A how-to on the UAE’s “Social Influencer” Licensing & three outstanding questions

It’s almost Ramadan, the time of year when we post and pray. This year’s Ramadan may be a little different, possibly more stressful for some. Under regulations introduced in March by the UAE’s National Media Council (NMC), those making money to promote brands will need to be signed up with an e-media license by June or else face fines and other sanctions.

In the rest of this post, I’ll share the definition of what is an influencer as per the NMC, the process to get certification, as well as three questions I have on issues which maybe aren’t addressed or which have not been talked about. Thank you to Lexis Nexis and Fiona Robertson at AlTamimi for the below.

Who is an “influencer”?

The legislation is straightforward as to who is covered. To quote from the National Media Council:

“Any person who practices the above-mentioned media activities on Social Media, on a commercial basis, shall obtain a prior license from the Council, provided that:
1. It shall have an account on the generally recognized Social Media;
2. Ads that are presented on Social Media shall be subject to the advertising standards that are applicable at the Council;
3. Social Media accounts’ owners who offer paid advertising services shall obtain a license from the National Media Council in accordance with the applicable regulations in this regard and hereunder.
4. The account owner is responsible for the content of the account.”

 

The resolution covers all electronic media across the country. And the NMC defines electronic advertising as “any paid or unpaid form of presentation or promotion of ideas, goods or services by electronic means or network applications”.
For a person to get an e-media license, they’ll also need a trade license. The cost of both will be a minimum 30,000 Dirhams depending on where you buy your trade license (the e-media license is 15,000AED).

How do you get a License?

Below are the requirements and the process to follow to apply for an e-media license:

e-media license

The three questions

I’m sure there’s lots of questions from people who work in the marketing and communications industry on this new legislation. My three are:

  1. How does this cover children? There are some child stars in the US who have made millions from social media. Think of “Toys Review for kids by a kid!, for example (the six year-old child and his family have made in excess of 10 million dollars). Does the legislation cover this? There are young social media players here such as Rashed Belhasa who I assume are putting out paid content.
  2. What happens to those pushing out content on behalf of employers? The definition of electronic advertising is wide enough to ask me this question. Many employees share content from their employers. I’m assuming this won’t come under the purview of the NMC, but it’d be good for them to explicitly say so.
  3. Is this a blow to the concept of micro-influencers? The idea of people with smaller followings online, say 20,000 on Twitter and Instagram, working with brands has become popular over the past year. Often these people don’t take much money in return for sharing any content or working with a brand. Would they be able to afford the licensing? In addition, would an influencer agency want to take them on board, and bevvy up the cash with the prospect of getting a lower return than working with someone more established, with stronger brand appeal and a greater number of followers?

I guess we’ll find out how this all plays out soon. In the meantime, Ramadan Kareem!

My 2018 Predictions and Hopes for the PR & Communications Function (Part 1)

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Here’s my top four predictions for 2018 and what we as an industry will need to tackle (image source: http://www.marketingland.com)

I’m writing this in the spirit of the very best forecasters, the people who put thoughts onto paper at the beginning of the year which turn out to be so wide of the mark a couple of months down the line that I will be forced into hiding.

So, here we go. I’ve sorted the post into two parts. The first is what I think will happen (hence predictions) over the course of the next twelve months. My hopes will follow tomorrow.

2018 Predictions

  1. More Political Uncertainty  If you think 2017 was tough when it came to political leadership (or lack thereof), you haven’t seen anything yet. We’ve had a taste of 2018 and what to expect in the region with the US decision to recognize Jerusalem as Israel’s capital. This will be the year when US foreign policy shifts 180 degrees, on all sorts of issues. And others will behave accordingly. Other groups will need to step into the breach, and that means either the business community or the public. Expect more proactive lobbying and public affairs, and more reactive shifts in corporate social responsibility strategies.
  2. More Online Regulation  2017 may have been a great year for the likes of Facebook and Google (both registered record-high share prices in 2017), but last year may become a Pyrrhic victory for them, and other social media firms. Calls are growing in the US for broadcast regulations on political advertising to include social media following alleged Russian meddling in the 2016 Presidential elections, whilst European regulators are exploring how they can force the likes of Facebook, Google and Twitter to take more action on extremist content online – this will include fines. Even in the region, there’s a concerted effort to update laws to better regulate topics such as influencer marketing – keep an eye out for the UAE’s new digital legislation in 2018. Whatever happens in 2018, expect social media platforms, and the content hosted on them, to be more closely regulated.
  3. Expect more Online Crises – This may not be that surprising (yes, I can see you scratching your head and wondering why I’ve put this in). But I don’t mean an irritated consumer posting a piece of content about their poor customer service experience. Rather, I’m talking cyber-espionage, hacking, and whistleblowing. Last year we witnessed political disputes which were initiated by website hacks, a sustained series of leaks from email accounts which had been broken into, the hijacking of social media accounts, and more whistleblowing leaks. 2018 won’t be any different; in fact, this year will only see even more illegal activity online. 2018 could be the year when online hackers shift from politics to brand-jacking, targeting corporates for money (think bots artificially spreading content that impacts brand and corporate reputations). As an industry, we’re going to have to do a much better job of understanding the technical aspects of the online world.
  4. The Agency Model Breaks/Evolves – This isn’t an issue which has gotten nearly enough attention over the past couple of years (with the possible exception of the good work done by the team at the Holmes Report). Agencies aren’t making much, if any, money these days. Costs are high, talent is scarce, and clients are cutting budgets or shifting money into other areas. Publicly-listed PR agencies are looking at single-digit growth globally, and geographies which offered more, the likes of China and the Middle East, have also slowed down. With more competition both within the industry and without the industry, especially from the advertising and management consultancy sector, will 2018 be the year when agencies look to change how they approach client servicing, or is it the year when clients look to alternatives. There’s already a growing trend in the Middle East to embed agency people into the organization, essentially turning them into contracted roles, especially in government and semi-government organizations. Time will tell, but it’s clear to me that we need a healthy agency model for us to sustain the industry.

So there you have my four basic predictions. What are your thoughts? As always, I look forward to hearing from you.