativity or Creating Liability?
The growth of online social networking has not been lost on marketers, who hope to enlist Internet users in campaigns to promote their products and services. This article will appear in three installments. This first part examines the use of user-generated content ('UGC') and user participation as part of a promotion. In the next issue, the use of online sweepstakes and promotions will be addressed in detail. The final part will look at how the developing law regarding e-contracting, online privacy and data security, commercial e-mails and children's issues applies to Internet promotions and marketing.
Riding the Wave
Lately, marketers are tapping into the user-created content phenomenon and running UGC contests and other promotions online, sometimes promising to run the winning video as a television commercial. Marketers are engaging in online promotions within the virtual communities of social networking and massively multiplayer online games ('MMOGs'). In addition, online promotions frequently encourage certain online user activities, such as recommending products to friends on their blogs and sending e-mails about a product or service to their friends, sometimes by rewarding such activities with cash, coupons, prizes or sweepstakes entries.
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