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[Editor's Note: This post has been updated to include a response from PepsiCo. --Genie]
On October 19, the Center for Digital Democracy, along with Consumer Action, Consumer Watchdog, and The Praxis Project, filed a complaint with the Federal Trade Commission (FTC) that asks that commission to investigate PepsiCo and its subsidiary, Frito-Lay, for deceptive marketing to kids—especially teenagers.
In the complaint, the Center for Digital Democracy identifies three ways it alleges PepsiCo is using these deceptive techniques:
- Creating "immersive" experiences teens have trouble recognizing as advertising;
- Claiming to protect teens' privacy, while simultaneously collecting a huge amount of personal information without clearly giving the teen notice and the opportunity to grant consent; and
- Using viral marketing techniques that violate existing FTC guidelines.
"We are aware of the filing to the FTC and believe it contains numerous inaccuracies and mischaracterizations," said Aurora Gonzalez, company spokesperson for Frito-Lay. "PepsiCo and its Frito-Lay division are committed to responsible and ethical marketing practices. Our marketing programs, which are often innovative, comply with applicable law and regulations."
Though the timing was coincidental, Pepsi announced two new social media platforms yesterday: Pepsi Sound Off and Pepsi Pulse. The press release announcing these platforms included this winner of a quote:
"We live in a world where people naturally watch a TV show and engage on-line about it—in real time. Pepsi Sound Off is a unique application that allows fans to do just that in an immersive, addictive and social fashion, which not only builds loyalty for a TV show but also deepens Pepsi's credentials as an active participant in pop culture while dialing-up the entertainment for fans," said Shiv Singh, Global Head of Digital, PepsiCo Beverages.
Immersive.
Addictive.
How do those words make you feel about a company that's selling your kids soda and chips, and that's building brand loyalty with your kids for a lifetime?
Playing the game
Hotel 626, which takes players on a deliberately terrifying journey through a haunted hotel, is one of the games targeted by the complaint. Take a look at this video below, which talks about the game's development:
The adver-game's content is scary; the amount of information they're asking teens to disclose scares me even more.
Goodby, Silverstein & Partners, the creative company that developed
Hotel 626 and Asylum 626 decided to use even more interactivity and Twitter and Facebook integration in the Asylum 626 sequel. Mark Sobier, who was one of the Goodby creative team's leaders, told online magazine Creativity how they did it:
We employed head tracking in one scene, so the player literally must move to avoid an attack. We used the webcam in new and innovative ways to actually place the player into the game play itself. We asked people to give us more access and information this year, telling them upfront that the more they gave us, the scarier the experience. We used social networking in ways that hadn't been done before. Specifically, we bring their friends into the experience and the game play itself. All of these changes began to add up to us to a more immersive, more frightening
experience.
On Civil Eats, Michele Simon described trying to play Asylum 626 earlier this week:
The music is the sound of a heartbeat, which I have to admit is already scary. The first screen warns the site is for “mature audiences only” and those “under age 18 must not view without an adult guardian”—what a great marketing device for teens. The next screen helpfully explains that the experience is best viewed with my lights out and headphones on. Then, after showing off the brand with, “Doritos Presents,” the site suggests that I log into Facebook or Twitter for the “full treatment experience.”
Here's the privacy problem: Though kids are told up front that they have to give up their data to make the game scarier and more interactive, complainants allege that what they're told about how that data is being used appears purposefully vague. The complaint alleges PepsiCo doesn't want kids to know that once they've given up their data, it can be shared across the whole corporate family, and can be used to market all kinds of high-fat, high-sodium, and/or sugary products to kids.
"I can't wait to see what the FTC does with this," said Marion Nestle on Food Politics.
If you're the parent of a teenager, I'd love to hear your thoughts on this. Are you OK with PepsiCo collecting your son's or daughter's cell phone number,
