Informing, Inspiring, Impacting

Italy Strengthens Oversight on Social Media Influencers Amidst Chiara Ferragni Scandal

Summary

Italy’s AGCOM expands regulatory authority over influencers, prompted by a controversy involving Chiara Ferragni. Stricter measures aim to protect rights and enhance transparency.

Italy’s communications authority, AGCOM, has decided to intensify its regulation of social media influencers, particularly those with substantial followings. This move comes in the wake of a burgeoning scandal involving Chiara Ferragni, a prominent Italian fashion blogger.

AGCOM, responsible for overseeing television and other audio-visual media, will extend its jurisdiction to influencers boasting over one million social media followers, with at least 2 percent actively engaging with their content.


ALSO READ

The regulatory measures, outlined in an audio-visual media law adopted in December 2021, encompass fines of up to 600,000 euros ($660,000) for violations, particularly pertaining to data protection laws, especially those concerning minors.

AGCOM clarified that its oversight will focus on “commercial communication and the protection of fundamental rights of people, minors, and sporting values.” Notably, in instances of product placement, influencers are mandated to include a warning about the advertising nature of the content, as stated by AGCOM.

The catalyst for this regulatory shift was the involvement of Chiara Ferragni, who is currently under investigation for endorsing a pandoro cake brand in November 2022. The promotion suggested that a portion of the sales would contribute to child cancer treatments at the Regina Margherita hospital in Turin. However, Italian competition authorities revealed that Ferragni’s companies profited over a million euros from Balocco brand pandoro sales but only donated 50,000 euros to the hospital.

AGCOM announced that a panel of experts would develop a “code of conduct” outlining the measures influencers must adhere to, aiming to bring more transparency to the industry. The statement reiterated the regulatory focus on “commercial communication and the protection of fundamental rights of people, minors, and sporting values.” Additionally, it highlighted the obligation for influencers to include warnings about the advertising nature of content, particularly in the case of product placement.