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13 Replies Last post: Jul 29, 2009 8:49 AM by gurubomber

Is Paying For Blogs Unethical?

Aug 8, 2008 9:34 AM

Milleisen 129 posts since
Aug 6, 2008

Some of my competitors engage in the practice of paying bloggers to post positive reviews of their services. I find this practice to be unethical. The Bloggers sometimes disclose what they are doing, but it's on a separate page where many people won't be able to find it. Bloggers should state in big red letters at the the top of any blog that they are being compensated to write about a company. The worst part of it is that some of the companies that are being praised take advantage of unsuspecting clients who think that is their only alternative to getting a loan, meanwhile they charge obscene "success fees" of up to 20% of the loan amount.

What does everyone think? Unethical or a clever marketing tactic?

Tags: _marketing, advertising, marketing_ideas Report as inappropriate

LUCKIEST 7,935 posts since
Aug 6, 2007

1. Re: Is Paying For Blogs Unethical? Aug 8, 2008 10:36 AM

Is Paying For Blogs Unethical?? Good question

Blog

One of the newer types of ghostwriters is the web log, or 'blog'
ghostwriter. Blogs are websites where a person keeps a journal of
thoughts and holds online discussions with other web users, typically
on political, social, or cultural issues, and current events. As well,
many blogs cater to special interests ranging from handgun collecting
to knitting. Blogs are rated according to how many web 'hits' they get
from users viewing the page, and this rating is used by advertisers
considering paying for ad space on a blog website.

New blog operators hoping to generate interest in their blog site
sometimes hire ghostwriters to post comments to their blog, while
posing as different people and using pseudonyms. With more posts and
more comments, it is more likely that a blog will have more key words
which will bring up the blog during a search engine's search. Once a
blog gets more traffic, eventually the number of 'real' posts may
increase, and the blog ghostwriters may no longer be needed. While
companies providing blog ghostwriters claim that falsely attributed
postings are a legitimate marketing tactic, the practice has been
deemed unacceptable by a major US paper, The Los Angeles Times. The Times fired Pulitzer Prize-winning journalist Michael Hiltzik for fabricating postings in his blog using alternate 'identities' ("sockpuppets", in internet jargon).⁺⁺
⁺⁺

Some celebrities, CEOs,
or public figures set up blog websites as a marketing, public
relations, or lobbying tool. However, since these individuals are
typically too busy to write their blog posts, they hire discreet
ghostwriters to post to the blog under the celebrity or CEO's name. As
with nonfiction ghostwriting, the blog ghostwriter models their writing
style, content and tone on that of the credited author.

Not an answer, just more info, LUCKIEST

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Lighthouse24 2,396 posts since
Oct 10, 2007

2. Re: Is Paying For Blogs Unethical? Aug 8, 2008 10:39 AM

I know it can be frustrating when your competitors "cheat" (believe me, I see plenty of it in my business). We have to remind ourselves that "unethical" is not the same as "unlawful" -- we can only act on what's "right" for OUR business . . . not for everybody else's.

Every legitimate business owner is committed to being in business -- in one form or another -- for the rest of his or her life. The kinds of questionable business practices that you mention are short-sighted, and will eventually "catch up" with those owners. They'll have to move on to something else and start over. It's impossible to sustain a permanent place in the market without delivering genuine value to real customers over and over.

If you continue to operate ethically, you'll look back in 20+ years and realize how many of your competitors have come and gone -- all while you were building a firm that employees are proud to work for, that customers are eager to support and happy to tell their friends about, and that your community embraces. So for a serious business owner, it's not just about how you do business -- it's about how you spend your time on this planet and what you leave behind when you're gone.

Yes, it stings a little when an unethical competitor takes away a potential customer -- but you can look at in another way . . . only "stupid" customers fall for tactics like that. In the long run, "stupid" customers are bad for a business and eat away profits. "Smart" customers are easier to work with and make you more money. So think of unethical competitors as an in-line "strainer" that filters out the business you didn't want anyway.

Hope that helps. Best wishes.

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MotorDoc 19 posts since
Aug 5, 2008

3. Re: Is Paying For Blogs Unethical? Aug 8, 2008 10:53 AM

Now that is a really interesting question. However, there is one big issue: ethics are in the eye of the beholder - unless they are breaking a law. Right now there have not been any 'truth in advertising' challenges on internet advertising that I am aware of.

Personally, I think it is a sleazy tactic and would be cautious about working with such a company. However, there is not defined 'code of ethics' when it comes to blogs. In fact, I remember this exact type of discussion when advertisers started using the world wide web. I suppose part of the issue would be related to which is worse - a friend or associate posting at the request of the company, a fake name used, or a purchased endorsement? Or all of the above. Truly dishonest seems to be a grey area now-a-days, but if the person states that they have used a product and are not associated with the company in any way - then I'd have a greater issue.

At the same time, it is common practice in the publishing industry to pay for endorsements. I don't use that method with my company, but it is not considered unethical in the business. TV advertising, radio advertising, infomercials, all have the same issue. They may state that they are a 'normal person' but you see the really, really tiny print underneath stating that they are a paid actor.

By and large the online community will sort it out and avoid such blogs, such things can be very obvious, just like spam. With a low hit rate, they will eventually die off. However, there will always be the suckers that go with it.

Howard

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MotorDoc 19 posts since
Aug 5, 2008

4. Re: Is Paying For Blogs Unethical? Aug 8, 2008 11:07 AM

in response to: Lighthouse24

Lighthouse,

I couldn't have said it better.

Howard

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Iwrite 1,100 posts since
Dec 29, 2007

5. Re: Is Paying For Blogs Unethical? Aug 8, 2008 11:21 AM

in response to: MotorDoc

MotorDoc and Lighthouse are right, unethical is no illegal. A lot of the major advertising agencies have been and still are working on taping into the power of blogs and social networking sites to do just this - influence potential customers. Some of my friends are getting paid to blog for companies.

The reception on Myspace and Facebook have been mixed - it is a matter of how it is done. But when it has gone bad, it has gone real bad. however, when it has gone well, it has gone very well. I think it is a matter of the message and the level of honesty of the blogger.

I think it is ethical to pay a blogger and let the public know that you are doing so. The problem comes when you try to pull a fast one on the public, online or off-line it is never ethical to attempt to do this, never. The potential for harm to your brand outweighs the potentials for increased business. You only get one reputation.

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Carlitos11 3 posts since
Jul 21, 2009

6. Re: Is Paying For Blogs Unethical? Jul 21, 2009 9:22 AM

in response to: Iwrite

This question just keeps coming up. I think is currently working on a solution so that it won't help in the SEO. Instead of writing a whole article here. I agree with the statement found http://sitesourcepro.com/articles/16/. Another harsh view on it can be found http://www.mattcutts.com/blog/sponsored-conversations/.

I hope they will find a compromising solution. It should probably be handled between Google and the pay-per-post advertising firms. Some rules set.

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DomainDiva 1,732 posts since
Oct 10, 2007

7. Re: Is Paying For Blogs Unethical? Jul 21, 2009 12:32 PM

in response to: Iwrite

I can't picture anyone fake posting about our product. Our industry is SO SMALL that something like that would be noticed immediately.

I was in a UTA business class and the instructor asked the same question, if it is legal but unethical does that make it right?

The answer is no. There are many 'legal' things that people participate in that ruin lives and businesses. The Commodity Futures Modernization Act of 2000 legalized bucket shops again and set the stage for the financial mess we are in now with the credit default swaps and derivatives markets. That was legal, approved by congress and the senate. Was it ethical? Read the bill and pages 261 & 262 will show you in writing that what they were doing was not ethical. The CFMA gave get out of jail free cards for breaking state and local gambling laws.

I can see hiring a blogger to talk about your company, your business what you are doing, handling problems etc., but this posting for more ad clicks and to trash other businesses should be prohibited.

Eventually, as Lighthouse pointed out, these unscrupulous people loose, unfortunately the damage left behind is sometimes never undone. If it is un ethical it is also illegal. A business person cannot have two sides of the same issue as their moral compass.

For those of you who do not know what a bucket shop is/was please read: Reminiscences of a Stock Operator written in 1923, by Edwin Lefevre. Still considered THE book about trading, (OK so along with Alexander Elder who wrote about the psychology of the market).

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amspcs 516 posts since
Oct 18, 2007

8. Re: Is Paying For Blogs Unethical? Jul 21, 2009 4:41 PM

Very good question. Lots of good points made about ethical vs illegal. For me, that's a non-existant
grey area. It's all about honesty in my view. Honesty is like being pregnant...you either are or are not, not much middle ground. If you cheat, you are dishonest. And dishonesty is WRONG. Means do not justify ends.

AMSPCS
amspcs@juno.com
www.MerchantServices-help.com

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Iwrite 1,100 posts since
Dec 29, 2007

9. Re: Is Paying For Blogs Unethical? Jul 21, 2009 5:26 PM

in response to: amspcs

Months later and I still think it is all about disclosure. I don't mind a blogger being paid as long as the fact that they are being paid is out in the open.

What I have seen recently is companies posting videos on YouTube that appear to be unpaid but in reality are agency produced work. Is that or joining Myspace or Facebook as a person when in reality it is a company any different? I don't think so.

The nature of the web is such that there is not going to be anyway to police these practices. Consumers will have to have the final say as whether or not this behavior is acceptable. We can call it wrong but as long as consumers don't say anything, it will not stop.

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Carlitos11 3 posts since
Jul 21, 2009

10. Re: Is Paying For Blogs Unethical? Jul 21, 2009 6:42 PM

in response to: Iwrite

Ok thanks for the write back. I can see it both ways. If a blogger makes it noticeable to the viewer that it's a sponsored posting. But how is Googles bots going to know what to trust and not to trust. So in return Google might feel scared about the PageRank alg and just make everyones blog less important in the PageRank world.

If a blog post nothing but Paid-Postings then they will eventually loose there popularity and eventually PageRank would fade.

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Bankerboy 3 posts since
Jul 21, 2009

11. Re: Is Paying For Blogs Unethical? Jul 21, 2009 9:14 PM

Among other things, I own and run a niche hobbyists social/business networking/auction website. I recently told a long term member of my website to start writing articles relating to the hobby and that I will pay him. The advantage here is that the man already knows what to write about and likes writing about the hobby. Now he is getting paid for it. As long as he doent misinforms other members, I am ok with him blogging for money. So no, I dont think its unethical to pay people blog.

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creativeiads 44 posts since
Jul 25, 2009

12. Re: Is Paying For Blogs Unethical? Jul 28, 2009 6:49 PM

in response to: Bankerboy

Consumers are smart enough to quickly realize that recommendations coming from bloggers are just paid or paid but honest recommendations. But I have heard about companies starting to pay twitterers for twitting. So the trend will continue to pay for marketing in the form of blogging, twiterring, etc.

Mike Varavooru,
http://creativeiads.com

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gurubomber 2 posts since
Jul 29, 2009

13. Re: Is Paying For Blogs Unethical? Jul 29, 2009 10:06 AM

Definitely some good input here. Another thing to keep in mind is that while this is not an uncommon practice, it is not a long lasting solution. In other words, individuals willing to take this right are obviously looking for a quick fix solution and I consider this approach cutting corners at best. Eventually this type of activity will result in duplicate content and more importantly, worthless content. Keep in mind that search engines (Google) operate from a "purists" standpoint. Their sole purpose is to provide the most relevant, reliable and unique results for every given query. Once someone begins to provide duplicate and worthless content the search engines are pretty damn unforgiving. Believe me, I know the "dark side" very well, but I've been born again! Trust your gut, strive to be able to look yourself in the mirror after every day and keep in mind, in this field....in these days...slow and steady really does win the race.

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Is Paying For Blogs Unethical?

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